This report seeks approval to the principal of acquiring commercial investment properties to generate income for the Council.

In accepting the recommendations, Cabinet will approve and recommend to Council that a total Commercial Investment Portfolio budget of £40m is approved in principal and included in the Capital Programme 2019/20; £10,000 is allocated to develop the acquisition strategy funded from the Income Generating Reserves as detailed in paragraph 2.9 of the report; the Acquisition Strategy is reported back to Cabinet and Council for approval and that a decision on whether to proceed with the Commercial Property Investment Portfolio be made at this time and the proposed decision making process for commercial investments be approved by Cabinet.

The subject of the decision:

This report sought approval of the principal of acquiring commercial investment properties to generate income for the Council.

Alternative options considered:

None

The reason for the decision:

The Council’s Commercial vision as set out in the Commercial Strategy was to be self-sufficient by 2020/21and not rely on Government grant to support the budget.  Cabinet was satisfied that the proposals outlined in the report supported the Council’s vision.

THE DECISION:

That Cabinet approves and recommends to Council that:-

(1)     a total Commercial Investment Portfolio budget of £40m is approved in principal and included in the Capital Programme;

(2)     £10,000 is allocated to develop the acquisition strategy funded from the Income Generating Reserves as detailed in paragraph 2.9 of the report;

(3)     the Acquisition Strategy is reported back to Cabinet and Council for approval; and

(4)     that a decision on whether to proceed with the Commercial Property Investment Portfolio be made at this time and the proposed decision making process for commercial investments be approved by Cabinet.