That the Director of Finance be authorised to dispose of the freehold interest of the land and buildings listed in Appendix 1 to the submitted report on suitably agreed terms, adopting the most appropriate methods of disposal, to be determined by Strategic Head of Asset Management, following an adequate period of marketing on each individual asset.

Many of the identified assets were situated in the community and had lain empty and unused for some time.  Frequent site inspections were necessary. Disposing of these assets would have an immediate impact by reducing the cost and necessity for staff and resources to be deployed to manage these properties.  On disposal, the sites would be repurposed and brought back into beneficial use by the individual purchasers.  The Council would also receive a capital receipt which would be recycled for the repair and maintenance of the remaining estate.  It was recognised that holding assets empty for prolonged periods of time can have a detrimental impact on communities, such sites can generate anti-social behaviour and have a negative social impact.

There were no alternative options considered.  The Council’s Asset Management Strategy sets out that the Council would ‘always seek to maximise the full market receipt for their assets whether by way of freehold disposal or leasehold interest’.  Disposing of assets following a suitable period of marketing would ensure that best value was established and obtained, meeting that requirement.

The Council was not under any obligation to dispose of any given asset.  However, the Council’s ongoing management and cost of holding these assets was significant.  Disposing of the assets listed in Appendix 1 to the submitted report, would remove this liability and generate a capital receipt.

This decision will come into force and may be implemented on 31 December 2025 unless the call-in procedure is triggered (as set out in the Standing Orders in relation to Overview and Scrutiny).

Torbay Council’s Strategic Asset Management Plan sets out the Council’s approach to the strategic management of its assets, how it would support service delivery, provide the Council with income and how it would fulfil its mission to support, enable and empower its residents, our communities and our partnerships, to promote growth and place shaping within Torbay.

An identified principle of the Strategic Asset Management Plan is at regular intervals to review all non-operational and surplus assets to identify opportunities to create or increase revenue income, provide investment opportunities or deliver capital receipts to stimulate development, growth and reinvestment.  To this end a disposal schedule of under-performing assets which provide a low return, are non-strategic and are at the end of the economic life has been created.

The disposal schedule identifies 15 assets.  Of those assets listed for freehold disposal, several have been identified as benefiting from a planning brief to support the process, to attract interest from developers and to maximise receipts without further investment in the asset or expenditure associated with obtaining planning consent. 

The programme for disposal separated assets into tranches.  Tranche one would primarily see the grouping of assets to be auctioned via a single local auction event.  This would create a marketing opportunity in that there would be a greater ground swell of ‘combined catalogue’ interest than if each lot were to be placed into a regional or online auction amongst other remote, unconnected properties.

Tranche two would see disposal of assets that required planning briefs and were likely to be sold via informal tender, with tranche three disposed of via private treaty or informal tender.

At the meeting Councillor Chris Lewis proposed and Councillor David Thomas seconded a motion that was agreed unanimously by the Cabinet, as set out above.

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