Issue - meetings

To approve the strategy to procure a Development Partner (DP), via the Pagabo Framework, to deliver, via a Development Agreement (DA) for a development at 177 Abbey Street comprising the delivery of circa 100 keyworker housing (KWH) units and a community facility.

RESOLVED:

1.  That the strategy outlined in the report to procure a development partner (DP), via the Pagabo Framework, to deliver, via a development agreement (DA) for a development at 177 Abbey Street, comprising the delivery of circa 100 keyworker housing (KWH) units and a community facility, and to undertake the management and maintenance of the building and the administration of the KWH lettings for a lease period of 40 years be approved.

2.  That the council underwriting 50% of the preferred bidder’s costs for the pre-development agreement (PDA) period, to a capped maximum £750k, payable only in the event of unsuccessful PDA outcomes (failure to achieve planning) from the regeneration and development fund reserves, general fund, and not payable in the event of the preferred bidder choosing to withdraw be approved.

3.  That the gateway (GW2) decision to award to the pre-development agreement to the preferred bidder be delegated to the strategic director of finance in consultation with the head of property and the cabinet member for new homes and sustainable development.

4.  That it be noted that the council will enter into a development agreement with the preferred development partner, upon successful completion of the pre-development agreement outcomes, comprising planning consent and conclusion of the detailed negotiations and estimated to take a period of between nine and 12 months.

5.  That the award of the development agreement, disposal of land and acquisition of land, and other appropriate documentation (including the granting of a lease over the council’s land for a 40-year period, an agreement for lease, and scope to grant a new lease beyond the initial lease period), be under delegated authority to the strategic director of finance in consultation with the head of property and the cabinet member for new homes and sustainable development be approved.

6.  That the cost of the use of the Pagabo framework, payable upon successful conclusion of the development agreement, anticipated to be £95k (of which £75K at signing of the development agreement plus 1% of the pre-development agreement costs, circa £20k be approved.

7.  That the decision with regards to any changes in the funding strategy (currently grant funding) be delegated to the strategic director of finance.