Purpose

Derbyshire County Council (DCC) set three
tests on lease terms which needed to be met prior to them
committing to move to the Pavilion:

1. That the annual cost to DCC of occupying the Pavilion
isn’t more than they are currently paying for their existing
building.
2. That CBC include fit out in our costs (which was already in our
original cost plan sent to government).
3. That we have been asked to help with the cost of
relocation.

Proposals were presented to the Service Director – Economic
Growth and the Chief Executive which considered how this could be
achieved, however it was accepted that should an end user(s) not be
found for the first floor, then there would be an annual liability
to CBC of £20,000.

Content

The Service Director for Economic Growth has
agreed the following with regards to the Pavilion at
Staveley:
• Starting position for negotiation with DCC is £15psf,
but can negotiate to £12psf, however need to ensure a
£20,000 income to offset any cost liability of the first
floor not being occupied.
• Fit out – understand what these costs are, but look to
positively to support, however do not also offer a rent-free
initial period.
• Relocation cost – although these cannot be supported
under CIPFA regulations, understand what these are and potentially
offer up to 50% on sensible transport costs.
• To progress with the delivery of the first floor, even
though no end users have been identified, and anticipated costs of
it remaining empty to CBC are £20,000 per annum.
• That the cost liability of a vacant first floor (circa
£20,000 per annum) be covered through rental generated by the
ground floor.
• That the first floor be designed and developed as unmanaged
office space.