Issue details

The Development Agreement between Legal and General Development Assets Holdings Ltd and B&NES Council was entered into on 19 July 2019. Cabinet Decision E3122 provides the delegation of approval to the Director of Economy and Growth, in consultation with the Leader, Chief Executive and S151 officer to agree all ancillary documents to facilitate the carrying out of the redevelopment of the site.

The Development Agreement is now required to be amended by entering into a Supplemental Agreement. The Supplemental Agreement concerns actions required of the Legal and General developer partner ahead of achieving the Conditions Precedents, this constitutes a variation to the agreed terms, as follows:

Early Works

• The DA Annex 25 is replaced by the updated Early Works Cash Flow spreadsheet appended to the supplemental agreement.

Early Works Professional Fees
• Items 1.01 to 1.14 of the Early Works spreadsheet represent the Early Professional Fees.
• Payment of any item of Underwritten Early Professional Fees shall operate to reduce the Maximum Commitment and Relevant Maximum Commitment(s) as set out in the Schedule as if such item had been claimed by the Developer i.e., the grant funding.
• In the event that the Development Agreement is terminated prior to the Phase Conditions Satisfaction Date in relation to Phase 1, the Council obligation contained in paragraph 2.5.1 of the Schedule in relation to the repayment of Early Professional Fees shall exclude any Underwritten Early Professional Fees.

Additional Planning Fees
• BANES will reimburse amounts expended by L&G in payment of any or all of the Underwritten Planning Costs.
• L&G agree to repay to BANES any amounts expended in payment of any or all of the Underwritten Planning Costs within ten Working Days after the earlier of:
o the Phase Conditions Satisfaction Date in relation to Phase 1; and
o the date of termination of the Development Agreement (unless at the date of termination the local planning authority's planning committee has resolved to approve or refuse the Planning Application or the local planning authority has granted the Planning Permission or refused the Planning Application, in which circumstances we will not be obliged to repay you).