Decision details

Proposed Development of North Westgate - In Principle Agreement for Use of the Councils Compulsory Purchase Powers - JUL20/CMDN/11

Decision Maker: Leader of the Council and Deputy Mayor of the Cambridgeshire and Peterborough Combined Authority

Decision status: Recommendations Approved

Is Key decision?: No

Is subject to call in?: Yes

Purpose:

The Cabinet Member agreed:

 

In principle to make a Compulsory Purchase Order ( “CPO”) under Section 226(1)(a) of the Town and Country Planning Act 1990 (as amended) for the acquisition of the land and interests within the area shown edged in red on the plan ( including the potential re-location sites shown Blue and Orange ) attached to this report for the purpose of enabling the carrying out of a scheme ( the “Scheme”) of development, redevelopment and improvement of part of the Peterborough City Centre ( the Property”) being satisfied that (i) the acquisition will facilitate the carrying out of the development, redevelopment or improvement on or in relation to the land, and (ii) the development, redevelopment or improvement is likely to contribute to the promotion or improvement of the economic, social and environmental wellbeing of Peterborough City Centre, and acquisition of any new rights pursuant to Section 13 of the Local Government (Miscellaneous) Provisions Act 1976 as may be required, for example for access and construction purposes. 

 

To authorise the Executive Director Place & Economy to take all necessary steps as considered appropriate to secure the making of the CPO including but not limited to; issuing notices pursuant to section 16 of the Local Government (Miscellaneous Provisions) Act 1976 (Section 16 notices), engaging, consulting and negotiating with landowners and preparation of documentation and undertaking all matters that the Council might need to undertake to inform a further report to Cabinet to resolve to make, the CPO if required. 

 

To authorise the Executive Director Place & Economy, in consultation with the Cabinet Member for Strategic Planning, Commercial Strategy and Investment to approve the acquisition of legal interests by agreement including for the purposes of resolving any objections to the CPO.

Reasons for the decision:

The proposed recommendations will enable the council and Hawksworth to progress the approved North Westgate scheme to the benefit of the City and its local economy.

Alternative options considered:

Given that Hawksworth own 50% of the land at North Westgate there appears to be four main options.

 

Option One - Do nothing. 

In this scenario Hawksworth can be expected to seek to implement the scheme without Council support potentially acquiring further properties as and when they come to the market. This is likely to materially delay if not prevent a comprehensive solution.   Hawksworth may determine to bring forward proposals for the incremental development of their land holdings at some point which would not be likely to provide the high-quality comprehensive solution to the regeneration of the area but may be difficult to resist if the Council is unwilling to support the comprehensive scheme at this time. Hawksworth could also continue to manage income from the car parks they own and, at some point, sell the land to a new investor. This option is unlikely to see regeneration taking place in the foreseeable future.  

 

Option Two - Attempt to buy out Hawksworth’s interest. 

Hawksworth have not indicated any willingness to sell their assets to the Council at this time and this would not address the issue of the remaining third party properties, which would be required for a comprehensive solution in any event. This option is likely to be achieved only at a premium to market value and would make it difficult for the Council to progress a viable scheme thereafter.  

 

Option Three - Pursue a CPO to acquire Hawksworth assets. 

Hawksworth would be expected to resist any CPO of their interest. As 50% site owners and given their willingness to progress a comprehensive scheme, which the Council has supported through both the planning consent and the resolution to enter the Collaboration Agreement, this would have little prospect of success, given the existing principal landowner of the site (Hawksworth) being ready and willing to develop in co-operation with the Council.

 

Option Four – Collaboration supported by the Council’s compulsory purchase powers where necessary (recommended option)

To agree in-principle, the making of a CPO pursuant to section 226(1)(a) of the Town and Country Planning Act 1990 at North Westgate, subject to a further specific resolution of Cabinet in respect of making, confirming and implementing CPOs, if required, and the relevant test satisfied, to support Hawksworth to deliver their approved scheme. This is the recommended option.

Interests and Nature of Interests Declared:

None.

Background Documents:

None.

Publication date: 10/07/2020

Date of decision: 10/07/2020

Effective from: 16/07/2020

Accompanying Documents: