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RESOLVED:
 
1. 
That the scheme for Finance and Corporate Resources
Directorate as set out in section 11 was approved as
follows:
 
Scaffolding 10-16
Ashwin Street: Resource and
approval of £64k in 2025/26 is requested to
purchase the scaffolding and to include it in the future disposal
subject to the buyback restriction.
 
2. 
The disposal of 10-16 Ashwin Street E8 1EA shown for identification
purposes only edged red on the plan at Appendix 1; disposal of 2,
4, 6 and 8 Ashwin Street E8 1EA shown
for identification purposes only edged red on the plan at Appendix
2; and the disposal of 1-7 Ashwin
Street E8 1EA shown for identification purposes only edged red on
the plan at Appendix 3, was authorised.

 
3. 
Authority to the Group Director of Finance to agree all
commercial terms of the transactions was delegated.

 
4. 
Authority to the Director of Legal, Democratic and
Electoral Services to settle, agree and enter into all
documentation necessary for the transactions was delegated.

 
5. 
That the s106 scheme summarised below and set out in
section 12 was approved:

 

 

2024/25

£'000

2025/26

£'000

Total

Revenue

1,241

1,241

2,482

Total S106 Revenue for Approval

1,241

1,241

2,482

 
6. 
That the s106 scheme summarised below and set out in
section 13 and section was noted:

 

S106

2025/26

£'000

Capital

337

Total S106
Capital for Noting

337

 
7. 
The acceptance of £2.241m grant funding from the
National Lottery Heritage Fund to deliver the Reimagining Hackney
Museum project as set out in section 14, was approved.

 
8. 
That the Quarter 3 Capital Monitoring for the period
ending 31 December 2024 in section 14 was noted.
 
REASONS FOR DECISION
 
The decisions required are necessary in order
that the schemes within the Council’s approved Capital
programme can be delivered and necessary to approve the property
proposals as set out in this report.
 
In most cases, resources have already been
allocated to the capital schemes as part of the budget setting
exercise but spending approval is required in order for the scheme
to proceed. Where, however, resources have not previously been
allocated, resource approval is requested in this report.
 
To facilitate financial management and control
of the Council's finances.
 
Proposed Property and Land
Disposal of Ashwin Street Sites, 10-16,
2-8, 1-7 Ashwin Street, London, E8
3DL: The building at 10-16 Ashwin
Street is in a very poor condition and major works are required to
set the building up for use beyond April 2025. It is not
financially viable for the Council to incur this expenditure.
 
Meanwhile, the Council is looking for funding
opportunities for “invest to save” measures and
transformational revenue spend. There is the potential for capital
receipts from property disposals to be used, with the appropriate
permissions, for this purpose.
 
DETAILS OF ALTERNATIVE OPTIONS CONSIDERED AND
REJECTED
 
5.1 Proposed Property and Land Disposal of
Ashwin Street Sites, 10-16, 2-8, 1-7
Ashwin Street, London, E8 3DL:
 
No action: This course of
action is not tenable because the current occupation by V22 at
10-16 Ashwin Street is not sustainable
without major works being undertaken.
 
Terminate the occupation by V22
and leave vacant with no further action: Leaving the building
vacant would incur substantial security and other costs, and
present void risks including squatting. It would involve
reputational risks and leave the Council open to enquiries or
challenges from local residents and other interested parties.
 
Undertake repair and refurbishment
works to facilitate a studio/ workspace letting: The Council
would need to take on a major capital project in order to set this
building up for a long term commercial letting as studios or
workspace. The Council is not in a position to commit the level of
capital expenditure and resources required.
 
Other corporate objectives:
The longstanding use as artist studios, and the allocation of the
site in the Dalston Plan SPD of 2025
for mixed or commercial uses, means there is a high risk that
planning consent would not be achieved in the short/ medium term
for conversion to straight residential use, including temporary
accommodation and specialised supported housing. A developer might
be able to take a longer term view on this, but it is not viable
for the Council to hold very costly and high risk buildings in such
a speculative way.
 
Retain 2-8 Ashwin Street and or 1-7 Ashwin Street: These pieces of land could be
kept separate and retained by the Council for possible future
development. However, it is unlikely to be a project the Council
would take on in the foreseeable future. The Council would be
exposed to a significant construction and development risk at a
time when there is great uncertainty in the market. In any event,
it is possible these pieces of land could have a higher value when
coupled with 10-16 Ashwin Street, as
the viability for development may be enhanced. The Council can
include an overage provision in the sale so that it can benefit
from any future increases in value as a result of development.
However, such provisions can be detrimental to the initial capital
value and marketability. The most immediate issue is to dispose of
10-16 Ashwin Street; the Council can
decide on whether to include 2-8 and 1-7 depending on the proposals
received.