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Councillors and committees

Issue - meetings

Disposal of Council land to Gateshead Regeneration Partnership (GRP)

Meeting: 14/09/2021 - Cabinet (Item 61)

Development of new homes on the Freight Depot site by the Gateshead Regeneration Partnership

Report of the Strategic Director, Economy, Innovation and Growth

 

Minutes:

Consideration has been given to the freehold transfer of the former Freight Depot site to Gateshead Regeneration Limited Liability Partnership (GRP) as shown edged red on the plan as detailed in appendix 3 to the report and to providing a total capital injection to GRP, made up of a combination of Council and Homes England funds, to overcome viability constraints and facilitate the redevelopment of this long vacant, regeneration priority site.

 

 

 

The alternative options to that being recommended, but which were discounted, included no financial support and retaining the site in Council ownership.

 

 

 

RESOLVED -

(i)

That the transfer of the freehold interest in the subject site in accordance with the Agreement for Sale to the GRP for the provision of new homes be approved.

 

 

 

 

(ii)

That to the Strategic Director, Economy, Innovation and Growth, in consultation the Strategic Directors, Resources and Digital, and Corporate Services and Governance, be authorised to agree the Transfer Value for the site. 

 

 

 

 

(iii)

That the provision of a capital injection totalling the amount set out in the report for these sites (see resolution iv below) to facilitate the delivery of new homes, made up of the amounts set out in the report from Homes England and from the Council Capital Programme; and for the Council to enter into site-specific Capital Injection Agreements with GRP in a form approved by the Strategic Director, Corporate Services and Governance in accordance with the Constitution, be approved.

 

 

 

 

(iv)

That the current position with Homes England, regarding their approval of land valuation; the relationship to the Birtley Northside site; the linkage of the Homes England Accelerated Construction Funding to outputs on the Birtley Northside site and the associated risks be noted.

 

 

 

The above decisions have been made for the following reasons:

 

 

 

 

(A)

To support the delivery of 270 homes on Freight Depot, with a start on site in October 2021.

 

 

 

 

(B)

To enable income to accrue to the Council; and training, employment and socio-economic benefits for the residents and businesses of Gateshead.

 

 

 

 

(C)

To bring forward a vacant Council owned site for redevelopment and remove holding costs to the Council.

 

 

 

 

(D)

To utilise the Council’s land and property portfolio to support the Council’s policy priorities in accordance with the provisions of the Council’s Corporate Asset Strategy and Management Plan 2015 – 2020 and Housing Strategy 2019-30.

 


 

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