RDA defends HQ sale

YORKSHIRE Forward has insisted a potential deal to sell its headquarters reflects current market values.

And the regional development agency said a likely sale of 2 and 3 Victoria Place in Leeds to The Medical Protection Society is the only option after a hunt for another public sector occupier proved fruitless.

TheBusinessDesk.com reported last week that the buildings, which offer a total of 63,550 sq ft, are set to be sold to MPS for between £8m and £9m.

The deal, a £10m drop on the price Yorkshire Forward paid for the two buildings, has been criticised by groups including The Taxpayers’ Alliance.

However, in a statement, a Yorkshire Forward spokesman said: “In response to the Coalition Government’s decision to close the regional development agencies, Yorkshire Forward put their head office on the market, for sale, in October 2011.

“This decision followed a review of the likely demand from the public sector for such premises. Options were explored for the use of 2 and 3 Victoria Place by other public sector bodies.

“Unfortunately, however, central government were unable to identify any public sector bodies who were in a position to take up the space within the next 30 months, and without incurring significant costs.

“YF can confirm that detailed negotiations are now ongoing with a Leeds-based private sector company, MPS, who wish to purchase the building for their expanding business needs.

“Following completion of the sale it is intended that a small number of Yorkshire Forward employees, who are completing the closure process, will remain in a discrete section of the offices under a short term lease, probably until June 2012.

“Yorkshire Forward can confirm that the terms of any deal on the sale of their offices will be at or above current market values.”

Yorkshire Forward will officially close on March 31 but most of its staff have already moved out of the buildings.