THIS REPORT RELATES STIRLING COUNCIL TO ITEM 10 ON THE AGENDA AUDIT COMMITTEE LOCALITIES & INFRASTRUCTURE 2 NOVEMBER 2017 NOT EXEMPT VACANT PROPERTY (NON-HOUSING) – ANNUAL UPDATE 1 SUMMARY 1.1 This report provides an update on progress on the use of the Council’s vacant or surplus operational buildings, and commercial properties and assets, and the measures being taken to ensure that the Council’s assets are being managed efficiently and to minimise the amount of vacant property Council holds. 2 OFFICER RECOMMENDATION(S) The Committee considers and comments on:- 2.1 the list of vacant properties appended to this report and the information provided to support the current position; 2.2 the action being taken, either re-letting or exploring the disposal potential of vacant properties; and, 2.3 agrees that an update report will be submitted to the Audit Committee in November 2017. 3 CONSIDERATIONS 3.1 The Audit Committee received their last annual update on vacant property in November 2016. 3.2 These updates provide Members with an opportunity to understand what are currently vacant and the mitigation actions that are being progressed. 3.3 The Council’s vacant properties can essentially be split into three main categories:- 3.3.1 Properties which are on the market for sale/rent; 3.3.2 Properties under development; and 3.3.3 Development sites/buildings not yet on market. Properties List (Appendix 1) 3.4 The Appendix provides full details of the properties that are currently vacant, and number 39 in total. 3.5 The summary of the vacant properties, and their status can be identified as noted below: 3.5.1 Under offer – 11 properties 3.5.2 On market – 1 properties 3.5.3 Preparation for marketing – 6 properties 3.5.4 Properties that form part of a project or initiative – 7 properties 3.5.5 Properties with anticipated operational/community use – 2 properties 3.5.6 Properties unsuitable for use – 12 properties 3.5.7 Property/Land with no current initiative – 1 properties Next Steps 3.6 We will continue to provide an annual update to this Committee on the vacant property position. This exercise ensures that the issues associated with vacant property are explained to the Council and provides an opportunity for constructive challenge of the situation. 4 POLICY/RESOURCE IMPLICATIONS AND CONSULTATIONS Policy Implications Equality Impact Assessment No Strategic Environmental Assessment No Serving Stirling Yes Single Outcome Agreement Yes Diversity (age, disability, gender, race, religion, sexual orientation) No Sustainability (community, economic, environmental) Yes Effect on Council’s green house gas emissions Decrease Strategic/Service Plan Yes Existing Policy or Strategy Yes Risk Yes Resource Implications Financial Yes People Yes Land and Property or IT Systems Yes Consultations Internal or External Consultations Yes Equality Impact Assessment 4.1 The content of this report was assessed in terms of equality and human rights. Any impact has been identified in the Considerations/Assessment section of this report. Strategic Environmental Assessment 4.2 This report does not relate to a Plan, Policy, Programme or Strategy therefore Strategic Environmental Assessment does not apply. Serving Stirling 4.3 The proposals set out in this report are consistent with the following key priorities:- R - Our financial strategy will reflect the current economic challenges by saving £24M whilst ensuring the delivery of quality services Single Outcome Agreement 4.4 Not applicable. Other Policy Implications 4.5 Strategic – the Council is under an obligation to demonstrate best value from the use of its property assets. The strategic review of vacant property assets allows assets that have fulfilled their purpose to be disposed of to allow for other corporate priorities to be funded and implemented. Risk 4.6 None Resource Implications 4.7 Financial impact – Any vacant property represents a possible income opportunity for the Council. 4.8 People – Ensuring the number of vacant properties are minimised and the potential future sites are brought to the market requires a staffing resource. 4.9 Land and Property – The reduction of the number of vacant property and bringing forward future potential development sites will have implications on the Council’s overall land and property portfolio. Consultations 4.10 No further consultations. 5 BACKGROUND PAPERS 5.1 Report to Audit Committee of 5 November 2016. 