3.0 FINANCIAL IMPLICATIONS
3.1 The market value of the whole site for the proposed use by RDC is £675,000(Valuation provided by Bruton Knowles, July 2012)3.2 The proposed consideration for the transfer is £400,000 which represents anunder value of £275,000. This represents a market value for the part of the sitethat RDC intends to use itself. The intention is that the balance of the site will beused by the community.3.3 The transfer will be subject to restrictive covenants which will ensure that NYCCreceives further payment should the site be developed or sold for profit by RDCor successor organisations in the future.3.4 The running and security costs of the building are at present being met by NYCC.Since closure this amounts to £8,350 or almost £ 700 per month. As well asgenerating a capital receipt, selling the building will free NYCC from thisexpenditure.3.5 To support the community use of the site it is proposed that a grant of £20000 isoffered to the community group that takes over the Victorian part of the buildingas a contribution towards refurbishment works.
4.0 REASON FOR RECOMMENDATION
4.1 The site is not required for re use by NYCC, and the costs of repair and/or refurbishment would in any event be prohibitive if it were. It is recognised that anopen market sale may result in increased capital receipt, but given that RDC haveexpressed interest in the site for some considerable time, and in the spirit of partnership working, it is appropriate to proceed with a sale to that authority.
5.1 That the Richmond Lower School site be transferred to RichmondshireDistrict Council for a consideration of £400,000 and upon other terms to be agreedby the Corporate Director, Strategic Resources.Gary FieldingCorporate Director
COUNTY HALLNORTHALLERTON3 October 2012 Author of report
Shaun WilsonPresenter of report