Decision

URL: https://www.southampton.gov.uk/modernGov/ieDecisionDetails.aspx?ID=3542

Decision Maker: Cabinet

Outcome:

Is Key Decision?: Yes

Is Callable In?: Yes

Purpose: To consider the report of the Leader of the Council outlining the future delivery model for St Mary’s Community and Leisure Centre

Content: (i)  To approve Testlands as the recommended operator for SMCLC. (ii)  To approve a recommended lease of 25 years with associated break clauses. (iii)  To approve the timeline set out in paragraphs 20 and 25 of this paper, to appoint a long-term lease holder. (iv)  To delegate authority to the Executive Director – Resident Services following consultation with the Executive Director of Growth and Prosperity and the Leader to take the necessary actions to give effect to this decision, including agreeing relevant commercial terms and lease mechanisms during the lease period. A number of options have been considered (see the “Alternative Options Considered and Rejected” section of this report).   The following points outline the approach taken to secure the future of St Mary’s Community and Leisure Centre: · A long lease opportunity (with appropriate break clauses) to a community   organisation · An open and transparent competitive process in January to find a tenant · Engage with the interested parties on some of the detail of the works that need to be done to the building · Progress partnerships and engagement with other services and organisations · Progress the key works to the building Permanently cease leisure services at SMCLC To revert to the Cabinet decision of 21 February 2022 (the February Report) to “permanently cease leisure services at SMCLC and approve in principle the disposal of the site”. This option has been rejected as it does not meet the needs of the community or the council’s objective of re-opening SMCLC in order to provide a facility which offers leisure and other community services in an area in which the community is experiencing significant long-term health, wellbeing, social, economic and financial challenges.   Transfer the operation of SMCLC to in-house council management This option has been considered and rejected as the council does not have the expertise nor the infrastructure to enable provision of quality leisure services. This option is likely to be more expensive and provide poorer quality of services than through the approval of the recommendations of this report. Appointing an external organisation is likely to bring extensive knowledge and skills of the leisure industry in order to achieve the maximum service and financial benefits for the Council and its customers.   Undertake leisure procurement This option has been considered and rejected as the council have already undertaken a leisure operator procurement process for SMCLC in 2023 which resulted in being unable to appoint a suitable provider. This also does not address the need for the site to have a wider community focus.   Short term lease This option has been considered and rejected due to the following disadvantages for the council: · Higher administrative costs: Short leases require frequent renewals, increasing administrative responsibilities and potentially leading to vacant periods between tenancies. · Limited tenant investment: Community groups on short leases may be reluctant to invest in the property, leading to a lack of maintenance or improvement, which could fall back on the council.   Previous work undertaken: The council has tried a similar approach twice in the past and have not been successful in securing an operator

Date of Decision: June 17, 2025