The Strategic Asset Management Plan will
provide an overview of our land and property estate (excluding
Housing stock). Working within our five-pillar approach, we
will focus areas for managing and developing the estate over the
next three years. This will be supported by a suite of policies and
procedures.
Effective management and ownership of
a portfolio of assets will facilitate the future needs of the
council services and functions within our financial means, whilst
maximising opportunities for our residents, visitors and
businesses.
The SAMP provides a framework within which
we can secure the operational and financial benefits of an estate
which aspires to standards of best practice.
The objectives of the SAMP are:
·
Establishing a corporate framework for the management of all our
non-housing property assets
·
Highlight our corporate priorities that deliver the best
outcomes
·
Articulate a vision for Council land and property assets over the
next three years
·
Set out a strategic approach in respect of the Council’s land
and property assets so the portfolio is managed as a whole rather
than considering assets in isolation
·
Support longer term regeneration and growth by preparing business
cases for retaining, acquiring or disposing of assets ensuring best
consideration is achieved and where relevant community and social
value is taken into consideration
·
Develop an approach that maximises income and works across the New
Forest District as One Public Estate for efficiencies
·
Ensure that to meet services objectives and Community needs, we
have the right assets in the right location, in good condition and
efficiently managed.
In developing our strategic approach to our
land and buildings, this policy includes certain actions and
behaviours that we need to adopt, these are specific but also
compliment the overall organisational values and behaviours.
1. Pillar
one: Digital asset management
·
To create an effective digital asset management database enabling
the capture of accurate management information, in support of
ensuring statutory and regulatory compliance is upheld across the
estate.
·
To embed a culture that recognises that property assets are a key
corporate resource, where informed decisions are made that are
linked to corporate and service objectives that deliver good
financial sustainability and service outcomes.
2. Pillar
two: Asset optimisation in support of Corporate Plan priorities
·
To optimise the estate to generate operating savings, ensure
assets are fit for purpose, meet service operating and user needs,
incorporate technological advances and minimise whole life building
costs.
·
To ensure ownership and occupation of assets is robustly
challenged.
3. Pillar
three: Working with partners and communities to promote efficient
and effective service delivery
·
To enable transfer of management / ownership of the asset where it
can provide a benefit to service delivery and demonstrate longer
term benefit.
·
Maximise efficient use of our assets through collaborative working
with partners.
·
Improve efficient and effective asset use and value to the
community.
·
Maximise the use of government available grants.
4. Pillar
four: To reduce the environmental impact of council assets
·
Champion reduction in the environmental impact of occupation, use,
travel and waste.
·
Protect our climate, coast and natural world.
·
Promote the target for net zero carbon for the benefit of our
residents.
·
Identify areas of support or grants from external private or public
sources.
·
Eliminate or reduce the use of fossil fuel systems and seek to
improve thermal efficiency across the estate
5. Pillar
five: To support economic growth, regeneration and prosperity
·
Support our business base and economic centres to thrive and
grow.
·
Support economic growth and regeneration across NFDC.
·
Revitalise town centres through regeneration repurposing with a
modern offering which fosters greater social interaction, community
spirit, local identity and heritage.
·
We will manage our commercial portfolio effectively, balancing
regeneration needs, job creation and income generation.
The New Forest is the second most populated
district authority in the southeast, with over 175,000 residents.
It is home to the New Forest National Park which covers 75% of the
land.
The New Forest is located within the county
of Hampshire on the south coast of England positioned between
Bournemouth, Wiltshire and Southampton. It is a vibrant and unique
area known for its natural landscapes, ancient woodland, and 40
miles of stunning coastline. The New Forest National Park area
covers 566km2 (219 sq. mi) of the central
area of the district making it the largest contiguous area of
unsown vegetation in lowland Britain.
It is a working forest that has prospered
for nearly 1,000 years. Many local practices are unique and date
from historic times. This includes most significantly the
depasturing of the iconic New Forest ponies, as well as cattle,
pigs, and donkeys in the open forest by authorised landowners known
as Commoners. These agricultural commoning practices are
administered by the Verderers.
The largest settlements are Fordingbridge,
Hythe, Lymington, Marchwood, New Milton, Ringwood, and Totton.
Approximately 72% of residents live in urban areas, and 28% of
residents live in rural areas.
It is home to an increasingly aging
population with 30% of residents over the age of 65 compared to 19%
nationally.
