Community Assets No 7 - Local Authority Property and community Value (Update 2 - 18 November 2011)

At last the Localism Act 2011 is established in law? The links below describe how local authorities will be required to publish information about their own property - the description gives an aggregate of the open market values of all such property.

However, the 2011 Act provides for some local authorities to make a list of assets (land and buildings) which have "community value" (which is not be the same as "open market value"). I suppose that the list will certainly include assets deemed or nominated as community assets belonging to bodies and individuals who are not local authorities: but will the list include local authority property assets? No doubt the forthcoming regulations will tell us.

Whilst browsing I hit upon a DCLG site which gave a pretty map of the locality with all kind of coloured pointers.  Hitting on the pointers I received some detailed information about the public property on each hit, such as a) name, b) address, c) postcode, d) organisation, e)contact, d) currency (date), e) area,  f) use status,  g) tenure, h)  easting,   i)  northing,  j) reference,  and i)  ID.  Will future such lists indicate public property which has community value?

[Please Note:  Wish I could show you but my viewing was (apparently) for my eyes only (or more complicated words than that)!  Having signed the OSA I felt obliged to resist showing you the many boxes which state "Data Not Available". Nevertheless once it is fully developed it should prove a useful first pointer for residents and others of what is out there in the public domain. However, I am not allowed to copy it and there was hint that it may be shown for a limited time; even if it stays for ever, I may not be able to find it again! It has been an exciting half hour!!! Sad.]
http://www.24dash.com/news/housing/2011-08-05-Pickles-orders-councils-to-publish-assets?utm_source=24dash+newsletter+subscribers&utm_campaign=1c4848811f-UA-31909-1&utm_medium=email

Community Assets No 2 - Moratorium on a Disposal (Update No 2 - 23 November 2011)

The Localism Act 2011 requires an owner who has a property which is listed on the local authority's list of assets of community value to give notification of disposal. This will kick in an interim moritorium period of disposal, ie six weeks in which a community group may declare an interest in exercising their right to bid for the property. If one does so a full moratorium  period on the disposal arises, namel six months.

It follows that the stakeholders will all have to be alert to the impact of such a moratorium, namely:

• the owner should be aware that the property is on the list and be concerned that the appropriate "notification of disposal" (see section 96)  is made;
• any owner's estate agent should take into account the timing of the various periods given in the chapter, eg "full moratorium period", "interim moratorium period" and "protected period";
• prospective buyers (both community buyers or private buyers) will need to understand the nature and timings of any possible delays;
• any community interest group (see section 95(6)) wanting the property will need to comply with the procedures;
• the local authority (see section 106 (1), (2), (3), and (4))  will need to be geared up to give effect to the procedures.

Once the Regulations are published (probably in a few months) the full gamut of the legislation will begin to bear!


A point to bear in mind: where the vendor has a "going concern", eg as a branch in a bank and decides to close the bank branch, it may be difficult afterwards to maintain or claim the "community value" in the empty property. The issue is that the "community value" may lie in the continuation of the use, in this case banking: it is not in the property per se.

Community Assets No 1- Glossary - "Assets of Community Value" (Update No 1 -16 November 2011)

"Community asset" is a relatively new term which is being "enclosed" with a new statutory aura of terminology; so this post attempts a short list of the new jargon. I must admit that I have a layman's understanding of such matters so I am pleased at last to delve into the Localism Act 2011 which has just received Royal Assent (16 November 2011). Now we must await the pethora of Regulations!  

To the glossary - where the Bill is lacking in detail it might be expected that forthcoming regulations will fill gaps. Let the hunt begin!


Part 5, Chapter 3 of the Localism Act 2011 (sections 87 to 108) sets out the law of "assets of community value. " Under these provisions new terms we have to deal with include the following:

• community value - (see section 88(1)(a) - This is not a reference to monetary value such as "open market value" but to a quality of the land in its current use in furthering the "social wellbeing or social interests of the local community" [Note tht further detail is given in the section!];
• list of assets of of community value (see section 88) - The lists are to be drawn up by the local authority (see section 106(1) and (3)), eg district council, county council, etc.
• community nomination (see Section 89(2)(a) and (b)) This allows community councils, town councils and parish councils and their ilkies (certain voluntary bodies) to nominate land for the list. [They seem to be in a relatively weak position.];
• land of community value - "land" is widely and interestly defined (see section 108(1));
• owner - (see section 107) is defined in relation to land as to whether the estate held is freehold or a freehold with one or more leases. [In the latter the owner owns the leasehold furtherest from the freehold!]
• list of land nominated by unsuccessful community nominations (see section 93)
• moratorium on disposing of listed land - (see section 95(1)) - here  land on a list cannot be disposed of unless Conditions A, B, and C have been fulfilled (see Section 95 (2), (3) and (4));

My first look excited curiosity and revealed my general "cloud of unknowing" about such matters. A whole new field of interpretation is about to hit me - or so methinks! Later posts will explore these terms and more further.