HAMPSHIRE COUNTY COUNCIL

Decision Report

1. Executive Summary

1.1. The purpose of this paper is to report on projects put forward by the district councils for funding from the Capital Funding Programme.

1.2. This paper proposes suitable projects capable of commencing and possibly completing in the current financial year for allocation of funds from the 2009/10 provision.

1.3. This will increase the impact of the programme giving regard to limited funds and resources available as well as provide an additional stream of funding for small-scale projects within the districts that may otherwise not receive the required attention.

1.4. The proposed involvement of districts will not have staffing implications as it is a condition that all such projects are administered and run by the initiating district with the Economic Development Office monitoring progress by means of regular updates.

2. Contextual information

2.1. The County Council's Policy and Resources Capital Programme has for some years included an annual provision for capital projects in support of economic prosperity.

2.2. The programme is administered by the Economic Development Office and is focused on supporting projects which further economic development and prosperity in the county. The aim is to support a stable and robust local economy, aid business competitiveness, encourage growth of small firms and business start-ups and to act as a catalyst for targeted capital investment with the emphasis on the older urban boroughs.

2.3. The overall sum available from the Capital Programme now stands at £157,000 for 2009/10. There is no specific allocation within this for the District projects.

2.4. The bids received have been assessed against the criteria set out in Appendix C.

3. Finance

3.1. A total of four bids has been received to the value of £60,000. Copy bids attached in Appendix D.

4. Performance

4.1. Each of the selected projects will be administered and delivered by the proposing party.

4.2. Hampshire County Council Economic Development Office will monitor the delivery of these projects by means of regular progress reports from the project administrator (every six months from the commencement date).

5. Recommendations

5.1. That funding under the Capital Funding Programme for the projects put forward by district councils be allocated as follows:

(i) £20,000 - Swan Studios project (Eastleigh Borough Council) be approved subject to all other funding being in place and planning permission and/or any other relevant consents being obtained.

(ii) £20,000 - Shop Front Improvement Grants (Eastleigh Borough Council) be rejected for the following reasons:

(a) while the grants envisage 50% contribution from the participating retailer, no match funding is to be provided by Eastleigh Borough Council itself; and

(b) a grant has been recommended for approval for another project (see (i) above) put forward by Eastleigh Borough Council.

(iii) £5,000 - Forest Centre (East Hampshire District Council) be rejected for the following reasons:

(a) the proposed expenditure is not well related to the criteria and it is questionable if this is capital in nature; and

(b) Hampshire County Council's Environment Department has already invested some £669,000 in this project and as such any further financial support by the County Council is not recommended.

(iv) £15,000 - Business Incubation Centre (Basingstoke and Deane Borough Council) be approved subject to all other funding being in place to enable the project to move into implementation stage and a requirement that the funds be spent on equipment only.

5.2. That in all cases funding is approved subject to a requirement that the involvement of Hampshire County Council is acknowledged by the Applicant Council in all publicity material.

2186Rpt/961/LH

CORPORATE OR LEGAL INFORMATION:

Links to the Corporate Strategy

IMPACT ASSESSMENTS:

1. Equalities Impact Assessment:

1.1. Not applicable.

2. Impact on Crime and Disorder:

2.1. Not applicable.

3. Climate Change:

a) How does what is being proposed impact on our carbon footprint / energy consumption?

The impact on our carbon footprint / energy consumption will be minimal (if at all).

b) How does what is being proposed consider the need to adapt to climate change, and be resilient to its longer term impacts?

Not applicable.

Selection criteria for qualifying Capital Funding Programme projects

The Programme has been in operation for some years and has supported internally generated schemes under the following broad headings:

1. Rural Regeneration

2. Deprived and Urban Areas

3. Small Firms Accommodation.

In addition to the above, it is a requirement that all projects fall within the general criteria which was left deliberately wide so as to allow for a variety of projects to come forward. The criteria is set out below:

- Capital in nature

- Furthering economic development and prosperity in Hampshire

- Aid business competitiveness

- Encourage small firms growth and business start ups

- Investment in older urban areas with pockets of deprivation

- Running and managing the project is a responsibility of the applicant and Hampshire County Council resources will not be relied upon

- Project offers sound exit strategy and long-term commitment will not be imposed on Hampshire County Council

- Availability of match funding (for external projects only).

Summary of bids received by the closing date of 28 August 2009

D1 Swan Studios, Eastleigh (Eastleigh Borough Council) - £20,000

A proposal to convert an empty shop unit in Swan Centre, Eastleigh to designer/makers' studios and retail space. This will support existing small businesses and encourage start ups in the creative industries in the borough as well as generate additional footfall and income for the Swan Centre.

