Somerset Council has ‘fired the starting pistol’ to potentially sell the Saxonvale regeneration site in Frome on the open market.
The council’s executive agreed in late-January to sell the site to Mayday Saxonvale, which aims to deliver much-needed low-cost homes, commercial space and new leisure facilities in this location.
Nearly nine months on from this decision, Mayday Saxonvale has not been able to officially purchase the site from the council, due to struggles in securing the necessary finance from its partners.
The council’s executive has now agreed to begin the process of selling the site on the open market – with council leader Bill Revans stating the authority was “between a hard place and many, many rocks”.
Mr Revans added that the council would continue conversations with Mayday Saxonvale on its scheme, with any final decision on the future of the site being taken at a separate public meeting after Christmas.
Here’s everything you need to know:
Numerous supporters of the Mayday scheme spoke when the executive committee met in Frome Town Hall on Friday morning, 24th October.
Tim Cutting, director of Frome Area Community Land Trust (FACLT), said, “The Mayday scheme is community-led, with the benefit of that community at its heart. Much of the profit that it will make will be fed back into the development.
“The Mayday development will still be the quickest to start work on site; any new commercial developer will take years rather than months to get through feasibility, design, acquisition and planning.”
Anita Collier, a non-executive director on the Mayday Saxonvale board, said, “Resorting to selling this land to the next developer who comes along could be the most harmful thing to ever affect this town.
“This Mayday scheme represents more than just best value. It represents the epitome of what could make this town one of the strongest communities in
Somerset.
“Frome as a town is a one off: we have one-off shops, one-off people, we come together when it matters, and we seek to make sure that what happens in this town is as one-off as we are.”
Paul Oster, a director at Mayday Saxonvale, urged the council to keep faith with his organisation, especially in light of an amended proposal which was being brought forward.
He said, “We have worked flat out with Stories, our development managers, to find the right investors, aligned with our objectives, who would be willing to put capital upfront for the purchase of Saxonvale.
“We have made progress, with an in-principle agreement from a social impact investor for a meaningful portion of the land purchase price.
“We have put forward a proposal to you in recent weeks that we see as the basis for meaningful discussions.”
Why is the council trying to sell the site on the open market?
When the executive voted in favour of selling the site to Mayday Saxonvale in January, this was on the understanding that the latter would complete the sale by 31st March.
The council is currently spending around £30,000 a year on security to prevent trespass or damage to the site – money which could otherwise be used to fund front-line services in Frome and elsewhere.
On top of its existing financial pressures, the council also faces the prospect of having to repay a £3.6m grant provided by Homes England, which was spent on decontaminating and clearing the site.
One of the conditions for this grant was that the site would be redeveloped swiftly to deliver at least 249 homes, of which 25 per cent must be affordable.
Responding collectively to the public speakers, Mr Revans said he “acknowledged the significant effort” by Mayday Saxonvale and “recognised the depth of local support” for the scheme.
He added, however, “The council must now consider its responsibility to deliver financial certainty to the public.
“It is important to stress that we have done everything reasonably possible to support the conclusion of the deal with Mayday.
“In the absence of a fully funded and deliverable offer, we must now explore alternative options, including the potential open market sale.”
Does this mean it’s all over for Mayday Saxonvale?
No – the project is not dead by any means.
Officers indicated there had been “informal inquiries” from third parties about purchasing the site in recent months, but stressed it would take “four to six weeks” to get the site advertised on the open market – meaning no sale would be possible before Christmas.
Furthermore, the executive has agreed that any final decision on the site will be taken by its members in Frome, rather than in Taunton or by officers behind closed doors.
Mr Revans said, “This does not prevent further dialogue with Mayday Saxonvale, and we welcome any viable proposals that meet our requirements for financial security and best consideration.
“We remain committed to delivering a high-quality, mixed use development at Saxonvale that benefits Frome and the wider community.
“I had previously given commitment that we would make decisions about the site in Frome, in public wherever we can.”
Chief executive Duncan Sharkey added, “You are making a decision on firing the starting pistol today, but at the end of the process you’ve still got to make a decision on whether or not you want to go ahead with the sale.”
How have executive councillors reacted?
Councillor Sarah Wakefield, portfolio holder for adults services, housing and homelessness, said she was sceptical as to whether the Mayday scheme was financially viable.
She said, “I think what you want to do is fantastic – I’d love to do something like this in Wellington, with the Tonedale site that we can’t get away.
“Why haven’t you done a public subscription? With so many people supporting it, why haven’t you asked people to put up money?
“For me personally, I think this is an aspiration, which I admire, but I’m not sure I think it’s a realistic aspiration.”
Deputy leader Liz Leyshon said the council had to demonstrate financial credibility regarding the site, in order to ensure productive conversations with central government over the future funding of services.
She said, “We are going to the government quite possibly for a third year of exceptional financial support, albeit on a reduced trajectory.
“It’s absolutely critical that we can go to the government and our external auditors and show that we have mitigated these risks in every possible way.”
Councillor Theo Butt Philip, portfolio holder for transformation, human resources and localities, added, “Knowing Frome as I do, I am very hopeful that Mayday Saxonvale will prevail – but it would not be prudent for us to continue the current arrangement in the absence of tangible evidence of imminent funding.”
How did councillors vote – and what happens next?
After around 90 minutes’ debate, the executive voted to move forward with selling the site on the open market, while leaving the door open to Mayday Saxonvale.
The site is expected to be marketed for up to 12 weeks, after which a special executive committee meeting will be held in Frome to make a final decision on the sale of the land.
This meeting is expected to be held by late-February, though this may be a few weeks either side in light of the council needing to set its annual budget.
Following the vote, Mr Revans said, “We are stuck between a hard place and many, many rocks. This is not an easy task for us to navigate.”
The Mayday Saxonvale proposal includes the following elements:
263 homes, of which at least 30 per cent will be affordable (with a stretch target of 50 per cent)
At least 10,000 sq m of commercial and community space, including an enterprise centre and a “community kitchen”
A cultural centre within the ‘western warehouse’
A riverside park and children’s play area
Improved cycle links between the site and Vicarage Street
The realignment of the A362 Garsdale roundabout and £246,000 towards improving the Gorehedge junction
New public open spaces
A hotel and spa
A lido
Nearly £828,000 for improving local schools
