Disposal of Surplus Real Estate Asset

Reference code: 
PCD 488
Date signed: 
15 November 2018
Authorisation name: 
Sophie Linden, Deputy Mayor, Policing and Crime

Executive summary

The Wembley Feeding Centre has become surplus to requirements and is recommended for disposal, in order to generate capital receipts to support the future capital investment programme and reduce running costs.

Recommendation

The DMPC is recommended to approve the disposal and marketing for sale of Wembley Feeding Centre, Carey Way, Wembley.

Non-confidential facts and advice to the Deputy Mayor for Policing and Crime (DMPC)

1.    Introduction and background

1.1.    In accordance with MOPAC Scheme of Delegation and Consent the disposal of all properties with an estimated value of £1m or above require MOPAC approval on a case by case basis before the property is marketed.  Any proposed sales with a value under £1 million may be completed by way of delegated powers and reported retrospectively.  Should a disposal with a value below £1 million have any unusual features or be of special interest, then MOPAC will have the opportunity to approve the final sale.

2.    Issues for consideration

2.1.    Wembley Feeding Centre, Harrow is a terrace of three industrial units which are surplus and vacant, and has no public access.  The disposal of this site supports the Police & Crime Plan by generating receipts to re-invest in the retained estate and so supporting the objective that “officers are given the tools to do their job”. In addition, the disposals reduce annual revenue costs, and avoid future investment commitments.

2.2.    In order to maximise the marketability of the site and encourage higher prices from bidders the MPS will invest in removing its specific fit out at this site prior to disposal. 

2.3.    In order to achieve MOPAC’s obligation on best value, the alternative routes/approaches for disposal will be considered for each property during its preparation to market for sale.  As the property comprises a terrace of 3 industrial units in an established industrial location it is unlikely the property would be acquired for the purpose of residential development.

3.    Financial Comments

3.1.    The value of the investment to prepare the site for disposal and the expected capital receipts are set out in Part 2. These will contribute to the overall capital receipts target of £489m to help fund the capital programme. 

3.2.    The revenue costs of the maintenance and rates expected to be saved in a full year for the property to be sold is £115k

4.    Legal Comments

4.1.    There are no direct legal implications arising from the recommendations contained within this report, which seeks approval for the sale of surplus property detailed above and in Part 2.

4.2.    MOPAC has the power to dispose of surplus properties (including land) under paragraph 7 (2) (b) of Schedule 3 of the Police Reform and Social Responsibility Act 2011 (“the Act”).

4.3.    The Commissioner may also do anything which is calculated to facilitate, or is conducive or incidental to acquiring and disposing of property (apart from land) but only with the consent of MOPAC under paragraph 4 (2) (b) of Schedule 4 of the Act.

4.4.    The report confirms that the disposal will generate a capital receipt that will assist MOPAC in securing the maintenance of the MPS and ensure that it is efficient and effective.

4.5.    The DMPC has authority under 4.17 of the Scheme of Consent and Delegation to approve “The disposal of all properties with an estimated value of £1M or above on a case by case basis before the property is marketed”

5.    Commercial Issues

5.1.    The recommendation proposes investment in the site in order to make its acquisition more commercially attractive to bidders.  The route to disposal will be selected to ensure the objective of achieving best value for MOPAC in an open and transparent manner. 

6.    GDPR/Data Privacy 

6.1.    The disposal does not use personally identifiable data of members of the public therefore there are no GDPR issues to be considered. 

7.    Equality Comments

7.1.    There are considered to be no equality or diversity issues arising as a result of these proposed disposals. 

8.    Background/supporting papers

8.1.    Appendix 1 – MPS Report 


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