The average property price is just over
£498,000 and around 74% of householders own their homes.
Rental prices are high with the average monthly rent £125
higher than that for England.
Just over half of our residents of
employment age are in full time employment.
30.4% of working people now state they work
from home full time and around 2.2% of employment age residents
claim unemployment benefit, representing a rise from previous
years.
Around 30,100 people who live locally cross
district boundaries to go to work with the main working areas
being
·
Southampton
·
Bournemouth
·
Test Valley
Approximately 22,500 workers travel inwardly
from where they live to their employment within the district.
Marine, hospitality and health and social care occupations make up
some of the major industries.
Administrative occupations are the most
common job type at 13.6%, Followed by corporate managers and
directors at 12.0%, and customer service occupations make up
10.9%.
The area’s largest employers include
Exon Mobil, Garmin, Paultons Park (home of Peppa Pig World), as
well as public sector bodies including the NHS and us as the
district council.
To secure a better future by supporting
opportunities for the people and communities we serve, protecting
our unique and special place, and securing a vibrant and prosperous
New Forest.
Our focus is on creating thriving and safe
communities and a strong economy, providing homes, and supporting
the most vulnerable, responding to the climate and nature
emergency, and delivering excellent services that are future
proof.
Our corporate plan priorities are designed
to tackle these challenges head-on.
People
Helping people in the greatest need and
creating balanced, resilient, and healthy communities who feel safe
and supported with easy access to services
·
Priority 1: Helping those in our community with the greatest
·
Priority 2: Empowering our residents to live healthy, connected and
fulfilling lives
·
Priority 3: Meeting housing needs.
Place
Delivering growth, opportunity and services
that shape our place now and for future generations, within a
unique environmental context, to ensure we remain a special place
to live, work and visit
·
Priority 1: Shaping our place now and for future
generations
·
Priority 2: Protecting our climate, coast, and natural world
·
Priority 3: Caring for our facilities, neighbourhoods and open
spaces in a modern and responsive way.
Prosperity
Promoting a strong local economy that
delivers its inclusive aspirations through effective partnerships,
attracting investment, and increasing skills and employment
opportunities
·
Priority 1: Maximising the benefits of inclusive economic growth
and investment
·
Priority 2: Supporting our high-quality business base and economic
centres to thrive and grow
·
Priority 3: Championing skills and access to job opportunities.
Future New Forest
Underpinned by our transformation programme:
Future New Forest. Investing in our people and services to meet
customer needs, protecting the council’s financial position,
and embedding sustainability through our Future New Forest
transformation programme.
·
Priority 1: Putting our customers at the heart
·
Priority 2: Being an employer of choice
·
Priority 3: Being financially responsible
·
Priority 4: Designing modern and innovative services.
The Council’s General Fund accounts for a total
of 366 assets. The non-operational assets are typically leased to
3rd parties to maintain and operate. In addition, NFDC
hold the freehold on the land of c750 Beach Huts.
The map shows four concentrated areas of
assets and loosely resembles a hub and spoke distribution, with
Lyndhurst in the centre of the district.
It is noted that geographic location of
assets could be considered more of a strategic tool for the
development of the appropriate service asset strategies and the
council’s overall operating model.
This map shows the locations of the
operational estate, offices and depots. This geographic
distribution may not reflect the service needs and demand. This
will be highlighted via the Asset Challenge Framework.
Assets by type
·
Operational 204
o Freehold
191
o Leasehold
13
·
Non-operational 148
o Freehold
145
o Leasehold
3
·
Investment 14
·
Overall value £107.4m
Estate
·
Footprint 770Hectares (Ha)
·
Open space only 417Ha (Excluding foreshore)
The investment assets or ‘commercial
portfolio’ have been purchased mostly since 2018, in addition
to 3 historical assets, by taking professional advice to obtain a
balanced portfolio and reduce the risk of voids and loss of the
capital investment. This was all initially financed through
internal borrowing.
Investment portfolio
The portfolio has been assembled to invest
in the local business economy with a view to creating sustainable
employment and other benefits to the district and its communities.
Secondary to generate a return on the investments that make a
significant contribution to the ongoing financing of council
services, ensuring the financial sustainability of the council as
government funding reduces.
These assets can be reviewed to ensure that
the return on investment is maximised and opportunities for
development are actively explored to secure these returns in the
medium to long term.
