Decision details

14.1

The Executive Director, Place submitted a report proposing a series of recommendations to review and rationalise the property leased by Netherthorpe and Upperthorpe Community Alliance (NUCA) and its associated organisations to address the Organisations long term sustainability. Decreasing revenue support from the Council and the costs of repair and maintenance of the properties leased by NUCA is putting increasing pressure on the Organisation and limiting its ability to develop and deliver services. The report also sought Cabinet approval for a series of recommendations which will support NUCA to develop a viable medium term business plan and capital investment strategy and enable them to continue to deliver services to the local community.

14.2

RESOLVED: That Cabinet approves:-

(a)

the surrender of the lease of the Zest Centre, Upperthorpe, Sheffield, S6 3NA, currently held by the Upperthorpe & Netherthorpe Healthy Living Centre Trust;

(b)

the grant of a new lease of the Zest Centre to Netherthorpe & Upperthorpe Community Alliance and delegates authority to the Chief Property Officer to agree such Heads of Terms in line with the report;

(c)

the surrender of the lease of 54–56 Upperthorpe Road, currently held by  Netherthorpe & Upperthorpe Community Alliance;

(d)

the release of Netherthorpe & Upperthorpe Community Alliance from a Debenture, dated 23rd December 1999 in relation to 54–56 Upperthorpe Road, upon the surrender of the lease;

(e)

the disposal by auction by the Council of 54–56 Upperthorpe Road; and

(f)

the delegation of authority to the Chief Property Officer, in consultation with the Director of Commercial and Financial Services and the Director of Legal and Governance, to take all other necessary steps, not covered by existing delegations, including any proposed capital works and improvements, to give effect to the proposals set out in the report.

14.3

Reasons for Decision

14.3.1

The recommendations will assist the Council to deliver key corporate policy objectives set out in the Corporate Plan 2015 – 18 by supporting NUCA to develop a viable medium term business plan and capital investment strategy. Specifically:-

·         The disposal of 54–56 Upperthorpe Road will release capital funding for potential reinvestment in the Zest Centre (subject to an approved business) to support the continued provision of facilities and services to the local community.

·         The grant of a longer lease of the Zest Centre will assist in bidding for external grant funding for capital investment

14.4

Alternatives Considered and Rejected

14.4.1

The Council has a limited number of different options due to the existing leases in place and the wish to maintain the facilities and services which the Council considers are important to the delivery of key corporate policy objectives. These are summarised in the table below, together with the potential implications:

14.4.2

The current proposals represent the best way forward in seeking to achieve the objectives of the Council and Zest within the constraints outlined earlier.

14.4.3

The Council will continue to work with Zest to assess potential options and to seek to ensure that the above objectives can be met as far as possible.

14.5

Any Interest Declared or Dispensation Granted

None

14.6

Reason for Exemption if Public/Press Excluded During Consideration

None

14.7

Respective Director Responsible for Implementation

Laraine Manley, Executive Director, Place

14.8

Relevant Scrutiny and Policy Development Committee If Decision Called In

Economic and Environmental Wellbeing