Welsh Government property deals net nearly £7m profit since 2007

http://www.bbc.co.uk/news/uk-wales-politics-38261118

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Almost £7m profit has been made by the Welsh Government from properties bought and sold since 2007, new figures show.

Details obtained via a Freedom of Information request showed it made more than £5.7m in profit in just two years on Number 1 Capital Quarter, Cardiff, which was sold in January.

While a total of £2.4m was lost on 12 properties, six property sales raised £9.3m in profit.

The Welsh Government said it reinvested profit into regional economies.

Of those properties on which money was lost, 10 had been bought for road schemes.

The Welsh Government said in such cases, properties are usually held until they they are deemed as not being needed.

At this point they are revalued, with the difference between that value and the sale price representing the profit or loss.

The Welsh Government said that while these properties can be bought on the open market - disregarding the affect of the road proposals - it is accepted their resale value is reduced by a minimum of 15%.

The two remaining properties which were sold at a loss - totalling £979,000 - were part of a planned shopping centre in Pontypridd which never came to fruition.

A Welsh Government spokeswoman added: "We buy and sell property and land as part of our wider work to support and grow the Welsh economy.

"Any subsequent profit allows us to reinvest in our work to support businesses and regional economies across Wales."