Agenda item

Report of the Director of Transformation and Business Services (BSS/23/06) on proposals for Property Management, attached.

An Impact Assessment has been prepared for the attention of Members, is attached as Appendix 1 and also available at - Published Impact Assessments - Impact Assessment (devon.gov.uk)

RESOLVED

(a) that the Council’s Property Strategy, as set out in section 2 of the Report, be approved;

(b) that the following properties be disposed:

·       Larkbeare House, Exeter

·       Compass House, Exeter

·       Ivybank, Exeter

·       Former Matford Offices land, Exeter

·       St Georges Road Youth Centre, Barnstaple

·       Pottington Industrial Unit, Barnstaple

(c) that the Director of Transformation and Business Services, in consultation with the Cabinet Member for Policy Corporate and Asset Management, be given delegated authority to make minor amendments to the timescales and disposal programme as set out in section 3 of the Report.

(Councillors Biederman, Brazil, Dewhirst, Hannaford and Whitton attended in accordance with Standing Order 25(2) and spoke to this item).

The Cabinet considered the Report of the Director of Transformation and Business Services (BSS/23/06) on proposals for Property Management, circulated prior to the meeting in accordance with regulation 7(4) of the Local Authorities (Executive Arrangements) (Meetings and Access to Information) (England) Regulations 2012.

The Cabinet noted that the Council (DCC) was responsible for properties with estimated annual gross running costs of circa £8 million, and a maintenance liability in excess of £20 million, excluding Schools.

A key priority of the corporate plan agreed by Cabinet on 12 July 2023 was to make the best use of building and assets and the Council’s Property Strategy focused on four key principles of Reduce, Dispose, Retain, and Repurpose, aimed at transforming the corporate estate and informing the methodology for reviewing the future use of assets.

Further detail on the Strategy (Reduce, Dispose, Retain, and Repurpose) was outlined in Section 2 of the Report.

The Council owned, leased, or occupied in excess of 1,000 assets in the County which included 364 schools, 500 land assets, 64 farms and circa 300 operational buildings (including offices, children centres, libraries, youth centres, industrial estate, recycling centres, day centres, respite centres, contact centres and children’s homes).

The Report set out phase one of the property strategy approach, including the disposal of four sites in Exeter, and two in Barnstaple.

·       Disposal of Larkbeare House

·       Disposal of Compass House

·       Disposal of Ivybank

·       Former Matford Offices land, Exeter

·       St Georges Road Youth Centre, Barnstaple

·       Disposal Pottington Industrial Unit

The Cabinet noted that in addition to the disposals set out above, the Director of Transformation and Business Services had, under delegated powers, approved to lease out office space at County Hall, and review opportunities to reduce revenue spend where the opportunity to end or break leases arose and serve notice/enact break provisions as appropriate.

The Property Change Programme contributed to four of the six priorities in the Council’s Strategic Plan 2021 – 2025, as outlined below.

·       Respond to the climate emergency.

·       Support sustainable economic recovery.

·       Improve health and wellbeing.

·       Help communities be safe, connected and resilient.

It was estimated that the proposals would generate capital receipts of circa £6-10 million (depending on planning approval) and reduce revenue costs by circa £300,000 per annum. In addition, avoiding backlog maintenance investment requirements of circa £3-5 million.

The corporate and community risk registers would be reviewed to ensure all relevant risks in the Property Strategy were captured and managed.

In summary, occupancy statistics demonstrated the Council could reduce its portfolio without detriment to services which would reduce the carbon footprint, provide value for money, generate capital receipts, and reduce revenue expenditure contributing towards the financial sustainability of the authority.

An Impact Assessment had been prepared for the attention of Members and was available at - Published Impact Assessments - Impact Assessment (devon.gov.uk). This outlined that the proposals would help advance equality of opportunity for people who shared a protected characteristic as well as those who didn’t, for example, providing workplaces that met service needs and were accessible, equal opportunities to training and employment, enabling people to become better connected with services and promoting a working environment conducive to the physical and mental health and wellbeing among staff.

The matter having been debated and the options and alternatives and other relevant factors (e.g. financial, sustainability and carbon impact, risk management, equality and legal considerations and alignment with the Council’s Strategic Plan) set out in the Director’s Report having been considered:

it was MOVED by Councillor Hart, SECONDED by Councillor McInnes, and

RESOLVED

(a) that the Council’s Property Strategy, as set out in section 2 of the Report, be approved;

(b) that the following properties be disposed:

·       Larkbeare House, Exeter

·       Compass House, Exeter

·       Ivybank, Exeter

·       Former Matford Offices land, Exeter

·       St Georges Road Youth Centre, Barnstaple

·       Pottington Industrial Unit, Barnstaple

(c) that the Director of Transformation and Business Services, in consultation with the Cabinet Member for Policy Corporate and Asset Management, be given delegated authority to make minor amendments to the timescales and disposal programme as set out in section 3 of the Report.