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RESOLVED:
 
1. 
That the scheme for
Childrens and Education Directorate as
set out in section 11 be given approval as follows:
 
Care Leavers Hub
(Relocation): Resource and spend approval of £300k
(£15k in 2023/24  and £285k
in 2024/25) is requested to enable Council Officers to develop
a Hackney Care Leavers Hub, which will provide a physical space in
the borough for Hackney Care Leavers to come together and access
support.
 
Ferncliff Family Centre CCTV Installation and
Repairs Work: Resource and spend approval of £82k in
2023/24 is requested to re-establish a secure CCTV system and
remedial works at the site which will allow the Ferncliffe Family Centre to maintain a secure and
safe area for its service users and for the security of the
building in general.
 
Shoreditch Park New Play Hut:
Resource and spend
approval of £223k in 2024/25 is requested to
enable the Council’s Officers to appoint a contractor to
carry out the construction works of a new play hut at Shoreditch
Adventure Playground and the demolition of the existing play
hut.
 
2. 
That the
scheme for Finance and Corporate Resources Directorate as set out
in section 11 be given approval as follows:
 
40-43 Andrews Road (Rerouting of Existing
Electrical Intake Supply): Resource and spend approval of £72k (£58k in 2023/24 and £13k in 2024/25)
is requested to enable Council Officers to progress the urgent
health and safety works of re-routing of existing electrical intake
supply at this site.
 
3. 
That the
scheme for Climate, Homes & Economy Directorate as set out in
section 11 be given approval as follows:
 
Millfields Depot (Electrification Feasibility and
Replacing Obsolete Charging Infrastructure): Resource and spend approval of
£120k in 2023/24 is requested to enable
Council Officers to replace the obsolete charging infrastructure
and to engage UK Power Network Services to conduct a feasibility
study which will identify potential strategies to successfully
deliver the long term ambition to electrify Hackney’s fleet
of vehicles.
 
4. 
That the
s106 Capital scheme summarised below and set out in section 11 be
approved:
 

S106

2024/25
£'000

Capital

126

Total S106 Capital for
Approval

126

 
5. 
That the
schemes outlined in section 12 to be noted.

 
6. 
Authorise
(1) the surrender of the head lease to Shoreditch Town Hall Trust
of the land under title number EGL446822 shown for identification
purposes edged red on the plan at Appendix 1; (2) the simultaneous
regrant of a superior lease of the
Annexe for 150 years to Shoreditch Town Hall Trust; (3) the
simultaneous regrant of a superior
lease of the Car Park Site for further 78 years to Shoreditch Town
Hall Trust and (4) approval of a new sublease to be granted by
Shoreditch Town Hall Trust to The Office Group for 150
years.

 
7. 
To
authorise the Acting Director of Legal, Democratic and Electoral
Services and the Director of Strategic Property Services to agree
all commercial terms of the transactions.

 
8. 
To
delegate authority to the Interim Group Director of Finance and the
Acting Director of Legal, Democratic and Electoral Services to
agree to all other terms and documentation.

 
9. 
Reason(s)
for the recommendations:

 
9.1Proposed Disposal
of Shoreditch Town Hall Annexe and Car Park Site, Rivington Place, London, EC2A 3BA: The proposed set
of transactions will be subject to the receipt of a premium paid by
The Office Group. This amount will be subject to a fair and
reasonable split between the Council and Shoreditch Town Hall
Trust.

 
9.2The capital receipt
by Shoreditch Town Hall Trust will assist the organisation in
funding essential works that it is required to carry out to the
building under the terms of its long leasehold interest from the
Council.

 
9.3This proposed
transaction, which exceeds the Council's current freehold value,
has the potential to unlock a significantly higher marriage value
and provide a substantial capital receipt for the Council, as well
as Shoreditch Town Hall Trust.
 
REASONS FOR DECISION
 
The decisions required are necessary in order that the
schemes within the Council’s approved Capital programme can
be delivered and to approve the property proposals as set out in
this report.
 
In most cases, resources have already been allocated to the
schemes as part of the budget setting exercise but spending
approval is required in order for the scheme to proceed. Where,
however, resources have not previously been allocated, resource
approval is requested in this report.
 
To facilitate financial management and control of the
Council's finances.
 
DETAILS OF ALTERNATIVE OPTIONS CONSIDERED AND
REJECTED
 
Proposed Disposal of Shoreditch Town Hall Annexe
and Car Park Site, Rivington Place,
London, EC2A 3BA: The alternative option for the Council is to reject the
proposal. This would mean that the existing lease arrangements
remain in place with expiries in 2101.
 
This option has been considered but rejected because both
the Council and Shoreditch Town Hall Trust stand to benefit from
the transaction by way of a capital receipt. The Office Group is a
special purchaser that may not be willing to pay such a sum or
proceed with the transaction at all at a later date. If the Council
does not take the opportunity now, it may not be available again in
the future.
 
Shoreditch Town Hall Trust will use its share of the
receipt to invest in essential works to the building. The business
plan attached to this report sets out the necessity and benefits of
these works. Shoreditch Town Hall Trust has made clear the
difficulties it has had in obtaining alternative funding sources
and it could potentially rely heavily on the receipt from this
proposed transaction. The fair and reasonable allocation to
Shoreditch Town Hall Trust will not cover all of the proposed works
but it will allow Shoreditch Town Hall Trust to at least consider
and undertake works that it considers to be a priority.