6 APPENDICES 6.1 Appendix 1 – Properties List. Author(s) Name Designation Telephone Number/E-mail Drew Leslie Manager, Infrastructure 01786 233323 Delivery [email protected] Approved by Name Designation Signature Brian Roberts Senior Manager, Infrastructure Delivery Date 10 October 2017 Service Reference Appendix1 Property ‐ Name Vacant Since Property Type Comments Tenant has vacated, property being prepared STIRLING:BRIDGEHAUGH ROAD ‐ RANDOM RHYTHMS 01/06/2017 Shop for the market An offer has been submitted which is now STIRLING:JOHNSTON AVENUE, 50/52 (FORMER LOCAL OFFICE) 04/10/2012 Office being considered To be placed on the market in near future, a number of parties have expressed an STIRLING:JOHNSTON AVENUE, 56 01/04/2013 Shop interest in leasing. STIRLING:BACK O HILL, UNIT 19 & 20 Industrial On market All conditions of sale concluded, final STIRLING:BACK O HILL, SITE 5 01/05/2012 Industrial disposal to be completed by end of October Agreement on conditions of sale being STIRLING:LOWER CASTLEHILL, 9 01/04/2010 Industrial finalised with preferred purchaser. Property will form part of new model for ABERFOYLE:LOCHARD ROAD (SCHOOL HOUSE) 14/06/2013 House Early Years provision. An offer has been submitted which is now STIRLING:BANNOCKBURN ROAD, 19 24/06/2016 Shop being considered Property to be placed on the market in near BALFRON:BUCHANAN STREET, 151‐159 01/04/2009 Office future. Community interest opportunity, limited STRATHBLANE:GLASGOW ROAD (PUB CON) 30/06/2011 Public Convenience activity from the community. Housing are undertaking a refurbishment, when works on the flats are completed, this FALLIN:THE SQUARE 8A (LOCAL OFFICE) 30/04/2016 Office property will be marketed Missives agreed, lease is subject to obtaining a building warrant. Building Warrant has STIRLING:GOOSECROFT ROAD, UNIT 1 (WEST) Shop been submitted To be marketed after Unit 2B has been split STIRLING:GOOSECROFT ROAD, UNIT 2A Shop off. STIRLING:GOOSECROFT ROAD/MAXWELL PLACE, UNIT 3 Shop Discussions on going with potential tenant Missives to be agreed in next week, lease is subject to obtaining a building warrant and STIRLING:GOOSECROFT ROAD, UNIT 2B Shop other consents Community group interested in leasing this PLEAN:BALFOUR CRESCENT (PAVILION) 14/08/2009 Pavilion property. Agreement on conditions of lease being STIRLING:KINGS PARK (TENNIS PAVILION) Pavilion finalised with preferred tenant. Council undertaking project considering STIRLING:FORTHSIDE WAY, BORROWMEADOW FARM 30/04/1999 House potential future uses. STIRLING:DRIP ROAD, KILDEAN LOOP (SHED) Bothy Very poor condition, not suitable for lease Not possible for use due to derelict PLEAN:PLEAN COUNTRY PARK ‐ PLEAN HOUSE (DERELICT) House condition Not possible for use due to derelict PLEAN:PLEAN COUNTRY PARK ‐ STABLES (DERELICT) House condition THROSK:BANDEATH INDUSTRIAL ESTATE, UNITS 17, 19‐21, 24‐48 Industrial Not possible for use, former munitions store. THROSK:BANDEATH INDUSTRIAL ESTATE, UNITS 49A & B Industrial Not possible for use, former munitions store. THROSK:BANDEATH INDUSTRIAL ESTATE, UNIT 52A 01/02/2016 Industrial Not possible for use, very small properties. THROSK:BANDEATH INDUSTRIAL ESTATE, UNIT 52B 31/08/2016 Industrial Not possible for use, very small properties. THROSK:BANDEATH INDUSTRIAL ESTATE, UNITS 63‐67 Industrial Not possible for use, very small properties. THROSK:BANDEATH INDUSTRIAL ESTATE, UNIT 55 Industrial Not possible for use, very small properties. THROSK:BANDEATH INDUSTRIAL ESTATE, UNIT 73 Industrial Not possible for use, very small properties. THROSK:BANDEATH INDUSTRIAL ESTATE, UNIT 74 Industrial Not possible for use, very small properties. THROSK:BANDEATH INDUSTRIAL ESTATE, UNIT 84 Industrial Not possible for use, very small properties. Heads of Terms agreed, new lease being THROSK:BANDEATH INDUSTRIAL ESTATE, UNIT 86 31/08/2015 Industrial issued Unit requires total refurbishment, THROSK:BANDEATH INDUSTRIAL ESTATE, UNIT 95 01/08/2016 Industrial investment plan being finalised. Agreement on conditions of lease being STIRLING:DRIP ROAD, 90 01/05/2017 Office finalised with preferred tenant. STIRLING:VIEWFORTH LANGGARTH HOUSE 01/04/2009 Office Part of Viewforth development site. Property has been marketed and offers STIRLING:WELLGREEN CARE HOME 29/01/2016 Clear Site under review. Property has been transferred to HRA for COWIE:ST MARGARET'S PRIMARY SCHOOL (OLD) 22/11/2016 Clear Site development project. STIRLING:PRINCES ST. YOUTH CENTRE (ARGYLL CENTRE) 19/09/2008Community Property is part of a City Deal project. BRIG O'TURK:TROSSACHS PRIMARY SCHOOL 22/08/2016 Primary School School is currently mothballed. STIRLING:VIEWFORTH, ST NINIANS RD; LANGGARTH LODGE 31/10/2013 Office Part of Viewforth development site. Unit refurbished, particulars being made up THROSK:BANDEATH INDUSTRIAL ESTATE, UNIT 72 Industrial for marketing. .