Southampton City Council raises more than £15m from asset sales
A council has disposed of seven properties to raise millions of pounds and avoid potential future losses.The sites released by Southampton City Council in the last year include a student accommodation block, retail units and warehouses.More than £15m was raised through private sales and auctions, according to the Local Democracy Reporting Service.The council, which warned in February that it faced bankruptcy, said it needed to manage assets better and had disposed of properties that might carry a future "disbenefit".
The authority currently has a temporary capitalisation direction from the government, allowing it to use the receipts from asset sales to fund revenue costs in its budget.It said individual sale prices could not be disclosed.
However, one site - a DPD depot in Raunds, Northamptonshire, which was purchased in 2017 - appears to have been sold at a £620,000 loss, according to council documents.In 2020/21, it was delivering rental income of more than £477,000, papers showed.Other disposals include a vacant office in Cambridge, where the council surrendered its lease, and two properties in Southampton that were sold at auction.Labour councillor Sarah Bogle, in charge of Southampton's economic development, said decisions were taken as part of a five-year asset development and disposal programme (ADDP).She said: "We want to have the right assets and use them much better and manage them a lot better, which I think historically we haven't always done."ADDP manager Julianna Clark said the council had secured "good" capital receipts, with some above initial estimates.She said: "These particular assets that we chose are saying it is better for you to cash the capital receipt because in the longer term you could potentially hold it for a disbenefit."
You can follow BBC Hampshire & Isle of Wight on Facebook, X (Twitter), or Instagram.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Wales Online
13-06-2025
- Wales Online
There were supposed to be 800 homes, shops and a school off this M4 junction but there's nothing
There were supposed to be 800 homes, shops and a school off this M4 junction but there's nothing An outline planning application was submitted for the village of Pentre Felindre in 2018 - there's still nothing there The Parc Felindre site It was meant to be the ideal location - right next to the M4 with superb links east and west. Eight hundred homes were expected to be built there. But, seven years on, it's still just an empty space, albeit with its own junction off the motorway. Plans for what had been dubbed Pentre Felindre sit firmly on the drawing board with no confirmed date when anything might happen. The site, next to a business park north of the M4 near Felindre and Tircoed, was identified as one of several "strategic development areas" for growth in Swansea Council's local development plan (LDP). Never miss a Swansea story by signing up to our newsletter here The LDP, which took years to develop before being approved by the Welsh Government and adopted in February, 2019, included the Welsh Government's outline planning application for Pentre Felindre submitted in the summer of 2018. Along with 800 homes, the proposed village was set to feature a primary school, two shops, a village hall, recreational spaces, and road improvements. Additionally, 20% of the housing units were intended to be affordable. The grand plan for Pentre Felindre was to create a "vibrant and sustainable new village with a strong sense of community, where people would choose to live, work and spend their leisure time, and which would complement the plans for the adjoining strategic employment site". Article continues below The original timeline envisaged that the massive development of 800 homes would commence around 2020-21, with completion by 2028-29. However, Parc Felindre, the neighbouring employment area, has fallen short of expectations in drawing businesses despite significant marketing efforts, apart from the relocation of delivery firm DPD to the site. Issues like areas prone to flooding, a high-pressure water main, electricity pylons and proximity to noise from the M4 were noted by planning experts, yet these types of challenges are not unheard of in the process of developing housing projects on previously untouched land. The site of Felindre's former tinplate works, north of the M4, pictured in 2014 (Image: Copyright unknown ) The disruptions caused by the Covid pandemic in 2020 and 2021 put a pause on numerous developments, including this one. In December, 2021, the Welsh Government revealed that it was actively working alongside the council to hash out a masterplan for Pentre Felindre, while also commissioning fresh reports to reassess the impediments pertaining to the site. Pentre Felindre could see enhanced transport links with the M4, and there remains a possibility for local inhabitants to access a proposed railway station on the Swansea District Line at