Serial investor West Lindsey District Council has announced the latest £1.1 million purchase – its fifth investment in just other a year.
The authority has bought Unit 1, in Heaton Street, Gainsborough, which is currently occupied by department store company W. Boyes and Co.
It is the second investment in the Gainsborough district by the authority, which has put aside £30 million for property in a bid to tackle a £4 million shortfall in Government grants.
It has so far spent £15.1 million – with previous investments since April 2017 being a a hotel in Keighley (£2.35 million), two units in Sheffield totalling (£5.545 million) and Unit 5 Sanders Road, in Gainsborough (£6.1 million).
Leader of the council, Councillor Jeff Summers has said there will be more property purchases in the coming months to support local services.
He said: “I am pleased to announce that we have purchased another property in our district as per our agreed Investment Strategy. The latest purchase, which is in Gainsborough has passed our stringent, 14-point scoring criteria, giving us confidence it was the right move.
“All our investments, whether they are inside or outside the district will ultimately support services and be put back into the economic regeneration and growth of our district.
“We’re trying to generate the best possible return for our residents’ and will therefore consider investing in opportunities wherever they arise.
“The council has sound financial and legal knowledge and great care is made on each of the investments we make.”
The council makes return on the properties through the rent to the businesses leasing them – with £439,000 through rent brought in through the Sheffield properties and £159,430 through the hotel.
The return from the latest Gainsborough investments has not been revealed at the time of publication.
The council has reiterated it “receives a market rental for the properties and is in no way involved in the individual businesses operating from the properties”.
Mr Summers has previously responded to criticism that the authority had not invested inside the district by saying there had been few investment opportunities in the district.
It’s also been suggested some of the money made could go towards projects such as a new swimming pool for Market Rasen.
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