Hampshire County Council

Executive Member for Policy and Resources

5 April 2007

Merton Rise, Basingstoke -

Procurement Update, Outcome of Phase 2 Marketing, and

Marketing Strategy for Phases 3-5

Report of the Director of Property, Business and Regulatory Services

(Summary of an EXEMPT decision)

1

Summary

1.1

The following decisions are sought.

That approval be given to:

a) The progress made on the procurement of the replacement secondary school and the implementation of the approved servicing strategy for the Merton Rise site;

b) The revised Procurement Strategy and Project Appraisal expenditure sums for the latter phases of the advance servicing arrangements for Merton Rise;

c) The use of Advantageous Purchase Funding (£50,000) to effect a small land acquisition to support the progress of the Contract 3 Advance Servicing works;

d) The selection of the preferred purchasers for the respective sub-phases of the Phase 2/Neighbourhood Centre Phase land on Merton Rise, with the Director of Property, Business and Regulatory (Head of Estates) authorised to settle detailed terms and conditions of sale, including any adjustment to the purchase price that may be agreed following a minor amendment to the scheme(s) of development; and

e) The proposed marketing strategy principles set out for the remaining phases of development of the Merton Rise site.

2

Reason

2.1

The development strategy approved for the Merton Rise site is based on a design led strategy to achieve the delivery of a contemporary, high quality exemplar urban extension. This will provide a mix of house types in terms of size and tenure, together with other local facilities (including a mixed-use neighbourhood centre and

new community secondary school) all with high energy efficiency to allow for a balanced community to develop. The approved, advance servicing strategy allows for the controlled, phased sale of land to support the Capital Programme. The approach to this project ensures that the quality of place is enhanced for the community.

3

Other options considered and rejected

3.1

As a largely unserviced site, one disposal strategy might have been to sell larger part of the site unconditionally on the open market. This would result in an uncoordinated, uncontrolled and discounted sale of the site with no ability to control the quality of the overall design, the context for the replacement school and to manage the flow of receipts as part of the Capital Programme. The strategy set out in the report attached supports the principle of disposal of sequentially released serviced land parcels to be sold on a conditional basis. As part of Merton Rise Phase 2, the Neighbourhood Centre will provide a vibrant heart to the overall development and will ultimately determine the longer-term success of the Merton Rise Scheme.

4

Conflicts of interest declared by the decision-maker or other Executive Member consulted - None

5

Dispensation granted by the Standards Committee - None

6

Reason(s) for the matter being dealt with if urgent - None