Agenda item

The Select Committee received an update in respect of the Council’s Medium Term Property Strategy (MTPS) which outlined the plans, actions and approach that the Council’s Property Services were undertaking to meet the objectives set out in the Strategy.  

The Council’s approach to the Property Strategy was to divide the corporate estate into six categories –

·         Service Delivery: Direct – assets occupied by the Council to deliver a Council service;

·         Service Delivery: Indirect – assets occupied by third parties delivering a Council service which if not occupied by that party would need to be occupied by the Council; or property used to support the delivery of a Council objective;

·         Regeneration – assets held to deliver/support Council and/or third party promoted current or future regeneration/development where the primary outcome to the Council is not financial, with the asset be reallocated to a different category on completion

·         Co-operative Property – assets occupied by a ‘community organisation’ to deliver community-based services. including all Community Asset Transfers (CATs);

·         Surplus / Vacant - non-income generating assets that are surplus to the Council’s requirements and to be disposed of; and

·         Income Generation - assets occupied by third party organisations and held to provide a financial return to the Council (income and/or capital).

The submitted report advised of the proposed first stage of the required £0.5m property efficiency savings that would be developed further into programmes of work for 2020 to 2023, once the work associated with the review of the Town Centre Master Plan, the Accommodation Strategy, the Local Asset Review and the Cluster Review approach was completed.  The MTPS was intended to provide new facilities and working methodologies that would deliver wider property efficiency saving sand new income required to meet MTPS objectives. A number of premises that the first stage of the property rationalisation review had deemed surplus to the Council’s Service Delivery category and which, subject to required approvals, would be disposed of or transferred to other user groups to generate the £0.5m 2019/20 revenue reduction saving required, were highlighted in the submitted report.     

The Select Committee was advised that, since preparation of the submitted report, further work had commenced efficiency targets linked to alignment of Council and CCG structures and options related to the potential for joint use of CCG premises within the Borough.  This represented a further challenge and the MTPS would be refreshed accordingly in the coming months.

Members sought clarification around the numbers and progress of CATs.  It was acknowledged that this was a small number, it being suggested that around six premises may ultimately go through the process.  The principal issue that inhibited progression of CAT related to the development of sustainable Business Cases, particularly around issues of high repair and maintenance costs generally associated with the facilities linked to the CAT approach. 

Members queried and sought further detail on premises listed within the submitted report, emphasising the need for consultation with local Members as considerations, including relocation and disposal proposals, developed.  Properties considered were -

·         Limeside Youth Centre which was vacant and had not been used for some time and for which re-purposing and/or relocating the facility was being considered;

·         Walkers Road Tenants Hall where local Members would be consulted on options, though the Committee was asked to note the current position of low rent but significant repair and maintenance issues;

·         Brownhill Visitors Centre where the background and issues that had led to a delay in progressing the now completed disposal were considered; and

·         Werneth Music Rooms where actions being taken to consider options and funding for this building were reported.

RESOLVED that –

1.            the report and the progress made to date in progressing the Medium Term Property Strategy be noted;

2.            a further report on progression of the Medium Term Property Strategy be submitted to this Committee in January 2021.