Decision details

Decision approved by Executive on 26 October 2021:

(1)  To agree the heads of terms, which include:

�.      Refurbished new bus facility

�.      Pedestrianisation of North Street.

�.      Leapale Road widening.

�.      New North Street / Leapale Road junction.

�.      Landscaping and associated grant of long lease.

�.      Grant of long lease to create a new area of public realm. 

(2)   To undertake further work to establish a clear understanding of the scope, extent and estimated costs of any public works and services included in the proposed development and, subject to obtaining this information, to consider options for procuring the delivery of any public works and services to ensure compliance with the Find a Tender rules and the Council's procurement policies.   

(3)   To authorise the Strategic Services Director to agree any minor variations to the heads of terms to address any specific points arising during the course of contractual negotiations with the Purchaser.

(4)   To authorise the Strategic Services Director to negotiate and enter into all associated property/contractual documentation required in order to facilitate the sale of the North Street Development Site, subject to receiving final valuation advice from the Council's external advisors confirming that the transaction amounts to the best consideration reasonably obtainable.  

(5)   To establish a working group consisting of stakeholders, Councillors and officers to make recommendations to the Executive in respect of the design of the refurbished bus station (including the associated access and public realm improvements) and the proposed pedestrianisation of North Street.

(6)   To develop and take forward a plan for engagement with market traders impacted by the development.

(7)  To note the Council’s public sector equality duties under section 149(1) of the Equality Act 2010.

 Decision required by Executive on 22 February 2022:

1.    Approval of the working group’s recommendation for the design of the refurbished bus interchange.

2.    Approval of the working Groups recommendation for the design of the pedestrianisation of North Street.

The Executive considered a report that set out progress to date regarding the sale of the Council’s interests on the site and to seek the necessary permissions for the leasing arrangements of the bus station prior to the sale. The Executive was also asked to note the Equalities Impact Assessment advice as prepared by AECOM.

The Lead Councillor for Regeneration spoke to the report and there was agreement that sound progress was being made with the project and that appropriate and positive consultations were being undertaken.

The Executive,

RESOLVED:

(1)   To note that the scheme is being redesigned and that this will require the Heads of Terms for the sale of the Council’s land to be renegotiated with St Edward.

(2)   To note that the following documents which relate to the Friary Centre bus station transaction are being negotiated and agreed:

a)    deed of surrender and variation of the Friary Centre headlease between M&G and the Council.

b)    new headlease of the bus station between the Council and St Edward.

c)     new underlease of the bus station between St Edward and the Council; and

(3)   To authorise the transaction in respect of the Friary Centre bus station to proceed immediately and independently of the sale of the Council's interest in the Site.

(4)   To authorise the Managing Director, in consultation with the Leader of the Council and Lead Councillor for Regeneration, to approve the final terms of the Friary Centre bus station documentation referred to in paragraph (2) above, and to finalise the transaction.

(5)   To note the additional responsibilities on the part of the Council in respect of the bus station as set out in section 5 of the Executive report and to accept, including making an allowance of an additional budget of £60,000 to cover immediate costs associated with works to keep the bus station land safe and insured and £10,000 for ad hoc repairs, insurance and utilities.

(6)   To agree a virement of £70,000 from the corporate inflation budget to the asset management budget to fund the bus station repair costs and provide an annual budget, and to note that there is also a potential £45,000 one off repair payment as detailed in paragraph 5.5 of the Executive report.

(7)   To note the advice received from AECOM as set out in section 12 of the Executive report and to confirm that the Council will continue to identify and address equalities implications arising from the proposed transaction.

(8)   To agree that, due to the urgency of this matter, the call-in procedure shall not apply in respect of the decisions referred to in paragraphs (1) to (7) above.

Reason:

To progress the project.