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DREW McEWAN
COMMUNITY OWNERSHIP AND ASSET
TRANSFER
COSS is delivered by the Development Trusts Association
Scotland. The service has been funded by the Scottish
Government since 2011 to support community based
groups take a stake in or ownership of previously
publicly owned land or buildings.
Provide support for Local Authorities and Community
Organisations
Website & printed resource
COSS Advisers: Provide support, information, advice,
objectivity and share other groups experiences
Facilitate Learning events.
212 open cases : community centres, land for
allotments, caravan sites, visitor centre, former
schools, day care centre, piers & harbours, sports
facilities, theatre, station buildings, parks, woodland
28 Local Authorities engaged
Many with proactive CAT strategies
Working with ACES
1st Quarter of this year 3679 downloads from our
website.
75,891 assets
2,718 organisations
Estimated value of £1.45 billion
Most common uses: housing, community
halls/centres, amenity space (e.g. green space),
business lets, cafes/restaurants, educational
facilities, grocery shops, heritage, renewable
energy, sports and fitness
Source: Community Ownership in Scotland: a baseline study, DTAS, 2012.
Community Empowerment Action Plan, Scottish Government, 2009.
Assets are taken to be property (land, buildings) and
related rights
“the transfer of an asset from the public or private sector
to community organisations at less than market value”.
Types of Tenure
Transfer – Sale
To maximise the benefits of asset transfer,
outright ownership of the title is the preferred
mechanism of community involvement in the
management and development of assets.
Types of Tenure
Long Term Lease
In some situations the use of a long term lease may be
the most appropriate form of tenure. This may be
linked to assets which are of such strategic or historic
significance that retaining ownership and therefore
control by the local authority would be required.
Types of Tenure
Short Term Lease
From a community’s perspective short term leases can
be very effective interim step to full ownership It can
provide a range of benefits.
Types of Tenure
Occupation Agreement / Licence to Operate
This type of agreement may well be appropriate where
there is an interconnected lease and service level
agreement
For example, in the delivery of care services from a local
authority owned care facility, swimming pool or a facility
where the local authority continues to deliver services
from part of the facility
This type of arrangement has also been used effectively to
enable community groups’ time to develop their business
plan while keeping a facility open.
Can make major alterations/ extend/ re-furbish
Greater incentive to make such improvements
Balance sheet strength – can borrow against (depends)
Control and certainty over future of asset – can make
long-term plans around it
Increased civic pride / community confidence
Better stewardship of local assets if community owns
(and uses) them.
Benefits of Asset Transfer to Local Authorities
1. Helps with budgetary pressures
2. Greater efficiency through the rationalisation of
property portfolio & service delivery
3. Contributes to wider council objectives:
i. Potential for long-term regeneration of
communities
ii. More confident /sustainable community
organisations
iii. New opportunities for learning and capacity
building
iv. New local partnerships/collaborations.
1. Are we giving away the family silver?
2. Have the community the capacity?
3. What if it fails?
4. Setting a precedent?
5. Control v empowered communities
(NB leases, claw back)?
Focused on a clear social mission based on local needs
Legal model and governance structure fit for purpose
Strong leadership
Constantly developed in-house capacity
Good succession planning
Prepared to seek the support of intermediaries and/or
public agencies.
Issues to be considered which are sometimes overlooked which
can ultimately turn the asset into a liability;
o historic lack of investment in facilities
ohidden structural problems
oLimited market demand for an asset due to changing tastes and
needs by customers
oPoor location of an asset
oCostly environmental liabilities such as contaminated land or
asbestos
orestrictive leases for clubs
ounrealistic expectations by all parties
oFailure to explore all current and anticipated costs
(management and maintenance) on the site.
Is there still a need?
 does this asset help us deliver that?
If we own the property/land can we make it viable?
 will the project have the financial resources to survive?
Will the project be sustainable?
 does the group/ organisation have the capability and
resilience to ensure continuation /adaptation into the future?
Do you have a committee and are they an elected body?
Do you have a clear and agreed mission, aims and objectives
Does the governing structure prevent personal profit
Do you have a business plan inclusive of operational costs of running the
facility?
Do you have written financial procedures with checks and balances to avoid
misuse of funds which are regularly reviewed?
Do you have a Football development Plan aligned to your aims and
objectives?
Have you developed a good and active relationship with the SFA
Have you developed links with key organisations in the local community?
Do staff and volunteers have clearly defined roles and responsibilities and
you have a plan to replace those people as and when they leave?
Do you have experience of managing a facility and understand the
requirements and legal undertaking?
Do you have sufficient operating reserves.
THANKYOU
PARTING THOUGHT:
If we as communities do not strive to influence
some of the major economic, educational and
recreational aspects in our community;
be it the protection of key services and
facilities, or opportunities in employment,
training and business,
then we run the risk of having decisions taken
for us by external elements who do not know
or understand the needs of our community.”
