Making Property Work Presented by Property Services R.R. Banks

Property Review A Plan for a Comprehensive Property Audit of the Ownership, Occupation and Value Management of the Councils Real Property Holdings

Four Reasons For Holding Property To Carry Out Services To Administer the Services Maintain Cultural, Recreational & Quality of Life Activities To Help Pay For All Of These

Why is a Review Needed? (1) What Do We Have Now? Investment income of £1,800,000 £30ms employed in direct service properties £5.7ms employed in administrative offices £46ms employed in educational buildings £12 ms employed in culture, recreation and sport

Why is A Review Needed? (2) Do Our Properties Provide What Is Really Needed? How Many, How Large, How much But How Good Is the Estate at its Job? Estate an Assembly of Past and Present Local Authorities Changing Transport, Work, Leisure and Educational Needs

Why is a Review Needed? (3) Justify Use of Capital for Property Demonstrate Minimum Occupation and Maximum Use Defend Land Holdings for Investment Best Value

Ownership & Occupation 3 Principles Primary purpose. Minimum Occupation, Maximum Utility Measure Occupation in Money

The Aim We will deliver services using the minimum accommodation. The real cost of occupation will be measured in money and by reference to performance indicators. Prudent Management will reduce occupancy costs to free resources out of buildings and into service provision.

What Is Our Plan? Classify Estate Questionnaire and Feedback Decide Primary Use and Reason for Ownership Existing and Alternative Use Valuations Repairs and Energy Costs Profiles Performance Indicators Review The Estate in the light of the above

Judging the Properties Revenue Investment Return - actual and target Growth Future Changes

Judging the Properties Capital Investment Effectiveness as Capital Store Opportunity Rate Other Considerations

Judging the Properties Operational Properties Different Criteria Ratios - Occupant/Net Useable Space OR Occupant/Asset Value PFI/Sale and Leaseback Quality, Repair, Future Costs Effect on Asset Rents

Strategy Each to Have its own Strategy/Plan Have Regard to Synergy of Uses Each Building Is Part of the Whole Estate

Judging the Review Workable Strategy for Each Asset Policy for Reserves Compliance with Performance Indicators Effective Increase in Opportunity Cost of Alternatives Peer Department Comment Attainment of Corporate Plan Objectives