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Reply To: Community Right to Bid – Should we set up a charity or a CIC?

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The Green Girl
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Thank you all so much for your speedy and comprehensive information – wow, I wasn’t expecting that!!

To respond to few of the points raised (but not all as I haven’t really been able to digest it all yet!!):

The local council are happy to take the land on and maintain it/insure it so that it can continue to be used by the community as an amenity area. We have already received “pledges” of donations from members of the local community and have almost reached our target figure. As far as we are aware, any CIC or charity that we set up would be purely to adhere to the terms of the Community Right to Bid framework and have a bank account associated with it that would allow people to complete their donation in order that we can then proceed with the purchase of the land.

Once the land has been purchased and handed over to the local council, there would be no further need for the CIC to exist and we would then wind it up (if that’s the right terminology) – so it is a very short-term requirement, but one that we believe is necessary as part of the CRtB mentioned above. We had looked into people being shareholders – but that sounded quite complicated as well as having ongoing ramifications (people moving away, reselling shares, etc). And as the local council have offered to take it on – we decided that was the simplest way to go!

We are not sure whether the Council could buy it on our behalf (using the money we have collected) – or whether this would be considered to be outside of the terms of the CRtB as the only party who can purchase the land within the 6 month moratorium is “us” as the nominating group.

We have been advised that there would be covenants placed on the land in order to protect it from any potential building development in the future (although we are also pursuing Village Green status on the plot – but that’s a whole different issue!!).

Thanks once again for all your support – and so fast too!

Kind regards

Green Girl