1.15. After Purchase
1.15.1. The main purpose behind community right to buy is to enable communities to secure their future through the purchase, and subsequent sustainable development, of land. In the case of Part 3A, it aims to bring land which is abandoned, neglected or detrimental, back into productive use. The Act seeks to ensure that the land which the Part 3A CB has purchased, will remain a resource which benefits your community as a whole.
The Part 3A Community Body – Future Actions?
1.15.2. The Part 3A CB must continue to be a CLBG, SCIO, or BenCom whose surplus funds are applied for the benefit of the community. If it is a CLBG and is to be wound up, a successor body requires to be approved by Ministers (section 97D(2)(h) of the Act).
Changes to a Part 3A CB's governing documents
1.15.3. A Part 3A CB must notify Ministers in writing of any changes made to its governing documents as soon as possible after such changes have been made (section 97E(1) of the Act). If Ministers believe that a Part 3A CB, having already successfully purchased land under the Act, would no longer be entitled to do so, they may compulsorily acquire that land. This does not apply where the reason that the Part 3A would no longer be entitled to purchase the land is because the land would no longer be considered eligible by virtue of being abandoned, neglected or detrimental (section 97E(2) and (3) of the Act).
1.15.4. The implications of these provisions are clear: the Part 3A CB must continue to observe the requirements of the Act in relation to any land bought under its provisions. For example, any surplus funds which the Part 3A CB (or its successor) may have, may only be applied to benefit the community. There is therefore no scope for paying any surplus funds as a dividend to be shared out amongst individuals.
If winding-up becomes necessary
1.15.5. Where the Part 3A CB is a CLBG, the Act makes provision for the winding up of a Part 3A CB (section 97D(2)(h) of the Act). If the Part 3A CB is a CLBG, following the settlement of any liabilities, its property, including the land, must be transferred to another approved community body or crofting community body as may be approved by Ministers, or, if no such body exists, either to Ministers or to a charity as Ministers may direct.
Email: Community Land Team