The report before Members sought approval to award the Joint Venture (JV) contract to the preferred bidder. The JV contract was for a 30 year 50:50 Joint Venture partnership between Seven Arches Investments Ltd (SAIL) and the preferred bidder.

An initial 3 sites were selected to be the first to have site development schemes prepared by the JV and formal approval for this was sought.

As a 50:50 partnership an equity cash contribution might be required in addition to the land value to ensure funding remained matched between the partners. There was also opportunity to provide loan funding to the JV, which would provide an additional income stream.

A number of confidential appendices had been provided for Members’ information and since Members wished to allude to the exempt information during the discussion members of the press and public were excluded from the meeting under Schedule 12A of the Local Government Act 1972 for the duration of debate on this item.

Cllr Hossack MOVED and Cllr Mrs Hones SECONDED the recommendations in the report with an amendment to 2.4 as follows:

2.4  That a funding facility of up to £60m at any one time be made available to provide equity and senior debt in relation to the Joint Venture with the use of the facility delegated to the on the recommendation of the Section 151 Officer in consultation with Group Leaders with the approval of Policy, Resources and Economic Development Committee.

Following a debate a recorded vote was requested and Members voted as follows:

FOR:  Cllrs Barrett, Dr Barrett, Bridge, Jon Cloke, Hirst, Mrs Hones, Hossack, Jakobsson, Keeble, Kerslake, McCheyne, Morrissey, Parker, Mrs Pearson, Poppy, Mrs Pound, Reed, Miss Sanders, Tanner, Mrs Tierney and Tumbridge (21)

AGAINST:  Cllrs Aspinell, Clarke, Sarah Cloke, Mrs Davies, Mrs Fulcher, Fryd, Haigh, Kendall, Laplain, Lewis, Naylor and Mynott. (12)

ABSTAIN: (0)

The MOTION was CARRIED and it was RESOLVED:

1.    That the Joint Venture partnership contract and framework agreement be awarded to Morgan Sindall Investments Ltd through Seven Arches Investments Ltd, subject to agreement of final detailed terms between the parties in compliance with procurement regulatory requirements.

2.    That the Director of Corporate Resources be given delegated authority in consultation with the Leader of the Council, to agree the final detailed terms and to enter into the Joint Venture partnership agreement and related contracts in compliance with procurement regulatory requirements.

3.    That the three initial sites (William Hunter Way Car Park, Maple Close garage site and Westbury Road Car Park) have site development schemes worked up under the agreement by the Joint Venture.

4.    That a funding facility of up to £60m at any one time be made available to provide equity and senior debt in relation to the Joint Venture with the use of the facility on the recommendation of the Section 151 Officer with the approval of Policy, Resources and Economic Development Committee.

Reason for Recommendation

Council approval is required to award a major contract.