Issue - meetings

The Panel will receive a presentation which provides an update on the Community Asset Transfer Programme and approach.

Contact: Joanne Bartholomew, Service Director, Development Tel: 01484 221000.

Councillor Graham Turner introduced the agenda item, advising that this was the latest report on the Community Asset Transfer (CAT) process, which outlines current activity within Kirklees. The report presents a positive update and demonstrates the success of the programme to date.

Alistair Kimpton, Strategic Partnership Lead, informed the Panel that Kirklees is regarded as an example of good practice in the management of Community Asset Transfers. This recognition included being invited to present at the Local Government Association Conference a few years ago. The strength of the Kirklees approach lies in working with communities in a community?led, rather than asset?led, approach when progressing CAT proposals.

The Panel was reminded that:

Community Asset Transfer: (CAT)

-       the transfer of ownership and management of public land and buildings from the Council to a community organisation.

-       assets are transferred at less than market value for local social, economic or environmental benefit.

The primary purpose of CATs in Kirklees:

-       invest in our communities

-       help our communities achieve their aspirations

-       ensure assets and services remain available for the community

The Panel was informed that the current policy was updated in 2020, and in total there have been 27 asset transfers in addition to a variety of other assets.  The policy was developed to support the council’s corporate vision, and to reflect current best practice and the lessons learned. It was developed in consultation with a variety of stakeholders including locality, nationally recognised bodies who help to develop community capacity.

The policy sets out a framework for the process, the whys, the whats and the hows.  It is designed to be transparent to guide interested groups through the process and to make the process equal for all interested parties.

Transfers are by a long leasehold, and this is one of the examples of where there has been learning from previous practice and a move away from a freehold model to a leasehold model. The presumption is that all assets will be transferred by the grant of a leasehold for up to 125 years.  This enables any future CAT leaseholders to have more detailed and better conversations with funders when they are applying for funding for revenue costs.

A key advantage of granting a long leasehold is that it establishes and maintains an ongoing relationship between the community group and the Council. Experience has shown that, where a freehold is transferred, the Council may lose an element of control; for example, if the CAT arrangement fails, the asset could potentially be sold on the open market. By contrast, a leasehold arrangement enables the Council to retain a degree of oversight and safeguard its long?term interests

Covenants are included in the lease to ensure that the asset is predominantly restricted to community use.  There is a 70/30 model to restrict the commercial use of that building to 30% of the ongoing revenue, which means that they have the ability to raise revenue from commercial entities, however, the asset remains community  ...  view the full minutes text for item 32