Issue - meetings

This report follows the Cabinet’s approval of a more proactive approach being undertaken to deliver development investment. It sets out the estimated overall scale of development – of sites and infrastructure – needed for the city to pursue its economic growth ambitions, as identified from early work to assemble a city-wide development pipeline.

Resolved:  That Cabinet agree to:

i)             Note the progress already being made across a range of development projects.

ii)            The proactive development of the strategic investment pipeline ready for high level business case assessment against funding options;

iii)          Develop a business case for the creation of a CYC commercial fund;

iv)          Develop a business case for the creation of a joint venture investment vehicle ready for potential engagement with a strategic external investor;

v)           Dedicate the necessary resource from the Economic Development Unit to manage the development of this work, and delegation of responsibility to the Chief Executive and Director of City and Environmental Services to make changes to internal structures to provide the necessary resources to progressing this work;

vi)          Development of a project board to oversee development of this work.

Reason:     To allow officers to develop the business cases for a CYC commercial fund and a joint venture model, and to enable officers to engage landowners and potential investors in the process.

Consideration was given to a report which set out the estimated overall scale of development of sites and infrastructure required for the city to pursue its economic growth and conditions to provide a city wide development pipeline.

It was noted that, in line with the investment priorities identified, four broad funding options had been considered details of which  were explored further in the report, including the advantages and disadvantages of each option:

Option 1: Market-led approach

Option 2: Joint venture approach – Project by Project

Option 3: Council-led approach: Creating a council Commercial Investment Fund

Option 4: Joint venture with strategic city partner(s).

If the proposals were accepted the programme of work would continue in March with the provision of resources and the temporary reorganisation of staff, followed by an options appraisal and commencement of delivery of the preferred option by September with the securing of investors and delivery in 2015.

Cabinet Members expressed their full support for the proposals and further investment in the city to provide continued growth and increased employment.

Resolved:  That Cabinet agree to:

i)             Note the progress already being made across a range of development projects.

ii)            The proactive development of the strategic investment pipeline ready for high level business case assessment against funding options;

iii)          Develop a business case for the creation of a CYC commercial fund;

iv)          Develop a business case for the creation of a joint venture investment vehicle ready for potential engagement with a strategic external investor; ^1.

v)           Dedicate the necessary resource from the Economic Development Unit to manage the development of this work, and delegation of responsibility to the Chief Executive and Director of City and Environmental Services to make changes to internal structures to provide the necessary resources to progressing this work; ^2.

vi)          Development of a project board to oversee development of this work. ^3.

Reason:     To allow officers to develop the business cases for a CYC commercial fund and a joint venture model, and to enable officers to engage landowners and potential investors in the process.