Issue - meetings

Stirling Centre

Meeting: 17/01/2012 - Cabinet (Item 5)

5 The Stirling Centre pdf icon PDF 548 KB

Minutes:

Background:

 

This report advised Members of an opportunity to secure significant external investment into the Stirling Centre Rochester, one of Medway’s seven leisure centres.

 

It was reported that a third party provider had approached the Council with a proposal to take on the management of the Stirling Centre under a long-term lease. This would involve a significant level of investment into the site by the third party provider, with guarantees over enhancing community use, widening the hours the facility was open and the prices charged to the public.

 

The report evaluated the options available to the Council. It was recommended that the opportunity be offered to the open market with all responses evaluated to ensure the best possible position for Medway and leisure customers. It was anticipated that a development agreement, including clauses confirming the level of investment, scope of works and timescales for completion, would precede a long lease. Appendix 1 to the report set out the details of the principal terms and conditions.

 

It was noted that a Diversity Impact Assessment screening form had been completed and it was attached as Appendix 2 to the report. This considered existing access and use by the community, along with the potential impact of the proposal in enhancing service provision. It showed that a full Diversity Impact Assessment was not necessary.

 

Decision number:

Decision:

2/2012

The Cabinet agreed to grant a development agreement, followed by long leasehold interest of the Stirling Centre, following external marketing, and to grant delegated authority to the Chief Finance Officer in consultation with the Portfolio Holder for Finance and the Portfolio Holder for Housing and Community Services to:

a)     consider any objections made pursuant to the advertisement under section 123(2A) of the Local Government Act 1972 and to determine, in the light of those objections and all other relevant matters, whether to proceed with the development agreement and lease and if so;

b)     to enter into the necessary legal agreements with the successful bidder, if necessary using its well being powers under circular 06/03 Local Government Act 1972 general disposal consent (England) 2003, to complete the development agreement and lease upon the best terms reasonably obtainable.

 

Reasons:

 

To secure significant third-party investment into the facility, whilst continuing and enhancing community access with price guarantees.

 

The proposal will also achieve budget savings and minimise the Council’s future liability for ongoing maintenance costs.