Part 1 ITEM NO. ___________________________________________________________________ REPORT OF THE STRATEGIC DIRECTOR FOR SUSTAINABLE REGENERATION ___________________________________________________________________ TO THE LEAD MEMBER FOR PLANNING ON 22nd MARCH 2011 ___________________________________________________________________ TITLE: Section 106 investment to be spent in Walkden town centre and its vicinity. ___________________________________________________________________ RECOMMENDATION: That the Lead Member for Planning: 1. Approve the spend of £139,000 of Section 106 contributions from development schemes in Walkden town centre to undertake public realm improvements (including work to mitigate the effects of climate change) in Walkden town centre and its vicinity, in line with the Walkden Town Centre Environmental Improvement Plan, as set out in this report. ___________________________________________________________________ EXECUTIVE SUMMARY: Walkden town centre is one of four town centres within the city of Salford and sits at the junction of the A6 and A575. The City Council has received £110,506 of Section 106 contributions associated with planning application 08/56280/FUL. A further commuted sum of £54,428 is expected from a proposed planning obligation associated with planning application 09/58247/FUL. Both developments are located within Walkden town centre. The monies, when received by the City Council are to be spread across four schemes which together will improve the environmental, public realm areas and greenspace characteristics of the town centre and immediate vicinity (including work to mitigate the effects of climate change). Existing street furniture will also be repaired where necessary. ___________________________________________________________________ BACKGROUND DOCUMENTS: (Available for public inspection) None. ___________________________________________________________________ KEY DECISION: YES ___________________________________________________________________ DETAILS: 1.0 Background 1.1 Walkden town centre is one of four town centres in the city of Salford, as defined in the city’s Unitary Development Plan, 2004 – 2016. It is situated at the junction of High Street, the A6 Manchester to Chorley road, and Bolton Road, the A575 Worsley to Bolton road. 1.2 Walkden town centre is currently undergoing a £60 million redevelopment scheme with a new Tesco superstore which opened in September 2010, and the redevelopment of the Ellesmere Shopping Centre. It is expected these developments will greatly support the long-term viability of retail trade within the town centre. Additional retail units will be provided within the Ellesmere Shopping Centre as part of the re-development. Improvements will also be made to the existing Ellesmere Shopping Centre facade along Bolton Road. 1.3 A number of smaller, yet well established, businesses and community centres are located to the south of the town centre along Bridgewater Road and Memorial Road. The general condition of properties within this area of the town centre is better than those located to the north. Street furniture has been used to provide seating at the entrances to both Bolton Road and Memorial Road; however, this has become damaged in recent years and is now in need of treatment or replacement. 1.4 The City Council has received £110,506 of Section 106 contributions associated with planning application 08/56280/FUL. A further commuted sum of £54,428 is expected from a proposed planning obligation associated with application 09/58247/FUL. Both developments are located within Walkden town centre. A summary of the terms of the associated planning obligations is at Annex A. The commuted sums relate to the redevelopment of the Tesco superstore and the Ellesmere Centre in Walkden town centre (see Annex B). These monies may be utilised only for the purposes of undertaking public realm improvements within the vicinity of the developments and climate change mitigation, in accordance with Policies OB2 (Public Realm, Infrastructure and Heritage) and OB4 (Reducing and Offsetting Carbon Dioxide Emissions) of the Council’s adopted Planning Obligations Supplementary Planning Document. 2.0 Proposed public realm improvements 2.1 Urban Vision was appointed in September 2010 to develop an environmental improvement plan for Walkden town centre. An initial consultation session took place with Little Hulton and Walkden Neighbourhood Partnership Board on 23 September to understand the community’s issues and priorities. This identified the area on Bolton Road from Blackleach Country Park down to the junction of Bolton Road and the A6 as being the priority area to target. 2.2 Following this a number of sketch schemes were drafted up and presented back to the Neighbourhood Partnership Board on 25 November 2010 and the Little Hulton and Walkden Community Committee on 29 November 2010. A number of clear priorities emerged from these meetings and these schemes have subsequently been designed up in more detail. The prioritised schemes include: Scheme 1 - environmental improvements at the junction of the A6 and Bolton Road (see Annex C); Scheme 2 - improvements to the area of greenspace at Walkden Congregational Church, outside Walkden Gateway Centre (see Annex D); Scheme 3 - refurbishment / replacement of damaged street furniture, including bollards and benches (see Annex E); and Scheme 4 – improvements on Bolton Road to draw footfall from the centre to Blackleach Country Park (see Annex F). 2.3 These designs have subsequently been presented back to and agreed by Little Hulton and Walkden Community Committee on 31 January 2011 and the Walkden Town Centre Summit in February 2011. 