Purpose

This report sets out the request approval to
spend the capital allocation (agreed at Cabinet in February 2025)
for the fit out of Manor Park Gym. The gym is scheduled for
handover as shell and core from the developer to the Council in
October 2025. Programme of works will be led by the Council's
leisure operator, GLL, overseen by Council officers. Fit out to
commence as soon as possible once handover has taken place with an
approximate fit out timeline of 3 to 4 months

Decision

For the reasons set out in this report and its
appendices, Cabinet RESOLVED to Agree:
 
i) 
For the £2.1m allocated within the current capital programme,
agreed at Cabinet in February 2025 as part of the 2025/26 budget
report, to be released, enabling the fit out and associated works
to be procured and delivered; and
 
 
ii) 
To note that Greenwich Leisure Ltd (GLL) will commission and manage
the fit-out programme within the agreed budget available as
provided for in the leisure management contract.
 
Alternatives
considered
 
1.   Do Nothing – capital
budget not agreed leaving a vacant space within the new
development. Not only could this attract anti-social behaviour but
there would continue to be a lack of Council run physical activity
provision i.e. affordable gym provision, in the north east of the
Borough. The provision of a replacement gym was included in the
resident consultation phase for the Greenhill site.
 
2.  Request GLL agree to
vary the contract to reduce the specification of Manor Park Gym fit
out to reduce fit out costs. This was rejected as it might have an
impact on revenue income at Manor Park Gym. The consequence would
then be the management fee would increase to reflect the loss of
revenue. Furthermore, under the terms of the Agreement the Council
would need to compensate GLL for the loss of predicted profit. If
GLL considered the change would materially affect their ability to
deliver the Manor Park services, they would be entitled to refuse
such a request.