Decision details

Cabinet (18 July 2022) delegated authority to the Executive Director Place [now the Executive Director Housing and Property] in consultation with the Lead Member for Financial Oversight and Council Assets and the section 151 officer to pursue the disposal strategy for Stoke Wharf (including the negotiation and agreement of all legal documents that give effect to the Sale) (subject to reporting back to Cabinet for approval of the Adopted SDP’s and the final agreed disposal terms).

Reasons for taking decision

1. Slough Borough Council (SBC) entered into an Option Agreement with Slough Urban Renewal LLP (SUR) in respect of SBC’s land at Stoke Wharf on 14 August 2017. At the time the Option was granted, it was anticipated that the Stoke Wharf site would be developed in conjunction with the adjoining land owned by the Canal and River Trust (CRT).

2. The Stoke Wharf Development LLP (SWD) joint venture was established between SUR and Waterside Places LP (a joint venture between CRT and Muse Developments) on 25 March 2019 for this purpose.

3. The Option Agreement has been varied on three occasions to extend the Option Period. The Option Period currently expires on 30 September 2023.

4. The purpose of the Deed of Novation and Variation to the Option Agreement is as follows:

a) It effects the novation of the Option Agreement from SUR to SWD so that SWD have the direct benefit of the Option without the need for a separate agreement between SUR and SWD;

b) It removes the Conditions Precedent from the Option Agreement that relate to the development of the Stoke Wharf site by SWD;

c) It incorporates Conditions Precedent into the Option Agreement to reflect the agreed principle that the Stoke Wharf site will, together with CRT’s adjoining land, be sold by SWD to a Sub-Sale Buyer;

d) It records the agreed Purchase Price that SWD will pay to SBC for the Stoke Wharf site;

e) It further extends the Option Period up to 31 December 2025 to allow adequate time for the Stoke Wharf site to be marketed and a sale to a Sub-Sale Buyer to be negotiated and completed.

To enter into a Deed of Variation to the Option Agreement for Stoke Wharf.

Not to enter into the Deed of Novation and Variation to the Option Agreement for Stoke Wharf

Rejected because the current option period expires on 30 September 2023 and not to agree to enter into the Deed of Novation and Variation to the Option Agreement for Stoke Wharf would prevent the sale of the Stoke Wharf Site on optimum terms and the receipt of a capital sum by SBC.