Issue - meetings

Corporate Property Leasehold Policy

Meeting: 16/11/2023 - Executive (Item 537)

537 Corporate Property Leasehold Policy pdf icon PDF 148 KB

Additional documents:

Decision:

RESOLVED

 

KEY DECISION

 

That the Executive approved the Corporate Property Leasehold Policy at Appendix A of the report for adoption.

 

 

Reasons for Recommendations:

 

i)        The Council has fiduciary responsibilities to ensure all leasehold agreements it enters represent value for money. The Corporate Property Leasehold Policy supports this outcome.

 

ii)       Progressing leasehold transactions in a co-ordinated way will contribute to the Corporate Plan and the commitment to be carbon neutral by 2030.

 

iii)      The Corporate Property Leasehold Policy supports a timely and professional process, which will help manage costs and assist the Council to achieve income targets from its commercial estate.

 

iv)     The Policy supports centralised current record keeping; a requirement of the constitution.

 

Alternative Options Considered: The Council could choose not to adopt a co-ordinated leasehold policy, but this would lead to uncertainty and increased risks of agreements being entered into without full consideration.

 

Minutes:

The Chair invited Cllr Matt Binley, Executive Member for Highways, Travel and Assets to present a report that sought approval of a Corporate Property Leasehold Policy, a policy and process that provided delegations for internal review and approval of leasehold terms.

 

Cllr Binley noted that the policy would form an integral part of a collection of various other policies for asset management, which formed part of the Council’s asset strategy.

 

The meeting heard that the Council held a portfolio of land and buildings that were leased to other parties. This portfolio of assets was very diverse, and it was important that it be effectively managed to maximise the best outcomes in supporting the Council’s strategic objectives.

 

Following an internal asset management audit, a need to have suitable policy processes in place to ensure a unified approach to manage any risk associated with leasing property had been identified. The draft policy before members covered items including the lettings process and heads of terms and provided suitable supporting governance.

 

 

RESOLVED

 

KEY DECISION

 

That the Executive approved the Corporate Property Leasehold Policy at Appendix A of the report for adoption.

 

 

Reasons for Recommendations:

 

i)        The Council has fiduciary responsibilities to ensure all leasehold agreements it enters represent value for money. The Corporate Property Leasehold Policy supports this outcome.

 

ii)       Progressing leasehold transactions in a co-ordinated way will contribute to the Corporate Plan and the commitment to be carbon neutral by 2030.

 

iii)      The Corporate Property Leasehold Policy supports a timely and professional process, which will help manage costs and assist the Council to achieve income targets from its commercial estate.

 

iv)     The Policy supports centralised current record keeping; a requirement of the constitution.

 

Alternative Options Considered: The Council could choose not to adopt a co-ordinated leasehold policy, but this would lead to uncertainty and increased risks of agreements being entered into without full consideration.