City Hall is planning to spend £2m refurbishing an industrial estate on the other side of the country.
Norwich City Council bought three industrial units in Telford, Shropshire, five years ago to bring in extra funds through rent charges.
Having bought the properties for £14.5m, the authority now hopes to splash another £2m on refurbishment in order to increase their value.
However, some councillors have questioned whether they might be better off investing in sites “closer to home” – rather than some 200 miles away.
Local authorities like Norwich City Council purchase commercial properties to profit from rental income and fund other services.
City Hall spent £14.5m on three industrial units at an estate called Stafford Park in Telford in 2020 and is said to generate “significant income” from the buildings.
The council’s draft budget for the coming year sets out plans to spend another £2m on upgrade works at the Midlands site.
Liam Calvert, a Green councillor, said: “We have quite a lot of assets around the country but I wonder if it would not be better to invest in Norwich.
“We could create employment and improve the city by upgrading assets closer to home.”
Council officers stressed the need to keep assets in good condition in order to maximise commercial value.
Mike Stonard, leader of the council, said: “This is an age-old debate that raged several years ago when we acquired properties in the city and around the country.
“We have to ensure best value for the public purse – so we have sometimes invested outside the city where we will get the best return.
“That is one of the reasons our finances are in such a good state at the moment.”
Norwich City Council is still facing “substantial financial challenges” and needs to make more than £3m in savings this year to balance the books.