Where opportunities to acquire further
investment properties occur, these will be explored, in line with
the Councils Asset Investment Policy and subject to the relevant
due diligence processes. Due to the current economic climate a
decision was taken in 2023 to pause any future investment.
·
Total assets 14
·
Leases 56
·
Gross income £1.84m
·
Occupancy rate 91%
·
Net book value £36.2m
·
Yield 6%
Assets within the investment portfolio shown
in the pie chart and include:
·
Platinum Jubilee Business Park
·
Hardley Industrial Estate
·
Marks and Spencer – New Milton
Commercial portfolio
The lease register shows there are 301
assets leased out. 167 of these generate income greater than
£100 per annum. The remaining 134 are classed as peppercorn
leases.
·
Total leases 301
·
Peppercorn leases 134
·
Gross income £619k
·
Occupancy rate 87.4%
Appletree Holdings
Appletree Holdings are an arm's length group
of companies. Wholly owned by NFDC, the remit is to invest in
residential property and then letting to the private sector.
·
Total assets 16
·
Gross income £235k
·
Net book value £5.1m
·
Yield 4.61%
NFDC’s estate compromises of 366
property and land holdings, with a combined footprint of 770
hectares. These consist of operational, non-operational
(commercial) and investment property portfolios.
The Councils Estates and Facilities
Management function sits within the Corporate Resources &
Transformation directorate.
Property
holdings range from administrative office buildings, operational
buildings situated in the community (such as community halls and
public conveniences) and more complex operational sites (such as
depots). They are held on a mixture of tenures, freehold
(predominantly) and leasehold.
The Facilities Management team provides a
range of property support services through a mix of in-house
provision and outsourced contracted services. The team also
rely on services to provide some low-level maintenance and
housekeeping tasks, such as fire alarm testing and key holding at
the depots.
Facilities Management oversight encompasses
the management of buildings, infrastructure, and other facilities,
as well as the services and processes required to keep them
functioning effectively and efficiently.
Activities include:
·
Planned and reactive works
·
Building statutory compliance
·
Property Management
·
Cleaning services
·
Energy management
·
Space planning
Facilities Management have full budget
control of 15 buildings with a responsibility for delivering
planned and reactive works on a further 51 assets.
Alongside the management of the Councils
property portfolio the function is responsible for the delivery of
the FM related projects within the council’s capital
programme.
Strategic Property Asset Management is the
process which aligns business and property asset strategies,
ensuring the optimisation of an organisation’s property
assets in a way which best supports its key business goals and
objectives.
This strategy determines the high-level
strategic framework for the effective management of our land and
property portfolio (non-housing). It will guide decisions regarding
the use of land and property assets ensuring that they support the
optimisation of both financial and social value to meet the
corporate objective of developing sustainable and resilient
communities.
In all cases, assets will be aligned to
delivering the Councils corporate priorities and must be maximised
to ensure effective service, community or financial benefit.
Financial conditions continue to be challenging, whilst customer
expectations and demand is increasing.
In the development of the strategic asset
management plan, the corporate plan has been reviewed to ensure
that the SAMP priorities and corporate priorities align.
A high-level assessment of asset performance
has been undertaken and the outcomes have assisted in developing
the approach to ongoing estate reviews which will inform the
SAMP.
Our Assets and Property are enablers which
exist to meet corporate needs based on the council’s
priorities and service delivery requirements.
The five pillars
The following five Pillars set out the
council’s approach to asset management, and guide future
asset decision making. They reflect the role of Assets and Property
as an enabler and demonstrate our ambitions to collaborate,
rationalise, commercialise, decarbonise and innovate to contribute
to the council’s priorities and support delivery of council
services.
The asset management strategy will be
reviewed on a regular basis and evolve to ensure its relevance to
the changing landscape within which NFDC operates. This is
particularly important where there is evidence of underperforming
assets or opportunities to drive further value from the estate.
Pillar
one: Digital asset management
Digital Asset Management
A strong and robust grasp of asset
management data and property records underpins effective asset
management, enabling the efficient evaluation and comparison of
properties and land to support decision making and robust record
keeping supporting estate management and compliance activities.
NFDC do not currently employ a single system
or a single source of data, rather using up to 9 separate systems,
including as an example spreadsheets and CIPFA Asset Management
software.
