Decision details

The Economic Development Manager presented a report recommending for approval a budgetary contribution towards the undertaking of a feasibility study, to determine the Council’s future engagement in the Peak Gateway project.

The report noted that representatives of Peak Worldwide had met with Councillor P Gilby and Huw Bowen, to discuss the opportunity for the Council to lead in delivering and operating the Peak Gateway building.

To enable the Council to make an effective decision as to its future role in the delivery and operation of a Gateway Building at Peak Resort, it was recommended that a feasibility study be undertaken, which would provide:

·        Advice on the likely design and estimated build costs of the Gateway Building.

·        Advice on the commercial viability of operating the building through the public or private sector, or as a shared investment.  This would include an assessment of the commercial risks; financing arrangements; detailed capital and revenue investment requirements; detailed income and investment return projections; and the payback period.

·        Advice on the likely legal arrangements that would need to be agreed with Peak Worldwide for the operation of the building to include a review of all relevant models and leasing arrangement options

·        A view on the operational costs of operating the building.

·        The likely demand for end users and the undertaking of a market assessment.

* RESOLVED –

1.   That the Council’s engagement in the Peak Gateway feasibility project, be approved.

2.   That the proposed budgetary contribution of £30K revenue in 2017/18 towards the cost of a feasibility study, be approved.

3.   That the findings of the feasibility study be presented to the Finance and Performance Board and Cabinet, to inform decisions around the Council’s future engagement in the Peak Gateway project.

REASON FOR DECISION

To ensure that Chesterfield Borough Council is well informed and able to determine its future role in the Peak Gateway building at Peak Resort, to ensure maximum benefit to Chesterfield and its communities from the opportunities that the project may present.