Issue - meetings

To consider a report of the Executive Councillor (Governance & Support Services)

The building at 19 Dawlish Avenue, Brinnington was formerly used as a children’s home but was closed and declared surplus during 2008. The Central Area Committee subsequently endorsed its disposal. The Equity Housing Group sought to acquire the property and in 2010 obtained planning permission for the development of 6 self-contained flats plus a staff flat.

The purchase piece for the building was agreed with Equity in 2009 at £75,000. Equity Housing Group have now come back to the Council to explain that due to a halving of grant funding on this project they are now only able to offer £ 28,000 to acquire the property.

It may be considered that the disposal of this building at the undervalue stated will provide additional ongoing financial benefits to the Council which will exceed the sum forgone upon sale.

The Executive is requested to confirm whether it is willing to approve the disposal of this property to the Equity Housing Group at the under value indicated if so to instruct the Corporate Director of Corporate and Support Services to complete the transaction.

Officer contact: Ian Keyte, NPS Stockport, 0161495 6093, ian.keyte@nps.co.uk

The Executive Councillor (Governance & Support Service) submitted a report (copies of which had been circulated) inviting the Executive Meeting to consider a proposal to dispose of a site, formerly a children’s home, at 19 Dawlish Avenue, Brinnington at a purchase price under the valuation for the site, due to reductions in grant funding available to Equity Housing Group who were proposing to purchase the site.

An extract from the Minutes of the Corporate, Resource Management & Governance Scrutiny Committee held on 18 June 2012 in respect of this item was also circulated for consideration.

The Council Solicitor provided additional background information to the scheme and its funding.

RESOLVED – That approval be given to the disposal of the property at 19 Dawlish Avenue, Brinnington to the Equity Housing Group at the undervalue indicated and that the Corporate Director for Corporate and Support Services be authorised to complete the transaction.

To consider a report of the Corporate Director for Corporate and Support Services.

The report invites the Scrutiny Committee to comment on the sale of a Council owned building at Dawlish Avenue Brinnington to the Equity Housing Group. The report will be considered by the Executive on 19 June.

The Scrutiny Committee is invited to comment on the following recommendations to the Executive:

The Executive is requested to confirm whether it is willing to approve the disposal of this property to the Equity Housing Group at the undervalue indicated and if so to instruct the Corporate Director for Corporate and Support Services to complete the transaction.

Officer contact Ian Keyte NPS Stockport Ltd, telephone number 495 6093, email ian.keyte@nps.co.uk

A representative of the Corporate Director for Corporate and Support Services submitted a report (copies of which had been circulated) inviting the Scrutiny Committee to comment on the sale of a Council owned building at Dawlish Avenue, Brinnington to the Equity Housing Group.

The building was formerly used as a children’s home but was closed and declared surplus during 2008. The Central Stockport Area Committee subsequently endorsed its disposal and the Equity Housing Group sought to acquire the property and in 2010 obtained planning permission for the development of 6 self-contained flats plus a staff flat.

The purchase price for the building was agreed with Equity in 2009 at £75,000. Equity Housing Group had now come back to the Council to explain that due to a halving of grant funding on this project they are now only able to offer £28,000 to acquire the property.

The Council Solicitor provided a confidential update in relation to the financial details of the scheme.

The Executive Councillor for Governance and Corporate Services (Councillor Martin Candler) attended the meeting to answer member’s questions.

The Executive at its meeting on 19 June 2012 was recommended to confirm whether it is willing to approve the disposal of this property to the Equity Housing Group at the undervalue indicated and if so to instruct the Corporate Director for Corporate and Support Services to complete the transaction.

RESOLVED – (1) That the report be noted.

(2) That the additional information provided by the Council Solicitor should be provided to the Executive prior to a decision being made.