Decision details

The Cabinet Member for Business Services and Resident Experience also commended this second acquisition, which had been through the Investment Advisory Board, to Cabinet.

RESOLVED:

1.    That Surrey County Council provides equity investment and a long-term loan, both as detailed in the submitted report, to its wholly owned property company, Halsey Garton Property Ltd, as outlined in paragraphs 15 to 18 of the submitted report.

2.    That Legal Services be authorised to agree appropriate contractual arrangements for the provision of financing on behalf of the Council with funds to be released in accordance with the agreed payment structure and upon the completion of appropriate due-diligence in relation to the forward funding agreement and property acquisition.

3.    That Halsey Garton Property Group be authorised to acquire the long leasehold interest in the property detailed in the submitted report and to enter into a forward funding agreement with the developer.

Reasons for Decisions:

The provision of financing to the Council’s property company to facilitate the proposed investment acquisition is in accordance with the Council’s Investment Strategy and provides an asset that will contribute to the creation of a diversified portfolio over time to spread risk.

The investment will deliver an ongoing income to the Council, enhancing financial resilience in the longer term.