D2 Shop Front Improvement Grants, Eastleigh (Eastleigh Borough Council) - £20,000

A proposed shop front improvement scheme aimed at independent and small retailers within a specific area on a 50% match funding basis. This is aimed at supporting local independent retailers and assisting in achieving one of Eastleigh's key objectives of raising the profile and potential of the town and district centre.

D3 Forest Centre, Whitehill Bordon (East Hampshire District Council) - £5,000

Purchase of native plants to complete a landscaping scheme at the Forest Centre in White Bordon. This will provide a significant improvement to the town's amenities and help create the beginning of the green infrastructure envisaged as part of the masterplan for the development of Whitehill Bordon.

D4 Business Incubation Centre, Basingstoke (Basingstoke and Deane Borough Council) - £15,000

Purchase of equipment as part of a project to establish an incubation unit in Basingstoke in partnership with a not-for-profit operator. The incubation unit is envisaged to encourage creation and support of new knowledge based businesses in the area as well as promote the regeneration of Basing View development in Basingstoke.

SWAN STUDIOS

APPLICATION FOR CAPITAL FUNDING TO HAMPSHIRE COUNTY COUNCIL

1. Introduction

This application is for £20,000 as a contribution to the capital costs of conversion of an empty shop unit in the Swan Centre, Eastleigh into designer/makers' studios and selling space.

Creative industries has been identified as a growth sector for South Hampshire (TBR report 2008, commissioned by PUSH) The Eastleigh Borough Capital Needs Survey, artist surveys and creative industries research has highlighted the lack of affordable studio space in the borough, limited exhibition space and the need for more targeted business support to the creative industries. The EBC Cultural Strategy and Prosperity Delivery Plan both look to use the creative industries to stimulate the economy in line with regional and national priorities. An innovative project called Domicile has started at the Point in Eastleigh to help performing artists develop a sustainable business. Further information on the significance of the creative industries can be seen in Appendix A.

The council already support business start-ups via projects such as Wessex House, which have highlighted the benefits of supporting new businesses. This has included some aspects for the creative industries such as production companies, design companies and web development companies amongst its clientele, but not the designer/maker market.

The growing number of vacant or underused properties in Eastleigh town centre has led the Town Centre Programme Board to consider the possibility of these properties being let on short term, low cost leases to artists and other creatives. As a first initiative a large scale shop unit at the Swan Centre has been identified as a potential communal artist's space with a number of workshops, exhibition and selling space being housed in the unit.

2. Project description and aims

_ To fit out an empty shop unit at The Swan Centre to provide affordable studio spaces for artists and creatives

_ This project will act as a pilot Creative Industries Quarter to assess opportunities to develop such facilities as part of the sub-regional economic agenda

_ The project will encourage and support the growth of the creative industries by providing integrated business support, advice and training as part of the package to encourage new businesses to locate here.

_ To act as a catalyst for future development of creative industries in the area and bring a new dimension to the visitor economy of Eastleigh and possible future funding

The project has the support of the Swan Centre management organisation, with a commitment in principle to lease the premises rent free for the first 5 years (service charges and business rates excluded). The unit will be leased to the Council and managed by "a space", an arts organisation with experience of managing the successful Arches studios in Southampton, the Bargate Gallery and the Arts Vaults annual exhibition.

3. Feasibility study

There are certain challenges inherent in developing this type of business in Eastleigh over the medium to long term and to understand these more fully a feasibility study has been commissioned by Eastleigh Borough Council:

· to assess the suitability of the premises available and advise on uses and focus of the project

_ To cost the conversion of the space required

_ To draft a business plan for the management of the Swan Studios

The feasibility study has reported (in draft) at the end of July with the following broad conclusions:

· The space available is suitable for the purpose, and could accommodate up to 22 small business/retail units, each paying a rent of approximately £80 a month, and 3 mid career companies.

· The project would reach financial viability within 3-4 years but will need some element of public subsidy until then (reducing from approx £12,000 a year to £0 over the 3 years)

· The types of creative businesses most suitable for this initiative were high quality designer makers, particularly in the fields of fashion, product and textile design, potentially including furniture and accessories, jewellery, ceramics and sculpture (also known as applied arts, or craft). There are over 32,000 professional makers in this sector, which generates a turnover in England and Wales for 2003 (latest comprehensive figures) of £826 million. `A Space' in Southampton has a waiting list of 27 artists wishing to rent out premises and is confident that there is a market for number of artists/makers required.

