Decision details

The terms of the agreement have been concluded and reviewed and are a reasonable and legally sound commercial arrangement which has been negotiated between experienced teams each with the benefit of support from national firms of valuers. The final terms do not depart from the Heads of Terms previously reported to Cabinet in a way that adversely affects the risk profile for the Council. The economic benefits of the proposed arrangements significantly outweigh the public cost.
The proposed arrangements comply with Public Contract Regulations, state aid/ public subsidy requirements and meet the Council’s best value obligations.

Cabinet agreed on 4 February 2020 to approve the conditional disposal of the land at Temple Island, Bath Road, Temple Quarter by a long lease to Legal and General and to enter into a related Agreement for Lease and related documents in order to enable the delivery of a landmark mixed-use development on the site including homes, employment space, office space and a hotel and conference centre. The agreement contains various conditions which would have to be satisfied for the lease to be granted. Phase 1 consists of residential buildings and Grade A office space and Phase 2 consists of a hotel and conference centre and further homes and office space. The Council agreed to carry out certain remediation and enabling works as necessary for development of Temple Island. The legal agreements have now been finalised and I have authorised exchange and completion.

Alternative options were set out in the previous Cabinet Reports including from 2 July 2019 and 4 February 2020.