Agenda item

8.1

The Executive Director, Place submitted a report in relation to the New Retail Quarter and steps towards its delivery.

8.2

RESOLVED: That Cabinet:-

(a)

notes the decision of the Leader, taken on 6 June 2014, to approve a strategy for delivery of a new retail quarter for Sheffield City Centre;

(b)

delegates authority to the Executive Director, Place, in consultation with the Executive Director, Resources, Director of Commercial Services, Director of Capital and Major Projects and Director of Legal and Governance to agree the procurement strategy to seek a development/investor partner for delivery of the New Retail Quarter;

(c)

subject to complying with the Council’s capital approvals processes, delegates authority to the Executive Director, Place, in consultation with the Cabinet Member for Business, Skills and Development, the Executive Director, Resources, Director of Commercial Services, Director of Capital and Major Projects and Director of Legal and Governance to negotiate and award contracts following the procurement process;

(d)

subject to complying with the Council’s normal budget processes and financial regulations, delegates authority to the Executive Director, Resources, in consultation with the Executive Director, Place to borrow, based on the Tax Incremental Financing income streams and to make other investment to support the costs of delivering the New Retail Quarter;

(e)

notes the decision of Cabinet on 1 August 2012 to authorise the creation of a Sheffield Investment Fund and to note the proposal in the report as to the proposals of using such a fund for regeneration of the City Centre;

(f)

delegates authority to the Executive Director, Resources, in consultation with the Cabinet Member for Business, Skills and Development and the Executive Director, Place to place any surplus Tax Incremental Finance funding, income and investment returns from the New Retail Quarter into a Sheffield City Centre Investment Fund; and

(g)

delegates authority to the Executive Director, Place, in consultation with the Cabinet Member for Business, Skills and Development, the Executive Director, Resources, Director of Commercial Services, Director of Capital and Major Projects and Director of Legal and Governance to take such steps considered appropriate to achieve the outcomes in the report including;

(i)

to negotiate, agree and complete legal agreements;

(ii)

to set up a separate legal entity special purpose vehicle either as a Sheffield City Council wholly owned entity or by way of a joint venture with developer/investor partners; and

(iii)

to determine any terms on which property assets may be transferred to a special purpose vehicle.

8.3

Reasons for Decision

8.3.1

To provide the way forward for the delivery of the New Retail Quarter.

8.3.2

It is proposed through the Capital Programme Approval process that the Council establishes the procurement of a new development partner and creates the Sheffield City Centre Investment Fund to help progress the priorities of the Corporate Plan.

8.4

Alternatives Considered and Rejected

8.4.1

There were no alternative options presented in the report.

8.5

Any Interest Declared or Dispensation Granted

None

8.6

Reason for Exemption if Public/Press Excluded During Consideration

None

8.7

Respective Director Responsible for Implementation

Simon Green, Executive Director, Place

8.8

Relevant Scrutiny and Policy Development Committee If Decision Called In

Economic and Environmental Wellbeing

8.1

The Executive Director, Place submitted a report in relation to the New Retail Quarter and steps towards its delivery.

8.2

RESOLVED: That Cabinet:-

(a)

notes the decision of the Leader, taken on 6 June 2014, to approve a strategy for delivery of a new retail quarter for Sheffield City Centre;

(b)

delegates authority to the Executive Director, Place, in consultation with the Executive Director, Resources, Director of Commercial Services, Director of Capital and Major Projects and Director of Legal and Governance to agree the procurement strategy to seek a development/investor partner for delivery of the New Retail Quarter;

(c)

subject to complying with the Council’s capital approvals processes, delegates authority to the Executive Director, Place, in consultation with the Cabinet Member for Business, Skills and Development, the Executive Director, Resources, Director of Commercial Services, Director of Capital and Major Projects and Director of Legal and Governance to negotiate and award contracts following the procurement process;

(d)

subject to complying with the Council’s normal budget processes and financial regulations, delegates authority to the Executive Director, Resources, in consultation with the Executive Director, Place to borrow, based on the Tax Incremental Financing income streams and to make other investment to support the costs of delivering the New Retail Quarter;

(e)

notes the decision of Cabinet on 1 August 2012 to authorise the creation of a Sheffield Investment Fund and to note the proposal in the report as to the proposals of using such a fund for regeneration of the City Centre;

(f)

delegates authority to the Executive Director, Resources, in consultation with the Cabinet Member for Business, Skills and Development and the Executive Director, Place to place any surplus Tax Incremental Finance funding, income and investment returns from the New Retail Quarter into a Sheffield City Centre Investment Fund; and

(g)

delegates authority to the Executive Director, Place, in consultation with the Cabinet Member for Business, Skills and Development, the Executive Director, Resources, Director of Commercial Services, Director of Capital and Major Projects and Director of Legal and Governance to take such steps considered appropriate to achieve the outcomes in the report including;

(i)

to negotiate, agree and complete legal agreements;

(ii)

to set up a separate legal entity special purpose vehicle either as a Sheffield City Council wholly owned entity or by way of a joint venture with developer/investor partners; and

(iii)

to determine any terms on which property assets may be transferred to a special purpose vehicle.

8.3

Reasons for Decision

8.3.1

To provide the way forward for the delivery of the New Retail Quarter.

8.3.2

It is proposed through the Capital Programme Approval process that the Council establishes the procurement of a new development partner and creates the Sheffield City Centre Investment Fund to help progress the priorities of the Corporate Plan.

8.4

Alternatives Considered and Rejected

8.4.1

There were no alternative options presented in the report.