· The cost of conversion has been estimated at approximately £100,000, depending on the level of fitting out and the number of units to be developed at the start. Conversion and fitting out of the premises will be contracted out but managed by Property Services in EBC.

An Executive Summary of the draft feasibility study is appended to this report as Appendix B. This demonstrates the extent of the research that has been undertaken to establish the viability of the project and the direction to take for the future. However the report is still in draft form and will not be completed until October, after which it will be presented to the Urban Regeneration Board of EBC, with an application for financial support.

It is hoped that once support has been confirmed then the refurbishment could commence in early 2010.

4. Budget and Costing

The costs have been estimated at approximately £100,000, including some basic building works to the premises (including installation of a sprinkler system, connection to services and levelling of flooring), fitting out of 22 individual units, retail glass cabinets and refurbishment of the balcony area as an advertising, open retail space. The exact contribution of each funder to the costs has yet to be negotiated but it is anticipated that funding will be sourced from:

· Eastleigh Borough Council

· Pruprim (Swan Centre Management company)

· Hampshire County Council

· University contribution (to be discussed)

· Arts Council

5. Controls and Management

The project would be managed by the Economic Development and Cultural Units of Eastleigh Borough Council as the commissioning agency. The day to day management of the Swan Studios, once operational, would be by an arts organisation with experience of running artist's studios and providing business support and advice for the creative sector. A programme of business advice and training will be put together in collaboration with CIBAS.

A Steering Group is being established which will involve the Universities, Economic Development, Cultural Unit, Asset Management, Swan Centre, and A Space.

The management information to be provided for the first year would be

· Spend against budget, with variations of +/- 10% explained

· Number of occupied units

· Numbers of start up businesses in the creative sector supported

· Report on public response and customer satisfaction

· Report on first year of business, footfall etc.

A proposal for the marketing and promotion of the project is described in Appendix C.

6. Timescale

The final feasibility report will be presented in October and the approval of the Urban Regeneration Board to take the project forward will then be confirmed. The refurbishment of the studios can start in early 2010, with an estimated timescale of 9 to 12 weeks for completion. The studios will be open for graduate companies and early stage start ups from the summer of 2010.

7. Outputs

· Space for creative industries will be developed out of unused premises in Eastleigh

· Promotion and marketing of artists and creative businesses to help them become self sustaining

· A target of 22 start up and early stage businesses will be supported with a programme of business mentoring, advice, and training.

8. Conclusions

This is an exciting opportunity to develop creative businesses in Eastleigh and start to turn around perceptions of the town centre to become a place where innovation and high quality design has a central role in the town centre experience. It addresses many key strategies for the area in terms of town centre regeneration, development of creative industries, delivery of the strategic priorities for prosperity and culture. Hampshire County Council's contribution of £20,000 to the overall costs will have a key role in enabling this project to come to fruition by unlocking funding from a range of agencies.

APPENDIX A

APPLICATION TO HCC SWAN STUDIOS

Creative Industries

The Creative industries comprise those organisations that engage in activities that have their origin in individual creativity, skill, and talent, and that have the potential for wealth and job creation through the generation and exploitation of Intellectual property.

Approximately two million people are employed in creative jobs in the UK and the sector contributes £60 billion a year (7.3 per cent) to the British economy. Over the past decade, the creative sector has grown at twice the rate of the economy as a whole and is well placed for continued growth.

The Department for Culture, Media and Sport defines the creative industries as Film and video, Music, Art and antiques markets, Architecture, Performing arts, Interactive Leisure Software (Computer and video games), Advertising, Publishing, Crafts, Design, Television and radio and Designer fashion. In addition, the cultural heritage, tourism and museum industries are identified as being closely related to the creative industries; particularly in the provision of services which often fall within the definition of creative industries.

This report identifies one particular area of the creative industries, the `designer maker' (broadly captured above within the areas of craft and design) as the most appropriate occupants for the project. New research undertaken by Creative & Cultural Skills `The Footprint 08/09' gives a comprehensive picture of what this part of the sector looks like.

Design-led craft generates almost £3 billion GVA to the UK economy each year making it the fourth biggest sector with design third (after performing arts and music). Over 80% of the sector comprises small businesses employing 1-5 people.

The craft sector has one of the highest employment growth rates (11%) in the creative and cultural industries (according to DCMS between the years 1997 - 2006) and the demand for craft skills has never been higher.

From our research, there are a range of courses locally (and sub regionally) offering education and training in this area and we are therefore confident that sufficient interest could be generated in this project to attract appropriate occupants.