A fit for purpose digital system containing
up to date and accurate records inclusive of, helpdesk, planned and
reactive works by building and full details of the council's
investment and leased estate will provide “a single version
of the truth”.
As such this system will be a fundamental
foundation for property asset management and assurance via the
introduction of a key performance dashboard.
This means that the system will be a single
source of property records and data. The property function will
invest in populating the system fully, maintaining the integrity of
data records over time, and integrating the new system
functionality into day-to-day operations.
Proactive maintenance monitoring and
implementing planned condition surveys will inform asset strategy
on the estate and would enable the council to make informed
decisions on the future use, informed budget setting and investment
requirements of its estate.
The condition survey’s will address
the essential and backlog maintenance needs of our remaining
buildings – repairing mechanical and electrical
(M&E) systems and prolonging their operational lifespan in the
most cost-effective manner.
Working closely with individual council
services we will develop and assist in the development of their
service plans ensuring consideration is given to current and future
asset requirements. Having a holistic overview will enable the
council to challenge the use of assets through the asset challenge
framework.
Pillar
two: Asset optimisation in support of Corporate Plan
priorities
Asset optimisation approach
The Asset Management plan must consider the
potential impact on profitability, investment return and staff, as
well as the internal structural and managerial implications.
For the Estates and Facilities Management
functions to perform a leadership role in the organisational
transformation agenda and secure savings, we will develop a mature
understanding of our property data and opportunities to optimise
the estate.
To act as a mature strategic property
function, we will adopt a robust estate optimisation process; first
at a high level, then by drilling-down and assessing the
opportunities in the assets. Furthermore, opportunities will be
developed with varying degrees of change that can be adapted to
suit New Forest District’s needs. Estate optimisation is not
just about cutting costs, but is about bringing material advantages
to our residents, and ultimately enhancing the delivery of the
corporate objectives and strategy. The process of estate
optimisation aims to identify and prioritise those sub-portfolios
that have the greatest potential to release savings.
Core data for each building within the
NFDC’s portfolio including running costs, value, condition
and backlog maintenance, suitability assessments and future need
ratings will be reviewed.
Considering the incomplete and fragmented
nature of property data we will take a pragmatic view to identify
and plug any gaps in data. Using this process, those portfolios
with high revenue spend and/or those areas subject to significant
business change can be identified and subjected to a more detailed
analysis and opportunity assessment.
The process to undertake the estate
optimisation as outlined in the diagram overleaf. The outcome of
this review will include:
·
financial analysis of the estate
·
potential revenue impact and capital generation opportunities
·
ranked by the potential impact (low/medium/high) and ease of
implementation (quick/medium/long term)
·
quick wins which would help release existing liabilities
·
longer term initiatives which may substantially change the way the
estate is managed
·
recommendations and next steps for how the opportunities could be
delivered
·
The potential identification of assets that are suitable for
potential disposal
The asset challenge framework
The Asset Challenge Framework is a process
to continually review our asset portfolio on a continuous rolling
programme, ensuring that only those assets needed or performing to
acceptable levels are retained.
The ultimate aims of asset challenge is to
reduce costs, identify assets to be retained for use and/or
invested in and those that can be disposed of. Each asset will be
assessed periodically using the asset challenge steps and outcomes
recorded within the asset optimisation section of the SAMP
framework.
Strategic purpose
|
Opportunities and risks
|
Performance appraisal
|
Options
appraisal
|
Pre-implementation consultation
|
Outcome
|
|
·
Why do we have the asset?
·
What is its strategic purpose?
·
Who is accountable for performance of it?
·
What do we expect of it?
·
Is this financial, non- financial or both?
|
·
Are there any opportunities that could be developed?
·
Are there any blockages to exploiting these
opportunities?
·
Any there any risks to overcome?
|
·
What is the
financial performance being delivered?
·
Can non-financial
benefits be quantified?
·
What are the
management costs?
·
Are there any
invisible costs?
|
·
Balance of
performance opportunities and risks?
·
What options are
available?
·
What are the
relative costs and benefits of these options?
·
Do any options
present increased risks?
|
·
Internal
stakeholders
·
External
stakeholders and partners
|
·
Retained
·
Repurposed /
Regenerated
·
Recycled
·
Disposed (Asset
Transfer or Open Market)
|
Estate optimisation model
Pillar
three: Working with partners and communities to promote efficient
and effective service delivery
Partnerships – Working with Partners
The General Disposals Consent 2003 allows
the Council to transfer the ownership and management of land and
buildings they own to local communities at ‘less than best
consideration’ (at less than full market value), where it can
demonstrate the promotion of social, economic and environmental
wellbeing support service integration, joint working and/or
co-location.
