Agenda item

(a)  That it be noted that despite positive and negative variations in actual costs against the business case to move to 25 Windsor Road and the redevelopment of St Martin’s Place into affordable housing, the Council is still projecting to make operational savings within three years of purchase as set out in the original business case.

(b)  That it be agreed to revert to the original proposal to remodel St Martin’s Place to provide affordable housing.

(c)  That delegate authority be given to the Interim Director of Regeneration to enter into a Pre-Construction Services Agreement with Slough Urban Renewal and approve a budget of £250,000 for SUR to undertake a range of building surveys and preliminary design.

(d)  That SBC should offer the opportunity for the Slough Children’s Services Trust to move (mainly) into the 4th floor of Observatory House, with SBC managing the move and covering all reasonable costs.

(e)  That the content of Confidential Appendix One be noted.

The Interim Director of Regeneration introduced a report that updated on the future use of St Martin’s Place (SMP) and Observatory House.  The update reflected the changes in circumstances from the assumptions made in the report to Cabinet on 29^th May 2018 and impact on the business case.

The report proposed that the Council revert to the original proposal for SMP to be redeveloped via Slough Urban Renewal (SUR) into social and affordable housing.  The next step was to carry out the necessary survey work on the building to refine the cost estimates of the conversion and approval was sought and given for a sum of £250,000 to undertake the preliminary design and survey work as part of an incremental approach.  In response to a question it was expected that the surveys would be carried in the next three months.

The decision to convert SMP into housing would mean Slough Children’s Services Trust would need to move to alternative premises.  It was proposed that the Trust be offered the opportunity to move to the fourth floor of Observatory House.  The Council would manage the move and cover all reasonable costs of relocation.  This was agreed.

The Cabinet was updated on the business case for Observatory House, and noted the Appendix, which contained exempt information.  The business case had changed since the acquisition in 2018, for example the transfer of Arvato staff had meant that only one floor would be available for commercial rent.  Taking the changes into account, assurance was provided that the Council was still projecting to make operational savings within three years of purchase as set out in the original business plan.

The Cabinet welcomed the report and the highlighted that Observatory House was a high quality building providing an excellent working environment for staff and would contribute to the regeneration of the town centre.  The update was noted and recommendations agreed.

Resolved –

(a)  That it be noted that despite positive and negative variations in actual costs against the business case to move to 25 Windsor Road and the redevelopment of St Martin’s Place into affordable housing, the Council is still projecting to make operational savings within three years of purchase as set out in the original business case.

(b)  That it be agreed to revert to the original proposal to remodel St Martin’s Place to provide affordable housing.

(c)  That delegate authority be given to the Interim Director of Regeneration to enter into a Pre-Construction Services Agreement with Slough Urban Renewal and approve a budget of £250,000 for SUR to undertake a range of building surveys and preliminary design.

(d)  That SBC should offer the opportunity for the Slough Children’s Services Trust to move (mainly) into the 4th floor of Observatory House, with SBC managing the move and covering all reasonable costs.

(e)  That the content of Confidential Appendix One be noted.