Economic impact:

· The craft industry contributes £3 billion GVA to the UK economy each year, which is greater than the Visual Arts, Cultural Heritage or Literature sectors

· There are at least 88,250 creative practitioners working in the craft sector across the UK

· The craft sector represents 13% of all those employed in the creative and cultural industries

· On average, craft practitioners contribute £33,270 GVA per annum to the UK economy; only just below the UK average of £36,750 for the creative and cultural industries.

(Creative & Cultural Skills. (2009). Craft: Impact and Footprint. Creative & Cultural Skills)

· The value of actual sales by contemporary makers doubled between 1994

and 2004 (Crafts Council. (2004). Making It in the 21st Century. Crafts Council).

· Research shows potential for a further 63% growth within the UK contemporary craft market as well as strong aspirations and opportunities in the craft sector for increased export activity (Arts Council England. (2006). Making it to Market. Morris Hargreaves McIntyre).

Craft employment growth increased by 11% between the years 1997 and 2006, one of the highest growth rates of the creative and cultural industries. (Department for Culture, Media and Sport. (2009) Creative Industries Economic Estimates Statistical Bulletin. DCMS).

APPLICATION TO HCC SWAN STUDIOS APPENDIX B

DRAFT

Meet the Makers

A feasibility report for Eastleigh Borough Council

Authors - Mick Smith and Daniel Crow

July 2009

`...we value creativity more highly than ever, and cultivate it more intensely.' - Richard Florida, Rise of the Creative Class, 2002

Executive Summary

Establishing a new community of creative businesses in retail units within The Swan Centre, Eastleigh, is a worthwhile and achievable aim, though not without its challenges. Having completed our feasibility study, it is clear that there is great merit and clear benefit in the idea, but that there are also both financial and conceptual hurdles to overcome if this project is to stand a good chance of achieving it's economic, cultural and regeneration goals and be financially sustainable within a reasonable period of time (3-5 years).

This is possible to achieve, we believe, but both the Swan Centre and / or the Council may need to consider a greater element of commitment than initially envisaged, or a rethink as regards either the nature, or the location of the project.

The main challenge in our opinion, lies in reconciling the retail and workspace aspects, both maintaining a sufficient scale of workspace and still exploiting some of the benefits of its retail setting. This is quite a trick, but both possible, and necessary to do, in order to achieve longer-term sustainability.

The space

Fundamentally, the physical location of the retail units earmarked for this project is suitable enough and the available space achieves sufficient size / scale to be financially viable as a stand-alone studio complex.

Although these units have never been occupied since the Swan Centre was opened (and are slightly out of the way on the first floor) we believe that their position in the centre is not a major drawback and that they could easily exploit the existing public footfall to the Swan Centre café, car park and library with the support of a strong branding and marketing campaign.

Mindful of the strong demand for studio space AND a route to market within the creative industries, we developed (through working with MG Barker) a design layout for the space. This incorporates mixed retail and studio space, with variously sized studios, to meet the needs of businesses at different stages of their careers, whilst also leaving sufficient space for a `retail experience' (retail display cabinets and open space allocation for walk round customer browsing) as well as space for workshops and demonstrations (or working on a larger scale).

The potential occupants

Looking at the many different types of businesses / practices within the creative industries, the joint retail / workspace nature of the development, the relevant HE and FE courses available locally and the existing cultural and business offering in the area, we identified that the types of creative businesses most suitable for this initiative were high quality designer makers, particularly in the fields of fashion, product and textile design, potentially including furniture and accessories, jewellery, ceramics and sculpture (also known as applied arts, or craft).

This sector enjoys a mixed relationship with some of the other creative industries but is essentially retail / wholesale based, and surprisingly entrepreneurial. Though it is often derided as either lifestyle, heritage or amateur, in reality 32,000 professional makers in this sector generate a turnover in England and Wales for 2003 (latest comprehensive figures) of £826 million, which is / was greater than the fishing division, the forestry and logging division, the manufacture of motorcycles and bicycles or the manufacture of sports goods.

On initial observation, it would seem clear that the combined studio, retail, display approach would work well as a design concept for this sector of the creative industries for the following reasons: -

· They sell (directly or indirectly) to the public

· The process of making is itself often interesting or attractive, which in turn adds value to the pubic experience.

· The bespoke, quality interaction, never more important than in our modern, homogenised world.

Whilst this all holds true, our market research (involving discussion with a range of makers, at different stages of their careers as well as various organisations providing studio space and professional development to this sector and a survey of the relevant economic and business data on this sector) threw up some challenges to this model, for a project located in the Swan Centre, from a `career' designer maker's point of view.