Community Asset Transfer
If following a review of an asset via the
Asset Optimisation Framework it may be deemed that the asset can
meet the above criteria and be suitable for a Community Asset
Transfer (CAT).
The principal aim of the Council’s CAT
approach is to ensure the efficient use of assets through community
empowerment and minimise costs through retention or
transformation.
Any transfer will follow the published
Community Asset Transfer Policy.
Transfer of an asset may enable greater
access and simplification for suitable grants.
This
does not prevent community organisations nominating an Asset of
Community Value, which if meeting the recognised criteria could be
placed on the relevant register.
One Public Estate
One
Public Estate (OPE) is a national programme, jointly managed by
Cabinet Office and the Local Government Association, that brings
public sector organisations together. It provides practical and
technical support and funding to councils to deliver ambitious
property focused programmes in collaboration with central
government and other public sector partners (blue light
services).
Partnerships – Locations
The Local Asset Reviews have sought to
maximise the efficiency of the wider public sector corporate asset
base to provide an integrated facilities with improved service
delivery for users, focused on:
·
Place based co-ordination to build/develop integrated services,
retail, leisure/culture within neighbourhoods/town centres
·
Co-location with other partners
·
Integrated service delivery partnership combining public and
private expertise and resources
·
Provide assets that are easily accessible to communities.
Pillar
four: To reduce the environmental impact of council assets
Environmental
impact
The council has a climate and nature
emergency action plan, targeting a significant reduction in carbon
emissions from our buildings, external uses (i.e. street lighting)
and transport fuel.
Carbon emissions from our buildings form the
majority of council’s total operation emissions and therefore
how we manage, maintain, refurbish, redevelop or dispose of our
buildings has great significance to the achievement of these
aims.
The council owns a number of buildings of
significant age which were designed to be used with heating and
plumbing systems which have long become obsolete. In addition to
their energy inefficiency, some of these buildings represent a
significant revenue drain in terms of repairs and energy costs.
In such instances therefore, the net zero
and value-for-money agendas reinforce each other and may point
towards either redevelopment or disposal of our buildings, although
this will have to be assessed on a case-by-case basis via the Asset
Challenge Framework.
The Council will lead by example for the
benefit of our community.
What has been achieved to date
·
Delivery of Hardley Depot to BREEAM Excellent Standards (final
outcome pending)
·
Externally funded installation of 2 x Air source heat pumps at
Appletree Court.
·
Secured Salex funding of up to £1.8M for the Installation of
solar PV panels, air source heat pumps, window replacement and
lighting upgrades over a 3-year period at Applemore Leisure
Centre.
·
Majority externally funded installation of 8 x EV charging points
at Appletree Court.
Pillar
five: To support economic growth, regeneration and prosperity
Economic growth
The SAMP will support the District Council
and wider business community across New Forest district by ensuring
that Economic Development and Regeneration are embedded elements
with the SAMP Objectives.
·
Support long-term regeneration and growth of the district through
strategic approach to development and management of Council’s
assets
·
Ensure that wider regeneration and community benefits are derived
from acquiring, developing and divesting assets
·
Provide a framework and strategies for the development of assets
for housing, transport, and parks
·
Achieve wider regeneration benefits by sharing asset through one
public estate initiative
·
Contribute to the delivery sustainable housing growth by using
Council’s assets to control or shape developments with other
sectors
·
Support infrastructure and land assembly for regeneration
projects
·
Promote development sites for future growth
·
Support the delivery of new developments and strategic needs
·
Given scale of development needs look to assemble underused
brownfield sites for commercial gain and better use of Council
assets
What has been achieved to date
·
Delivery of Platinum Jubilee Business Park
·
Refurbishment of Totton shopping arcade
Priority projects
Totton masterplan
The Council has also commissioned master
planning work on Totton which will inform opportunities for
regeneration including public realm, art and culture. Supporting
businesses in part by way of an investment plan.
The Solent Freeport
The Solent Freeport is a unique opportunity
to bring sustainable economic growth to the NFDC district.
In particular, it provides the vehicle and
focus to deliver the Council’s Waterside visions, realising
investment on sites of national significance.
