West Itchen Community Trust is a company limited by guarantee which was established in 2002 as the exit vehicle for an SRB programme. In addition to raising funds, the Trust aims to take forward the regeneration work begun under the SRB programme. The problems experienced in the area are many but the Trust feels that the main ones are as follows:

• Low image of the area
• Low self-esteem felt by some residents
• A local economy that is not working well
• A poor environment in places

At the beginning of the programme the Trust was gifted £600,000 worth of property and received a grant of £1.18M from the South East England Development Agency (SEEDA). The asset transfer element of this began in October 2002 when Southampton City Council agreed to transfer two commercial sites but this took some months to complete as it had to go through ODPM.

As the Trust was due to launch in March 2003 (and intended having an employee) this delay risked a cash-flow crisis. To ease the situation council officers agreed to pay the Trust the rental income from the soon-to-be-vested properties from the date that the transfer was agreed.

From March 2003 until March 2004 the Trust set about using the SEEDA grant to acquire and renovate local commercial property so as to generate an additional income while improving the economic environment within this disadvantaged area. This legacy continues to be the foundation stone of WICT.

The property income accounted for 60% of income in 2005/06 and is steadily increasing as the portfolio is developed. In 2007/08 the property portfolio is forecast as generating 80% of total income. In that year 100% of income which will be raised through enterprise.

Aside from its role as a property developer the Trust is a local infrastructure body offering support to local businesses and the third sector. Since its creation the Trust has given one-to-one business coaching to over 50 local people, helped start 12 new businesses (which created 20 new jobs), and supported a further 12 existing businesses. We have also just purchased and developed a retail incubator for four new businesses to begin trading within and are offering support to the local market, including undertaking renovations, and installing festive lighting!

The Trust has also provided one-to-one coaching to approximately 40 voluntary groups and assisted them in levering in approx £350,000 of funding for projects in the local community. Finally the Trust offers additional financial support by sponsoring community events, running a small grants fund, and offering interest free loans to local businesses. As the Trust will shortly be 100% sustainable this level of support can be offered in perpetuity.

• In commencing a regeneration programme there is always a need to consider the exit strategy which could involve taking on an asset and becoming sustainable through generating a surplus
• Third sector organisations should choose a proactive/pragmatic partner to develop an asset-based business strategy with
• There is a need to establish a trusting relationship with stakeholders which continues over timeOrganisations should seek a wide leverage of funding to maximise the opportunities for financial sustainability

Contact: David Newton: d.newton@wict.co.uk