Housing Delivery Manager provided an update to the Committee on the
findings from the procurement and stakeholder/resident survey which
was undertaken to enable the Committee to make an informed
Committee noted that indicative costs for a new build community
centre would be around £2.5million. However, there was potential for residential
development on the Pavilion building site but this would still
leave a subsidy gap of just over £2m.
noted that a procurement process was undertaken to identify
suitable partners that would contribute towards the formulation of
the design brief, contribute capital to minimise the financial
commitment from the Council, manage the facility and steward it on
an arms-length basis from the Council.
A Prior Information Notice (PIN) was advertised on the Kent
Business Portal on 23 January 2019 and produced a total of 12
responses. Of the 12 responses, 5
responded by saying that they would be interested in participating
in the project.
were 3 respondents who indicated that they would be willing to
manage and steward a new or improved facility without long term
support from the Council. None of the
respondents could directly contribute monies to fully or part-fund
either a new or improved facility but 4 respondents could assist
with support for fundraising bids. One
respondent (National Pride) was happy to act as facilitator and
project enabler to find partners to contribute towards the design
also noted that the Royal British Legion Social Club had advised
the Council in February 2019 that it would cease trading later in
the year and therefore wanted to surrender their lease and vacate
the building. The Rugby Football Club
would be entering into a short term lease with the Council to
continue to operate from the building.
Committee commented as follows:-
·That the refurbishment and extension for Heather
House should be a priority before the residential units.
·That the long term future and maintenance of Heather
House should be looked at to ensure the same issue is not being
discussed in 13 years’ time.
response to questions from Members, the Officer advised
·An informative event would be held at Heather House
to enable the design team to engage with the local community and
·It would make more sense to have the same company
undertaking both the new build for Heather House and the
residential units. However, due
to the specialist nature of the refurbishment works to Heather
House, it might be necessary to have two separate contractors for
the new build residential units and the refurbishment works to
·The refurbishment works for Heather House are
reliant upon any land value generated by Maidstone Property
Holdings (MPH) for the residential housing on the Pavilion Building
site being paid to the Council and pledged towards the cost of the
refurbishment and extension of Heather House. A case would have to be made to Policy and
Resources Committee for an additional £600,000 from the
capital programme or alternative sources.
·That there was a delivery timescale of 18 months but
it was considered that this could be shortened to 12
·The indicative project costs related to the
refurbishment and extension of Heather House include contingency,
and a further 10% of on-costs such as consultancy fees.
RESOLVED: That the
Committee endorses that a follow up report is presented to Policy
and Resources Committee to consider the business case for Maidstone
Property Holdings Ltd to develop the Pavilion Building site for
residential housing in order to partially fund a refurbishment of
Heather House and to approve the final scheme costs and necessary
financial commitments associated with the development and
management of the Heather House and Pavilion Building sites,
subject to the necessary planning consent and tenders for the works
contracts being received for both schemes.