Purpose

This report seeks the following authorisations:
To seek approval to amend the existing lease agreement for the A Bed Every Night (ABEN) accommodation portfolio to ensure continued compliance with GMCA grant conditions (to provide 33 bedspaces) and to support the effective operation, management, and maintenance of leased properties over the remaining 2.5 year funding period.
A) Approve the amendments to the existing ABEN lease agreement in line with the proposed wording in Appendix A, ensuring continued compliance, clarity of responsibilities, and effective service operation.
B) Approve the granting of:
•a 5 year lease for 82–84 Milnrow Road

Decision

RESOLVED - That:
A) Approve the amendments to the existing ABEN lease agreement in line with the proposed wording in Appendix A, ensuring continued compliance, clarity of responsibilities, and effective service operation.
B) Approve the granting of:
•a 5 year lease for 82–84 Milnrow Road,
both of which support service continuity and provide flexibility in line with the 2.5 year GMCA funding period.
The leas retains the existing 4 week termination clause, meaning no additional risk to the local authority.

Reasons for the decision

Option 1 -
A) Approve the amendments to the existing ABEN lease agreement in line with the proposed wording in Appendix A, ensuring continued compliance, clarity of responsibilities, and effective service operation.
B) Approve the granting of:
•a 5 year lease for 82–84 Milnrow Road,
both of which support service continuity and provide flexibility in line with the 2.5 year GMCA funding period.
The leas retains the existing 4 week termination clause, meaning no additional risk to the local authority.
Option 2 -
– End Current Lease and Seek Alternative Provision (Not Recommended)
Terminate the existing leases and attempt to source new accommodation. This option is not recommended because:
•Suitable alternative accommodation is unlikely to be found at a lower cost than the favourable rent already negotiated with current landlords.
•The process would result in significant operational disruption, including decanting residents and establishing new placements.
•There would be an increased risk of service interruption, loss of ABEN bed capacity, and a potential impact on GMCA grant funding.
•There is a high likelihood of cost escalation, delays in reopening the service, and challenges in maintaining statutory compliance during transition.
Option 3 -
Option 3 – Do Nothing (Not Recommended)
Continue operating under the existing lease arrangements without amendment. This option is not recommended, as it would:
•Leave unresolved issues around responsibilities for repairs, compliance checks, and defect reporting.
•Continue to expose the service to operational delays, ambiguity, and compliance risks.
•Not provide the clarity required to support effective partnership working with the landlord and managing agent

Alternative options considered

Option 2 -
– End Current Lease and Seek Alternative Provision (Not Recommended)
Terminate the existing leases and attempt to source new accommodation. This option is not recommended because:
•Suitable alternative accommodation is unlikely to be found at a lower cost than the favourable rent already negotiated with current landlords.
•The process would result in significant operational disruption, including decanting residents and establishing new placements.
•There would be an increased risk of service interruption, loss of ABEN bed capacity, and a potential impact on GMCA grant funding.
•There is a high likelihood of cost escalation, delays in reopening the service, and challenges in maintaining statutory compliance during transition.
Option 3 -
Option 3 – Do Nothing (Not Recommended)
Continue operating under the existing lease arrangements without amendment. This option is not recommended, as it would:
•Leave unresolved issues around responsibilities for repairs, compliance checks, and defect reporting.
•Continue to expose the service to operational delays, ambiguity, and compliance risks.
•Not provide the clarity required to support effective partnership working with the landlord and managing agent