REVISED plans for a council headquarters in Durham could mean the new offices are built a stone’s throw from the current County Hall.

A review carried out after a new administration replaced the former Labour leadership in May has concluded it is not viable to renovate the existing council building.

The controversial £49 million development underway at The Sands in the city centre could be sold or leased to a third party as part of a radical shake-up of existing plans.

And new offices could be created at Aykley Heads, allowing County Hall to be demolished as part of the creation of a business park.

The Northern Echo understands the council is in talks with Durham University to locate Durham Business School at the Sands, replacing plans lodged in summer for a £70 million new facility at the former swimming pool site at Elvet Waterside.

The Northern Echo:

An artist's impression of how the new building will look 

But the proposals have come under fire by the county’s Labour leader who described it as an ‘obscene waste of time, money and effort.’ Findings of the review will be discussed next Wednesday week and members of the authority’s cabinet will be asked to agree a number of recommendations.

The council’s deputy leader and cabinet member for finance, Councillor Richard Bell, said: “The new building at the Sands represents a significant investment by the council.

“We want to ensure that any decision we make regarding its future provides good value for money for the authority and is in the best interests of the county’s residents.

“The review looked at a number of key issues, not least the impact upon the development of Aykley Heads of choosing not to occupy the Sands site, and we fully acknowledge that there is much to be considered when agreeing the recommendations.”

The Northern Echo:

Councillor Richard Bell 

The review found that conversion to a hotel or multi-let office accommodation was not a cost-effective option because the building was designed specifically to provide office-space to be occupied by a single organisation.

Any conversion would, therefore, require substantial design and construction work, which could take significant time to carry out and the costs would be prohibitive.

The review found that the most viable alternative to the council taking occupation of the building would be to let or agree the freehold sale of the building to a single third party.

A similar arrangement with multiple occupiers would not be viable due to the costs associated with the conversion work required.

The council confirmed preliminary discussions have taken place with an interested third party, but said ‘further and more detailed negotiations are required’.

When considering options for the future of County Hall, if the authority chose not to move into the headquarters building at the Sands, the review found that it was not considered practical or value for money to leave County Hall standing.

It concludes that the best option for the redevelopment of Aykley Heads and achieving the overall outcomes of the master plan is the demolition of County Hall, which would allow for the comprehensive redevelopment of the area.

The review also found that the Aykley Heads development could accommodate a new building for the council, which will be considered in the further feasibility work.

There are also potential sites and buildings across the county that could provide suitable office and civic accommodation, but an options appraisal would need to be undertaken to consider these in further detail.

The cabinet will be asked to approve a number of recommendations at their meeting next week.

These include: - The most viable option to the council occupying the building at the Sands would be disposal or letting of the building to a single occupier, within agreed timescales.

- A business case is developed to assess alternatives for office accommodation and civic space, while also ensuring the Aykley Heads development is able to progress, and for this business case and for this to be presented to members by summer 2022.

- The council remains committed to the development of Aykley Heads as a strategic employment site and that County Hall should be demolished in order to support this.

- Should it not be possible to reach a satisfactory outcome with the third party within specified timeframes, the council will occupy the building on the Sands.

Cllr James Rowlandson, cabinet member for resources, investment and assets, said: “It is crucial that we make a fully informed decision on this important issue.

“It is clear from the report’s findings that some options are simply not viable due to cost or time implications, while others are not in the public interest. “However, we now need to take a closer look at those areas where there is scope for a change of approach and, as such, it is important that we now progress with the development of a business case to further consider our options.”

The Labour Party, now in opposition point out the report state the decision to build a new HQ at The Sands was ‘commercially sound’.

The Northern Echo:

Councillor Carl Marshall 

County Durham Labour Leader, Cllr Carl Marshall, said: “This report is a vindication of the former Labour council’s decision to build a new HQ in the heart of the city, but because councillors and candidates from this chaotic Tory-led Coalition were so vocally opposed to it during the election, they have backed themselves into a tight corner and the only way they see of getting out of it is by building another council HQ.

“What an obscene waste of time, money and effort when there’s a nearly completed, purpose-built, energy-efficient building right in the city centre, ready for employees to move in to, as the phased return to work continues...a building that both council officers and independent reviewers agree was the best, most cost-effective solution to the council HQ issue.

“So, what happens to Aykley Heads should Coalition plans go ahead? “Earmarked for a business park - crucial city space for businesses, bringing jobs and prosperity to Durham - under these plans, nothing will happen for at least a year while proposals are examined and debated, it will then be subject to a planning process and prolonged period of construction, with building costs now running at least 20 per cent higher than they were when we greenlit The Sands scheme.

“It will take years to come to fruition while council employees, already anxious about their health, work in a decaying unsafe property, neglected following a decade of Tory austerity that prevented essential upgrades.

“There are simply so many reasons to not do this.”

“We’re barely four months into this Tory-led Coalition’s administration and we’ve seen it deny there is a Social Care crisis in County Durham, reject plans to extend free-parking for frontline workers, refuse to lobby the Government to demand a fairer deal for Durham and now they are looking into building a third HQ on land primed for private sector business while subjecting the council workforce to more miserable years in a property that is no longer fit for purpose.”

 

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