RESOURCES SELECT COMMITTEE- 5 APRIL 2004
ACCOMMODATION REVIEW PHASE 3; UNITS 4 AND 5
MARINERS WAY SOMERTON
REPORT OF THE HEAD OF PROPERTY SERVICES
REASON FOR SELECT
COMMITTEE CONSIDERATION
Units 4 and 5 Mariners Way, Somerton, Cowes were purchased in early
2003 for co-location of the Library HQ, Education Stores, and other Services
stores. The building is now occupied
and Members views are sought as to the outcome of this project in relation to
its original aims of improving the utilisation of assets within existing
budgets by co-location of users to create economies to fund better service
facilities and service provision.
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ACTION REQUIRED BY THE SELECT COMMITTEE Members are requested to scrutinise and comment on the outcome of
this project. |
BACKGROUND
One of the initial priorities of the Property Task Group was the
relocation of library headquarters from Parkhurst and education stores from
Forest Road. Both buildings had reached
the end of their useful economic lives.
Co-location was recommended and the Resources Select Committee and
Executive approved the purchase of Units 4 and 5 Mariners Way, Somerton to
facilitate the following:
The building was purchased in early 2003, and has been fitted out as
the new Library Headquarters, which now houses 12 members of staff, and also as
the Education/Corporate stores, where there are 2 members of staff.
In addition to the building itself, part of the adjacent land has been
converted into a secure compound where library buses are parked.
The new stores provide a capacity of 7,800 cubic metres which includes
the library offices, and storage of records/files/equipment/furniture (the
previous buildings provided just over 4,000 cubic metres of storage).
The total cost of works including the acquisition of the property,
fees, adaption works, fitting out and equipment move was £741,000.
Appendix 1 comprises a balance sheet showing the capital receipts
and savings achieved in connection with the disposal or pending disposal of the
former library HQ building at Parkhurst, the Forest Road education stores, Unit
12 Dodnor Industrial Estate, and 8a Clarence Road, East Cowes. Particular reference is drawn to the capital
saving of £234,000, plus the £250,000 “writing off” of the maintenance backlog.
RELEVANT PLANS,
POLICIES, STRATEGIES AND PERFORMANCE INDICATORS
The acquisition of units 4 and 5 Mariners Way supports the Corporate
Plan and Community Strategy in that key objectives include:
The Council is also committed to improving service delivery.
CONSULTATION
PROCESS
This report is for the consideration of the Resources Select Committee.
FINANCIAL, LEGAL,
CRIME AND DISORDER IMPLICATIONS
Members are referred to Appendix 1.
Appendix 1 - Balance Sheet.
Appendix 2 -
Accommodation Priority Progress Report
Report
to the Executive dated 17 December 2002 – Paper F1 Accommodation Review Phase 3
purchase and disposal of capital assets.
Accommodation
Priority Progress Report.
Contact Point : Tony Flower, Head of Property Services, F 823263, e-mail [email protected].
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Capital Savings |
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Revenue Savings |
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Capital Expenditure |
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Revenue
Expenditure |
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4 & 5 Mariners Way, Cowes |
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£741,000 |
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£24,000 |
Former Parkhurst Library HQ |
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Annual Running Costs |
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£11,000 |
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Maintenance Backlog |
(£125,000) |
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Estimated site sale |
£550,000 |
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Forest Road Education Stores |
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Annual Running Costs |
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£25,000 |
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Maintenance Backlog (estimate) |
(£125,000) |
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Site sale (to exchange shortly) |
£375,000 |
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Unit 12 Dodnor Industrial Estate |
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Surrender of lease/annual costs |
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£15,000 |
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8A Clarence Road, Cowes |
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Annual Running Costs |
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£1,000 |
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Estimated site sale |
£50,000 |
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TOTALS |
£975,000 |
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£52,000 pa |
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£741,000 |
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£24,000 pa |
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(Total Maintenance Backlog) |
(£250,000) |
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Capital |
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Revenue |
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Total Capital Expenditure |
£741,000 |
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Total Capital Savings |
£975,000 |
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BALANCE |
£234,000 |
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Total Revenue Expenditure |
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£24,000 |
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Total Revenue Savings |
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£52,000 |
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BALANCE |
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£28,000 pa |