Decision Maker:

Outcome: Recommendations Approved

Is Key Decision?: No

Is Callable In?: Yes

Date of Decision: June 16, 2025

Purpose:

Content: RESOLVED:   That the Strategic Investment Board agree the HGR strategy update, including the following substantive elements:   a)    All assets are now considered to be surplus to requirements for the delivery of Council policy. b)    In consideration that the Council does not require the assets for delivery of policy, the extinguishing of the long leasehold interest to HGR and the disposal of the freehold of the assets by the Council is to be accelerated where reasonable and possible and ensuring that HGR always acts as a responsible landlord. c)    When assets are disposed of outstanding loans on the asset will be repaid, any premium payments received by HGR for its long leasehold interest to be returned to the Shareholder by way of dividend. d)    Once all assets are disposed of, HGR should be dissolved and any remaining premium payments received by HGR for its long leasehold interest be returned to the Shareholder by way of dividend.   Reasons for Decisions:   To align with key strategic principles for the Council’s investments: Investments must either deliver a favourable financial return or provide a service. Investments for the purposes of trading or general commercial investment should produce a financial return that demonstrates financial benefits above the opportunity cost of investment and an agreed risk premium. An improved financial benefit can be gained from disposal of assets.   (The decisions on this item can be called-in by the Resources and Performance Select Committee)