26 & 28 West Park Avenue, St. Helier

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[This decision has been superseded by MD-PH-2009-0073] A decision made (28.05.08) to dispose of 26 & 28 West Park Avenue, St. Helier.

Decision Reference: MD-PH-2008-0034
Decision Summary Title :	DS - Disposal of 26 & 28 West Park Avenue St Helier, by way of deed of gift of the usufruct to Jersey Council on Alcoholism		Date of Decision Summary:	19/05/08
Decision Summary Author:	Paul Griffin		Decision Summary: Public or Exempt?	Public
Type of Report: Oral or Written?	Written		Person Giving Oral Report:	N/A
Written Report Title :	WR - Disposal of 26 & 28 West Park Avenue St Helier, by way of deed of gift of the usufruct to Jersey Council on Alcoholism		Date of Written Report:	19/05/08
Written Report Author:	Paul Griffin		Written Report : Public or Exempt?	Public
Subject: 1071 & 25 - Disposal of 26 & 28 West Park Avenue St Helier, by way of deed of gift of the usufruct to Jersey Council on Alcoholism
Decision(s): 1. The Minister approved, as recommended by Property Holdings, the disposal by the Public by way of deed of gift of the usufruct of the properties 26 and 28 West Park Avenue, St Helier to the Jersey Council on Alcoholism.
Reason(s) for Decision: 1. Under Standing Order 168 (1) (a) and 168 (3) the Minister hereby notified the States that he had accepted the recommendation of Property Holdings to agree to the above land transaction. 2. Under Standing Order 168 (5) the Minister hereby authorised the Attorney General and the Greffier to pass any contract which is required to be passed on behalf of the Public.
Resource Implications: Other than those detailed in the report there are no further financial or manpower Implications.
Action required: 1. In accordance with Standing Order 168 (3) this decision must be presented to the States at least 15 working days before the contract is passed. After the expiry of 15 working days following presentation to the States the transaction may be concluded. 2. The Director of Property Holdings is to instruct the Attorney General and the Greffier to pass the necessary contract, and to copy this decision to the Minister, Treasurer and Deputy Treasurer.
Signature:		Position: Deputy J A N Le Fondré Assistant Minister*
Date Signed:		Date of Decision: MD-PH-2008-0034

26 & 28 West Park Avenue, St. Helier - disposal

TREASURY AND RESOURCES DEPARTMENT

PROPERTY HOLDINGS

Property Transaction for Ministerial Decision - Minister for Treasury and Resources

Disposal of 26 & 28 West Park Avenue St Helier, by way of deed of gift of the usufruct to Jersey Council on Alcoholism

PG 1071 & 25

Purpose

To seek approval from the Minister for Treasury and Resources to allow the disposal by the Public by way of deed of gift of the usufruct, the properties known as 26 & 28 West Park Avenue St Helier to the Jersey Council on Alcoholism.

Background

26 West Park Avenue was purchased by the Public for the then Housing Committee on the 20 December 1974 for a consideration of £39,000. 28 West Park Avenue was purchased, 4 years later, on the 3 March 1978 for the then Public Health Committee for £33,000. In both cases the properties were then leased to the Jersey Council on Alcoholism (JCOA) at a nominal or pepper corn rent, with the Public retaining responsibility for structural repairs and the external maintenance of the buildings. The leasing arrangement remains in place until the present time.

Current Situation

The JCOA became an incorporated body under the Loi (1862) sur les tenures en fideicommis et l’incorporation d’associations’ on the 21 July 2000. Its objectives are to promote the care of the residents by provision of a supportive and alcohol free living environment and in particular running the premises known as 28 West Park Avenue for residents who need a group home, providing assessment of and rehabilitation from their alcohol dependency. 26 West Park Avenue is run for residents who have a measure of rehabilitation and who are preparing to live independently.

In addition to the above assistance, they also provide counselling and advise resident’s families and liaise with the Health and Social Services Department and other institutions in relation to accommodation, care and treatment.

The JCOA obtains some of its funding by way of donations, but is mainly funded by the residents contributing towards their board and a grant from the Health and Social Services Department.

Due to the on going budgetary pressures placed on maintenance expenditure across the States property portfolio, only essential works are now undertaken on these properties. In order to run these facilities the JCOA are required to meet certain standards in relation to the provision of services to their clients. Over the years, this has changed and are they currently required to put considerable capital investment onto the properties to maintain these standards and provide for future care.

Following on from their annual inspection certain building works, alterations and improvements were identified. An independent survey was under taken by the JCOA in the latter part of 2006 which indicated that the properties were showing a low to reasonable state of repair but in need of modernisation. Property Holdings does not have sufficient resources to complete all such work, but JCOA has indicated its long term proposal, given the right situation, would be to invest capital funding into the properties and to undertake such works and invest further in the future.

Conclusion

The continuation of a leasing arrangement is no longer considered suitable by either party as it prevents the JCOA from investing the capital sums that are now essential for this facility. As such it has been agreed by the parties that an alternative would be for the Public to grant the usufruct to the JCOA. This would secure their long term future in the property and allow them to invest the funds required.

The granting of the usufruct would allow the Public to retain a reversionary interest in the property yet at the same time allow the JCOA to become fully responsible for the use and upkeep of the property, for as long as they remain an incorporated body and its objectives continue to be pursued.

Recommendation

It is recommended that the Minister for Treasury and Resources approves the disposal by the Public by way of deed of gift of the usufruct of the properties 26 and 28 West Park Avenue St Helier to the Jersey Council on Alcoholism and authorises a suitable contract to be passed before the Royal Court.

Written By: Paul Griffin

Signature …………………………

Authorised By: David Flowers

Signature ………………………… 19 May 2008