Agenda item

The Committee considered details of the report which provided an update on the Slough Urban Renewal projects. The Strategic Director of Customer and Community Services reminded Members that Slough Regeneration Partnership (“SRP”) was established in 2013 and is a joint venture Limited Liability Partnership between the Council and Morgan Sindall Investments Limited (“MSIL”).  Following a typical Local Asset Backed Vehicle (“LABV”) approach, the Council invests primarily through its land assets and MSIL invests primarily through finance and/or provision of services.  The company was rebranded in 2015 and now traded under the name of Slough Urban Renewal (“SUR”).

SUR has developed into a key enabler of the Council’s regenerative and commercial policy. The company is building both council infrastructure, such as the Curve building, as well as major housing and commercial schemes across the borough.

Details of the community projects were highlighted. Although construction of the Curve was well underway, some unanticipated site issues meant a delay  in the opening until summer 2016. Upon completion, the Curve would include a new library, cafe, museum, performance venue, learning rooms and computer suite.

Members were informed that the Arbour Park project had evolved over several years as a way to maximise the use of the vacant site created by the relocation of Arbour Vale Special School in 2007.  The Arbour Park development strategy comprised of three SBC-led projects that were being built by SUR in tandem with the new Lynch Hill Free School. These were:

·  The first phase of a new Community Sports Facility with an anticipated completion date by August 2016 and the entire facility completed by spring 2017.

·  A 4 court sports hall, MUGA and some internal reconfiguration for St Joseph’s Catholic High School, and

·  The remodelling of Orchard Youth and Community Centre to facilitate the relocation of the Creative Academy from the West Wing to be complete in March 2016. 

The Committee were also provided with an update regarding commercial projects. The first SUR house building project went on site at Ledgers Road (marketed as ‘Milestone’ and named after the listed milestone on Bath Road) in August 2015 and would provide 50 homes for sale and 23 homes for rent. It was anticipated that the 23 social rented units will be handed over to the Council by November 2016 and the whole site completed by January 2017.  Marketing of open market homes would be targeted at local and first time buyers (rather than investment purchasers) and the site had also been registered for Help to Buy.

Planning permission was granted in February 2015 (subject to completion of a s106 agreement) for 104 houses on the former Wexham Nursery site.  The project would include 34 social rented houses that would be purchased by the HRA and be available for Slough residents on the housing waiting list.  Construction was due to begin in late 2016 and the first completed homes would be available in late 2017.

Members raised a number of issues in the ensuing discussion:

·  A Member requested further details regarding the delay in the opening of the Curve, including financial information relating to the additional costs incurred by the Council as a result of the delay and why re-location of the registrar services were not considered earlier in the planning process.The Strategic Director of Community and Customer Services explained that the initial handover date was December 2015. However due to delays in completion of construction of the building, the date was put back to March 2016.  Morgan Sindall had accepted full responsibility for the delays and the Council would be fully reimbursed for costs incurred due to the delay. Following a decision to re-locate the registrars service to the Curve, an options appraisal was carried out. Although the initial venue choice was at the east end of the High Street, it was considered that this would not be suitable given the specialist specifications required for the registrars service. The decision to locate the registrars service to the Curve had resulted in further delays to the scheduled opening in March 2016. 

·  Details regarding the costs of locating the registrars service to the Curve and which, if any, facilities were lost to accommodate the registrars. It was noted that re-locating the registrars service had cost an approximate £650k. The costs were mainly due to the specialist equipment required for the needs of the service, including soundproof rooms. It was brought to Members attention that the service was being located in an area that had been reserved for exhibition space. An area on the ground floor would now be utilised for exhibition space. 

·  Opening date for the Curve. It was noted that the anticipated handover date was end of June/July. 

·  Details regarding outline plans (including whether these included land obtained from Wexham Parish Council) and proposed development at land at the former Wexham nursery site and clarification regarding the profit share scheme. It was reported that a 104 properties would be developed on the site and that the matter was due to be considered on 14^th March 2016 by Cabinet. Outline plans for the site would be circulated to Committee Members. It was clarified that the land was owned by the Council and Morgan Sindall responsible for the development of the properties and the profit share, after expenses, was on a fifty/fifty basis. 

·  A Member requested details about the Local Economy Benefit Programme, including training programmes offered, the use of local suppliers and apprenticeship schemes offered. It was explained that whilst Morgan Sindall had taken measures to employ local individuals where ever possible, there was a skills shortage in the construction labour market in Slough. Information regarding the use of apprenticeship schemes would be circulated to the Committee.   

·  Lessons learnt / How improve communications with partners to avoid delays as experienced during construction of the Curve. Meetings had been held between senior officers of the Council, SUR and Morgan Sindall Construction & Infrastructure (the main contractor) to ensure improved communication and reporting lines were in place, earlier communication and escalation of any adverse issues and clear roles and responsibilities for future projects.

·  Financial details regarding the total cost of the Curve and whether the operating costs would be covered by income generated by the Curve. Members were informed that the total cost for the Curve project was £22 million. The Strategic Director Customer and Community Services explained that the financial forecast was that the Curve would operate at a financial loss. The Committee were reminded that locating a number of services within the Curve had meant that a number of other sites would be available for development. A Member requested information regarding the anticipated revenue costs of operating and maintaining the Curve on a quarterly basis and it was agreed that this would be sent when available.   

Resolved – That details of the update be noted.

(Councillor Nazir in the Chair)