The Pre-Decision Scrutiny Questions and officer responses were noted.

DECISION

1.    To authorise a S.77 application to be made by LBTH regarding the disposal of the current playground.

2.    To approve the freehold disposal of the section of playground (shown as light blue on the plan) to Alliance Property Asia Incorporated for £8.8m plus acquisition of the section of land coloured green on the plan in the appendix to the report.

3.    To authorise the Divisional Director, Legal to enter into any legal agreements considered necessary or desirable for the council to put into effect the recommendations in the report.

Action by:

CORPORATE DIRECTOR PLACE (A. SUTCLIFFE)

(Director of Integrated Growth and Development (V. Clark)

(Head of Asset Management (S. Shapiro)

Reasons for Decision

The land to be disposed of (light blue on accompanying plan) is currently designated as a school playing field and will be included as part of a land swap with Alliance in exchange for £8.8m plus the green land on the accompanying plan.

It is considered that this will not cause detriment to the school as the land swap and associated receipt provide opportunity to make improvements to the accommodation and facilities for the school community, including a new block, classroom refurbishments and a play area less exposed to traffic pollution.

At the same time, this transaction is conditional upon receiving consent from the Department of Education from submitting a Section 77 Application under School Standards and Framework Act, 1998 and Schedule 1 of the Academies Act 2010 which is required when disposing of playing fields.

The Council has advised that it will consult with the public and that this is expected to take place towards the end of 2021 for a 6-week period. The DfE guidance indicated consultation is required, unless the DfE advise otherwise. The Council can submit the Section 77 application prior to any consultation.

Due to the value of the land, it is beyond Delegated Threshold levels of officers and Cabinet approval is therefore required.

Alternative options

The land swap has been proposed by Alliance is in order to facilitate a major new office development by consolidating and rationalising their development site.

Alliance have recognised the value which this swap creates for them in offering £8.8m consideration plus an equivalent sized land parcel for school playground use.

The reconfiguration of the site and the financial receipt will also support other improvements to the school including a new nursery block, refurbishments to other classrooms, and the reorientation of the playground reducing children’s exposure to traffic pollution.

The alternative option would be not to progress the land swap. This would maintain the established layout for the school but would require redesign of the office scheme and would also mean foregoing the capital receipt and associated improvements.