Decision details

117 Newbridge Hill Development Loan Approval

Decision Maker: Director Finance - Section 151 Officer , Chief Executive

Decision status: Approved

Is Key decision?: No

Is subject to call in?: No

Purpose:

On 13 February 2018 the Council approved a loan facility of up to £33.2M for the Council’s property development company. Agreement of each new loan are delegated to the Chief Executive and S151 Officer, in consultation with the Leader and the Cabinet Member for Homes & Planning (Cabinet Member title has since changed to Cabinet Member for Housing, Planning and Economic Development).
This decision puts in place the loan funding for the development at 117 Newbridge Hill, Bath, in line with the Shareholder approval. Revisions to the Business case, including updated sales values and tender pricing, reprofiled development timeline and revised cash flow forecasts have been submitted and these show that the forecast returns to the Council remain in line with the original business case.
The loan will be charged at a commercial rate and secured by a specific charge in favour of the Council over the site itself and all associated work in progress.

Decision:

Agreement to provide £600k of loan funding to Aequus Construction Limited to support the acquisition and delivery of the Shareholder approved housing development at Newbridge Hill.

Alternative options considered:

Option 1 - None
Option 2 -
Option 3 -

Publication date: 14/05/2021

Date of decision: 26/04/2021