3.0 Justification for the use of Section 106 monies 3.1 Section 106 Agreement (Ref: 186) and the proposed agreement relating to the redevelopment of the Ellesmere Centre (Planning reference: 10/58247/FUL) require the developer to pay commuted sums to the Local Authority for the purposes of mitigating the impacts of these developments. These payments are specifically for the purpose of undertaking public realm improvements in the vicinity of the site and to contribute towards projects aimed at reducing and off-setting carbon dioxide emissions. The Walkden Town Centre Environmental Improvement Plan presents a co-ordinated approach to the delivery of those improvements. 3.2 The schemes included have been designed to improve upon the existing physical / public realm characteristics of the town centre, and to better present the area of public realm along Bolton Road. This would represent a cost-effective spend of Section 106 monies creating added value against ongoing private sector investment within the town centre. 3.3 It is proposed that existing pockets of greenspace / public realm areas along Bolton Road will be landscaped to mitigate the impact of additional pedestrians that will be created as a result of increased visitors to the new developments at Walkden Town Centre. An existing greenspace / public realm area adjacent to the Walkden Gateway Centre, owned by Walkden Congregational Church, will also be landscaped. Walkden Congregational Church has consented to these works taking place and the church will be responsible for ongoing maintenance. It is proposed that the City Council will seek to formally agree future maintenance and ongoing public access to the area prior to the commencement of any works. 3.4 The development is likely to cause a significant increase in pedestrian flow and through traffic across the A6 and Bolton Road junction. Existing street furniture will experience an increase in use, and therefore it is proposed that these features be enhanced. 3.5 Throughout all the proposed schemes, tree planting will be funded out of the £14,994 of Section 106 contributions received to off-set carbon dioxide emissions. 3.6 The proposed expenditure would therefore be in line with the requirements of the Section 106 funding. The proposed investments outlined are also supported by the Little Hulton and Walkden Community Committee and Neighbourhood Partnership Board. 4.0 Financial information 4.1 The council is due to receive £164,934 in Section 106 contributions from developments in Walkden town centre. Of this amount, £149,940 will be invested into public realm infrastructure and heritage and £14,994 towards mitigating the impacts of climate change. 4.2 The estimated costs of the four schemes identified under section 2.2 is as follows: Scheme 1 - £37,000; Scheme 2 - £43,000; Scheme 3 - £24,000; and Scheme 4 - £35,000. 4.3 The total estimated cost of the above schemes is £139,000. Of this £132,040 relates to improvements to the public realm, infrastructure and heritage. £6,960 relates to mitigating the impacts of climate change, including 9 new trees and flower planting. 4.4 The schemes have been designed to minimise any additional revenue requirements. The Little Hulton & Walkden Neighbourhood team are liaising with local businesses in the area to encourage them to take on any additional maintenance responsibilities for Scheme 1 and Scheme 3. There will be no additional revenue requirement from Scheme 2. This area of greenspace is owned by Walkden Congregational Church and maintenance of this land is funded, and will continue to be funded, by the Walkden Congregational Church. Maintenance for Scheme 4 will be minimal and will be absorbed into the ongoing grounds maintenance services provided by the Environment Directorate. 4.5 Once the total amount of Section 106 contributions has been received by the City Council, the application of Schemes 1-4, as contained in paragraph 4.2 of this report, will result in an unspent balance of £25,934. It is proposed that Officers from the Sustainable Regeneration Directorate continue to work with the Walkden community and work in line with the priorities set out in the Walkden Town Centre Environmental Improvement Plan to commission a scheme that adheres to the terms of the associated legal agreements. Of the remaining balance, £17,900 is to undertake public realm improvements and £8,034 will go towards mitigating the impacts of climate change. It is proposed that further permission will be sought under powers of delegation from the Strategic Director for Sustainable Regeneration to authorise the approval of the expenditure of £25,934. 5.0 Conclusions 5.1 The Lead Member for Planning is asked to approve the allocation and drawdown of spend of Section 106 contributions from development schemes in Walkden town centre (including work to mitigate the effects of climate change) to undertake public realm and climate change mitigation improvements in Walkden town centre and its vicinity, in line with the Walkden Town Centre Environmental Improvement Plan. ___________________________________________________________________ KEY COUNCIL POLICIES: Salford West Strategic Regeneration Framework and Action Plan, Planning Obligations Supplementary Planning Document 2007 Unitary Development Plan ___________________________________________________________________ EQUALITY IMPACT ASSESSMENT AND IMPLICATIONS: In developing the Walkden Town Centre Environmental Improvement Plan and detailed designs consideration has been given to ensuring