Felindre. This prospective development was put forward in 2019 by the then Secretary of State for Wales, Alun Cairns. At that time, Swansea Council leader Rob Stewart expressed conditional support for the £20 million station scheme, insisting it must not affect High Street station's service frequency in Swansea and should come as part of extensive transport improvements throughout the vicinity. Enthusiasm is building in favour of a new train station in Felindre, along with additional proposed stations north of the county on the cargo-conveying Swansea District Line. In 2023 a Transport for Wales representative informed councillors that launching new stations on this line represented the "top unfunded" rail initiative in Wales from his perspective. This ambition is integrated into a broader vision known as the Swansea Bay and West Wales Metro, which would rely heavily on central Government financial backing. The Local Democracy Reporting Service sought an update from the Welsh Government concerning Pentre Felindre. A Welsh Government spokesman said: "Swansea Council consulted on their replacement LDP Preferred Strategy which closed 18 April this year. As part of that process this site was submitted as a candidate. "It will now be for the council to determine whether the site is/is not allocated in the Deposit LDP later this year/early 2026, setting out clear reasons to support a decision either way. We asked if there was something about this site in Felindre which was proving problematic, for example pylons/sustainable transport links? The spokesman added: "Work assessing the site's development constraints and opportunities has now completed. Taking these assessments into consideration, together with our Joint Venture partners Swansea Council, we are currently considering potential delivery models for the site, and hope to be able to make a decision on its future shortly. Article continues below We also questioned would this new development in Felindre be more viable if there was a train station on the Swansea District Line at Felindre? The spokesman said: "The availability of good public transport, including a potential Metro station, all improve the site's connectivity by different modes of transport."
BBC News
14-05-2025
- BBC News
Southampton City Council forced to halt flood defence scheme
A city council has said it has been forced to halt a major flood defence scheme as it faces significant financial City Council said it remained committed to delivering the River Itchen Flood Alleviation Scheme (RIFAS) despite the economic plans cover the west bank of the river and in December the council estimated it could cost £ local authority said the Environment Agency's (EA) decision to withdraw funding for the project in March, cost increases, design changes and rising inflation rates meant costs for the scheme had almost doubled. The council said more than 150 homes and 250 businesses were currently at risk of have been progressing to reduce the risk over a 2.2-mile (3.5km) stretch along the west bank of the project would stretch from Mount Pleasant Industrial Estate in the north, down to Southampton Water Activities Centre to the south of Itchen EA and Southampton City Council partnered for the RIFAS in 2019, but the agency withdrew its funding on 12 March council said this left it with a funding shortfall that now exceeded £ Leader of Southampton City Council, councillor Lorna Fielker said: "While we appreciate the significant challenges facing the River Itchen Flood Alleviation Scheme, we remain dedicated to finding ambitious, strategic and innovative alternative plans to improve flood resilience for the area." You can follow BBC Hampshire & Isle of Wight on Facebook, X (Twitter), or Instagram.
BBC News
05-05-2025
- BBC News
Plans submitted for Garforth dog daycare centre
Dog owners could have their pets looked after at a new day care centre and grooming salon if plans are agreed with the care firm The Doggie Stop Ltd has applied to convert a vacant warehouse at Lotherton Business Park in to 15 dogs would be accommodated at the centre each day while their owners were at work, along with six pets booked in for grooming appointments.A planning report said jobs would be created if Leeds City Council gave consent for a change of use of the building. It said: "It is anticipated that the new facility will provide jobs not only within the daycare itself but also through ancillary services such as pet grooming, training and retail."The centre would allow dog owners to go to work without worrying about their pets' well-being, the report and safety measures would be in place to ensure the safety of dogs and staff, according to the Local Democracy Reporting report said: "All dogs will be kept on leads when outside of the building."Dogs subject to a test who demonstrate good recall will be let off in a secure dog park when appropriate." Listen to highlights from West Yorkshire on BBC Sounds, catch up with the latest episode of Look North.