Which includes several development sites
giving businesses operating within the designated area access to
tax benefits such as enhanced capital allowances. Forecasted
benefits to the district include several thousand jobs and
significant pooled retained business rates over 303ha of
development land.
The Solent Freeport will:
·
Be a hub for global trade and investment
·
Promote regeneration and job creation
·
Create hotbeds for innovation
The Council should look to use existing
assets to help support the delivery of the freeport such as
providing mitigation land.
To keep the asset management strategy
relevant and aligned to changing corporate priorities, it will
evolve over time. Each of the five pillars is supported by an Asset
Management Action Plan with detailed objectives and actions.
Pillar
|
Year 1
|
Year 2 - 3
|
|
Digital asset
management
|
·
Develop digital asset platform specification
·
Digital systems market appraisal v inhouse solution
·
Complete asset data refresh
·
Introduce Key Performance Indicators
|
·
Estate optimisation development with service areas
·
Establish core corporate programmes of work from estate
optimisation
|
|
Asset
optimisation in support of corporate plan priorities
|
·
Occupation and use of assets are reviewed, and asset framework
challenge initialised
·
Condition surveys and initial refurb / regen prioritisation
undertaken
·
Works underway for refurb / regen of initial prioritised assets
·
Full lease review
|
·
Review and action plan for non-income generating non-operational
assets
·
Introduce measures to drive A low carbon public estate
·
Maintenance programme underway according to prioritised
schedule
|
|
Working with
partners and communities to promote efficient and effective service
delivery
|
·
Identify assets suitable for CAT
·
Identify options for collaborative working with partners, including
OPE
|
·
Progress ‘quick-win’ Community Asset Transfers (being
mindful of LGR timeline and required governance)
|
|
To reduce the
environmental impact of council assets
|
·
Define criteria for sustainability within portfolio
·
Optimise Building Management Control Systems
·
Identify avenues for additional green funding
|
·
Embed energy efficient criteria to all projects
·
Benchmark running costs of assets against the market
·
Deliver PSDS project
|
|
To support
economic growth, regeneration and prosperity
|
·
Totton Town Regeneration master planning
·
Continue engagement in Freeport
|
·
Promotion of NFDC priorities within the Freeport program
|
Annually the priorities will be identified
and appropriate performance measures applied. Each pillar will have
specific key performance indicators with measurable targets.
Overall performance measures for this may
include (but are not limited to):
Appropriate data improvement relating to time, cost and
quality
·
Validation and quality of asset data
·
Improvement in customer satisfaction results
·
Continual process/procedure improvement based on feedback
Assessment of asset performance
·
Utilisation and improvement to operational requirement
satisfaction
·
Improvement in the rate of occupation of assets
·
Improvement in appropriate financial target
·
Reduction in operating costs
Reduction in compliance and safety matters
·
Compliance of the asset
·
Time lost through assets not being adequately maintained
·
Areas of risk to safety
·
Energy performance
·
Reactive vs Planned maintenance ratio
·
Maintenance deficiency affecting service delivery
·
Performance against budget
Financial performance indicators for income and expenditure for
the estate
·
Returns that reflect risk exposure
·
Asset utilisation
·
Current cost of the estate
·
Future cost of the estate
·
Capital receipts realised against realistic targets
Environmental performance targets
·
Reduction in utility and energy usage
·
Reduction in EPC
·
Reduction in carbon emissions
·
Percentage of land release
·
Revenue savings
Measures against targets appropriate to the regeneration
projects
·
Target delivery
·
Use of s106 contributions measurement against outcomes
As part of the SAMP, land and property
assets held by the council will be appraised and considered for
disposal and potentially surplus to requirements if any of the
following examples apply:
·
The Asset Challenge Framework has been completed
·
The Asset no longer makes a positive contribution to delivery of
council services
·
The revenue and capital demands to maintain far outweigh any income
of financial or policy benefits
·
Has no potential for future strategic regeneration and/or
redevelopment purposes
·
An alternative site can provide a more cost effective and efficient
service
·
No adopted and resourced council plan/policy/strategy, that could
bring the asset into use in foreseeable future
·
No potential advantageous shared use with partners (One Public
estate/CAT)
The Council recognises that good governance
is a key component of this strategy, so it is essential that all
decisions to dispose of an asset must be subject to gateway
approvals.
