Decision

URL: https://democracy.darlington.gov.uk/ieDecisionDetails.aspx?ID=1966

Decision Maker:

Outcome: Recommendations Approved

Is Key Decision?: No

Is Callable In?: Yes

Purpose:

Content: The Leader of the Council introduced the report (previously circulated) of the Executive Director of Economy and Public Protection to seek approval for the disposal of a long leasehold interest in land at Salters Lane to Cummins Ltd following exercise of an option agreement. The report explained that the site is owned by Darlington Borough Council and is situated on Salters Lane directly to the South of Cummin’s existing factory premises, most of the land is subject to an option agreement dated 19 April 2021 with Cummins Limited. The report stated that the agreement grants Cummins the option to take a 999-year lease of circa 11.03 acres at Salters Lane.  The report clarified that Cummins Limited had expressed a desire to exercise the option to facilitate the construction of an extension to their existing premises at Salters Lane. The disposal price for the option land, together with an additional parcel of land comprising circa 1.64 acres required to build an access road, has been agreed in principle and in line with the terms of the option agreement. The report explained that the factory extension represents investment into Darlington and the potential to create new jobs, supporting economic growth, as well as providing a substantial business rates income for the Council. The site falls withing an area covered by a funding agreement from the Tees Valley Combined Authority.   RESOLVED - It is recommended that:     (a)    Cabinet agrees to the disposal of a 999 year leasehold interest in land at Salters Lane (shown edged bold on the plan at Appendix A) to Cummins Ltd and in line with the terms set out in Part III of this report, Appendix B. (b)   Authority is delegated to Executive Director Economy and Public Protection in consultation with the Resources Portfolio Holder, to agree any further detailed terms necessary to complete the land transaction. (c)    Assistant Director, Law and Governance Monitoring Officer be authorised to conclude the legal documentation as necessary.   REASON - The disposal will result in a capital receipt for the council. The disposal will also facilitate economic development in Darlington with investment into a new factory facility, the potential creation of new jobs and provide additional business rates income.  

Date of Decision: February 3, 2026