DD2748 639 Community Enterprise Centre, Tottenham

1.1.    This decision form requests that £250k from the Good Growth Fund (‘GGF’) is reallocated towards the 639 High Road Capital Refurbishment Works. These works, which will deliver essential maintenance to the building, sit outside of the GGF, although they are closely aligned with the programme objectives to support growth and community development.
1.2.    These funds will be reallocated from the Expanding Kensal’s Creative Economy GGF project in the Royal Borough of Kensington and Chelsea (RBKC). This follows notice received by the GLA that RBKC were withdrawing from the applicable grant agreement as they were no longer able to deliver the GGF project, Expanding Kensal's Creative Economy (Lowerwood Court). The remaining funds were not paid to RBKC and are therefore available for reallocation. Following confirmation of RBKC’s withdrawal, it is proposed to reallocate £250k to the 639 Capital Refurbishment works.
1.3.    MD3181 approved a total envelope of up to £2.85m for expenditure on the refurbishment. The £2.85m is made up of multiple funding sources, which included the expected receipt of £250k from LB Haringey Strategic Investment Pot (SIP) funds. The GLA bid submitted for these funds, however, was unsuccessful. This reallocation of funding from the GGF will ensure there is the full budget to meet the requirements and business plan set out in MD3181. 
1.4.    GLA owns and manages the 639 Centre building, previously purchased and refurbished following the riots in Tottenham in 2011 (approved under cover of DD791). The 639 Centre continues to incubate and promote small and emerging local businesses bringing together various strands of support to develop and sustain careers, from support and training from school leavers, to subsidised premises, business mentoring and career development initiatives as well as providing support to local young people from disadvantaged and ethnically diverse backgrounds. 
1.5.    The current tenants and operators are the Trampery (outlined under MD3181) who are operating the building until January 2027. The Trampery is a Community Interest Company that provides workspace, training and management services. Under the existing terms of the lease, the GLA do not pay or manage the operations of the building and the Centre, however the tenant does benefit from a peppercorn rent and is not responsible for the cost of the building repairs. The works will be undertaken pursuant to a contract with a building contractor with the Trampery occupying the site. 
 

2.1.    MD3181 outlines the strategy for this site; this DD seeks to maintain and support the delivery of these objectives. The purpose of the capital works is to improve the Health & Safety of the building; undertake essential maintenance to ensure future use of building and prevent further damage; improve the accessibility of the building; making the building more energy efficient; and attract a new operator to take on the operation, maintenance and repair of the asset. 
2.2.    These works will ensure the building continues to be fit for purpose as a community enterprise hub for local residents and that the GLA will be able to attract an appropriate social entrepreneurial operator when the current lease period ends.
 

3.1.    The Public Sector Equality Duty (PSED) is a statutory obligation on the GLA under the 2010 Equality Act. The reallocation of the funding will ensure that the GLA can deliver the requirements set out and support long term investment into a building that requires maintenance and repair. 
3.2.    Investment in this site will also meet the GLA’s equality duties to promote economic development and wealth creation and social development in Greater London by investing into a social enterprise hub in Tottenham, in the London Borough of Haringey. It is operated by a social enterprise organisation who operate and lease the building to businesses at an affordable level, and provide incubator, skills and training to young people in the area. 
3.3.    It will also promote the improvement of the environment on Tottenham High Road by maintaining a Grade II listed building which has local and regional significance. The works will ensure the building is well maintained and able to be used for all of society. 
 

