Readers will remember that at the beginning of last month Vectis Holdings Ltd, owner of Blackgang Chine and Robin Hill, asked the council that they be treated as ‘special purchaser’, thus restricting others from purchasing Blackgang Viewpoint Car park.
Option selected
Today it’s been announced that Cllr George Brown made a Delegated Decision from the Isle of Wight council to allow this, selecting option 1 – “THAT Vectis Holdings Limited be treated as a special purchaser on the conditions set out in paragraph 7 of the report, for the council owned land known as Blackgang Viewpoint car park, subject to a further report to confirm that the council is achieving best consideration from this disposal.”
Options rejected
The other options that were rejected were:
- Option (2) To offer the council owned land known as Blackgang Viewpoint car park for sale on the conditions set out in the paper (paragraph 7) to all adjacent landowners only, including Vectis Holdings Ltd.
- Option (3) To offer the council owned land known as Blackgang Viewpoint car park for sale on the conditions set out in the paper (paragraph 7) on the open market and to undertake an appropriate marketing exercise for the site.
- Option (4) To wait until market conditions improve before beginning any process to dispose of the council owned land known a Blackgang Viewpoint car park.
- Option (5) Not to dispose of the council owned land known as Blackgang Viewpoint car park.
Details of the value of the land
The original documents that On The Wight discovered back in May 2012 showed that the council was then considering the sale, not on the open market, but through what they call a “Restricted Market”.
The official council’s valuation was specified as “low” at that time, which surprised many people given the striking views from the car park.
The actual price to be paid for the land hasn’t been specifically mentioned in the latest report – unsurprisingly as the sale of the land will follow this Delegated Decision.
We’ve gathered together points in the latest report that do have a bearing on the purchase price:
(8) “It would be normal practice for the council to market a site for disposal to ensure that it receives best consideration for it through a competitive process.”
(9) “The council does however make provision for dealing with a single bidder for a site where that bidder falls within the definition of a ‘special purchaser’.”
(10) When a ‘special purchaser’ is involved, two independent valuations (paid for by the purchaser) are sought.
(11) When deciding what the right price should be, the council doesn’t think this should be just based on the price they are offered for the land, they also may consider “social, economic or other benefits” – “The best consideration that the council may receive for a site does not necessarily have to be only defined in monetary terms”.
(12) “Vectis Holdings Limited falls within the RICS definition of a special purchaser as its land adjoins the subject site and the acquisition would enable it to sustain and expand its tourism offer providing a year round tourist facility which will help to sustain jobs and the local economy.”
(30) The council is seeking to apply some conditions of the sale (detailed below), but highlight that this might affect how much money they will get for the sale – “The conditions of sale may reduce the capital receipt the council is able to realise from the disposal of the land …”
We’re still working through the report. More details to follow in a separate article.
Update 17:00: Added options rejected.
