Action for Planning Transparency: "INVERNESS AIRPORT BUSINESS PARK

Friday 13 September 2013

"INVERNESS AIRPORT BUSINESS PARK – ANNUAL REPORT" put before PED

EXTRACTS:

'This report provides Members with updated information on the current financial position of Inverness Airport Business Park Limited. Members are invited to note the report.

The Inverness Airport Business Park (IABP) Limited company was established in May 2005 and is a joint venture between Highlands and Islands Airports Limited, Moray Estates and Highlands and Islands Enterprise.

Inverness Airport Business Park Ltd issued Loan Stock of £1.175m to the Council to reflect the cost incurred by the Council in building the new access road to the airport from the A96. The repayment of this Loan Stock will allow the Council to recover its costs in constructing the road, albeit over a period of
time. The Council is currently represented on Inverness Airport Business Park Ltd. Board of Directors by Councillor Thomas Prag, whilst the Director of Planning and Development currently attends an executive group in an advisory capacity. This provides the Council with the ability to closely monitor the financial situation of the Inverness Airport Business Park Ltd.

As reported to the Planning Environment and Development Committee in January 2011, Inverness Airport Business Park Ltd opted to defer the first repayment of the Loan Stock, amounting to £587.5k, due to be received by the Council in May 2010. This deferment was made in accordance with the Loan Stock agreement which allows the Company to defer the payment if they believe the repayment would have a prejudicial impact on their business proposals for the Business Park. Under the deferment arrangements, the
2010 repayment now becomes payable to the Council in May 2015 unless independent reviews of the Company’s accounts indicate the deferred amount can be paid earlier. The company has no option but to repay the loan stock if these independent reviews provide an opinion that the repayment can be made without prejudicing the development.

...Inverness Airport Business Park Ltd continues to have insufficient funds to repay the Loan Stock without the payment having a prejudicial impact on their business proposals for the Business Park...

The Balance Sheet to March 2013 indicates the net worth of the company as £317,799 (£392,782 as at March 2012) and the Profit and Loss Accounts report a loss of £77,983 (loss of £21,475 for the year to March 2012) over the same period. These figures reflect that the company has still to fully commence its trading activities and is at an early stage in developing the business park

Extract Ends

Report can be found here

More details about IABP

iabp.co.uk

Video

From 2009 Press and Journal item;

"Plans for a multimillion-pound business park next to Inverness Airport could be approved next week.

The 500-acre development on land south and west of the airport is expected to boost the region’s economy by more than £100million a year and create 1,250 jobs by 2021.

The scheme at Dalcross would also include conference facilities, hotels, industrial units, restaurants and shops.

Construction could begin in 2011."

Airport's 500-acre business park is cleared for take-off

"Over the life of the project the business park is expected to extend over 550 acres.

It will include offices, hotels, conference facilities, shops, restaurants and industrial units covering an area 34 times the size of the current Tesco store at Inverness Retail Park.

Over the next decade it is expected to create in the region of 1200 jobs and generate millions of pounds for the local economy."

From 07 April 2011

A development company has said it would expect to spend £30m in creating the first phase of a new business park at the main airport in the Highlands.

IABP said the deal was one of the most significant for the Highlands in years and could lead to more than 1,200 jobs.

Work on the first phase could start by the end of this year.

From June 12 2013