The Executive Director, Commercial and Corporate Services submitted a report that sought approved on the proposal to dispose of the Council's freehold interest in land at Trimdon Avenue and to proceed in accordance with the report's recommendations.
At its meeting on the 19 June 2012 the Executive Sub Committee for Property Panel approved the sale of Trimdon Avenue to Bidder A and that should it be considered reasonable to make further revision of the terms of sale as a result of further investigations carried out by the purchasers and any planning requirements, then the Director of Regeneration and Director of Resources be authorised to agree the changes.
Subsequent negotiations were undertaken with Bidder A, which resulted in an amended sale price being agreed, recommended and approved by the Directors in accordance with the minutes.
However due to concerns over the future housing market conditions following the failure of SSI at the end of 2015 the preferred bidder considered withdrawing its offer. A re-appraisal of the offer had been undertaken by the Council and its agent, which confirmed that the figure still represented market value for the site and could still therefore be recommended.
The preferred Bidder agreed to continue to proceed but with a delayed payment mechanism. This would see 5% deposit payable on legal exchange, 45% payable on completion plus fees and the remainder by no later than 12 months from completion. The outstanding balance would be protected by suitable legal charges being placed on the land by the Council.
The report outlined in further detail the options available to the Council.
That the recommendations of the report be approved.
The decision was supported by the following reason:
For reasons outlined in the report.