Advancing Asset transfer Implementing the Quirk Review

1
Advancing Asset transfer-Implementing the Quirk
Review
Advancing Asset transfer-Implementing the Quirk
Review
Hugh Rolo Community Enterprise Investment
Manager Development Trusts Association
2
Why care about assets?

• Communities generating wealth and circulating
  it locally
• Communities with pride in their place
• Communities taking responsibility
• Increased financial operational independence
• Increased skills base
• Focus for neighbourhood-based service
  provision
• Opportunities for new partnerships
• Community Anchor agenda / Quirk Review

3
The Quirk Review Confident communities

• The starting point is the recognition that
  optimising the use of public assets is not the
  primary objective the over-riding goal is
  community empowerment.

4
Stages of Development

• Investment readiness
• Capital Spend
• Revenue Viability

5
Types of Finance

• Grants
• Debt
• Equity
• Other

6
Share the journey

• Understand LA attitude to risk
• governance/capacity?
• accountability (misuse of assets)
• Build the relationships
• Negotiate transitional support
• Understand your business
• Vision confident communities

7
Terms of Transfer

• Transfer at less than OMV
• Creates security/value for debt finance/match
  funding
• Accesses Limited Liability for project
• The role of planning in establishing value
• Section 106related and unrelated
• Focus for enterprise
• Social return on investment
• Loses maximum capital receipt

8
London South BankCoin Street
9
Investment Readiness

• Generally not well catered for
• Sub Regional Strategic partnerships
• Futurebuilders/Adventure Capital Fund
• BIG
• The larger Trust Funds
• LA provision of professional skills
• Pro Help and other pro bono
• Sweat Equity

10
Capital Spend

• Grants CAF and beyond but dont forget Landfill,
  Clear Skies, DDA access, Heritage
• Debtsecurity for lenders (leases, clawback,
  fees, covenants, information requirements)
• Equityquasi equity, community shares or capital
  partners, PRI

11
Northumberland Holy Island CDT
12

Revenue Viability

• Quality of income stream
• Full Cost recovery
• Anchor tenants
• Rent and service charges
• VAT
• Cash flow

13
DurhamAcumen CEDT
14

• Contact Details
• Name Hugh Rolo
• Tel [phone]
• Email h.rolo_at_dta.org.uk
• Website www.dta.org.uk