Firstly, for mid career, established designer makers in particular, the idea of having a working studio in a `public' space is not attractive as they have already developed outlets for their products, are focused on design and production, and would (in the words of one maker) `frankly rather not be disturbed'. This understandable desire for privacy can be factored into our design to some extent, as the larger units are inherently less accessible than the smaller ones, but it does begin to cut across one of the principle aspects of our design, namely the combination of retail space as well as studios.

The market for retail

Another issue that became clear from our research is that the current demographic of Swan Centre shoppers and Eastleigh in general, does not align particularly closely with the `aspirational' customer base of the majority of career designer makers, who would be aiming to sell through more up market regional and national outlets.

Amongst some of those surveyed, that know the area, the `Beatrice Royal' experience is cited as demonstrable evidence that reinforces this view of the lack of a developed market locally, for high quality craft items. This may at first glance seem an easily remedied mismatch from a purely retail perspective, but for the tricky issue of ensuring quality, alluded to above.

Some proportion of a professional designer maker's work is likely to be suitable and available for retail sale in the Swan Centre. But there is no capacity to employ a craft buyer for the space (see below - Central Retail) and for a maker, prioritising this type of output over the search for more substantial commissions, exhibitions and retail destinations is likely to act against the successful development of their creative business, meaning that eventually, the project may fail.

In reality, this means that the project is unlikely to exploit its retail setting in the same way as another business might do in the same space. Therefore, some negotiation, as well as some creative thinking and experimentation may be necessary, to arrive at an ideal solution which does not dumb down the unique, quality retail product, but still makes sufficient overall income to sustain itself in the longer term.

This market for original, high quality design and craft items could certainly be developed in Eastleigh over the medium to long term, with it's proximity to more affluent areas such as Chandlers Ford and Winchester. However, the project would require ongoing financial support during this market development phase, entailing further investment in order to achieve this worthwhile aim.

Earlier career designer makers seemed to be more comfortable with the `public' element of the studios, as customer interaction and market research and intelligence is vital at this stage of one's career. Provided that graduates can be encouraged to develop a practical outlook and realistic expectations (through outreach work with colleges and universities while the potential applicants for the project are still students) this could be a rich source of tenants who would be ideal for the project.

Central Retail?

In considering the retail options, we also looked at the idea of central sales staff for the retail side of the project, in order to broaden the sourcing of appropriate stock (using a buyer to select from a wider geographical area and develop an dynamic and suitable retail offering for the space).

We quickly discarded this idea on the grounds of ongoing cost, as it is unlikely that sales commission income would exceed (or even equal) the salary cost of employing shop staff given the limited amount of space, within the early years of the project. However, the idea does have clear merit and if ongoing investment is considered, then this may merit further consideration on the grounds of improving the overall offer and generating an increased income stream.

Without providing central sales staff, it is difficult to justify the project charging makers a commission on sales, as would be common within a gallery shop or similar outlet. This means that the reliable income streams for the project are limited to studio rents, with a notional amount (estimated as we have been unable to reliably bottom out demand at this stage) potentially achievable from the hiring of additional display space.

Conclusion

This difficulty in diversifying potential income streams to include retail has financial implications for the project, as can be seen in the revenue projections. To summarise rather brutally, utilising the current layout, the project is not financially viable until year 4.

It is clear therefore, that there is an imbalance between the likely scale of direct retail activity in the space (which would probably be minimal, at least in the early years of the project) and the level of service charge payable to the Swan Centre by the project (set at a level designed for businesses conducting profitable commercial retail activities).

Some options for consideration

In our opinion, there are a number of ways in which this project could be delivered successfully (involving altering the set up / layout or the underpinning finances) all of which may merit further consideration. These are set out below.

Negotiate service charge down to sustainable level for the project as currently envisaged. This would seem to be the obvious solution. The space has been unoccupied for 20 years, this is an inspiring project, whose success can surely only be good for Swan Centre business. Some reduction or staging of the service charge to reflect the evolution and maturity of the project would improve the revenue projections in the current model. For example, if the service charge is waived in year 1, halved in year 2 and at full rate from year 3, the project would be in profit at the end of year 5.

Look for an alternative space in Eastleigh with lower overheads. This would provide the project with a greater level of financial flexibility thereby creating more scope for evolution and experimentation, in order to hone a high quality, sustainable retail / studio offering over time.

Source a more marketable group of creative businesses, whose products would be to the current demographic of the Swan Centre. These may exist - potentially the project could develop a `fashion accessories' or similar niche retail market for instance?

