Decision details

Councillor John Reynolds presented the Westside Delivery Strategy Update for approval, subject to the addition of a recommendation to read ‘that it be noted that the detail of the deal structure, the outcome of the agreements referred to above and any supplementary budgets will be reported to Cabinet’. Councillor John Reynolds referred to the amended information provided in the supplement pack.

The report was exempt as it contained information relating to the financial or business affairs of any particular person (including the authority holding that information).

Resolved:

1. That it be approved that the Council enter into a such an agreement as is necessary to close off the current Development Agreement to facilitate a new financing model allowing commencement of the scheme with Urban&Civic.

2. That the principle of the Council entering into an income strip head lease as detailed in sections 5, 6 and 9 of this report be approved and which will include:

i. Entering an agreement for lease and sublease back to the Council for a term to be determined with respect to the Westside development.

ii. Entering into a Rent Guarantee Agreement.

iii. Entering into any ancillary agreements necessary to facilitate the agreements referred to above.

3. That authority be delegated to the Cabinet Members for Finance and City Economy in consultation with the Director of Finance and Director of Regeneration to approve the detail of the deal structure, the agreements referred to above and any supplementary budgets required in the best interests of the Council and subject to the criteria set out in paragraph 9.4 being met.

4. That it be noted that the detail of the deal structure, the outcome of the agreements referred to above and any supplementary budgets will be reported to Cabinet.

5. That the changes to the format and content of the Westside scheme as detailed in the report be noted.

6. That the benefits statement including the number of jobs created and the increased business rates generated by the scheme be noted.

7. That it be noted that, as the finances of the deal cannot be set until full designs and costs are established and the funding market will only provide a quote within six months of a scheme drawing down funding, this report establishes principles to safeguard the Council’s commitment to invest should the cost of borrowing increase or the cost of delivering the scheme inflates.