Purpose

The Constitution authorises Officers to make
decisions within the scope of their responsibilities, unless it is
required to be made by a Portfolio Holder or Cabinet.
 
The Chief Operating Officer has exercised her
delegated authority to exchange contract for an agreement for lease
(AfL) and Pre-construction services
agreement (PCSA) associated with the refurbishment of the former
Council depot at Olding Road, Bury St Edmunds, which is owned by
West Suffolk Council. 

Decision

The Chief Operating Officer has made a
decision, in consultation with the Portfolio Holder for Resources
and Property, to proceed with the signing of an AfL with a tenant and agreement to alter PCSA fee
for the former depot at Olding Road, Bury St Edmunds.
 
It has been agreed to proceed to exchange
contracts with a tenant in respect of agreement for lease, lease
and purchase power agreement (PPA) in connection with the former
Olding Road depot. Agreement to proceed with the amended PCSA fee
(as scheduled in Gateway 1 report).

Reasons for the decision

To impose a legal obligation on the tenant to
occupy the completed refurbishment on agreed lease terms once the
development is completed, which will secure the long-term rental
income required to ensure the required initial return on investment
is achieved. Agreement to amend the original PCSA fees for the
revised scope. This is in line with the business case approved by
Council in July 2024 (COU/WS/24/013),
and the revised business case submitted for consideration by
Cabinet on 16 September 2025 (CAB/WS/25/039).

Alternative options considered

The Council retains the option for long-term
redevelopment of the site and develops the site speculatively.