Purpose

The Council has a requirement to drive capital
receipts to finance the capital programme and transformation, with
a total target of £45.5 million in 2025/26, and a similar
level expected for 2026/27.
The Council needs to take a strategic approach to change, in order
to be structured and deliberate in the approach to delivering the
relevant receipts, ensuring the Council has the capital required
for change now, but also an estate that is fit for purpose and will
support long-term financial sustainability in the future.
The Council has procured a joint partnership with the existing
property supply chain and external partners (Ernst Young and JLL)
to bring capability and capacity to delivering the capital receipt
target.
There is an urgency around the need to complete this enabling phase
in quarter one so that the Disposals Projects can be
prioritised.

Content

Bristol City Council have decided to spend up
to £300,000 to commission Ernst Young and JLL (£110,000
per partner for 2025/26, plus a further extension of £40,000
per partner for 2026/27) to produce a sustainable portfolio and
execute sales.

Alternative options considered

Bristol City Council has considered
undertaking the Enabling phase using internal resources, but this
option was dismissed because of the lack of specialist capacity and
capability available.
Bristol City Council considered inviting proposals to undertake the
Enabling phase from other providers of consultancy services. This
option was dismissed for two reasons:
- JLL are market leading specialist in the ‘real
estate’ sector and have significant experience in developing
a sustainable plan and supporting us through to execution. EY have
previously worked with us on the Property Transformation programme
in 23/24. Both JLL and EY will have specific and joint tasks whist
working collaboratively with Bristol City Council.
- Given the urgency around timescales and time it takes to dispose
of assets, this was the quickest and most efficient and effective
approach to determining a sustainable portfolio of properties and
releasing capital receipts.