Executive Member for Regeneration and Economic Development Minutes

Executive Member for Regeneration and Economic Development Minutes

Date:
Wednesday 19 February 2014
Time:
11:30 a.m.
Place:
Oberhausen Room,Town Hall, Middlesbrough
 

Attendance Details

Present:
Councillor C M Rooney
Officers:
Richard Horniman and Sharron Brown
Item Number Item/Resolution
PUBLIC
13/19 TO CONSIDER PASSING THE RESOLUTION EXCLUDING THE PRESS AND PUBLIC FROM THE MEETING DURING CONSIDERATION OF THE FOLLOWING ITEM OF BUSINESS ON THE GROUNDS THAT, IF PRESENT, THERE WOULD BE A DISCLOSURE OF EXEMPT INFORMATION FALLING WITHIN PARAGRAPHS 2 AND 3 OF SCHEDULE 12A OF THE LOCAL GOVERNMENT ACT 1972.


That the decision to exclude all members of the press and public was agreed.

EXEMPT
13/20 TEESSIDE ADVANCED MANUFACTURING PARK

The Executive Director of Neighbourhoods and Communities submitted a report that provided an update on progress made towards the vision of developing an advanced manufacturing park in Middlesbrough, and the actions required to commence physical development. These actions included accepting external funding agreements that enabled construction of the first building to commence, and the sale of the overall site to a private company.

 

In line with the Mayor’s vision of a town that would continue to transform, the Council had the aspiration to develop an advanced manufacturing park at South West Iron Masters, on the 13 ha Enterprise Zone site known as Teesside Advanced Manufacturing Park (TAMP). The park was aimed at attracting high value economic activity and higher paid jobs into the town, through the development of a quality environment, and accommodation appropriate for research and development activity linked to the local engineering and manufacturing base. A plan of the site was included as an appendix.

 

The development of the site had originally been pursued through a deal and the deal had reached the point where option agreements for the land were negotiated. Since the initial agreement of the deal, one of the developers had withdrawn from the arrangement, to concentrate on developing a much larger site in Kent. The Council had however continued to work with remaining developer on an appropriate concept and marketing plan for the site.

 

The report outlined in further detail, information on:

  • Progress;
  • Offshore Wind Validation Centre;
  • Sale of the site;
  • Interdependencies; and
  • Site Infrastructure;

The report outlined in fruther detail that the following options were available:

 

Offshore Wind Validation Centre:

  1. Option 1 - Preferred Option -  accept the funding and commence construction; or
  2. Option 2 - reject / return the funding and do not undertake the project.

Sale of the Site:

  1. Option 1 - Develop the site directly, and contract in the necessary expertise;
  2. Option 2 - Partnership with a developer;
  3. Option 3 - Sell the site to a developer, to be openly marketed; or
  4. Option 4 - Preferred Option - Sell site to a developer that would provide the expertise necessary to attract the required companies, bringing in their own development partner that would deliver the necessary construction activity.

Site Infrastructure:

  1. Option 1 - taking the investment from ERDF and HCA (which would end the developer’s interest in the site); or,
  2. Option 2 - declining the investment (which would open the way for the developer to go forward).

ORDERED

  1. That the acceptance of the ERDF and Growing Places funding agreements to take the Offshore Wind Validation Centre project forward, be endorsed;
  2. That the sale of TAMP, on the basis of the Heads of Terms be agreed; and,
  3. That responsibility to enter into the necessary legal agreements to deliver both elements be delegated to the Director of Neighbourhoods and Communities.

REASON

 

The decisons were supported by the following reason:

 

The aspiration to develop an advanced engineering park at TAMP can be progressed significantly if the appropriate actions are taken to capitalise upon the opportunity presented by favourable external funding offers and market interest in purchasing the site. Development of the site would add significantly to Middlesbrough’s economic offer, and contribute towards the Mayor’s vision of a town that continues to transform.

The decision(s) will come into force after five working days following the day the decision(s) were published unless the decision becomes subject to the call in procedures.
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