Agenda item

To consider the transfer of this land and buildings.

1.    That approval be given for the property known as the Broken Cross Pavilion (Jasmine Park),  Macclesfield and surrounding land, shown edged red on the plan attached to the report, to be transferred freehold from Taylor Wimpey Plc under the terms of a Section 106 agreement dated 24 February 2006, and subsequent variation dated 2 December 2011between Taylor Wimpey Plcand Cheshire East Council, to Cheshire East Council.

2.    That a 125 year lease of the shown edged red on the plan attached to the report, be granted ‘back to back’ to Jasmine Park Community and Sports Centre Limited or an approved charity via a community asset transfer. The lease will be subject to the obligations held in the section 106 agreement, and also that the company will transfer to charitable status within 6 months of the transfer. The tenant will also take the benefit of 65% of the £120,000 or such sum once indexed as a commuted sum for maintenance.  The Council will retain land and responsibility of the play areas and walkways shaded blue on the plan attached. The 125 lease will be subject to (a) a 25 year break option in favour of the tenant and (b) in the event the charity ceases to exist the lease will determine and the demise will revert back to the Council at nil consideration.

It was reported that in February 2006, Macclesfield Borough Council granted planning permission for the redevelopment of Henbury High School for the erection of 123 dwellings (05/1184P). The permission was subject to a section 106 agreement dated 24 February 2006 and subsequent variation dated 2 December 2011, which provided for the provision of Open Space which included an area of open land, a play area, a multi use games area, a pavilion comprising changing facilities, community rooms, car park and Sports England standard pitches.

The S106 agreement required that the site shown edged red on the attached plan be transferred from Taylor Wimpey Plc to the Council.The conditions of the S106 agreement had been met and a completion certificate issued on 2 April 2015. The Section 106 agreement included provision of a maintenance sum triggered on transfer to be utilised by the Council for the ongoing repair and maintenance of the open space and Pavilion (including Car Park and Pitches) for such period as the contribution covered.  The maintenance sum was specified within the S106 as being £120,000 which would be subject to Indexation; this figure was split as 35% for open space and 65% for the pavilion building.  An additional £25,000 would be paid by Taylor Wimpey Plc and transferred to the tenant in lieu of warranties and 12 month maintenance obligation.

Jasmine Park Community and Sports Centre Limited had requested that the asset be transferred to them under a Community Asset transfer by way of a long lease. The lease would include restrictions which would covenant Jasmine Park Community and Sports Centre Limited to adhere to the specific details of the S106 agreement. Furthermore there would be obligations to adhere to Safeguarding Policies, Health and Safety Policies, Volunteer Policies and any other statutory Policies which the Landlord deemed necessary to run the facility.

Jasmine Park Community and Sports Centre was currently established as a Limited Company. There would be a requirement to restructure this company to a model, e.g. charitable status which would best fit the needs to the community and a business plan approved by the Executive Director for Economic Growth and Prosperity prior to completing the lease.

RESOLVED

1.    That approval be given for the property known as the Broken Cross Pavilion (Jasmine Park), Macclesfield and surrounding land, shown edged red on the plan attached to the report, to be transferred freehold from Taylor Wimpey Plc under the terms of a Section 106 agreement dated 24 February 2006, and subsequent variation dated 2 December 2011between Taylor Wimpey Plcand Cheshire East Council, to Cheshire East Council.

2.    That a 125 year lease of the shown edged red on the plan attached to the report, be granted ‘back to back’ to Jasmine Park Community and Sports Centre Limited or an approved charity via a community asset transfer. The lease will be subject to the obligations held in the section 106 agreement, and also that the company will transfer to charitable status within 6 months of the transfer. The tenant will also take the benefit of 65% of the £120,000 or such sum once indexed as a commuted sum for maintenance.  The Council will retain land and responsibility of the play areas and walkways shaded blue on the plan attached. The 125 lease will be subject to (a) a 25 year break option in favour of the tenant and (b) in the event the charity ceases to exist the lease will determine and the demise will revert back to the Council at nil consideration.