We believe that some further dialogue with HE and FE providers (not possible to achieve as part of this feasibility study as the universities and colleges are already out for the summer) would be useful, in order to review our assessment of the most marketable cluster of creative business start-ups, which might then more closely suit the current demographic of the area, whilst also maintaining the level of quality necessary for the project to succeed.

However, we feel it wise to offer a note of caution, when considering this approach. This option would more closely align the success of the project, to the achievement of retail sales locally (i.e. the success of the Swan Centre as a retail destination) in a recession, whilst at the same time narrowing down the potential field of applicants for the space, thereby excluding some of the common career and practice development pathways from which promising future tenants may emerge.

Set project up solely as studios, leaving aside retail aspects and maximising workspace. This would entail reworking the plans to maximise studio capacity, utilising the space currently set aside for retail.

This would involve a redesign of the plans, but we believe (as illustrated in the spreadsheet `IncExpV2') that there is sufficient space / scale (narrowly) to construct a viable project, based around the provision of creative workspace. In this scenario, the project would obviously not be exploiting the potential of it's retail setting, but it would make the initiative financially viable as well as achieving the initial aims of the project.

Appendix C - Marketing and promotion Strategy

· To identify methods of attracting tenants to the units and marketing the scheme to a wider audience

· To promote the retail customer base

Aims

To identify methods of attracting tenants to the units and marketing the scheme to a wider customer base both existing (Swan Centre) and aspirational (Winchester etc.)

Activities

1. Pre launch activities

Promoting the project

Archers - 2 (Jo Le Page +April)

Crafts council website

Craft markets

Adverts in paper

Creative networks

Via CIBAS and other bus support orgs

Word of mouth

Uni's include Ports/Winch/Soton x 2/Chichester/UCCA

Careers service?

Course tutors?

www.ccskills.org.uk

The Making

Making Space

Hampshire Artist's Open Studios

Networks such as the Southern Ceramic Group

Eastleigh is geographically well placed to utilise the regular cohort of post graduates as produced by the Universities located in the PUSH sub region. The Universities combined produce 7000 - 8000 graduates every year in courses relevant to the creative industries. X% of these would be related to the `designer / maker' sector, these post graduates will be a key building block for developing a community.

It will be crucial to pro actively work with the Universities and Eastleigh College, engaging with the under graduate population during the second and third year of their courses in order to encourage enough of the student body to stay and grow their creative career in the area.

Whilst this work has begun through projects such as the Arches in Southampton, Eastleigh could be uniquely positioned in offering specialist `designer / maker' facilities and therefore be successful in growing a community with a specific and focused practice.

...Course leaders / Deans etc

...Existing mid career artists / businesses

Promotional campaign - aimed at makers and public (customers)

website

email/print/post - promotional info on project

Visits to colleges and Uni's

Press pack and promotional campaign

Public workshops/demo's and other activities in the Swan Centre (public space) to raise awareness of the project

Application process and panel

2. Launch activities

invites

speaker/worthies

entertainment

catering

pack for guests - the tee shirt...

small budget for display and promo costs of makers

3. Post Launch activities

Regular workshops/demonstrations - The public participating in the workshops whilst also offering tenants the chance to run courses adding to the income

Financial incentives

- Bursaries

- Rent free period

- start up grant - publicising the availability of this

Resources

Posters/Flyers

pdf versions

Website

Use of Swan Centre website and poster slots

Capacity - EBC marketing dept?

PROPOSAL FOR SHOP FRONT IMPROVEMENT GRANTS FROM EASTLEIGH BOROUGH COUNCIL

Introduction

This proposal is to Hampshire County Council for £20,000 capital funding for a shop front improvement grant scheme. This scheme will contribute significantly to one of Eastleigh's key objectives in its Prosperity Delivery Plan "vibrant town and district centres".  The funding will be used to 50% match fund improvement initiatives from independent and small retailers in the town and one other district centre, up to a maximum of £2,000 per grant. In total a minimum of 10 grants will be allocated, although some retailers may not take up the full offer, therefore there is potential for up to 15 grants to be made available.

The timescale of this project is to start in October with a marketing campaign, with 50% of the grants allocated before the end of March 2010 and the remainder before the end of 2010.

Project aims and description

The Shop Front Improvement Grant Scheme aims to bring about substantial improvement in the physical appearance and condition of shop fronts within a specific area. In addition, the visible effects of this initiative will assist in another key objective - to raise the profile and potential of the town or district centre to attract additional retail development and investment to gather momentum for town centre activity and growth.

