North Yorkshire Council

EXECUTIVE

15^th July 2025

Redeployment of Northallerton Civic Centre (Stone Cross)

Report of the Corporate Director – Resources

Appendix A to this report contains exempt information as defined in paragraph 3 of Part 1 of Schedule 12A to the Local Government Act 1972 as amended by the Local Government (Access to Information)(Variation) Order 2006

1.0       PURPOSE OF REPORT

1.1       To approve the sale of Northallerton Civic Centre (Stone Cross) following public marketing of the building.

2.0       BACKGROUND

2.1       The Council owns the former Hambleton District Council Civic Centre (Stone Cross), Brompton Road, Northallerton, as shown highlighted in pink on the attached plan. The property sits alongside the former caretaker’s dwelling and Northallerton Leisure Centre.

2.2       The North Yorkshire business case for Local Government Reorganisation recognised that financial opportunities would be presented to the Council through the rationalisation of its operational assets. The relocation of activities from Stone Cross was identified as one such opportunity due to its proximity to other operational Council owned assets within the Northallerton area.

2.3       The back-office services that previously operated from the building have now predominantly been relocated to the County Hall campus, and the customer facing aspects have been relocated to a newly refurbished Customer Hub on East Street, Northallerton, which became operational on 28 April 25.

2.4       The Council no longer has an operational need for this building; therefore, it is recommended that the site be disposed of to generate a capital receipt and minimise ongoing holding costs.

3.0       DETAILED PRESENTATION OF THE SUBSTANTIVE ISSUE

3.1       Having given consideration to the future options for Stone Cross, it was agreed that a sale of the building will provide the best consideration for the Council. As such a marketing exercise commenced in January 2025.

3.2       The site was offered to the market via informal tender and generated significant interest, with further details available in Appendix 1.

3.3       The sale of Stone Cross does not affect the Leisure Centre or former caretaker’s dwelling.

4.0       CONTRIBUTION TO COUNCIL PRIORITIES

4.1       In order to generate savings, the Council continues to review its property estate as part of the Asset Rationalisation Programme.  The disposal will generate a capital receipt, which will provide funds for the re-investment into the Council’s Capital Plan in addition to generating annual revenue savings in running costs.  

5.0       ALTERNATIVE OPTIONS CONSIDERED

5.1       No other options are currently being considered in relation to this property.

6.0       FINANCIAL IMPLICATIONS

6.1       A summary of the financial matters is included at Appendix 1.

7.0       LEGAL IMPLICATIONS

7.1       This matter is presented for a decision by the Executive as under paragraph 6.4(d) the Executive must approve any Disposal over £1,500,000 in value.

7.1       This transaction must comply with the Local Government Act 1972 and specifically section 123(2) which mandates that a council must not dispose of land for a consideration less than the best that can be reasonably obtained, except with the consent of the Secretary of State.

7.2       The process undertaken to dispose of this property satisfies that it will be disposed at best consideration in accordance with S123 of the Local Government Act 1972.

7.3       The Subsidy Control Act 2022 also needs to be considered in relation to this disposal. The Council has considered it’s Subsidy Control Checklist which confirms the proposed transaction does not represent a subsidy to the other party.  In particular, this is because the proposed transaction will be on market terms, at a Market Value determined by a tender of the property undertaken by the Council’s Surveyor or Consultant.

7.4       Aside from formal approval under the Property Procedure Rules, no other consents are required for this transaction.

8.0       EQUALITIES IMPLICATIONS

8.1       The proposal will ultimately provide wider benefits to those who need to access the Council’s Services. The creation of a new customer hub has brought NYC’s services to a central and accessible part of Northallerton which will have wider benefits for NYC residents and the wider Town.

9.0       CLIMATE CHANGE IMPLICATIONS

9.1       The matters subject to this decision, being a property transfer, do not give rise to Climate Change implications.

9.2       The re-development of the site by any new owner may give rise to climate change implications, however, this will be assessed through the Planning process and addressed in accordance with the Planning policy that is in place.

10.0     REASONS FOR RECOMMENDATIONS

10.1     This disposal will generate significant revenue savings for the Council as well as a capital receipt which will enable re-investment into other key areas of the council’s priorities via the Capital Programme.

11.0	RECOMMENDATION
	i) That the disposal of Stonecross is approved by the Executive on Terms to be agreed by the Corporate Director – Resources.

Gary Fielding

Corporate Director – Resources

County Hall

Northallerton

15^th July 2025

Report Author – Philip Cowan

Presenter of Report – Philip Cowan

Note: Members are invited to contact the author in advance of the meeting with any detailed queries or questions.