Both the Frontage Building and Louise House are attractive and characterful buildings which are capable of conversion into high quality homes. If designed and built with suitable care these should be very attractive to prospective buyers.

The conversion proposals appear to be commercially viable. However, the high cost of conversion means that development profits may be quite low and the potential land receipt to the Council, available to cross-subsidise the new leisure complex, appears to be relatively modest. Of course, a lot depends on future movement in the currently very unstable housing market.

We recommend that the Council looks carefully at its different procurement options, should it choose to pursue conversion of one or both buildings, since this has the potential to effect the commercial viability. In the current market it may even be worth considering a shared ownership solution, especially if this can attract grant.

We understand that HLM are separately looking at the scope to integrate one or both existing buildings into the overall development, and whether to do so would unacceptably compromise the new leisure complex. We therefore have no comment on this point.