§ Mr. SalmondTo ask the Chancellor of the Duchy of Lancaster (1) what has been the total cost of refurbishment and renovation work on New St. Andrew's House, Edinburgh, since January 1995; [33978]
(2) what is the cost to date of marketing New St. Andrew's House for sale. [33979]
§ Mr. KilfoyleResponsibility for these matters has been delegated under the terms of the Framework Document to Property Advisers to the Civil Estate. I have asked its Chief Executive, Mr. John Locke, to write to the hon. Member.
Letter from John C. Locke to Mr. Alex Salmond, dated 9 March 1998:
I have been asked by the Parliamentary Secretary, Office of Public Service, to reply to your Parliamentary Questions about the total cost of refurbishment and renovation work and the cost to date of marketing New St Andrews House, Edinburgh.The decision to vacate New St Andrews House was taken because of the potential Health &Safety hazard arising from the presence of sprayed asbestos installed in the building as a recognised acoustic treatment during construction. The two prominent Scottish Agents appointed by PACE to advise on the disposal of the building recommended that the removal of the asbestos prior to the sale would enhance the sale price by eliminating the much publicised blight.A 12 month contract for the removal of the asbestos was let at a total cost of £3.00 inclusive of VAT. The contract included the provision of a Show Suite on part of the 8th Floor designed to illustrate that good quality offices could be created within the building. The remainder of the building has been left in a shell and core condition.Following the completion of the asbestos removal and confirmation that there was no Government requirement for the accommodation, the disposal of the property was launched on 31 October 1997. A closing date for tenders has been set at 31 March 1998. To date the sum of £69,870.00 has been expended on fees, marketing, brochures, advertising and VAT. The indicative sale price is £7.5M.