Issue - meetings

Consideration was given to a report that provided Cabinet with an update on the vacant employment land at Durham Lane Industrial Estate that the Council purchased with Indigenous Growth Fund (IGF) monies in July 2021 in order to safeguard the site and bring forward development.  A preferred developer had been selected to deliver a business park, subject to completion of legal contracts.  The report sought authority to dispose of the land to the developer.

In January 2020, Cabinet approved the acquisition of vacant, undeveloped employment land at Durham Lane Industrial Park at Market Value to safeguard strategically important employment land.  The site was purchased in July 2021 for £2.8m using IGF monies. Durham Lane was a key element of the Council’s IGF Strategic Initiatives Programme which sought to promote inward investment, unlock employment land, support existing business growth, and be a catalyst for economic growth and job creation across the borough.

Since July 2021, numerous site surveys along with an options appraisal had been commissioned in order to better understand the sites opportunities and constraints; essentially completing due diligence to make the site more attractive to a developer.

In summer 2022 Knight Frank were appointed as the Council’s land agents following an engagement process.  DWF were also appointed as the Council’s legal advisors using the NEPO framework.  It was agreed following advice from DWF that the site should be dealt with as a land disposal as The Public Contracts Regulations 2015 would not apply, but that certain conditions should still be included as part of the land transaction to ensure the Council’s aspirations for the site are delivered and to minimise risk to the Council. 

Knight Frank marketed the site on behalf of the Council to attract a developer.  They advised on the strategy and produced a marketing brochure which was supported by an SBC Design Code for the site.  The site was marketed between May and July 2023 via a mailshot to potential developers and agents, Knight Frank, EG Propertylink, Rightmove Commercial and Invest Stockton-on-Tees websites, and in the Estates Gazette, accompanying website and dotmailer to their subscriber list which boasts UK coverage.  The advert had a really good response with 28 enquiries received, with several requests for access to the Data Room which held detailed information on the site including the topographical, archaeological, drainage, flood, ground investigation and ecological surveys that had been completed since SBC purchased the site. 

Interested developers were requested to submit an initial bid proposal for the site by 12th July 2023. 5 Expressions of Interest bid proposals were submitted for consideration which Knight Frank considered a good response. The 5 bid proposals were shortlisted to two by SBC, Knight Frank and DWF based against a criteria of requested information to demonstrate the bidders financial resources, track record and proposed delivery of a scheme at Durham Lane. A period of competitive dialogue and interviews took place in October, and in November a developer was selected as the Council’s preferred development partner. 

The preferred development  ...  view the full decision text for item 85

Consideration was given to a report that provided Cabinet with an update on the vacant employment land at Durham Lane Industrial Estate that the Council purchased with Indigenous Growth Fund (IGF) monies in July 2021 in order to safeguard the site and bring forward development.  A preferred developer had been selected to deliver a business park, subject to completion of legal contracts.  The report sought authority to dispose of the land to the developer.

In January 2020, Cabinet approved the acquisition of vacant, undeveloped employment land at Durham Lane Industrial Park at Market Value to safeguard strategically important employment land.  The site was purchased in July 2021 for £2.8m using IGF monies. Durham Lane was a key element of the Council’s IGF Strategic Initiatives Programme which sought to promote inward investment, unlock employment land, support existing business growth, and be a catalyst for economic growth and job creation across the borough.

Since July 2021, numerous site surveys along with an options appraisal had been commissioned in order to better understand the sites opportunities and constraints; essentially completing due diligence to make the site more attractive to a developer.

In summer 2022 Knight Frank were appointed as the Council’s land agents following an engagement process.  DWF were also appointed as the Council’s legal advisors using the NEPO framework.  It was agreed following advice from DWF that the site should be dealt with as a land disposal as The Public Contracts Regulations 2015 would not apply, but that certain conditions should still be included as part of the land transaction to ensure the Council’s aspirations for the site are delivered and to minimise risk to the Council. 

Knight Frank marketed the site on behalf of the Council to attract a developer.  They advised on the strategy and produced a marketing brochure which was supported by an SBC Design Code for the site.  The site was marketed between May and July 2023 via a mailshot to potential developers and agents, Knight Frank, EG Propertylink, Rightmove Commercial and Invest Stockton-on-Tees websites, and in the Estates Gazette, accompanying website and dotmailer to their subscriber list which boasts UK coverage.  The advert had a really good response with 28 enquiries received, with several requests for access to the Data Room which held detailed information on the site including the topographical, archaeological, drainage, flood, ground investigation and ecological surveys that had been completed since SBC purchased the site. 

Interested developers were requested to submit an initial bid proposal for the site by 12th July 2023. 5 Expressions of Interest bid proposals were submitted for consideration which Knight Frank considered a good response. The 5 bid proposals were shortlisted to two by SBC, Knight Frank and DWF based against a criteria of requested information to demonstrate the bidders financial resources, track record and proposed delivery of a scheme at Durham Lane. A period of competitive dialogue and interviews took place in October, and in November a developer was selected as the Council’s preferred development partner. 

The preferred development  ...  view the full minutes text for item 85