Grants will be made available to independent retailers or franchisee holders to cover 50% of the costs towards improvements to their premises, up to a maximum grant of £2,000 (i.e. £4,000 worth of improvements). These improvements could cover the following works (not exhaustive):

· Replacement of shop fronts or facades

· Facia boards and other signs

· Traditional ironwork

· Re-pointing of brickwork

· Ornamental woodwork/brickwork

· Brick clean

· Repair to render and stonework

· Improvements to paint work

· Flag pole/Christmas tree pole

· Hanging basket frame

· Decoration of window frames

· Security works (these must follow design guidelines)

· Pipes and gutters

· Improvement of general aesthetics and displays

· Professional fees (architect, surveyor, etc)

Designs considerations will need to be taken into account and must follow planning guidance on shop fronts, which will be issued to all applicants, to ensure quality of improvements.

This scheme will form part of a package of support to retailers which includes a consultancy and training programme, Shop in Hampshire initiative, and promotion and marketing campaigns from the Town Centre Partnership.

The scheme will be managed and monitored by the Economic Development Unit of Eastleigh Borough Council, thus ensuing a quality service and in-kind match funding. A Grant Allocations Panel consisting of at least 2 EBC employees, plus a representative from an external agency (chosen for expertise and knowledge in this field) will be established to deal with the applications process.

Evidence of need and demand

Retail is a sector which has been particularly hard hit by the recession. In Eastleigh at present there are 19 vacant units (June 2009, compared to 12 in June 2008, an increase of 58%). A separate arts project has been initiated, creating a number of vacant units into spaces for displaying art works, but there is a lack of capacity for trading retailers to improve their premises at a time when marketing and promotion are particularly key to ensuring survival. Of approximately 200 units in Eastleigh town centre more than 43 are owned/leased by independent retailers or franchisees. This project will target the town centre in the first instance but we would like to offer the grants to one other district centre once the project is under way. In the district centres of the borough the percentage of independent retailers increases to approximately 90%. We have consulted with business owners through the Town Centre Partnership and they have demonstrated enthusiastic support for this initiative. We are in the process of consulting with the district centres, before choosing the most appropriate centre, as we need to be sure of their support. This is being carried out through the Local area Committees and the parish councils.

Eastleigh Borough Council is supporting retailers through a training and consultancy project and by marketing and promotional campaigns to increase footfall in the town centre. The recent opening of a new leisure complex, with cinema, bowling alley and restaurants has bought a much needed boost to the economy of the town centre. The grants improvement scheme will complement this new facility by seeking to improve the appearance of the area surrounding it, which by contrast can look tired and dated.

Promotion and marketing

EBC is experienced in operating and marketing grants schemes to businesses and will provide leaflets, press releases, articles in the Town Centre Partnership newsletter, website information and approaches in person to targeted units. Assistance with completing a grant application form will be offered as will assistance with design considerations and Planning requirements from the Urban Renaissance Manager of Eastleigh Borough Council. HCC will be credited on all promotion materials.

Budget and costing (inc match funding)

The total grant application is for is £20,000. Grants will be for up to 50% of the costs of the improvements, to a maximum of £2,000 per unit. The remaining 50% will be met by the retailer/owner of the premises. Eastleigh Borough Council is providing match funding in-kind by management and monitoring of the programme.

Timescale

This programme can start in September 2009 and finish in December 2010.

Milestones will be:

· Grant panel established and briefed September 2009

· Grant Guidance and procedures developed September 2009

· Promotion and marketing commences October 2009

· Meetings held with targeted units October 2009

· 3 grants approved December 2009

· Works completed on 3 properties March 2010

· 6 grants approved March 2010

· Works completed on 6 properties June2010

· 10 grants approved July 2010

· Works completed on minimum 10 properties November 2010

· Evaluation report completed December 2010

Controls and Monitoring

Kathryn Rankin, Economic Development Manager for EBC, will be the Project Lead and responsible for the implementation and delivery of the project. A task and finish group will be established to ensure the project meets council requirements and priorities and complements other town centre activities. This group will consist of

· Dennis Chandler Town Centre Manager

· Dave Francis Urban Renaissance Manager

· Dee `Buffone Chair of Town Centre Partnership

· Local area Co-ordinator Representing district centre

· Teresa Read Economic Development assistant (grants co-ordinator)

A quarterly report will be submitted to HCC on progress and spend against targets. A final evaluation report will be presented which will cover quantitative data and an impact assessment of the project.

Conclusion

This project has the potential to make a real difference to Eastleigh town centre and demonstrates the commitment of local authorities working together to support the local community and economy.