4.1.    The GLA owns the building and is responsible for ensuring the building is managed and maintained for tenants and operators. The risks associated with the works will be managed and mitigated through project management, regular review of the project risk register and procurement. There is a project risk register that is regularly updated and reviewed, which will be managed and maintained by the future contractor on appointment and the project manager. 
4.2.    Risks associated with cost are being managed in terms of getting early costings, early engagement with contractors and reviewing the scope of works in association with the fixed budget. Building surveys are being undertaken to identify key risks associated with the building with suitable mitigation measures agreed. On appointment of a contractor, the contract will outline the risk portion to the contractor and to the GLA in delivering of these works. 
4.3.    There are no identified conflicts of interest in relation to the reallocation of the GGF funding to support the capital works. 
4.4.    The reallocation of GGF funding aligns with the Mayor’s strategies and priorities of community and social development, investment into London’s high streets, providing affordable and accessible workspace, and opportunities to Londoners. 
4.5.    The works will be undertaken in consultation with the current operators. The works are currently at the design stage. The project team meet regularly with the operators to manage any risks and issues that may occur through the delivery of the programme. 
4.6.    The project team will appoint a suitable contractor to undertake the works  in accordance with GLA Contracts & Funding code.  
 

5.1.    This Director Decision is requesting approval for the reallocation of £250k from a withdrawn Good Growth Fund project (Expanding Kensal’s Creative Economy) to meet the costs of undertaking capital works at 639 High Road in the amount of up to £2.85m previously approved under Mayoral Decision MD3181. 
5.2.    This programme is not linked to a specific delivery plan, but it is consistent with the objectives of the Helping Local Economies to Thrive mandate, and there is a budget allocated to this programme.
 

6.1.    Under section 30 of the Greater London Authority Act 1999 (the GLA Act), the GLA has the power to do anything which it considers will further any one or more of its principal purposes. The principal purposes of the GLA are a) promoting economic development and wealth creation in Greater London, b) promoting social development in Greater London, and c) promoting the improvement of the environment in Greater London. Section 34 of the GLA Act provides that the GLA may do anything (including the acquisition or disposal of any property or rights) which is calculated to facilitate, or is conducive or incidental to, the exercise of any functions of the GLA which includes the power set out in section 30.
6.2.    As set out above, in the formulating the proposals in respect of which a decision is sought officers have compiled with the GLA’s related statutory duties included to ensure that:
•    appropriate arrangements are made with a view to securing that in the exercise of the section 30 power by the Executive Director of Good Growth there is due regard to the principle that there should be equality of opportunity for all people
•    the Executive Director of Good Growth exercises the section 30 power in a way which is best calculated to promote improvements in the health of persons in Greater London, promote the reduction in health inequalities between persons living in Greater London, and to contribute towards the achievement of sustainable development in the United Kingdom
•    there is consultation with bodies or persons who may be considered appropriate in this case.    
6.3.    In taking the decisions requested, the Executive Director of Good Growth must comply with the Public Sector Equality Duty; namely the need to eliminate discrimination, harassment, victimisation and any other conduct prohibited by or under the Equality Act 2010, and to advance equality of opportunity between persons who share a relevant protected characteristic (age; disability; gender reassignment; marriage and civil partnership; pregnancy and maternity; race; religion or belief; sex; sexual orientation) and persons who do not share it and foster good relations between persons who share a relevant protected characteristic and persons who do not share it (section 149 of the Equality Act 2010). To this end, the Executive Director of Good Growth should have particular regard to section 3 (above) of this report.
6.4.    To the extent that any existing contracts need to be varied or, in the case of any grant agreements which will no longer be utilised, terminated, officers must ensure that appropriate contractual documentation is put in place and executed by the chosen supplier / recipient and the GLA to implement the outcomes of this decision.
6.5.    All procurements of works, services and supplies required for the project must be procured in accordance with the GLA’s Contracts and Funding Code (the “Code”) and, where the value exceeds £150,000, in accordance with the Procurement Act 2023 (the “Act”).  Furthermore, the officers must liaise with Transport for London’s Procurement and Commercial team, which will determine the detail of the procurement strategy to be adopted in accordance with the Code and the Act. Officers must ensure that appropriate contractual documentation be put in place and executed by chosen service provider and the GLA before the commencement of the relevant works, services or supplies.