Decision details
Amendments to Loan Facilities Agreements for Aequus Construction Ltd and Aequus Developments Ltd
Decision Maker: Director Finance - Section 151 Officer , Chief Executive
Decision status: Approved
Is Key decision?: No
Is subject to call in?: No
Purpose:
Following a review of the loan agreements
currently in place between the Council and ACL
Decision:
That in respect of the Facilities
Agreement between ACL, ADL and the Council, to
(i) Approve that the Tranche A loan availability period is extended
from 15 June 2019 to 31 March 2025.
(ii) Approve that the Tranche B loan availability period is
extended from 31 March 2020 to 31 March 2025.
(iii) Approve amendment to the authorised use of Tranche A loans to
include “refurbishment works for the provision of
housing” and to allow the conversion of Tranche A loans to
Tranche B loans where they relate to such refurbishment
works.
That in respect of the Development Facility Agreement between ACL,
ADL and the Council, to
(iv) Approve and increase in the “Total Commitments” to
£33.2 million from £20 million in line with the
Council’s approved capital programme budget for Property
Company Investment.
and that in respect of the approved loan in respect of the
Riverside Development, to
(v) Approve the increase in the maximum loan drawdown from
£9.3 million to £12 million in line with the updated
business case cashflow requirements.
Alternative options considered:
The alternative option would be to not update
the loan agreements, but this would leave the Council’s
housing company without access to the required funding to meet its
objectives as set out and agreed by the Council.
Publication date: 14/06/2019
Date of decision: 13/06/2019