Purpose

Extension of lease and rent abatement 4 Abbey Street, Bath.

Decision

To delegate approval to the Head of Corporate Estate, in consultation with the Section 151 Officer and the Cabinet Member for Resources, to progress an extension to the period of abated rent for 4 Abbey Street to 44AD for three years from the date of a decision and to delegate the approval of heads of terms for the lease, at less than open market value to regeneration purposes. This is on the basis that the benefit of the charitable arts use of the space outweighs the need to achieve best consideration in this case.

Reasons for the decision

44AD is a thriving creative arts charity, and facilitating their continued occupancy of a council owned building would retain their operations which have significant social and cultural value, keeping this in the city centre. Location security would also make the charity financially resilient, as it will enable them to access arts grant funding.

The provision of art and design and artist workshop space within the city centre is a key part of the vision for Bath, and in particular the vision for the nearby Milsom Quarter as a fashion, art and design destination. Retaining established uses such as 44AD is key to achieving this vision for the city centre.

Alternative options considered

The Council could consider raising the rent to market value, but this would force the art space to close.

The Council could consider shorter term tenancy options including a ‘tenancy at will’, however, this provides the charity no certainty of tenure which will in turn make it very difficult for them to secure funding and book exhibitions to enable them to continue to run.

The Council could consider offering an alternative premises, however, there is no obvious alternative, in advance of the Milsom Quarter developments. 44AD has also invested in this space to make it fit for purpose on the basis of the long-term lease that was approved in principle by the Council in 2015 for their current location.

There would be a reputational risk of not supporting an independent and well-loved charity and art space to remain in the city centre, which runs counter to the Council’s objectives to supporting the creative arts sector as a future growth area in the economy and part of the city’s cultural offer for visitors and residents.