Agenda item

Proposed Sheffield City Council (Former Steel Works, Stocksbridge) Compulsory Purchase Order

Report of the Executive Director, Place.

Decision:

10.1

The Executive Director, Place, submitted a report seeking authority to make a Compulsory Purchase Order (CPO) to acquire the interests and new rights in the former Steelworks land in Stocksbridge to enable the comprehensive regeneration of the site with a mixed use scheme for retail, office and leisure with associated infrastructure and car parking and land prepared for residential development (the Scheme).

 

 

10.2

RESOLVED: That, on the understanding that (a) the Tata Agreement referred to in paragraph 2.8 is signed before the next meeting of this Cabinet on 17th October 2012 and (b) there are no changes made to the Agreement that would materially affect the Statement of Reasons supporting the Compulsory Purchase Order and (c) if either of these conditions are not met, further consideration of the issues by this Cabinet is required, before a decision is made to compulsorily purchase the land now reported:-

 

 

(i)

authority be given for the Council to make a Compulsory Purchase Order under the powers conferred by Section 226 (1) (a) of the Town and Country Planning Act 1990 Act, and section 13 of the Local Government (Miscellaneous Provisions) Act 1976 Act, to acquire the land and rights over the land shown on the Order Map displayed at the meeting of Cabinet on 26th September 2012 and marked Map referred to in the Sheffield City Council (Former Steelworks, Stocksbridge) Compulsory Purchase Order 2012;

 

 

(ii)

the Director of Legal Services be authorised to (A) make the CPO, to take all necessary procedural steps prior to and after the making of the CPO, to enable the CPO to be submitted to the Secretary of State for confirmation including:-

 

 

 

(1)

finalising the attached draft Statement of Reasons;

 

 

 

 

(2)

finalising the Schedule of Interests;

 

 

 

 

(3)

serving notices of the making of the CPO on all persons entitled to such notice and placing necessary press notices;

 

 

 

 

and (B) submit the CPO to the Secretary of State for confirmation.

 

 

(iii)

the Director of Legal Services be authorised to sign and serve any notices or documents necessary to give effect to these recommendations and to take all other actions necessary to give effect to these recommendations;

 

 

(iv)

as soon as the Order is confirmed by the Secretary of State to advertise the confirmation of the CPO and serve all necessary notices of confirmation and once the CPO becomes operative, the Director of Legal Services, in consultation with the Director of Finance be authorised to execute General Vesting Declarations under the Compulsory Purchase (Vesting Declarations) Act 1981;

 

 

(v)

the Executive Director Place, in consultation with the Director of Legal Services, be authorised to manage the compulsory purchase process in accordance with the terms of the CPO Indemnity Agreement;

 

 

(vi)

Cabinet confirms that such parts of the land at the former Steelworks Stocksbridge as are already owned by the Council, but not currently held for planning purposes, are appropriated for planning purposes and as from today’s date are held for planning purposes;

 

 

(vii)

if necessary, the Council will use its powers contained in section 237 of the Town and Country Planning Act 1990 in order to override any rights or covenants which would otherwise impede the delivery of the Scheme;

 

 

(viii)

the Director of Legal Services, in consultation with the Executive Director Place, be authorised to ensure that all private rights enjoyed and required by Tata over the land included in the Order are not extinguished by either :-

 

 

 

(A)

making a Direction under section 236 of the Town & Country Planning Act 1990, or

 

 

 

 

(B)

entering into an Agreement with Tata.

 

 

(ix)

the Executive Director Place, in consultation with the Director of Legal Services, be authorised to support the application for a Stopping Up Order for various highways and footpaths that are necessary to enable the Scheme to be carried out and the creation of new highway, footpaths and bridleways, and to provide support for these proposals at any public inquiry

 

 

10.3

Reasons for Recommendations

 

 

10.3.1

The use of a CPO to assemble the land required for the Scheme is

possible under section 226 (1) (a) of the 1990 Town and Country Planning Act, and would be justified in light of the compelling case in the public interest for the implementation of the Scheme, as it will boost employment opportunities in the area, secures the improvement of, and future investment in, the Tata Stocksbridge Steelworks, and transforms the town’s retail offer.

 

 

10.3.2

The proposed Stocksbridge Regeneration Company Scheme provides a real opportunity to secure the regeneration of a large area of underutilised land alongside a key district centre and it is considered that there is little prospect, if a CPO is not used, of securing this regeneration

 

 

10.3.3

Where the Council propose to make a CPO under these statutory provisions, the Council must also be satisfied that the development is likely to contribute to the achievement of one or more of the following objects, namely the promotion or improvement of the economic, social or environmental well-being of their area.

 

 

10.4

Alternatives Considered and Rejected

 

 

10.4.1

Following the report to Cabinet on the 29th February 2012 the Council has been in negotiation to acquire the land required to deliver the Scheme with the remaining known land owners. These owners do appear to be willing to sell in principle but unfortunately terms have not to date been agreed.

 

 

10.4.2

The funding package for the development of the Scheme by SRC is dependant upon both ERDF grant funding and the pre sale of the proposed superstore to Tesco

 

 

10.4.3

Both of these are time limited and if the Councils CPO powers are not used to enable the site to be assembled it is considered that there is little prospect of this regeneration project proceeding.

 

 

10.5

Any Interest Declared or Dispensation Granted

 

 

10.5.1

None.

 

 

10.6

Reason for Exemption if Public/Press Excluded During Consideration

 

 

10.6.1

None

 

 

10.7

Respective Director Responsible for Implementation

 

 

10.7.1

Simon Green, Executive Director, Place.

 

 

10.8

Relevant Scrutiny and Policy Development Committee If Decision Called In

 

 

10.8.1

Economic and Environmental Wellbeing.

