Executive agree future of council companies and assets
The future of several council-owned companies and associated assets was agreed during last night’s Executive meeting (Thursday 11 June), marking an important step in the council’s recovery programme.
Members of the Executive considered three reports relating to Thameswey Housing Ltd, Thameswey Energy Ltd and Victoria Square Woking Ltd.
The reports built on earlier decisions taken by the Executive in March and represent a further step in delivering the council’s Company Divestment Strategy and wider Improvement and Recovery Plan, which aim to simplify company structures, reduce risk and address historic borrowing.
Thameswey Housing Ltd (THL)
Executive agreed to begin the sale of Thameswey Housing Ltd, including launching the marketing process and taking the necessary preparatory steps, such as transferring shares in THL from Thameswey Limited (TWL) to Woking Borough Council.
A sale to an investor committed to maintaining affordable housing was also recommended, balancing the council’s priorities of protecting affordable homes for tenants, reducing debt and commercial risk and delivering within identified timescales.
Victoria Square Woking Ltd (VSWL)
Following advice from independent consultants, Executive agreed an updated marketing approach for Victoria Square’s core assets
The core assets, comprising The Marches residential development, hotel complex, Henry Plaza and Victoria Place Red and Green car parks, will be marketed as a single freehold package.
This new approach will enhance market appeal, reduce complexity and risk and support a more deliverable sales process.
Whilst the freehold interest in the car parks will be included within any sale, the council will retain operational control and ongoing income through a long-term leasehold arrangement.
Other assets, including Wolsey Place shopping centre, Wolsey Walk residential units and Export House, would be marketed separately at a later stage.
Thameswey Energy Ltd (TEL)
To support the planned disposal of VSWL’s assets, Executive agreed that Woking Borough Council take direct ownership of TEL.
The Victoria Square estate is permanently connected to the TEL district heat network, which supplies its heat, cooling and electricity.
Independent advice has confirmed that prospective purchasers will require clear assurance over the long-term stability, governance and operation of the network as part of any sale.
By taking direct ownership, the council will provide this assurance and support the long-term sustainability of the heat network serving residents, businesses and key local assets.
Cllr Dale Roberts, Deputy Leader and Portfolio Holder for Finance, said:
These decisions by Executive set a clear future direction for the council’s companies and associated assets, marking a significant step in our recovery programme.
They directly support our priority of reducing debt and exposure to commercial risk, whilst protecting affordable housing for tenants and ensuring key assets and infrastructure continue to support residents and the local economy.
This is about taking decisive, responsible action and forms a vital part of our ongoing work to stabilise the council’s finances and plan for the future.