gradients comply with the relevant legislation and street furniture is designed in such a way as to be accessible to all. These accessibility and equality were key aspects of the initial streetscene audit. This has resulted in concrete recommendations to improve accessibility and equality in terms of signage and the location / orientation of street furniture. ___________________________________________________________________ ASSESSMENT OF RISK: Low If funding cannot be secured from Section 106 contributions, this would put the implementation of the projects in jeopardy; and Developers can seek to legally challenge the City Council to claim back Section 106 monies under the following circumstances: - if not used on a scheme that mitigates the impacts of that development; - if not spent in line with the requirements of the Section 106 agreement; and - if not spent within the agreed timescale. Spending Section 106 monies on environmental improvements in Walkden town centre and its vicinity would therefore overcome the risk of such a legal challenge. ___________________________________________________________________ SOURCE OF FUNDING: £110,506 of Section 106 contributions received under the planning obligation associated with application 08/56280/FUL and a further £54,428 of Section 106 contributions to be paid with reference to planning application 09/58247/FUL ___________________________________________________________________ LEGAL IMPLICATIONS: Contact Officer and Extension No: Richard Lester, Outstationed Locum Solicitor ext: 2129 Date Consulted: 24/02/2011 Comments: 1. As much of the proposed work will be taking place on or adjacent to the highway, particular care will need to be taken to ensure the free passage and safety of highway users. 2. In relation to the site owned by Walkden Congregational Church, it would be desirable to complete a Licence authorising the City Council to enter on that land and carry out the work. 3. Further agreement may be required should the City Council wish to re-enter the land for future maintenance. 4. I am informed that the work includes a component which will mitigate the effects of climate change. Therefore the climate change contributions may be utilised for this element. 5. Expenditure on public realm improvement accords with the planning obligation and proposed agreement. 6. Unlike the public realm contributions, the climate change contributions may be spent anywhere within the city. 7. There is no requirement in the Constitution for the recommendations in this report to be approved by the Lead Member for Customer and Support Services. ___________________________________________________________________ FINANCIAL IMPLICATIONS: Contact Officer and Extension No: Mags Miller-Cobham, Accountant ext: 2504 Date Consulted: 04/03/2011 Comments: Funds are in place against planning application 08/56280/FUL, but funds have not been received against planning application 09/58247/FUL. The intention is to allocate S106 funds to the public realm improvements in Walkden Town Centre and its vicinity, but there is a risk to the progress of the planned programme if full funding is not received. ___________________________________________________________________ OTHER DIRECTORATES CONSULTED: Consultation was undertaken with the Section 106 Officer (Physical Regeneration Team) to ensure that the expenditure of the commuted sums received to date and the proposed expenditure of further commuted sums that are payable to the City Council under application 09/58247/FUL will be line with the terms of the associated legal agreements. ___________________________________________________________________ CONTACT OFFICER: Paul Gill TEL. NO. Ext 2207 ___________________________________________________________________ WARD(S) TO WHICH REPORT RELATE(S): Walkden North ___________________________________________________________________ 110307 - Walkden 110307 - Walkden Streetscene - Env ImpStreetscene Plan.pdf - press release.doc Annex A: Section 106 Agreement Breakdown Section 106 Reference Planning Reference Location 186 08/56280/FUL Tesco Superstore, Bolton Road, Walkden Planning Obligation Summary Total Section 106 Paid For the purposes of undertaking £110,506 public realm improvements within the vicinity of the developments and climate change mitigation, in accordance with Policies OB2 and OB4 of the Council’s adopted Planning Obligations Supplementary Planning Document. 1139 - 09/58247/FUL Ellesmere For the purposes of undertaking £0 Expected Centre, Bolton public realm improvements to be Road, within the vicinity of the signed Walkden developments and climate within the change mitigation, in next 4 accordance with Policies OB2 weeks and OB4 of the Council’s adopted Planning Obligations Supplementary Planning Document. Further payments expected £0 £54,428 Contributions Available to be spent on Public Realm and Climate Change Mitigation in the vicinity of the developments £110,506 (£100,460 for public realm improvements & £10,046 for climate change mitigation) £54,428 (£49,480 for public realm improvements & £4,948 for climate change mitigation) (Developer has submitted a S73 application to vary a part of the scheme, this has resulted in a delay in the completion of the Section 106 Agreement.) Annex B: Location of S106 Developments Annex C: Junction of A6 and Bolton Road Annex D: Greenspace at Walkden Congregational Church Annex E: Refurbishment / Replacement of Street Furniture Source: Ordnance Survey © Crown copyright 2011 Licence No.: 100019737 Annex F: Public realm adjacent to Blackleach Country Park Source: Urban Vision, 2011