Document Update on Abbey Groves

The Committee lauded the comprehensiveness of the officer’s report.

The Committee was disappointed that this asset had underperformed, which was largely attributable to the previous tenant’s insolvency.  Some members questioned whether sufficient scrutiny had been undertaken when the asset was acquired.

The ongoing void costs and volatility of the property market dictated the need to dispose of the asset as swiftly as possible.  It was hoped that the prospective purchaser would bring employment opportunities to the Chertsey area.

The purpose of the proposed overage clause, which sought to safeguard the Council’s financial position, was clarified for the Committee.

It was resolved that:

1.    The results of the marketing exercise be noted.

2.    The disposal of the freehold for the asset known as Abbey Groves, to the purchaser stated in the officer’s report, be approved.

3.    Authority be delegated to the Assistant Chief Executive (S151), in consultation with the Chairman and Vice-Chairman of the Corporate Management Committee, and the Corporate Head of Assets and Regeneration, to agree the terms of the disposal, including the Deed of Overage, provided that the deal fulfilled the Council’s statutory obligation of best consideration reasonably obtainable.