Previous reference: Minute 55 (2018/19)

The Strategic Director, Corporate Resources will present a report (Document “H”) in respect of the proposed disposal of the former Allerton Library, 2- 4 Greenbank Road, Allerton, Bradford which is owned by a Trust of which the Council is the sole Trustee.

Recommended –

That Option 3, a Community Asset Transfer (CAT) Lease and Service Level Agreement be granted to ‘Rooted In’ subject to the following conditions:

(i)            That Heads of Terms be agreed.

(ii)          That ‘Rooted In’ take over temporary responsibility for the building on an interim lease of up to four years.

(iii)         That the Trustees and ‘Rooted In’ enter into an agreement for a long lease.

(iv)         That a long lease be prepared and completed provided that the terms of the agreement for the lease are met.

(v)          That a co-terminus Service Level Agreement be entered into to ensure ‘Rooted In’ manage the premises in a way that continues to support the Trust.

(vi)         That updates be presented to the Trustees every two years in relation to how the scheme works and how charitable objectives are being met.

(Nigel Gillatt – 01274 434224)

Previous reference: Minute 55 (2018/19)

The Strategic Director, Corporate Resources presented Document “H” in respect of the proposed disposal of the former Allerton Library, 2-4 Greenbank Road, Allerton, Bradford which was owned by a Trust of which the Council was the sole Trustee.  Members noted that a report had been considered at the meeting held on 4 October 2018 and they had been informed of an expression of interest in the building from a local charity called Kidz Klub Allerton that was now called Rooted In.  In response to the Committee’s resolution, a business plan had been submitted that identified the building could provide a good community benefit, however, Rooted In currently did not have any capital funding.  The Strategic Director, Corporate Resources drew Members attention to the charity’s Statement of Purpose and the charitable purpose of the property.  He stated that the building did not have a lease value due to its condition and was, therefore, exempt from Section 119 (1) (c) of the Charities Act 2011.  The group had asked for a freehold lease of the building, however, a long lease would be preferable in order for greater control to be maintained.  Due to the issues regarding funds a short term lease had been proposed and a long lease agreement would be completed provided conditions were met.  A Service Level Agreement would ensure that Rooted In met the objective and aims of the Trust.

The Strategic Director, Corporate Resources then read out a statement from Rooted In which provided an update in relation to their funding and requested the freehold lease of the building.  He reiterated that a leasehold option would be offered and all responsibility for the building would pass to the group.

The City Solicitor then explained that when a lease over seven years was agreed, it may be prudent to ensure that the public were aware of the plans and there was a responsibility to advertise them.  He stated that an external independent surveyors report to confirm the value could be undertaken if Members wished.  In response the Strategic Director, Corporate Resources indicated that a view had been taken that the building would not be worth a great deal, so a survey would not be undertaken.

In response to questions, Members were informed that:

·         There were no issues in relation to the group, but the lack of funding had raised concerns, however, the interim lease would resolve the matter.

·         There would be a minimal risk to the Council.

·         A full lease would sit parallel to the interim lease and when specific triggers were hit it would be activated.

·         It was not appropriate to grant a long lease at present as the group may not receive funding and this would have to be ensured.

Resolved –

That Option 3, a Community Asset Transfer (CAT) Lease and Service Level Agreement be granted to ‘Rooted In’ subject to the following conditions:

(i)            That Heads of Terms be agreed.

(ii)          That ‘Rooted In’ take over temporary responsibility for the building on an interim lease of up to four years.

(iii)         That the Trustees and ‘Rooted In’ enter into an agreement for a long lease.

(iv)         That a long lease be prepared and completed provided that the terms of the agreement for the lease are met (after consideration whether or not an external independent report be required relating to the value of a long lease (7 years or longer) of the library building).

(v)          That a co-terminus Service Level Agreement be entered into to ensure ‘Rooted In’ manage the premises in a way that continues to support the Trust.

(vi)         That updates be presented to the Trustees initially within a year and then every two years in relation to how the scheme works and how charitable objectives are being met.

ACTION: Strategic Director, Corporate Resources