The Strategic Head of Property and Commercial presented a report which sought approval for additional funding to the project, which would allow the Council to make an award to the preferred contractor and deliver the scheme within the agreed timetable set by the Getting Building Fund (GBF) grant agreement.

On 17 November 2020, Council approved the redevelopment of 27-37 High Street, Swanley, to provide 17 new residential units and a business hub with an estimated total project budget of £5,624,039. The project received a GBF grant of £1.49m upon condition of the scheme meeting a challenging timetable set by Government.   As a result, the project was placed on an accelerated programme, and has met all its milestones to date. In particular, demolition work had started on site and the Council had now received tenders to undertake construction work.

However, after evaluating the tenders and choosing a preferred bidder, the tenders exceeded the envisaged cost estimates set for the construction and there was now a need to augment the project budget if the high quality scheme originally envisaged for the gateway location was to be maintained.

Given the economic and social benefits associated with the scheme, costs associated with progressing the scheme to date, and given the ability to fund the additional costs through capital receipts, it was recommended that the project’s total budget be increased by £490k. This would allow the project to proceed and continue to achieve the conditions stipulated in the GBF Grant Agreement.

Public Sector Equality Duty

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

Resolved:  That

a)   the addition of £490,000 to the current project budget of £5,624,039, be approved; and

b)   it be noted that the additional funding to the project is funded from the Council’s Capital Reserves.