Item 13 - Lease of West Dunbartonshire Activity Centre
West Dunbartonshire Council · 22 May 2024
Back to Infrastructure, Regeneration & Economic Development Committee — 22 May 2024 and its agenda
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WEST DUNBARTONSHIRE COUNCIL Report by Chief Officer: Resources Infrastructure Regeneration and Economic Development Committee: 22 May 2024 ___________________________________________________________________ Subject: Lease of West Dunbartonshire Activity Centre, 73 Ardoch Crescent, Brucehill, Dumbarton G82 4EN 1. Purpose 1.1 The purpose of this report is to seek Committee approval for West Dunbartonshire Council (the Council) to approve the lease of West Dunbartonshire Activity Centre (the Centre) to West Dunbartonshire Gymnastics Club (the Club). 2. Recommendations 2.1 It is recommended that the Committee: (i) Approves lease of West Dunbartonshire Activity Centre for a period of 10 years to West Dunbartonshire Gymnastics Club. (ii) Authorises the Chief Officer Resources to conclude negotiations. (iii) Authorises the Chief Officer Regulatory and Regeneration to conclude the transaction on such conditions as considered appropriate. 3. Background 3.1 In March 2023, as part of savings options put forward to address a £21million budget gap, members agreed to review community facility provision, across West Dunbartonshire. The review sought to reduce the provision to a level more consistent with neighbouring local authorities and address reduced usage post-pandemic. Transferring responsibility to manage and control community facilities to voluntary organisations through community lease arrangements would reduce the costs to West Dunbartonshire Leisure Trust and the Council. 3.2 Officers of the Council have engaged with the Club with a view to them assuming full responsibility for the Centre when it closes. The Club currently have a month-to-month licence of the Centre which allows them use of the Hall 3 days per week at specific times contained within the terms and conditions. ITEM 13
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4. Main Issues 4.1 The Club was founded in 2011 and moved into the Centre in 2018. They are fully committed to the local community. 4.2 The Club offers a wealth of opportunities to local children by providing: • classes to children of all ages, 6 days per week throughout the year • use of the Centre for gymnastics training to over 550 members per week • competitive and non-competitive gymnastics classes. • scholarship arrangements for local children who wouldn’t otherwise be able to attend classes. • a weekly disability training session for young members and the wider community, with the ambition to create a display team (In partnership with the local Dunbartonshire Disability Sports Club and West Dunbartonshire Leisure Trust) • a pathway for young gymnasts in the area to access new skills and training through their coaching pathway. Many of these young local volunteers develop into their coaching workforce within the Club and become employed as Club coaches. 4.3 The Club have created a strong bond with the wider West Dumbarton community. During the summer months they offer free gymnastics taster sessions for non-members and work together with West Dunbartonshire Leisure Trust to deliver Summer Camps during the school holidays. This helps to support working families by providing recreational activities for children throughout the summer period. 4.4 The annual market rent for the Centre is £17,000. A 2-year rent free period and subsequent rental payments have been agreed, as follows: Year 1 Free Year 2 Free Year 3 £14,000 Year 4 £16,000 Year 5 £17,000 4.5 The Club have requested an option to carry out a review on an annual basis, should they feel it is necessary, and if they consider the Centre is no longer a viable option they shall, on serving of a 3 month notice period, be allowed to exit from the lease. This is an agreeable condition and will be incorporated into the lease. 4.6 The Centre was fitted out as a purpose-built facility by the Club in 2018 which they maintain and repair with a schedule of conditions being prepared on date of transfer.
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4.7 It is intended that any necessary statutory repairs required by the Council as landlord will be completed prior to the date of entry. Costs for these works are in the region of £15,000. 4.8 It is intended that the Club will benefit around £30,000 from the General Capital Community Success Fund, created by Council as part of agreeing the 2024/25 budget, to pay for a number of other repairs to ensure that the Club are not overly burdened from the outset. 4.9 West Dunbartonshire Leisure Trust Sports Development will continue to require access to the Centre for 15 hours per week over 38 weeks. In addition, a further 77 hours for School Holiday Camps. The Club will benefit from an income associated with this usage which will assist with the anticipated running costs. 4.10 The offer of lease to the Club is subject to agreement of the usual terms and conditions associated with a full repairing lease. 4.11 The club will work with West Dunbartonshire Leisure Trust in the coming months to ensure existing uses can be maintained. 4.12 As part of the lease agreement the centre will continue to be used as a polling station. 5. People Implications 5.1 There are no significant people implications other than the resources required by Legal Services and Resources to negotiate and conclude the transaction.. 6. Financial and Procurement Implications 6.1 The Council will benefit from an annual rent for the centre. 6.2 West Dunbartonshire Leisure Trust will no longer incur resources in managing and maintaining the centre. 6.3 West Dunbartonshire Leisure Trust will generate a revenue saving of approximately £142,258 per annum achieved via property and running costs. 6.4 No financial outlays are required by the Council to facilitate this arrangement. 6.5 There are no procurement implications arising from this report. 7. Risk Analysis 7.1 The lease will be subject to is subject to legal due diligence. There is a risk of the lease not proceeding due to any emerging issues during the diligence and leasing process. This is standard for any lease transaction.
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8. Environmental Sustainability 8.1 An up to date asbestos report and other relevant safety documentation will be provided for the centre and passed to the club. 8.2 Any refurbishment of the centre will require to be in line with current building standards. 9. Equalities Impact Assessment (EIA) 9.1 An Equality Impact Assessment is not applicable for the purpose of this report. 10. Consultation 10.1 Consultations have been undertaken with Finance, Regeneration and Regulatory, Greenspace, Citizen Culture & Facilities and West Dunbartonshire Leisure Trust. 11. Strategic Assessment 11.1 By agreeing to this proposal WDLT will benefit from savings in relation to operating costs and maintenance. 11.2 The recommendation in this report supports the delivery of the Council Strategic Plan and in particular the achievement of the following priorities: o Our Communities – Resilient and Thriving; o Our Council – Inclusive and Adaptable Laurence Slavin Chief Officer: Resources Date: 25 April 2024 Person to Contact: Michelle Lynn, Asset Coordinator. Email: michelle.lynn@west-dunbarton.gov.uk Elaine Medinelli, Estates Surveyor. Email: elaine.medinelli@west-dunbarton.gov.uk Appendices: None Background Papers: None Wards Affected: Ward 3