Issue - meetings

1.      That the freehold or long leasehold disposal of the Upper Brook Street car park to a specialist primary healthcare developer be approved to enable delivery of a new doctors surgery, instead of direct development by the Council.

2.      That the arrangements detailed in report CAB3247 for the marketing and selection process for disposal of the Upper Brook Street car park site be approved.

3.      That the Strategic Director – Place be authorised to undertake marketing and the selection process for disposal of the Upper Brook Street car park site, in consultation with the Cabinet Member for Housing and Asset Management, based on the disposal methodology set out in the report, involving a shortlist of specialist primary healthcare developers.

4.      That the Strategic Director – Place be authorised, in consultation with the Cabinet Member for Housing and Asset Management, to select a preferred purchaser and negotiate and agree suitable heads of terms.

5.      That the Service Lead Legal be authorised to enter into legal agreements to dispose of the site to deliver a new doctors’ surgery.

6.      That final Cabinet approval is to be sought to approve the final heads of terms and the appointment of the preferred purchaser. 

Councillor Learney introduced the report which proposed a development approach to the provision of a replacement for the existing St Clement’s surgery.    Soft market testing had demonstrated interest in the scheme and also emphasised the levels of risk involved in the Council undertaking the development itself. 

At the invitation of the Leader, Councillors Lumby and Godfrey addressed Cabinet, as summarised briefly below.

Councillor Lumby

Understood why the proposed approach was being considered but believed it would result in risks for the Council primarily relating to a lack of control over the future development.  Freehold disposal was particularly risky but although leasehold disposal offered more control to the Council, it still could not guarantee that the development would proceed.  All options should be kept under review and the option of freehold disposal should be discounted.

Councillor Godfrey

Believed that the Council should have regard to the overall risks, including the risk that a new GP surgery would not proceed.  The option to dispose of the freehold should not be pursued.  Leasehold disposal offered slightly more control but ultimately, provision of a new GP surgery was not a commercially attractive option for a private developer and the Council should continue to be directly involved.

Cabinet then moved into exempt session to discuss the information contained in the exempt appendix before returning to the open session as detailed below.

Cabinet Members noted the comments regarding favouring leasehold over freehold disposal, but believed that it was appropriate given the levels of uncertainty at the current time that neither option were ruled out.

Cabinet agreed the following for the reasons set out above and outlined in the report.

RESOLVED:

1.           That the freehold or long leasehold disposal of the Upper Brook Street car park to a specialist primary healthcare developer be approved to enable delivery of a new doctors surgery, instead of direct development by the Council.

2.           That the arrangements detailed in report CAB3247 for the marketing and selection process for disposal of the Upper Brook Street car park site be approved.

3.           That the Strategic Director – Place be authorised to undertake marketing and the selection process for disposal of the Upper Brook Street car park site, in consultation with the Cabinet Member for Housing and Asset Management, based on the disposal methodology set out in the report, involving a shortlist of specialist primary healthcare developers.