Each Gateway has clear owners and defined
roles and responsibilities to progress matters and attain necessary
approvals.
Full details are contained within the Asset
Disposal Policy.
Asset disposal governance matrix
Stage
|
Action
|
Responsible
|
Informed
|
Decision Point
|
|
1
|
Asset Challenge Framework
|
·
Asset identified as surplus or underperforming. Potential better
model of delivery
|
Head of Estates and Facilities
Management
Estates Manager
|
Strategic Director Corporate Resources &
Transformation
|
|
|
2
|
Internal Review
|
·
Request Title Report, red line and terrier mapping report to see if
there any covenants, charitable land etc.
·
Review details with transformation board
·
Notification given to internal stakeholders of availability of
asset
·
What is the likely disposal timeframe?
·
Is the asset suitable for community asset transfer. If
“Yes” then consider potential CAT (follow CAT
Policy)
·
If no suitable options prepare for disposal and place asset on
surplus land/asset register
|
Legal
|
Service Manager
Transformation Board
Portfolio Holder
Ward Member
|
|
|
3
|
Preparation for Disposal – Capital
Receipt
|
·
Professional valuation (x 2 if >£100k)
·
Consult with Ward Members
·
If Asset is an ‘Asset of Community Value’ then the
community has 6 weeks to express an interest in buying
·
Write Disposal Business Case paper for the disposal. To include
scoring key decision scorecard
|
Estates
|
Ward Member
|
Transformation Board
|
|
4
|
Approval to proceed with disposal
|
·
Key decision if value > £150k OR the asset covers
multi-wards OR if high score is returned on key decision
scorecard.
·
Review Business Case Decision paper
·
Agree any reserve valuation
|
Strategic Director Corporate Resources &
Transformation
|
Estates
Ward Member
|
Transformation Board / Council
|
|
5
|
Property disposal
|
·
Proceed with agreed disposal route
·
If land is ‘Open Space’ then it will require additional
steps outlined in the Disposal Policy
|
Estates
|
|
|
|
6
|
Evaluation and Council consultation
|
·
Review offers
·
Completion of Business Case Decision Paper with recommendations
·
Council consultation of submission/decision
·
Approve sale – depending on sale value and delegated level of
authority.
|
Estates
Strategic Director Corporate Resources &
Transformation
|
|
Transformation Board
|
|
7
|
Practical completion
|
·
Instructions to Legal preparing/completion of agreements
·
Receive Capital Receipt
|
Legal
|
|
|
The community asset transfer (CAT) policy is
a key enabler as part of the Council’s Strategic Asset
Management Plan (SAMP), ensuring property assets held by the
council will be appraised and considered for use or transfer into
the community.
The Council’s portfolio of assets is
varied in tenure and use and the pace of change in how the Council
meets new and challenging service needs means the asset base must
constantly evolve to respond to help improve and develop new
delivery solutions.
The Council sees this challenge as an
opportunity. There will be instances when Council owned community
assets often used by VCOs (Voluntary or Community Organisation) are
returned to the Council, become surplus to requirements, are
functionally or economically obsolete or may have the opportunity
of being more effectively run by the communities themselves.
Further details are contained within the Community Asset Transfer
Policy.
The principal aim of the Council’s CAT
is to ensure the efficient use of assets through community
empowerment and also minimise costs through retention or
transformation. The Council intends that suitable assets will be
made available through the CAT process in a way that:
·
Ensures compliance with legislation (e.g. Section 123 of the Local
Government Act)
·
Encourages community empowerment and pride
·
Reduces holding costs, risks and related liabilities
·
Demonstrates a fair and transparent process
·
Helps develop strong, cohesive and sustainable communities
·
Ensures sustainable CATs do not conflict with other community
projects.
