Step 1 - we receive a nomination from a community group
Who can nominate an asset?
Parish or town councils or voluntary or community organisations with a local connection can nominate land or buildings that are important to them and are in their local area
What is an asset of community value?
For an asset to be listed its current primary use, or primary use in the recent past, must contribute to the social wellbeing or social interests of the community and be likely to do so in the future. Social interests include cultural, recreational and sporting interests. (There are some assets that are excluded from being listed, these are generally residential accommodation).
Nominated land or property has to satisfy Section 88 of the Localism Act. There are two sub sections which provide the basis of assessment depending on whether the use of the land or property is current or has occurred in the recent past:
- Section 88 (1): Does the ‘actual current use of the land, that is not an ancillary use, further the social wellbeing or social interest of the local community’ is it ‘realistic to think that can continue to be a non-ancillary use, which will further (whether or not in the same way) the social well-being or interests of the local community’?
- Section 88 (2): Did the ‘actual use of the building or other land that was not an ancillary use defined above occur in the recent past’ and is it ‘realistic to think that there is a time in the next five years when there could be non-ancillary use of the building or other land that would further (whether or not in the same way as before) the social wellbeing or interests of the local community’?
While we can consider representations made by the owner and the relevant parish or town council and Shropshire Council member, ultimately the decision is based on whether the asset passes the two key tests above.
How to nominate an asset
Once the parish council or voluntary or community organisation with a local connection has recognised that there may be an asset of community value in their area, and that they have an interest in the retention of the property for use by the community, they will need to nominate the asset by completing the assets of community value nomination form. This should be sent to:
Strategic Asset Manager
If completed correctly this will provide us with all the information we need to make a decision and must include:
- The applicant’s details
- Evidence that the organisation is eligible to make the nomination
- Details of the nominated asset, including a description of its proposed boundaries, the names of the current occupants, the names and current or last known addresses of all those holding a freehold or leasehold interest in the land
- Reasons for nominating the asset – why it is of community value
The description of the nominated asset should where possible include a plan to assist in identifying the boundaries of the asset.
Step 2: we decide whether to list the asset
When a nomination is received we have to decide whether it meets the definition of an ‘asset of community value’ set out in the legislation.
If the asset meets the definition, ie it satisfies Section 88, is in the local area and is not in an excluded category then we must list it as an asset of community value. Assets will remain on the list for five years and then will be removed, although the asset can be nominated again.
If an asset is nominated, we'll inform the owner, occupier and the organisation who made the nomination. We have eight weeks to decide whether or not to list the nominated asset.
If the owner of the asset is unhappy that it's been listed, they can ask us, in writing, to review the decision. If the review is successful then the asset will be removed from the list, and if unsuccessful they have a further right to appeal to an independent tribunal.
The owner of an asset may be entitled to claim compensation for loss or expenses incurred as a direct result of the listing of the asset. Claims must be made in writing within 13 weeks of the loss or expense being incurred or finished being incurred. A claim must state the amount of compensation sought for each part of the claim, and be accompanied by supporting evidence for each part of the claim.
If we decide that the nominated asset is not of community value and therefore don't list it, we'll provide the organisation who made the nomination with written reasons for this.
The list of assets of community value and details of rejected nominations will be published on these pages.
Step 3: a listed asset comes up for sale
If the owner of a listed asset wishes to sell it or grant a lease of 25 years or more then they have to inform us in writing and delay the disposal for a minimum of six weeks to give the nominating organisation or other qualifying community body time to confirm whether they wish to make a bid. We'll notify those who nominated the asset of its proposed sale, with instructions on what to do if they want to make a bid.
If during the six weeks a request to bid is made, the owner can't dispose of the asset (other than to a community interest group) until the end of a six-month period. This allows time for the group to raise finance, put together a full business model and make a full bid for the asset for the owner to consider.
The owner of a listed asset doesn't have to sell it to a community group. At the end of the six-month period the owner is free to sell it to whomever they wish under normal market conditions.
There are some exceptions under which the owner does not need to inform us that they wish to dispose of the asset. These are detailed in the regulations.