Shetland Islands Council agrees £17.5m property asset deal

The council building in North Ness cost £7.3m and opened in 2012

Shetland Islands Council has agreed a deal worth £17.5m to take over a leasing company which owns several prominent buildings.

Shetland Leasing and Property Developments (Slap) has assets including the council headquarters, Scatsta Airport and the NAFC Marine Centre, an educational and scientific institute.

It is currently owned by the Shetland Charitable Trust (SCT).

The assets are worth £2m annually.

The council said the investment would aid "ongoing business" like "the local authority's office accommodation".

'Significant benefits'

Councillor Malcolm Bell, the SIC's Convener said: "The council contends every year with reductions in its government grant, and therefore has to maximise the return from its external investments to maintain the quality of its services.

"The council is contending with year-on-year budget cuts. Demand for our services is increasing. An opportunity like this to make an investment locally is ideal."

Bobby Hunter, chairman of SCT, said: "This is a deal that is mutually beneficial for both parties and is a great example of partnership working for the benefit of folk in Shetland."