Decision:
*RESOLVED
1. That the sale of the property on a 999-year ground lease to the preferred bidder, Stone Castle Enterprises Ltd or such related legal entity or subsidiary company capable of fulfilling the terms of the sale detailed in this report be approved by Cabinet.
2. That authority be delegated to the Service Director for Economic Growth and the Property, Procurement and Contracts Law Manager, in consultation with the Cabinet Member for Economic Growth to agree any late amendments to the sale transaction be authorised.
REASONS FOR DECISIONS
1. Tapton House has been vacant since September 2018, when the lease with Chesterfield College expired.
2. A dilapidations settlement was agreed with the College and this sum has helped to fund remedial repairs to the roof, day to day maintenance, security and heating/utility costs. However, this sum has now been expended and the ongoing costs, which are being met by the Council, are set to be further exacerbated by rising energy bills. With no identified budget for the continued management and maintenance of Tapton House and given the increasingly challenging financial context within which the Council currently operates, the Council needs to find a long-term sustainable solution to prevent further deterioration of the property.
3. The offer recommended for acceptance represents the most credible and viable option out of the offers received to ensure the long-term preservation of the property, acknowledging the importance of its Grade II* listing, character and heritage value to the town and borough.
4. The proposed transaction would realise a significant capital receipt together with payment of the Council’s legal and surveyor’s fees.
Minutes:
The Senior Estates Surveyor presented a report to consider offers received for both commercial rental and long leasehold sale of Tapton House.
TaptonHouse had been vacant since September 2018, when the lease with Chesterfield College expired, and despite the Council’s best efforts over the last 4 years to secure a commercial letting of the property for office, educational or community uses, Tapton House remained vacant.
In June 2022, a decision was made to widen the marketing campaign, seeking offers for purchase on a 999-year lease in addition to continuing to secure a commercial letting. This decision had since been subject to further scrutiny and debate at meetings of full Council on 20 July 2022 and 19 October 2022.
The closing date for best and final offers was 2 September and 18 offers had been received for a variety of planned uses. This had since reduced to 17 as one of the interested parties had withdrawn their offer. Summary details of all offers were provided in the officer’s report.
Following a detailed evaluation of all the offers received the offer from Stone Castle Enterprises Ltd was recommended for acceptance. The proposed scheme would also in time generate council tax revenue from the twenty individual residencies that would be created following conversion of Tapton House in perpetuity, and potentially new homes bonus payments in the short-term.
Councillor Holmes requested that his vote against the recommendation at paragraph 2.1 of the officer’s report be recorded.
*RESOLVED
1. That the sale of the property on a 999-year ground lease to the preferred bidder, Stone Castle Enterprises Ltd or such related legal entity or subsidiary company capable of fulfilling the terms of the sale detailed in this report be approved.
2. That authority be delegated to the Service Director for Economic Growth and the Property, Procurement and Contracts Law Manager, in consultation with the Cabinet Member for Economic Growth to agree any late amendments to the sale transaction.
REASONS FOR DECISIONS
1. Tapton House has been vacant since September 2018, when the lease with Chesterfield College expired.
2. A dilapidations settlement was agreed with the College and this sum has helped to fund remedial repairs to the roof, day to day maintenance, security and heating/utility costs. However, this sum has now been expended and the ongoing costs, which are being met by the Council, are set to be further exacerbated by rising energy bills. With no identified budget for the continued management and maintenance of Tapton House and given the increasingly challenging financial context within which the Council currently operates, the Council needs to find a long-term sustainable solution to prevent further deterioration of the property.
3. The offer recommended for acceptance represents the most credible and viable option out of the offers received to ensure the long-term preservation of the property, acknowledging the importance of its Grade II* listing, character and heritage value to the town and borough.
4. The proposed transaction would realise a significant capital receipt together with payment of the Council’s legal and surveyor’s fees.