Southwark Council's Cabinet has approved the sale of a vacant former office building on Westminster Bridge Road, London, SE1 7XW. The property, which has been vacant since 2012, is in poor condition and requires substantial investment.
The council has no operational requirement for the building and selling it by auction is considered the most effective method to secure the best value for the council within the current financial year. The capital receipt generated from the sale will support the Council's Capital Programme and alleviate significant revenue pressures from void holding costs, including security and business rates.
The sale is also expected to enable a much-needed redevelopment of the site, which has been described as a blight on the local community. The council's Cabinet is driving this redevelopment, though specific plans or potential uses for the site have not yet been detailed.
This sale is anticipated to have a positive financial impact by addressing 'significant revenue pressures' stemming from void holding costs, such as security and business rates. The funds raised will contribute to the Council's Capital Programme.
Previous attempts to sell or redevelop the property since 2012 have been unsuccessful. Knight Frank, a firm of Chartered Surveyors, was appointed to market the premises. However, despite lengthy due diligence and negotiations, a proposed purchaser was unwilling to proceed on the agreed terms, and their subsequent price and conditionality demands were deemed unacceptable by the council.
