Issue - meetings

This report outlines the future investment strategy for the Commercial Property Portfolio, as requested by the Executive on 20 November 2007, and sets out options for allocating the budget made available at Council on 21 February 2008 for reviewing this Portfolio.

Advice of the Advisory Panel

That the Executive Member be advised:

(i)                 That the report be noted and Option A in paragraph 8 be approved;

(ii)               That Option B, the wider property review looking at alternative investment strategies be deferred until the July EMAP meeting for clarification on how the review should proceed.

Decision of the Executive Member

RESOLVED:That the advice of the Advisory Panel be accepted and endorsed.

REASON:So that the council’s Commercial Property Portfolio may be modernised, made more efficient and may be aligned more closely to Corporate Objectives and service property needs for the future in response to the budget approved by Council.

Members considered a report which outlined the future investment strategy for the Commercial Property Portfolio, as requested by the Executive on 20 November 2007, and set out options for allocating the budget made available at Council on 21 February 2008 for reviewing this Portfolio.

The  options available for Members were recommended as follows:-

A)        To carry on with the position approved in autumn 2007 and adopt the   categorisation of the properties in Exempt Annex 1 giving delegation to sell and reinvest to the Director of Resources, subject to consultation, with the exception of the properties contained in the second part of list B and those in lists C and D. The consultants budget approved at Council on 21 February could be partly utilised on a property by property basis for sales advice and acquisitions, condition surveys and other expenses.

B)                To put the process in sub-paragraph A above on hold pending a wider review by suitably qualified firms of finance and property consultants,  which would include alternative investment strategies, including those options listed in paragraph 6 above. The names of three organisations that could be approached for quotations to give this wider range of advice were listed in Exempt Annex 2. The selection of a consultant would be based both on the price and quality of their service.

It was highlighted that the wider property review had come about from a Conservative Group amendment at Budget Council in February 2008. Members agreed that there was a need to find out what the aims and objectives were behind the amendment before progressing with the wider review and therefore it should be deferred to the next EMAP meeting. The Chair agreed to meet with officers to discuss the Conservative Group amendment and the scope for the wider review. As Option A was not related to the wider property review, Members agreed that Option A should be approved to go ahead.

Advice of the Advisory Panel

That the Executive Member be advised

(i)                 That the report be noted and Option A in paragraph 8 be approved¹;

(ii)               That Option B, the wider property review looking at alternative investment strategies be deferred until the July EMAP meeting for clarification on how the review should proceed.

Decision of the Executive Member

RESOLVED:That the advice of the Advisory Panel be accepted and endorsed.

REASON:So that the council’s Commercial Property Portfolio may be modernised, made more efficient and may be aligned more closely to Corporate Objectives and service property needs for the future in response to the budget approved by Council.