Purpose

The County Council is party to
a joint venture (JV) with Lovell Partnerships Limited for the
shared development of land in the Council’s ownership but
surplus to service need, for the purpose of delivering on the
Council priorities as well as generating a financial return for the
Council for Council service needs.
 
The JV has been established as
Kinsted Developments Limited Liability Partnership (LLP) and the
County Council is a 50% partner in the LLP through its wholly owned
company Edes Estates Limited.
 
The County Council has optioned
ten parcels of land to the JV with a requirement to progress to
planning approval in line with the Partnership Agreement. Funding
may be required from either or both parties to complete the
development.
 
Two of the sites have
progressed to the stage of readiness for implementing the proposed
developments. This has identified that they will require additional
funding in the form of loans to the LLP to enable the developments.
The loans will be repaid with interest from the sale proceeds of
the developments.
 

Decision

The Cabinet Member for Finance and Property
has:
 
(1)approved that up to
£8.712m of credit facility is made available, to provide
funding to the County Council’s Joint Venture Partnership,
for the approved developments at the identified optioned sites in
accordance with the Joint Venture Partnership Agreement; and
 
(2)delegated authority to approve
the final timing and value of individual loan agreements (currently
estimated at £8.712m) to the Interim Director of Finance and
Support Services in line with the business cases for each
development approved by the LLP partners.