The Chief Officer for Communities and Business presented the report whichoutlined Sencio’s proposals for works to Sevenoaks Leisure Centre to improve the Centre and take advantage of unmet latent demand in the town. Members were asked to recommend that Cabinet agree a 10 year loan of £600,000 for Sencio at an interest rate of 6% per annum.

The Portfolio Holder for Housing and Health and Portfolio Holder for Finance advised that their Advisory Committees had considered the report, the relevant minutes of which had been circulated and tabled for information.

Members discussed the item and there was some consideration of the risks involved with the proposal.  The Chief Finance Officer set out that he was satisfied that the proposal was financially acceptable.

Public Sector Equality Duty

Members noted that consideration had been given to impacts under the Public Sector Equality Duty.

Resolved:  That Sencio be granted a loan of £600,000 over ten years at an interest rate of 6% per annum under the terms set out below

         ‘That the agreed works will be recorded by way of a Licence for Alterations. The Licence will set out the terms for the works, and it is recommended that these will include:

·                That the improvements will be made to the Council’s satisfaction;

·                That the works be carried out in accordance with any statutory requirements, the cost of which need to be met by Sencio prior to any work commencing;

·                Sencio will be responsible for the ongoing maintenance of and repairs to the works covered by the loan;

·                At the end of the current lease in 2029, the Council will not be liable to pay Sencio for the improvements made.

·                In the event that Sencio defaults on its loan repayment for the works, the Council will look to declare Sencio insolvent and thereby in breach of the lease and, subject to the Court’s relief, terminate the same.  This will be actioned if Sencio makes one loan repayment in excess of 30 days late or three loan repayments in excess of one day late.’