Less than best consideration
Land valued at £4.2 million needed for ‘HS2 College’ is to be handed over for
less than best consideration free by Birmingham city council, it has emerged.
[Birmingham council to ‘give away’ £4.2m site for high speed rail college, Paul Dale, The Chamberlain Files, 13 October 2015]
[…] The council has agreed with the Government to charge only a peppercorn rent for a 125-year lease on the valuable city centre site at Birmingham Science Park Aston.
[…] Government plans to build the HS2 engineering college on two sites in Birmingham and Doncaster were announced earlier this year. The estimated cost of the Birmingham building including fit out and equipment is £26 million – but the Government will contrinute only £20 million.
The balance has to come from the Greater Birmingham and Solihull Local Enterprise Partnership.
The cabinet report warns of a funding gap if the Department for Business Innovation and Skills cuts the size of its promised £20 million grant. Any shortfall would be met through GBSLEP and the private sector.
In any event, Birmingham city council will underwrite the cost of the project.
[…] “The progress of the scheme is dependent on the transfer of land at less than best consideration.”