Agenda item

NORTH HERTFORDSHIRE MUSEUM AND HITCHIN TOWN HALL - ACQUISITION OF 14/15 BRAND STREET, HITCHIN

REPORT OF THE CHIEF EXECUTIVE AND SERVICE DIRECTOR - COMMERCIAL

To consider a Part 1 report on the proposed acquisition of 14/15 Brand Street, Hitchin.

Decision:

RESOLVED:

 

(1)       That the current position in relation to the negotiations be noted, and the Cabinet’s continued preference for a negotiated resolution be confirmed;

 

(2)       That the progress on the potential alternative options, as detailed in the report, to enable the Museum to open fully, be noted;

 

(3)       That Council be recommended to agree an initial, in principle, resolution to acquire the former 14/15 Brand Street, Hitchin by Compulsory Purchase, in the event that the negotiations do not enable an agreed purchase to be concluded by 31 July 2018; and

 

(4)       That it be noted that some elements of any settlement agreement may be required from the Cabinet sub-Committee (Council Charities).

 

REASON FOR DECISION:  To enable the Council to complete the development of the North Hertfordshire Museum/Hitchin Town Hall project as intended by the Council and operate the facility for the benefit of the local community; and to protect the Council’s interests and obtain best return from the Council’s existing investment and to secure projected income from the facility to offset some of the operational and fixed costs.

Minutes:

[Note:  This item was considered both before and after Minute 14 below - the Part 2 item on the same matter.]

 

[Prior to the consideration of this item and Minute 14 below, Councillors Julian Cunningham, Bernard Lovewell and Michael Weeks declared that they would be withdrawing from the meeting, as they were Members of the Cabinet Sub-Committee (Council Charities), which was responsible for making decisions on the North Hertfordshire Museum and Community Facility on behalf of the Hitchin Town Hall: Gymnasium and Workmans Hall Trust.  Accordingly, they withdrew from the meeting.]

 

The Cabinet considered the Part 1 report of the Chief Executive and Service Director – Commercial in respect of the North Hertfordshire Museum and Hitchin Town Hall – Acquisition of 14/15 Brand Street, Hitchin.

 

The Chief Executive advised that the options to open the facility without occupancy of 14/15 Brand Street had been fully investigated and a number of options were available to the Council.  Whilst the preferred option was through the agreed acquisition of land formerly known as 14/15 Brand Street this had not yet proved possible on terms agreeable to the Council, despite over 19 months of negotiation.   A costed options appraisal considering a number of scenarios for the occupation of the land which the Council currently owned had also been undertaken to guide the commercially confidential negotiations.  The potential compulsory purchase of the properties known as 14/15 Brand Street was an option and could be pursued in parallel with the negotiations.

 

The Cabinet noted from the report that, in the event that a negotiated settlement did not prove possible, specialist legal advice had been received in relation to the acquisition of the properties known as 14/15 Brand Street, Hitchin by Compulsory Purchase (CPO). That advice supported the Council’s view that acquisition via this mechanism accorded with the relevant CPO legislation.  Given the progress of negotiations it may be appropriate to consider that an “in principle” decision be sought from Council.  This in itself would not prevent an agreed purchase taking place in the event that negotiations proceeded to a positive conclusion.  Acquisition by CPO may take a year or so (in the event that the draft Order was contested) though that needed to be assessed against the timescales that the negotiations had taken so far.

 

The Executive Member for Community Engagement and Rural Affairs referred to Paragraph 4.2 of the report, which referred to the proposed construction of a platform lift to increase accessibility to the first floor of the building.  He was fully supportive of this proposal, which had an estimated cost of £20,000.  Under NHDC Financial Regulations, the Executive Member for Finance and IT could approve in year changes to the Capital Programme up to a limit of £100,000 per project.  It was noted that, as the Executive Member for Finance and IT was a member of the Cabinet Sub-Committee (Council Charities) and was therefore conflicted, the decision would instead be taken by the Leader of the Council.

 

The Cabinet was supportive of the recommendations contained in the report, but considered that a deadline needed to be placed regarding the negotiations.  Accordingly, it was agreed that Full Council be recommended to agree an initial, in principle, resolution to acquire the former 14/15 Brand Street, Hitchin by Compulsory Purchase, in the event that the negotiations did not enable an agreed purchase to be concluded by 31 July 2018.

 

RESOLVED:

 

(1)          That the current position in relation to the negotiations be noted, and the Cabinet’s continued preference for a negotiated resolution be confirmed;

 

(2)          That the progress on the potential alternative options, as detailed in the report, to enable the Museum to open fully, be noted;

 

(3)          That Council be recommended to agree an initial, in principle, resolution to acquire the former 14/15 Brand Street, Hitchin by Compulsory Purchase, in the event that the negotiations do not enable an agreed purchase to be concluded by 31 July 2018; and

 

(4)          That it be noted that some elements of any settlement agreement may be required from the Cabinet sub-Committee (Council Charities); and

 

REASON FOR DECISION:  To enable the Council to complete the development of the North Hertfordshire Museum/Hitchin Town Hall project as intended by the Council and operate the facility for the benefit of the local community; and to protect the Council’s interests and obtain best return from the Council’s existing investment and to secure projected income from the facility to offset some of the operational and fixed costs.

Supporting documents: