Issue - meetings

Meeting: 21/01/2019 - Cabinet (Item 66)

66 Housing Project, Davies Avenue, Sutton-in-Ashfield pdf icon PDF 112 KB

Key Decision

 

Portfolio Holder: Cabinet Member (Outward), Councillor John Wilmott

Additional documents:

Decision:

that subject to the authority of Council to seek Secretary of State consent as set out at (b);

 

a)    that the vacant Housing Revenue Account held land at Davies Avenue be disposed of to EMH Group using powers granted under Section 32 of the Housing Act 1985, for the purposes of building approximately 26 affordable homes to meet housing need.

 

b)    that it be recommended to Council that an application be made to the Secretary of State for Housing, Communities and Local Government for consent under S32 of the 1985 Act to dispose of the land incorporating a pre-emption clause in the sale contract (as required under schedule A8 of Section 32 of the Housing Act 1985) which will grant the Council the right of first refusal when the land and buildings are subsequently sold.

 

c)    that it be recommended to Council to approve the use of Housing Revenue Account reserves to fund the purchase of approximately 26 new affordable homes up to a total value of £2.87m in the event that the Council decides to exercise the right of first refusal.

 

d)    that authority be delegated to the Director of Housing and Assets, in conjunction with the Director of Legal and Governance and Chief Finance Officer, to negotiate and formalise final scheme costs, specification, pre-emption clause details, delivery and exercising the pre-emption.

 

REASONS FOR DECISIONS

 

To enable a project that will increase Ashfield District Council’s housing stock and provide additional good quality affordable homes that will meet housing need in the district. 

 

To bring back in to use, in an extremely positive and beneficial way, an area of derelict land which currently attracts fly tipping and other anti-social behaviour that is of detriment and concern to local residents.

 

ALTERNATIVE OPTIONS CONSIDERED AND REASONS FOR REJECTION

 

The alternative option of maintaining the land as vacant and not allocate any Housing Revenue Account reserves to house building was not recommended due to that as of December 2018 Ashfield had 4,446 applicants on the housing waiting list. The cost of the build could also be accommodated within Housing Revenue Account balances, and the opportunity provides the potential to regenerate part of the District.

 

 

Minutes:

The Director of Housing and Assets submitted a report seeking authorisation to dispose of a plot of vacant Housing Revenue Account held land at Davies Avenue, Sutton-in-Ashfield to a Registered Provider of Social Housing (EMH Group) for the purposes of building approximately 26 affordable homes and for the Council to enter into an agreement to purchase the development once completed. The Leader noted that the development would make a positive contribution to the Council’s supply of social housing and that the inclusion of smaller houses and bungalows in the proposed scheme would enable existing tenants to downsize and consequently for larger family houses to be made available. The Leader also noted that the development would tidy up a run down site that was both unsightly and attracted antisocial behaviour.

 

RESOLVED

 

that subject to the authority of Council to seek Secretary of State consent as set out at (b);

 

a)    that the vacant Housing Revenue Account held land at Davies Avenue be disposed of to EMH Group using powers granted under Section 32 of the Housing Act 1985, for the purposes of building approximately 26 affordable homes to meet housing need.

 

b)    that it be recommended to Council that an application be made to the Secretary of State for Housing, Communities and Local Government for consent under Section 32 of the 1985 Act to dispose of the land incorporating a pre-emption clause in the sale contract (as required under Schedule A8 of Section 32 of the Housing Act 1985) which will grant the Council the right of first refusal when the land and buildings are subsequently sold.

 

c)    that it be recommended to Council to approve the use of Housing Revenue Account reserves to fund the purchase of approximately 26 new affordable homes up to a total value of £2.87m in the event that the Council decides to exercise the right of first refusal.

 

d)    that authority be delegated to the Director of Housing and Assets, in conjunction with the Director of Legal and Governance and Chief Finance Officer, to negotiate and formalise final scheme costs, specification, pre-emption clause details, delivery and exercising the pre-emption.

 

REASONS FOR DECISIONS

 

To enable a project that will increase Ashfield District Council’s housing stock and provide additional good quality affordable homes that will meet housing need in the district. 

 

To bring back in to use, in an extremely positive and beneficial way, an area of derelict land which currently attracts fly tipping and other anti-social behaviour that is of detriment and concern to local residents.

 

ALTERNATIVE OPTIONS CONSIDERED AND REASONS FOR REJECTION

 

The alternative option of maintaining the land as vacant and not allocate any Housing Revenue Account reserves to house building was not recommended due to that as of December 2018 Ashfield had 4,446 applicants on the housing waiting list. The cost of the build could also be accommodated within Housing Revenue Account balances, and the opportunity provides the potential to regenerate part of the District.