By Joe Locker, Local Democracy Reporter
Almost £400,000 is being spent by Nottingham City Council to get part of a vacant floor at its Loxley House HQ ready for rent.
Floors three and four of the building in Station Street were mothballed as part of plans to save £200,000 every year, after the Labour-run authority declared itself effectively bankrupt in November last year.
Back in June the vacant office space was put on the market for £24,750 per month, or £16.50 per square foot.
While there are no holding costs associated with the vacant space, a delegated decision document reveals the authority will be spending £398,000 on “landlord works” to get it ready.
It also says the council has now approved the letting of part of the fourth floor to an unnamed occupier.
“The letting of part of the fourth floor to the proposed occupier will release significant financial benefits to the council, and acceptable lease terms have been negotiated,” the document says.
The document says the costs will be fully funded from existing revenue budgets.
Opposition councillor Andrew Rule (Ind) previously said it was encouraging to see that an income will be generated for the council.
“It’s encouraging to see the portfolio holder has taken on the suggestion I put forward at the Full Council meeting, which will lead to the third and fourth floor generating an income for the council, and bring an end to those areas of Loxley House being dead space,” he said.
The council purchased Loxley House in 2009 from Capital One, a financial corporation.
