Local veterans charity reaches deal with county council over former careers office in Newcastle
By Kerry Ashdown - Local Democracy Reporter
4th May 2023 | Local News
Staffordshire County Council has agreed to sell a former careers office in Newcastle-under-Lyme to a local veterans charity.
The building on Hassell Street is currently owned by the council and is leased to the Tri Services and Veterans Support Centre.
The charity was at risk of closure after its lease on the venue expired – and a subsequent appeal for help attracted support from businessman John Caudwell among others.
Tri Services has been renting the building since 2015 on a peppercorn rent.
The charity's chairman Geoff Harriman says it's a relief now the deal has been struck.
He said: "We're delighted that the offer has been accepted and we can now move forward.
"It makes a huge difference to us because we can continue the work we're doing without having some of the restrictions placed on us with the lease.
"It will assist us greatly in fundraising as well. It's a massive weight off our shoulders, and we can move forward now knowing we've got it secured."
The council says the building was in a poor state of repair when the charity first took it on, but Tri Services has since paid for windows to be replaced and other repair work carried out.
The charity has spent almost £20,000 already and may have to spend a further £35,000 to improve the roofing and heating.
In 2017 they made an offer of £40,000 to buy the building – but the council requested a better deal. An increased offer of £60,000 was then made in February 2022 but this was also rejected.
The authority believes the building could be worth between £90,000 and £120,000 on the open market, but has agreed to sell it for £85,000 with a clause that means if the building is sold it will receive a split of the profit.
A report from officers said: "The charity status of the organisation and the evidence of the work it does to support former armed service personnel fully justifies the local socio-economic and environmental wellbeing of the area criteria to justify the undervalue element."
The clause included in the sale agreement means that the council will receive 50% of any increase in value if the building is sold on within the next 20 years.
Cllr Mark Deaville, cabinet member for commercial matters feels the deal strikes a good balance between getting best value for the council and supporting a local charity.
He said: "I've had quite detailed discussions with Tri Services, and I've seen the excellent work they do. I've seen how they change the lives of people who use their services.
"I've got a responsibility to look after the best value for Staffordshire taxpayers, but having seen the service the charity provides I want to help them grow as a service.
"I'm delighted that the decision made today provides a successful conclusion for all of us."
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