Eligibility
Each organisation wishing to apply for CAT
needs to meet the following criteria:
·
Charitable or not-for-private-profit organisation
·
Generate social, economic or environmental benefits which directly
benefit the people of the New Forest District
·
Benefit a wide and diverse a range of local people as possible
·
Have the capacity and resources to manage the asset and have
directors or committee members who have the necessary experience
and skill
NOTE: We will continually
make available assets available for transfer and provide a defined
expression of interest form for interested parties to
apply
Community asset transfer governance matrix
Stage
|
Action
|
Responsible
|
Informed
|
Decision Point
|
|
1
|
Asset identification
|
·
Potential CAT identified as part of the disposal process
·
Preferred transfer route agreed. This could be an open marketed CAT
or if better served by a singular organisation i.e. Town / Parish
Council
|
Estates
|
|
|
|
2
|
Preparation for CAT disposal
|
·
Professional valuation (x 2 if >£100k)
·
Consult with Ward Members (20 working days)
·
If Asset is an ‘Asset of Community Value’ then the
community has 6 weeks to express an interest in the transfer
·
Write Business Disposal Business Case paper for CAT
|
Estates
Strategic Director Corporate Resources &
Transformation
|
Strategic Director Corporate Resources &
Transformation
Finance Portfolio Holder
|
|
|
3
|
Approval to proceed with CAT
|
·
Key decision if value > £150k or the asset covers
multi-wards. Or if a high score is returned on the CAT
scorecard
·
Review decision paper
·
Agree any terms of transfer and route
|
Strategic Director Corporate Resources &
Transformation
|
Estates
Ward Member
|
Transformation Board / Council
|
|
4
|
Expression of Interest
|
·
Create information pack
·
Advertise the opportunity (4 weeks) if applicable e.g. not for
direct route freehold
·
Receive informal enquiries
·
Review and score informal expressions of interest
·
Selected organisations to submit business case
|
Estates
|
Portfolio Holder
Ward Member
|
|
|
5
|
Formal Submissions of Interest/ Bids
|
·
Inform organisation
·
Receive formal enquiries
·
Consult with Organisations
·
Evaluation and scoring of bids
·
Completion of Portfolio Holder Decision Paper with
recommendations
·
Council consultation of submission/decision
|
Estates
|
Strategic Director Corporate Resources &
Transformation
Finance
Portfolio Holder
|
Transformation Board
|
|
6
|
Evaluation and Council Consultation
|
·
Presentation of business case and feasibility assessment by biding
organisation(s)
·
Evaluation and scoring of bids
·
Completion of Disposal Business Case Decision Paper with
recommendations
·
Council consultation of submission/decision
|
Estates
|
Strategic Director Corporate Resources &
Transformation
Finance Portfolio Holder
|
|
|
7
|
Practical Completion
|
·
Instructions to Legal preparing/completion of agreements
|
Legal
|
|
|
|
8
|
Monitoring
|
·
Monitoring arrangements post transfer
|
Estates
|
|
|
The Council remains of the view that
purchases of commercial properties and future development
(including re-development of land or the repurposing of existing
Council real estate) when made on a cautious and prudent basis will
over time contribute to the Council’s vision and priorities
as set out in full in the Asset Investment Policy (which also
outlines the governance arrangements in place).
Land and property interests should be
considered for acquisition if the following circumstances
apply:
·
The acquisition will make a positive contribution to the current or
future delivery of council services
·
The acquisition has economical benefits in reducing occupational
costs (revenue and capital)
·
Asset meets minimum requirements of the Investment Policy
·
The asset provides the opportunity promote or support economic
activity with the New Forest District.
·
To achieve the minimum evaluation requirement of yield, that is to
ensure the income from the investment does not place an additional
financial burden on the General Fund
·
Option appraisal has been undertaken which highlights acquisition
as the most economic and efficient means of service delivery, for
council and wider public services
·
The acquisition of the interest has potential for future strategic
regeneration and/or redevelopment or contributes to wider corporate
objectives and appropriate funding has been identified.
A key principle of the ‘Strategic
Asset Management and Major Developments’ delivery programme
is to ensure the Councils capital investments are managed
effectively through the adoption of a streamlined gateway review
process that will ensure that:
·
Money is well invested
·
Proposals are thoroughly assessed and align with SAMP and Corporate
objectives
·
Projects and Programmes are delivered on time, to budget and
quality
·
Change is delivered to a high standard (efficiently and
controlled)
·
Benefits and project outcomes are clearly defined and tracked
·
Projects have been through appropriate approval process at key
defined stages (Can’t pass through a gateway without
necessary approval)
·
Capital spend assessments are looked at quarterly to review the
gross position, liability and risks to council and partners
·
Communications are improved with clear accountability and
responsibility matrix defined on all projects
The annual project ‘bid’ process
as included within the budget preparation cycle, and the gateway
stages as included within Contract Standing Orders provide the
necessary governance to ensure rigorous program approval and
delivery.