Application Form

Capital Funding Programme

Contact details

1. Applicant Council

2. Address

Contact for this application

3. Title First name Surname

4. Telephone number:

01730 234168

5. Fax number:

01730 234339

6. Email:

[email protected]

Your Project (Please refer to EDO note "A proposal to Support District-based Capital Projects")

7. Please summarise your project

Please try to write no more than 12 words.

8. Please write a description of your project and its intended benefits. Say why the project is needed how it meets the general requirements set out in the above note.

9. Project Management

a) Will the Applicant Council be responsible for the organisation, management and delivery of the project and its financial administration?

Yes No

Outsourced to Hampshire County Council Environment Department.

EHDC remains the accountable body for the project.

b) What is the proposed start date for the project?

September 2009

c) What is the estimated completion date for the project?

November 2009

d) Please include a timetable of tasks for the project and copy of any planning consents / any other relevant consents (if applicable).

See Appendices attached.

10. Estimated Costs ( Expenditure )

11. Project Funding ( Income )

Please tell us how you intend to fund the project?

If there is a shortfall between the projected expenditure and income, how do you intend to raise the balance and by when?

Any other information you would like to give to support your application including any Business Plan

See Appendices attached.

Please note that 50% hard cash match funding will be a requirement.

12. Data Protection

The Data Protection Act 1998

The information you have supplied in this form will be used to process your grant application and for no other purpose. Some of the information will be held on a database at Hampshire County Council. The information supplied will be reviewed as part of the application process by Community Action Hampshire and the Hampshire Association of Local Councils but will not be passed on to any other organisation or individual.

13. Submitting your application

Please make sure that you have enclosed all the supporting documents and return your completed form to:

Barry Robinson / Linda Heron

Economic Development Office, Hampshire County Council

The Castle, Winchester, SO23 8UJ

Email: [email protected] [email protected]

Tel: 01962 846566

Fax: 01962 878131

Application Form

Capital Funding Programme

Contact details

1. Applicant Council

2. Address

Contact for this application

3. Title First name Surname

4. Telephone number:

01256 845652

5. Fax number:

01256 845411

6. Email:

[email protected]

Your Project (Please refer to EDO note "A proposal to Support District-based Capital Projects")

7. Please summarise your project

Please try to write no more than 12 words.

8. Please write a description of your project and its intended benefits. Say why the project is needed how it meets the general requirements set out in the above note.

9. Project Management

a) Will the Applicant Council be responsible for the organisation, management and delivery of the project and its financial administration?

Yes No

The project would be organised, managed and delivered by the major investment partner with support as required from Borough Council officers.

b) What is the proposed start date for the project?

The ambition is for the project to start in early 2010 subject to the intended premises being available and following full council approval to support funding of the project.

c) What is the estimated completion date for the project?

Estimated completion date for the project is yet to be confirmed.

d) Please include a timetable of tasks for the project and copy of any planning consents / any other relevant consents (if applicable).

At the time of this application we await confirmation of the nominated building becoming available either by freehold purchase or through leasing. The designated use of the proposed premises are already B1 so we do not anticipate planning or other consent issues being a barrier to the viability this project.

10. Estimated Costs ( Expenditure )

*Please note that these figures are working estimates and detailed costs are in the process of being draw-up by partners

11. Project Funding ( Income )

Please tell us how you intend to fund the project?

If there is a shortfall between the projected expenditure and income, how do you intend to raise the balance and by when?

Rental income from tenants has yet to be calculated, and will be dependant on occupancy rates. It is the `not-for-profit' operator not the council who takes on the financial exposure and risk of this project. However, if there is insufficient initial joint capital funding the incubation centre will not be a viable option for the `not-for-profit' operator and the project will be undeliverable.

Any other information you would like to give to support your application including any Business Plan

Negotiations are currently underway, but the intention is that in time BDBC would receive a return of 50% of any operating surplus once all set up and operating costs were recouped - estimated after 5 years. In addition the unnamed `not-for-profit' partner is committed to return the 50% of its share to good causes in the Basingstoke / North Hampshire area.

Please note that 50% hard cash match funding will be a requirement.

12. Data Protection

The Data Protection Act 1998

The information you have supplied in this form will be used to process your grant application and for no other purpose. Some of the information will be held on a database at Hampshire County Council. The information supplied will be reviewed as part of the application process by Community Action Hampshire and the Hampshire Association of Local Councils but will not be passed on to any other organisation or individual.

13. Submitting your application

Please make sure that you have enclosed all the supporting documents and return your completed form to:

Barry Robinson / Linda Heron

Economic Development Office, Hampshire County Council

The Castle, Winchester, SO23 8UJ

Email: [email protected] [email protected]

Tel: 01962 846566

Fax: 01962 878131