Part 5 Chapter 3 of the Localism Act (2011) details regulations for Asset of Community Value and sets out the Community Right to Bid.
The right came into force on 21 September 2012 and Its purpose is to give communities a right to identify a property that is believed to be of value to their social interests or social wellbeing and gives them a fair chance to make a bid to buy the property on the open market if the property owner decides to sell. Currently only eligible community groups, local parish councils or local neighbourhood planning forums and charities can nominate.
Making a nomination
It is important that your community group is eligible to nominate, you can only do this if you answer yes to the two questions below:
- Do you have a local connection to the property you are wishing to nominate? and;
- Are you an unincorporated community group with at least 21 members who are registered to vote in the Solihull area, a parish council, charity, industrial & provident society, local neighbourhood forum, company limited by guarantee or community interest company ?
To nominate you must inform us of the address of the property, details of the owner, the extent of the site and why you feel it is an asset of community value. You must also provide evidence of your eligibility to nominate.
To assist you we have provided a nomination form which you can fill in on-line and send it to the email address firstname.lastname@example.org.
Alternatively, you may download the form fill it in and send your nomination by post to:
Community Right to Bid
Strategic Land and Property
Further help with completing the nomination form can be found in our guidance document.
What we will do next
Once we have received the completed form we will consider and check the eligibility of the nomination and if we feel the property does have community value it will be added to the ‘list of assets of community value’. Assets will remain on the list for five years and a land charge will be registered against the property. We aim to assess nominations within eight weeks of receipt.
You will be advised that the property has been listed and the date in five years time when it will be removed. It is important you note the date as there will be no further contact with you unless the property owner decides to sell. When the five years have expired you can submit a new nomination.
If we decide to list a property the property owner can ask for a review and there will be a process for an appeal to an independent body. Further guidance will be provided in the letter to the property owner.
We will notify the nominee should the nomination be ineligible and provide an explanation as to why it was unsuccessful. In such circumstances the property will be added to the list of ‘land nominated by unsuccessful community nominations’ and will remain on the list for five years.
There is no appeal or review process for unsuccessful nominations.
Making a bid
The owner of the property must advise us when they intend to sell the property and we will publicise this on our web site as well as informing the nominator.
If you want to make a bid you must inform us within six weeks of us telling you the property is available to purchase by advising us you want to bid. You will then have six months to put together the bid (this is not from when you inform us but six months from the owner advising us of their intention to sell and is known as the moratorium period). If there is more than one community group interested in purchasing the property we would encourage the groups to work together.
At any point before the end of the six months you may enter into negotiations with the property owner providing the owner is willing to do this. We would ask that we are kept informed of developments.
At the end of the moratorium period if you have successfully put a bid together the owner will have the option to either accept your bid or sell the property freely on the open market.