Purpose

Teal Park comprises a 37ha (90 acres) business site located on
the western side of Lincoln, adjoining Whisby Road and the A46 trunk road. Teal Park was developed through a partnership between Lincolnshire County Council and the established Lincoln based commercial and residential developer Taylor Lindsey. May Gurney carried out the highway improvement works, which were completed in Autumn 2012.

The subject site is a parcel of land situated close to the western boundary of the development, close to the A46, as shown edged red on the attached plan at Appendix 1. The plot has an area of
0.439 ha (1.034 acres) or thereabouts and is extensively overgrown with trees.
In April 2016 LCC sold an adjacent plot of land for Economic Regeneration purposes and in doing so left the subject plot land locked in terms of future development potential, although it remains accessible from the A46 bypass from which development is not possible and access can also be achieved from two neighbouring owners each of whom have been asked whether they would wish to acquire but are unwilling to do so unless planning issues are resolved.
Approval to the overall Teal Park development, which included the subject site, was granted, subject to conditions, on 16 December 1988, and was accompanied by a Section 52 Agreement (Section 52 is now replaced by Section 106) signed on 16 December 1988 (part of the planning permission reference N56/310/88/CM). The land in question is identified in the agreement as area 2 (see S52 plan attached), and clause 2(a) of the agreement states ‘the Developers hereby agree with the Council to observe the covenants controlling the use of the obligation areas numbered 1,2,4,6,7 and 8 within the blue land
and carry out the works and to perform several obligations of restoration or management (as the case may be) relating to the
said areas as set out in the third schedule of this Agreement’.

As such, the S52 Agreement imposes restrictions relating to the use and development of the site from a planning perspective.

The subject land is not currently allocated, however the land is subject to a minerals safeguarding policy under the Central Lincolnshire Local Plan. Please see extracts from CLLP attached below.

Previous planning advice obtained in 2019 noted that the LCC Core Strategy does identify the site as being within a mineral safeguarding area (which is still relevant under the new CLLP 2023 – the site forms part of a sand and gravel minerals safeguarding area), however, given the mineral reserves have been exploited in this area it is unlikely that this would be a barrier to future development proposals (should any be identified) excepting the restriction of the Section 52 as mentioned above. It should be noted that this guidance could not be relied upon and any interested party should make their own enquiries in this regard.

In 2011, the planning authority removed the s52 provisions for areas 3 and 4 (identified on the s52 plan below). In the event that the planning authority was resolved to grant a permission that conflicted with the provisions of the s52 Agreement, it is possible that LCC would proceed to a release of the s52 provisions that continued to burden the land if only for consistency of approach. We understand that a developer would need to consider whether they can sufficiently overcome the constraints contained in the Central Lincolnshire Local Plan. The LCC Mineral safeguarding area is a broad brush and more to do with the potential for mineral reserves rather than quantified reserves, therefore LCC policy would require a developer to demonstrate that the constraints in Policy M11 Safeguarding of Mineral Resources do not apply. It should be noted that the comments above relating to the potential removal of the s52 provisions cannot be relied upon and a purchaser would need to make all necessary enquires and necessary applications.

Accordingly, the planning situation is not easily resolved and access to the site can only be resolved by agreement with at least one of the adjacent landowners. As such, this significantly depresses the value of the site.

Approval of this proposal supports the Council’s property rationalisation objectives, delivers essential and planned financial savings, reducing liabilities and risk exposure.
Currently, there are ongoing risks associated with the property including:
• General nuisance associated with the management of the site in particular fly tipping and unauthorised use
• The site gets ever more overgrown and management of the trees and ditches has not been addressed
• Potential fire risk during sustained dry periods
• Facilities Management holding costs
• Reputational damage to LCC
• Potential legal enforcement risk and liabilities associated with land that is not maintained
• There is no operational need and a sale will result in the land being better utilised.

For these reasons, it is important that the council proceeds to dispose of the property in its current state.

Councillor Engagement
Councillors Woodruff, Gibson and Kelly were consulted about this proposal and given the opportunity to comment.
Social Value
It is not yet known whether the sale will derive any social value, though if an unconditional sale can be achieved, it is likely to reduce the risk of nuisance and mitigate holding costs. This would help improve the setting of the local area and hopefully see the parcel of land being progressed in terms of future development and use.
Restrictive Covenants
It is assumed that the sale would include a restriction against the use of the site for Housing in Multiple Occupation (HMO) and for solar farm use and that this be protected by way of a deed of covenant procedure to bind any future purchasers.
Legal Issues
It is considered that the council has good title to the site and as such able to enter into a contract for sale.
Method of Disposal
Given the unique nature of the site and its access issues, it is likely that there will be only a limited number of parties interested in acquiring it. It is proposed that we look to dispose at auction, first contacting both Taylor Lindsey and Bramhall
Properties to inform them of our intentions and provide them with a last opportunity to make an unconditional offer prior to
auction.

This site does represent a unique opportunity within a strategic commercial location and as such may attract speculative interest often captured in an auction sale.
It is considered that the sale may generate only a small capital receipt, with external advice suggesting a value in the region of
£5,000. A suitable reserve will be agreed with the chosen auctioneer.

Fee quotes from four independent property agents have already been sought and it is expected that the up-front costs can be met from departmental budgets and the contingent fee from the sale proceeds.
Local Government Reorganisation
Consideration has been given to the potential LGR implications, and the professional view of Corporate Property is that this disposal will not have any impact on the LGR proposals as
neighbouring land is not in public ownership and the site only has potential with adjacent owners.

Decision

To dispose of Land at Teal Park, Teal Park Road, Off Whisby Road, North Hykeham, Lincoln, LN6 3QZ comprising some 0.439 ha (1.034 acres) by Public Auction

Alternative options considered

1. Do nothing - this option is not recommended. There is no operational requirement for the site and it will only continue to deteriorate, get increasingly overgrown and attract nuisance from fly tipping and unauthorised intrusions.
2. Hold the site and consider it in connection with LCCs Bio Diversity Net Gain Strategy (BNG) - this option has been considered but it is a small site and is considered to have limited potential for this purpose.
3. Hold the site for future development in partnership with neighbouring - this option has been considered but is unlikely to gather pace. Offering the site to the market will hopefully encourage adjacent owners to acquire the potential to enhance their own ownerships.