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‘DESPERATE' CASH PLAN

Council chiefs to sell off historic building and move out

WESTMINSTER City Council stands to make tens of millions of pounds as it prepares to move out of its two main offices.
The council not only wants to sell the historic Council House in Marylebone Road, it also wants to leave its main centre – City Hall in Victoria Street. But the Labour opposition has accused the council of being being desperate to make money to cope with the “cash crisis” caused by the collapse in revenue following the reduction in the numbers of parking tickets issued.
The council’s finance scrutiny committee is meeting on Tuesday to discuss their plans.
In the report council officers have outlined a series of reasons why they want to move from the Council House including asbestos release. It says: “The condition of Council House has long given cause for concern. The building has for some time had an uncertain long-term future and accordingly capital expenditure has been limited.
“Incidents such as asbestos release in a storeroom in 2003, and persistent difficulties in maintaining heating and other services, are the visible signs of a wider list of problems.”
It adds: “The short term plan to vacate Council House is likely to be achievable by the end of 2005... it may be that the better long term option is to vacate Council House and sell the building.”
On the open market the listed building could fetch tens of millions of pounds.
And Westminster Council wants to leave City Hall for a smaller office building over the next six years. The current lease expires in 2006.
The report says: “Overall the likelihood is, that on a medium term horizon of say four and six years, the City Council will not need a building, in the south of the city, the size of City Hall.”
But this is despite complaints earlier in the report saying that meeting rooms were “a constant cause of concern”.
Councillor Paul Dimoldenberg, the leader of Westminster’s Labour group, said: “The council have been neglecting the condition of the Council House for years and it would need a huge amount of work to improve it but they don’t have the money.
“Selling it is becoming more and more likely.”
He added: “What they (the council) are doing is giving more and more work to Vertex (the private company managing the customer services contract) and relocating staff out of South East.
“The whole thing is because of the desperate need to keep council tax low and it is in a terrible cash crisis because of the reduction in parking revenue.”
But Cllr Colin Barrow, the deputy leader of Westminster Council and cabinet member for finance, accused the opposition of “mischief making”.
He said: “You would expect that we keep all of the council’s assets under review at all times.
“Our operations keep changing and so do offices.
“There is quite a lot of documents and files stored at City Hall but if that was kept electronically, actually we can free up a bit of space.”
He added that there were no concrete plans yet.
He said: “There is no specific plan to sell either but we will keep the whole situation under review.”
   
   
 
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