Decision details

The Development Agreement between Legal and General Development Assets Holdings Ltd and B&NES Council for Bath Quays North was entered into on 19 July 2019 and subsequently amended by Supplemental Agreement 1 on 8 October 2020.

A further supplemental agreement is now required to be entered to align approved West of England Combined Authority (WECA) funding changes, to be enacted through into the Development Agreement.

The Leader agrees to approve entering a Supplement Agreement to amend the Development Agreement for Bath Quays North between Legal & General Capital Investments Ltd, BQN Ltd (as novated from L&G Development Assets Holdings under supplemental agreement 1) and Bath & North East Somerset Council.

The supplemental agreement will vary the Deed of variation to progress infrastructure works prior to satisfaction of Conditions precedent and meet critical expenditure obligations under the WECA Local Growth Funding, which is the funding source for these works.

This decision is considered under Urgency Rule 15 (Constitution 4B Access to Information Rules) to enable contracts to be awarded and works to progress to meet grant agreement programme dates as defined and approved through the WECA Change Order to Council's LGF funding agreement. To not proceed under urgency powers will risk the Council not being able to comply with these.

Do nothing – The Council does not undertake the advance enabling works, these works are undertaken once Conditions Precedents achieved, negating the need to amend the Development Agreement. However, this option was rejected as the grant funding would be lost, resulting in a viability gap.