Agenda item

Report DRR15/020

As a result of the expiry of the Exclusivity Agreement with ZhongRong International Group in relation to the development of a capital scheme on the top site of Crystal Palace Park, Members were asked to consider proposals for setting up a new form of governance and delivery plan for the park, bringing to fruition aspects of the Masterplan, realising capital receipts and creating revenue generating activity to enable a sustainable business model for a new form of governance.

In July 2014, Members agreed to contribute £160k capital receipts towards the Crystal Palace Park Improvement Scheme.  Following the completion of feasibility works, Members were updated on which projects would be delivered and it was confirmed that a £1.84m balance of funding from the GLA had been secured.

The Chairman acknowledged the importance of continuing with the Council's commitment to the restoration of Crystal Palace Park.

One Member was disappointed to note that conservation of the dinosaurs would cost £400k whilst works to restore the concert platform were considered to be unviable.  Members were informed that in terms of achieving the most from the budget, it had become necessary to reduce the proposed projects from nine to six.  It would cost approximately £100m to restore the park completely.

The current lease on the café would be terminated and a lease for the new premises would be tendered on the open market.  The new lessee would be responsible for future works to the café. 

RESOLVED that:-

1)  the expiry of the Exclusivity Agreement with ZhongRong International Group be noted;

2)  the exploration and development of a sustainable business plan for the establishment of an alternative management option for Crystal Palace Park be approved.  Progress made on the business planning work should be reported back to Members in the autumn of 2015, with an expected request to Members to proceed with the formation of a Trust or other not-for-profit management option;

3)  a contribution of up to £495k capital receipts and an addition to the capital programme for the development of an alternative management option and a capital scheme for the improvement of the park in line with the Masterplan, be agreed;

4)  it be approved in principal that capital receipts generated through the implementation of the Masterplan will be reinvested in the park, contributing to the development of a sustainable business plan for the park;

5)  the delivery of the six Crystal Palace Park Improvement Scheme projects at a total cost of £2.16m, subject to any necessary statutory consents, be approved;

6)  the confirmation of the £1.84m from the GLA (subject to formal confirmation on 10 March 2015), be noted;

7)  it be agreed that the £1.84m balance of funding from the GLA will not directly lead to a reduction in revenue funding for the park and that additional income from the café will be ring-fenced for the park; and

8)  the marketing of a new café lease be approved.  The lease for the new premises will be tendered on the open market.