The Strategic Asset Management Plan sets out our approach to the strategic management of its assets, how it will support service delivery, provide us with income and how we will fulfil our mission to support, enable and empower its residents, our communities and our partnerships, promote growth and place shaping within Torbay and deliver Torbay Community and Corporate Plan 2019-2023 One Torbay: Working for all.
To support this Torbay Council will adopt a new Asset Management Framework which comprises of two separate elements as follows:
A number of operational Policies are in place that will be followed in relation to applications for Community Asset Transfers and Sports Leases.
The Asset Management Framework will be a live document divided into the two strands. Neither strand will need to be updated at the same time. The advantage of adopting such a framework is that many areas relating to the Council’s approach to its land and property assets is likely to remain constant for a number of years, such as the Asset Management Policy. The Asset Management Strategy is unlikely to change frequently but is likely to have elements that will require refreshing at regular intervals.
Sitting outside of the main framework will be the Asset Management Working Action Plan which further describes the specific activities to achieve the objectives of the Strategic Asset Management Plan 2021-2026. The Action Plan will be categorised under two thematic headings of Strategic and Operational Actions.
The Action Plan is a live document and will be reviewed and monitored regularly by Cabinet. It will continually change to reflect achievements of actions and capture new priorities and initiatives as they are identified. Consequently, the Asset Management Action Plan will not be a policy document.
It is intended that Torbay Council’s Strategic Asset Management Plan will define the principles, criteria and processes through which decisions will be made regarding the use of Council assets. The adoption of the Strategic Asset Management Plan will supersede the Corporate Asset Management Plan (2015-2019).
Context
As of April 2021, we own assets with a Gross Book Value of c.£661m. The assets comprise of a range of schedules, including land and buildings, investment assets, operational properties, those held for sale or under construction, intangible assets, infrastructure, plant and machinery, heritage and community assets. These assets are located both inside and outside of Torbay.
| Asset Category | Gross Book Value |
|---|---|
| Assets Held For Sale | £557,200 |
| Assets Under Construction | £12,583,123 |
| Community | £9,720,832 |
| Heritage | £34,248,503 |
| Infrastructure | £154,605,289 |
| Intangible | £3,484,107 |
| Investment A | £197,751,900 |
| Investment B | £32,524,944 |
| Operational | £5,375,577 |
| Other Land & Buildings | £185,947,263 |
| Plant and Machinery | £15,279,946 |
| Surplus Assets | £1,172,000 |
| Vehicles, Plant & Equipment | £7,786,165 |
Our land and buildings equate to over 70% of the Gross Book Value, totalling £468m. The asset base comprises a total of 1,803 assets and is divided across different schedules as seen below:
| Asset Category | Gross Book Value |
|---|---|
| Assets Held For Sale | £557,200 |
| Community | £9,720,832 |
| Heritage | £26,276,121 |
| Infrastructure | £39,868,577 |
| Investment A | £197,751,900 |
| Investment B | £32,524,944 |
| Other Land & Buildings & Leased Estate | £154,815,866 |
| Operational | £5,375,577 |
| Surplus Assets | £1,172,000 |
The operational estate comprises of 20 assets and the remaining non-operational assets include the let estate, community and heritage assets, the investment portfolio, assets under construction, surplus assets or assets managed externally (such as land and buildings managed by the Torbay Coast & Countryside Trust (TCCT)) and education assets under the control of school academies. The majority of the assets are owned freehold.
Key drivers for change
The stated ambition in the Torbay Community and Corporate Plan 2019-2023 One Torbay: Working for all, is for Torbay and its residents to thrive. A place where we have enabled the tide on poverty to be turned and tackled inequalities, where our children and older people will have high aspirations with a university in the Bay and where there are quality jobs, good pay and quality housing for our residents and a place where we address the climate change emergency. We want Torbay to be a premier resort in the UK, with a vibrant arts and cultural offer for our residents and visitors to enjoy. Importantly we want to be a Council that supports and enables its residents, we want to be recognised as an enabling council, a council that our residents can be proud of.
The Strategic Asset Management Plan will form part of a suite of key strategic documents for the Council’s vision for the built environment which have been developed in consultation with the community. These include:
- Torbay Community and Corporate Plan 2019- 2023 One Torbay: Working for all
- Economic Recovery Plan – Respond, Recover, Reposition
- Torbay Local Plan 2012 – 2030
- Torbay Heritage Strategy 2021 to 2026 Part 1
- Torbay Housing Strategy 2020 - 2025
- Tor Bay Harbour - Port Masterplan
- Energy and Climate Change Strategy
- Torbay Local Development Scheme 2017
- Torbay Council Highway Asset Management Strategy (Emerging)
- Paignton Neighbourhood Plan
- Torquay Neighbourhood Plan
- Brixham Peninsula Neighbourhood Plan
It will focus on the places where people live and work, maximising opportunities for inward investment and infrastructure that delivers high quality design in our buildings and public realm that increases resilience. It will allow for flexibility and growth in the local economy, ensuring any new development contributes positively to community amenities and infrastructure. The Highway network is one of our biggest asset responsibilities outside of the land and property portfolio. Our emerging Highway Asset Management Strategy should be embedded with this document and contribute to the overall strategic approach to the management of our assets.
Our land and property portfolio generates significant revenue for the authority. As of 31 March 2021, it was producing an annual rental income of c.£17.5m and achieving a 96.5% occupancy level. The performance and management of the asset portfolio is a commissioned service undertaken by TDA; a company wholly owned by Torbay Council.
Land and property headlines - 31 March 2021
| Rental details | 30 June 2020 | 30 September 2020 | 31 December 2020 | 31 March 2021 | 30 June 2021 |
|---|---|---|---|---|---|
| Total Rental Income | £17,797,777 | £17,910,435 | £17,916,960 | £17,574,195 | £17,497,570 |
| Target (95%) | £17,054,583 | £17,154,768 | £17,160,967 | £16,839,784 | £16,622,691 |
| Full Occupancy (100%) | £17,952,193 | £18,057,651 | £18,064,176 | £17,726,089 | £17,869,454 |
| Voids | £154,416 | £147,216 | £147,216 | £151,894 | £371,884 |
| Date | Occupany | Target Occupany |
|---|---|---|
| 30 June 2020 | 96.90% | 95% |
| 30 September 2020 | 97.00% | 95% |
| 31 December 2020 | 96.80% | 95% |
| 31 March 2021 | 96.60% | 95% |
| 30 June 2021 | 96.50% | 95% |
| Timescale | Units | Lost Income | Advertising |
|---|---|---|---|
| Less than 6 months | 3 | £10,152 | 1 unit not advertised |
| Between 6 to 12 months | 7 | £36,270 | 3 units not advertised |
| Over 12 months | 15 | £105,472 | 5 units not advertised |