Posted on October 15, 2010

The question of what happens with RDA assets is on the minds of many people, including myself.  Over the years I have acted for the RDA’s in acquiring some of these in the endeavour of bringing forward regeneration schemes. Debates are always present as to why should this approach be taken and indeed whether or not the public sector has paid too much – a criticism that I have faced myself!

Turning the clock back a bit RDAs (and English Partnerships before them) worked closely with Local Authorities to identify priorities and then brought skills and funding to assist projects to progress.  When presented with this position the public sector must always weigh up acquisition through negotiation against a prospective Compulsory Purchase, which will take both time and money.  The properties acquired were more often than not “dogs with fleas” where with some TLC and funding, the fleas could be removed and value created.

The coalition and those in BIS/CLG would be well advised to be mindful of the above.  With one or two exceptions (i.e. Yorkshire Forward’s HQ) many of these “assets” require further work and investment in order to realise their potential and value.  In order to do this and not to prejudice the hard work already undertaken, any transfer of control needs to be cognisant of projects which can and should be sold, to those which remain in “care” until such time that the public and private sectors are capable of delivering a worthwhile scheme.

The new economic development landscape is emerging and it is difficult to say whether the LEPs or Local Authorities should inherit these properties.  Further funding is likely to be needed for many sites and it is not clear from where or when that could  be available.  On balance it may be appropriate for the Local Authorities to receive the properties such that they can work with private sector partners and/or seek to secure financial support.

I have heard rumours of a residuary body being set up for these assets – would this not create yet another organisation – where the Coalition want to have fewer?  Perhaps they will give the task to the HCA?

In any event a great deal of thought and hard work has gone into securing these assets as an approach to regenerating localities.  Lets not loose this investment, through haste and speaking as a valuer now is not the right time to sell!