Compliance with approved council policy.

Safeguard an existing Herefordshire business in the county and facilitate its further expansion.

Deliver private sector investment and job creation in the EZ which will boost confidence and interest from others and help generate further private sector investment and job creation. Speedy occupancy will boost the rates relief pot for the Local Enterprise Partnership (and hence the council).

Following the award of enterprise zone status in August 2011 approximately 45 hectares (110 acres) of council owned land was included, along with other privately owned land, in the designated EZ. The EZ status has resulted in the council and occupiers within the EZ benefiting from a number of government incentives such as significantly increased awareness and profile of the location and opportunity, business rates relief and retention, improved access to broadband etc. These factors have resulted in an increase in interest from local, national and international businesses in active and advanced negotiations with the council to acquire land within the EZ.

This area of land is located in the Chapel Road area of the EZ and has been identified for general employment use.

The sale of the land is on a freehold basis. The purchaser will not accept or proceed with the purchase on any other basis.

All the EZ land is being actively marketed, and is being sold according to independent land valuations and the EZ Land Disposal Policy which was approved by cabinet member on 7 January 2016. The plot was revalued in February 2020 to reflect current market conditions. The agreed purchase price meets the market valuation. Valuation document attached.

This part of the EZ houses a number of Romney Huts, designed as temporary storage accommodation in the Second World War. These are very basic (no heating) and have had primarily low value uses on very short term rental arrangements. The sale will represent a loss of income of just under £25,000 a year. Property Services have already accounted for this disposal in their rental estimates.

The purchaser was identified through an informal market tender process, set by the Council and undertaken by the EZ to secure the best possible redevelopment ideas for the site.

The proposal is an exciting phased redevelopment creating small workspace and shared facilities, and as preferred bidder, the purchaser has the full endorsement of the EZ executive board.
The proposition has the potential to create significant job opportunities on site, and this together with the prospective users meet the EZ’s Placement Strategy.

The rental arrangements will be transferred to the purchaser, who is one of the tenants in this location.

The decision to sell this plot supports council policy to use capital receipts from sale of land within the Enterprise Zone to fund the capital expenditure on installing necessary infrastructure across the site. The latest council decision to incur this expenditure is available via this link:

http://councillors.herefordshire.gov.uk/ieDecisionDetails.aspx?ID=6182