 

Minutes:

10.1

The Executive Director, Place, submitted a report seeking authority to make a Compulsory Purchase Order (CPO) to acquire the interests and new rights in the former Steelworks land in Stocksbridge to enable the comprehensive regeneration of the site with a mixed use scheme for retail, office and leisure with associated infrastructure and car parking and land prepared for residential development (the Scheme).

 

 

10.2

RESOLVED: That, on the understanding that (a) the Tata Agreement referred to in paragraph 2.8 is signed before the next meeting of this Cabinet on 17th October 2012 and (b) there are no changes made to the Agreement that would materially affect the Statement of Reasons supporting the Compulsory Purchase Order and (c) if either of these conditions are not met, further consideration of the issues by this Cabinet is required, before a decision is made to compulsorily purchase the land now reported:-

 

 

(i)

authority be given for the Council to make a Compulsory Purchase Order under the powers conferred by Section 226 (1) (a) of the Town and Country Planning Act 1990 Act, and section 13 of the Local Government (Miscellaneous Provisions) Act 1976 Act, to acquire the land and rights over the land shown on the Order Map displayed at the meeting of Cabinet on 26th September 2012 and marked Map referred to in the Sheffield City Council (Former Steelworks, Stocksbridge) Compulsory Purchase Order 2012;

 

 

(ii)

the Director of Legal Services be authorised to (A) make the CPO, to take all necessary procedural steps prior to and after the making of the CPO, to enable the CPO to be submitted to the Secretary of State for confirmation including:-

 

 

 

(1)

finalising the attached draft Statement of Reasons;

 

 

 

 

(2)

finalising the Schedule of Interests;

 

 

 

 

(3)

serving notices of the making of the CPO on all persons entitled to such notice and placing necessary press notices;

 

 

 

 

and (B) submit the CPO to the Secretary of State for confirmation.

 

 

(iii)

the Director of Legal Services be authorised to sign and serve any notices or documents necessary to give effect to these recommendations and to take all other actions necessary to give effect to these recommendations;

 

 

(iv)

as soon as the Order is confirmed by the Secretary of State to advertise the confirmation of the CPO and serve all necessary notices of confirmation and once the CPO becomes operative, the Director of Legal Services, in consultation with the Director of Finance be authorised to execute General Vesting Declarations under the Compulsory Purchase (Vesting Declarations) Act 1981;

 

 

(v)

the Executive Director Place, in consultation with the Director of Legal Services, be authorised to manage the compulsory purchase process in accordance with the terms of the CPO Indemnity Agreement;

 

 

(vi)

Cabinet confirms that such parts of the land at the former Steelworks Stocksbridge as are already owned by the Council, but not currently held for planning purposes, are appropriated for planning purposes and as from today’s date are held for planning purposes;

 

 

(vii)

if necessary, the Council will use its powers contained in section 237 of the Town and Country Planning Act 1990 in order to override any rights or covenants which would otherwise impede the delivery of the Scheme;

 

 

(viii)

the Director of Legal Services, in consultation with the Executive Director Place, be authorised to ensure that all private rights enjoyed and required by Tata over the land included in the Order are not extinguished by either :-

 

 

 

(A)

making a Direction under section 236 of the Town & Country Planning Act 1990, or

 

 

 

 

(B)

entering into an Agreement with Tata.

 

 

(ix)

the Executive Director Place, in consultation with the Director of Legal Services, be authorised to support the application for a Stopping Up Order for various highways and footpaths that are necessary to enable the Scheme to be carried out and the creation of new highway, footpaths and bridleways, and to provide support for these proposals at any public inquiry

 

 

10.3

Reasons for Recommendations

 

 

10.3.1

The use of a CPO to assemble the land required for the Scheme is

possible under section 226 (1) (a) of the 1990 Town and Country Planning Act, and would be justified in light of the compelling case in the public interest for the implementation of the Scheme, as it will boost employment opportunities in the area, secures the improvement of, and future investment in, the Tata Stocksbridge Steelworks, and transforms the town’s retail offer.

 

 

10.3.2

The proposed Stocksbridge Regeneration Company Scheme provides a real opportunity to secure the regeneration of a large area of underutilised land alongside a key district centre and it is considered that there is little prospect, if a CPO is not used, of securing this regeneration

 

 

10.3.3

Where the Council propose to make a CPO under these statutory provisions, the Council must also be satisfied that the development is likely to contribute to the achievement of one or more of the following objects, namely the promotion or improvement of the economic, social or environmental well-being of their area.

 

 

10.4

Alternatives Considered and Rejected

 

 

10.4.1

Following the report to Cabinet on the 29th February 2012 the Council has been in negotiation to acquire the land required to deliver the Scheme with the remaining known land owners. These owners do appear to be willing to sell in principle but unfortunately terms have not to date been agreed.

 

 

10.4.2

The funding package for the development of the Scheme by SRC is dependant upon both ERDF grant funding and the pre sale of the proposed superstore to Tesco

 

 

10.4.3

Both of these are time limited and if the Councils CPO powers are not used to enable the site to be assembled it is considered that there is little prospect of this regeneration project proceeding.

 

 

10.5

Any Interest Declared or Dispensation Granted

 

 

10.5.1

None.

 

 

10.6

Reason for Exemption if Public/Press Excluded During Consideration

 

 

10.6.1

None

 

 

10.7

Respective Director Responsible for Implementation

 

 

10.7.1

Simon Green, Executive Director, Place.

 

 

10.8

Relevant Scrutiny and Policy Development Committee If Decision Called In

 

 

10.8.1

Economic and Environmental Wellbeing.

 

Supporting documents: