The report of the Strategic Director, Growth and Development was to follow and is now enclosed.

In March 2017 we had authorised the City Solicitor, City Treasurer and Strategic Director (Development) to enter into an agreement with the Council’s preferred investment partner for the regeneration of the Northern Gateway lands, Far East Consortium International Limited (FEC). We had also delegated authority to the Chief Executive to dispose of the Council’s interest in land at the Northern Gateway Site (Minute Exe/17/064).

The Council had entered into the Joint Venture (JV) with the Far East Consortium (FEC) in April 2017 for the comprehensive redevelopment of the Northern Gateway for housing and ancillary development. As part of the delivery arrangements, the Council and FEC established a JV company, Northern Gateway Operations Limited (OpCo), to have strategic input into and oversight of the development of the Northern Gateway.

In February 2019 we approved the Strategic Regeneration Framework for the Northern Gateway, the 155 hectare land area made up of the adjacent neighbourhoods of New Cross, the Lower Irk Valley and Collyhurst. This Framework was to support the opportunity to deliver up to 15,000 new homes over a 15-20 year period (Minute Exe/19/25).

In June 2019 consideration was given to the preferred approach to facilitating strategic land acquisitions within the Northern Gateway SRF area, and approval given to making a loan of up to £11 million to FEC (Minutes Exe/19/52 and Exe/19/57).

In February 2020 consideration was given to an outline Strategic Business Plan for the Joint Venture, and authority was delegated to the Chief Executive to approve the full initial Development Area Business Plan (Minute Exe/20/29).

A report now submitted provided an update on the successful outcome of the City Council’s bid for £51.6m into the Government’s Housing Infrastructure Fund Programme. It also reported on progress with finalising the Joint Venture’s Initial Development Area Business Plan. The £51.6m of Housing Infrastructure Fund money had been announced as part of the Budget in March 2020 and the report set out the terms and conditions for that funding to be made available. We agreed to delegate the final acceptance of those terms and conditions to the appropriate council officers.

Decisions

1.         To approve the Council entering into a Grant Determination Agreement with Homes England for the receipt of up to £51.6m Housing Infrastructure Fund grant to deliver major infrastructure in the Northern Gateway area, a high level summary of which is set out in the body of this report.

2.         To delegate authority to the Strategic Director, Growth and Development, the Deputy Chief Executive and City Treasurer and the City Solicitor to finalise the terms of this Grant Determination Agreement to secure this funding.

3.         To delegate authority to the City Solicitor to enter into and complete all necessary documents to give effect to the recommendations set out in i) and ii).

4.         Subject to the finalisation of the Grant Determination Agreement, to approve a £51.6m increase to the Capital Budget to be expended on the delivery of infrastructure works that will facilitate the delivery of new homes.

5.         To note overall progress being made towards the delivery of new homes as part of an Initial Development Area Business Plan in the neighbourhoods of Collyhurst, New Cross and New Town.

6.         To note the approach being taken to identify and deliver social and economic benefits and the alignment with the broader piece of work being developed at a North Manchester level with partners leading on plans for the North Manchester General Hospital site.