Concerns have been raised over the Harefield Community Centre (HCC) site.
Southampton City Council handed the property over as a community asset transfer to West Itchen Community Trust (WICT) for £1 in 2019.
Opposition councillors have said the abandoned site in Yeovil Chase had been sold by WICT for its market value of £300,000 to Bajar Property in the past few months.
Labour cabinet member for leisure and communities Cllr Toqeer Kataria. Picture: Southampton City Council
This company in turn is said to have given it to MAUR an Islamic education charity, in exchange for a face-value loan, which the charity was fundraising for.
Harefield resident Gerard Hales said the city council needed to explain why the site had been allowed to sit dilapidated for so long.
A presentation by Mr Hales to full council on Wednesday, March 25, said the land could be used as a community hub and environment centre.
Speaking at the meeting, he said: “I contend that the Southampton unitary authority is failing in its obligations across the board both to the peoples and to the environment with regard to the HCC development, including all those obligations considered either moral, ethical and, or, legal.”
Toqeer Kataria, Labour councillor responsible for leisure and communities, said he recognised how important the site was to residents.
He said trustees of the charity which now own the site had confirmed they intend to operate it in line with their charitable objectives of promoting wellbeing and community cohesion, supporting young people by working with local organisations, and concentrating on language classes and education.
Cllr Kataria said: “There are also planning protections and planning proposals that result in the loss of a community facility will not be supported if it is viable for commercial, public or community sector to operate it and if there’s no similar replacement facility in the same neighbourhood.
“Any change of use or planning will need to go through the planning process and that’s where the decision will be made.”
He added: “I understand the frustration of not seeing that centre being developed for the last 15 years and I think it is about time something is done there but the future looks good.”
As reported, the deal to transfer the site to WICT did not include a clause to allow the council to buy it back for £1.
WICT was permitted to sell the site provided the proceeds were reinvested in other facilities, it is understood.