Agenda item

(Cabinet Member with Special Responsibility Councillor Thomas)

Report of the Corporate Director (Regeneration). 

(Cabinet Member with Special Responsibility Councillor Thomas)

The Corporate Director (Regeneration) submitted a report that requested consideration of the terms for the disposal of 1 Dalton Square, Lancaster.  The report also advised Members that the freehold interest in the property had been marketed with informal tenders to be received by noon on Monday 15 February 2010 with a guide price of £170,000.

The options, options analysis, including risk assessment and officer preferred option, were set out in the report as follows: -

Option 1 - To sell 1 Dalton Square, Lancaster by tender, with a guide price of £170,000 agreed with the property agent and to agree to the payment of the property agent’s fees and to authorise the relevant officers to complete the sale.  This would be in accordance with the Council’s approval to dispose of surplus properties. The sale of the property would result in an empty property being brought back into use and the council receiving a capital receipt. This would also prevent the property deteriorating further whilst avoiding further expenditure in retaining the building. 

Option 2 - Not to sell the property.  This would not be accordance with the Council’s approval to dispose of surplus premises, as the premises are listed in the General Fund Disposal schedule.  The City Council would be left with recurring management liabilities and costs as the condition of the property deteriorates further. 

Option 1 was the preferred for the reasons outlined above and that Cabinet approves the disposal by informal tender and to authorise the relevant officers to complete the sale. 

The Head of Property Services advised Members that, since the publication of the report, the deadline for informal tenders had closed. To enable discussion of the result of the informal tender process, Councillor Langhorn moved:-

“That, in accordance with Section 100A(4) of the Local Government Act 1972, the press and public be excluded from the meeting for the following item of business, on the grounds that it could involve the possible disclosure of exempt information as defined in paragraph 3 of Schedule 12A of that Act.”

With the consent of the meeting, it was:-

Resolved unanimously:

(1)        That, in accordance with Section 100A(4) of the Local Government Act 1972, the press and public be excluded from the meeting for the following item of business, on the grounds that it could involve the possible disclosure of exempt information as defined in paragraph 3 of Schedule 12A of that Act.

Members were informed by the Head of Property Services that an acceptable offer had been received on the property.

It was then proposed by Councillor Thomas and seconded by Councillor Archer:-

“(1)      That the property be declared surplus to council requirements and that the acceptable offer received through the informal tender process on 1 Dalton Square, Lancaster, be accepted.”

Members then voted:-

Resolved unanimously:

(1)        That the property be declared surplus to council requirements and that the acceptable offer received through the informal tender process on 1 Dalton Square, Lancaster, be accepted.

Officers responsible for effecting the decision:

Corporate Director (Regeneration). 

Head of Property Services. 

Reasons for making the decision:

The decision is in accordance with the Council’s Corporate Property Strategy to dispose of surplus properties that do not contribute to delivering the Council’s corporate priorities.  The sale of the property will result in an empty property being brought back into use and the council receiving a capital receipt.  This will also prevent the property deteriorating further and the Council incurring further expenditure maintaining the building. 

(At the close of this item, the exclusion was lifted and members of the press and public were re-admitted to the meeting.)