Contact us
0131 225 2080
drew@dtascot.org.uk
www.dtascommunityownership.org.uk
Development Trusts Association Scotland
54 Manor Place
Edinburgh
EH3 7EH

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Drew McEwen: Community Club Ownership & Asset Transfer

  • 1. DREW McEWAN COMMUNITY OWNERSHIP AND ASSET TRANSFER
  • 2. COSS is delivered by the Development Trusts Association Scotland. The service has been funded by the Scottish Government since 2011 to support community based groups take a stake in or ownership of previously publicly owned land or buildings. Provide support for Local Authorities and Community Organisations Website & printed resource COSS Advisers: Provide support, information, advice, objectivity and share other groups experiences Facilitate Learning events.
  • 3. 212 open cases : community centres, land for allotments, caravan sites, visitor centre, former schools, day care centre, piers & harbours, sports facilities, theatre, station buildings, parks, woodland 28 Local Authorities engaged Many with proactive CAT strategies Working with ACES 1st Quarter of this year 3679 downloads from our website.
  • 4. 75,891 assets 2,718 organisations Estimated value of £1.45 billion Most common uses: housing, community halls/centres, amenity space (e.g. green space), business lets, cafes/restaurants, educational facilities, grocery shops, heritage, renewable energy, sports and fitness Source: Community Ownership in Scotland: a baseline study, DTAS, 2012.
  • 5. Community Empowerment Action Plan, Scottish Government, 2009. Assets are taken to be property (land, buildings) and related rights “the transfer of an asset from the public or private sector to community organisations at less than market value”.
  • 6. Types of Tenure Transfer – Sale To maximise the benefits of asset transfer, outright ownership of the title is the preferred mechanism of community involvement in the management and development of assets.
  • 7. Types of Tenure Long Term Lease In some situations the use of a long term lease may be the most appropriate form of tenure. This may be linked to assets which are of such strategic or historic significance that retaining ownership and therefore control by the local authority would be required.
  • 8. Types of Tenure Short Term Lease From a community’s perspective short term leases can be very effective interim step to full ownership It can provide a range of benefits.
  • 9. Types of Tenure Occupation Agreement / Licence to Operate This type of agreement may well be appropriate where there is an interconnected lease and service level agreement For example, in the delivery of care services from a local authority owned care facility, swimming pool or a facility where the local authority continues to deliver services from part of the facility This type of arrangement has also been used effectively to enable community groups’ time to develop their business plan while keeping a facility open.
  • 10. Can make major alterations/ extend/ re-furbish Greater incentive to make such improvements Balance sheet strength – can borrow against (depends) Control and certainty over future of asset – can make long-term plans around it Increased civic pride / community confidence Better stewardship of local assets if community owns (and uses) them.
  • 11. Benefits of Asset Transfer to Local Authorities 1. Helps with budgetary pressures 2. Greater efficiency through the rationalisation of property portfolio & service delivery 3. Contributes to wider council objectives: i. Potential for long-term regeneration of communities ii. More confident /sustainable community organisations iii. New opportunities for learning and capacity building iv. New local partnerships/collaborations.
  • 12. 1. Are we giving away the family silver? 2. Have the community the capacity? 3. What if it fails? 4. Setting a precedent? 5. Control v empowered communities (NB leases, claw back)?
  • 13. Focused on a clear social mission based on local needs Legal model and governance structure fit for purpose Strong leadership Constantly developed in-house capacity Good succession planning Prepared to seek the support of intermediaries and/or public agencies.
  • 14. Issues to be considered which are sometimes overlooked which can ultimately turn the asset into a liability; o historic lack of investment in facilities ohidden structural problems oLimited market demand for an asset due to changing tastes and needs by customers oPoor location of an asset oCostly environmental liabilities such as contaminated land or asbestos orestrictive leases for clubs ounrealistic expectations by all parties oFailure to explore all current and anticipated costs (management and maintenance) on the site.
  • 15. Is there still a need?  does this asset help us deliver that? If we own the property/land can we make it viable?  will the project have the financial resources to survive? Will the project be sustainable?  does the group/ organisation have the capability and resilience to ensure continuation /adaptation into the future?
  • 16. Do you have a committee and are they an elected body? Do you have a clear and agreed mission, aims and objectives Does the governing structure prevent personal profit Do you have a business plan inclusive of operational costs of running the facility? Do you have written financial procedures with checks and balances to avoid misuse of funds which are regularly reviewed? Do you have a Football development Plan aligned to your aims and objectives? Have you developed a good and active relationship with the SFA Have you developed links with key organisations in the local community? Do staff and volunteers have clearly defined roles and responsibilities and you have a plan to replace those people as and when they leave? Do you have experience of managing a facility and understand the requirements and legal undertaking? Do you have sufficient operating reserves.
  • 17. THANKYOU PARTING THOUGHT: If we as communities do not strive to influence some of the major economic, educational and recreational aspects in our community; be it the protection of key services and facilities, or opportunities in employment, training and business, then we run the risk of having decisions taken for us by external elements who do not know or understand the needs of our community.”
  • 18. Contact us 0131 225 2080 drew@dtascot.org.uk www.dtascommunityownership.org.uk Development Trusts Association Scotland 54 Manor Place Edinburgh EH3 7EH