Issue - meetings

The Executive Member for Finance and Governance and the Director of Finance submitted a report for Executive’s consideration.

 

The purpose of the report was to seek Executive approval to dispose of the Council’s freehold interest in Exchange House.

 

Shown edged on the plan attached at Appendix 1 of the report, Exchange House was a vacant town centre building occupying a visually prominent location at Exchange Square, immediately adjacent to the A66 Trunk Road.

 

Comprising a Grade II listed brick-built commercial building with 4,553 Sqm [49,014 Sqft] of office accommodation set out over 5 storeys [with basement], the property sat in close proximity to both the town centre and the railway station on a rectangular shaped site measuring @ 0.36 Acres [0.146 Ha].

 

Incorporating a mix of flat & pitched roof arrangements, the property was constructed in two distinct phases and has been operated over time as two separate elements: firstly, as the former Chamber of Commerce [built @ 1890] and secondly, the Teesside Archives [built @ 1930].

 

The property was in poor overall condition, having become increasingly dilapidated and required significant refurbishment to bring it up to modern standards – so much so, that the Council did not consider it to be fit for the purpose of delivering operational service requirements.

 

OPTIONS

 

Re-use for operational purposes

 

No Council operational service requirement had been identified.

 

Other uses.

 

Although the property was capable of being used for other purposes, future use of the site for commercial purposes as proposed by the Buyer, was preferred.

 

Do nothing

 

The property would remain in its present dilapidated state.

 

Whilst the subject property would be retained for potential Council use in the future, the liability and responsibility for maintaining and holding the property would remain with the Council in the interim.

 

AGREED That Executive:-

 

a)    note the information contained within Part A of the report; and

b)    take the decision to dispose of the subject property once all the financial or exempt information contained within Part B of the report had been considered.

 

 

REASONS

 

Disposal, as proposed in the report, would generate a significant capital receipt, increase annually recurring revenue streams and also bring the subject property into far more beneficial use in the future.

 

Disposal of the property supported delivery of the Council’s Medium Term Financial Plan.