WAVERLEY Borough Council has kick started its new investment portfolio with the £2.41 million purchase of The Enterprise Centre on Coxbridge Business Park in Farnham.

The borough council plans to invest millions of pounds in “income generating” property to help offset the funding shortfall caused by cuts in government grant.

New guidance under The Localism Act means Waverley can expand its portfolio of investments to include property and assets, but borrowing purely to invest for return is still deemed unlawful.

Last September, Waverley executive agreed the council should adopt an Investment Strategy and establish an Investment Advisory Board to oversee it.

The Farnham business centre is the council’s first property purchase since the board was formed and commercial property agents Vail Williams advised and acted for Waverley in the acquisition.

Borough council deputy leader Tom Martin, who chairs the board, said: “Waverley’s medium-term financial strategy identifies a significant funding shortfall over the next three years. Despite the difficult financial challenges we face we are working to make limited resources work harder for the benefit of the community and protect vital community services.

“Investing in prime commercial properties in good locations generates valuable rental income for us and brings good returns for our money.

“Not only is the property a fantastic asset, with excellent tenants, but it allows us to continue to support the economy and protect the long term future of local business premises. It’s a win win for us, residents and the businesses of Waverley.”