Issue - meetings

Report of the Director of Placemaking and Housing. To be introduced by the Cabinet Member for Council Housebuilding, Placemaking, and Local Economy.

This report seeks approval for additional expenditure to complete the development.

The Cabinet Member for Council House building, Placemaking, and Local Economy introduced the report which sought approval of additional funds in accordance with Contract Standing Order (CSO) 10.02.1(b) to complete the construction of 46 new Council homes on land adjoining Remington Road and Pulford Road, N15 6SR (“Remington Road”). The total amount of additional funding sought was set out in Part B of this report.

Cllr Hakata Cabinet Member for Climate Action, Environment, and Transport welcomed the scheme which included 13 homes with 3 to 4 bedrooms and would address and aid any overcrowding issues.

Further to considering the exempt recommendations and exempt information at item 29,

RESOLVED

1. To approve a variation to the contract in respect of the additional expenditure, as set out in Part B, to ensure the completion of the construction of 46 new homes at Remington Road and thereby allowing the Council to take possession (Spring 2024) of these much need high quality homes.

2. To note the revised Total Scheme Cost as contained in Part B.

3. To note the homes at Remington Road will be let at London Affordable Rent.

4. To note the approval of these funds is in accordance with CSO 10.02.1(b).

5. To note the revised appraisal contained in Part B for the project which reflects the revised Total Scheme Cost and the homes being let to residents at London Affordable Rent.

Reasons for decision

The approval of additional funding will ensure the timely completion of the

construction of 46 new Council homes at Remington Road. Once these works

are completed, the Council can take possession of these homes which will help

to address the overwhelming need for affordable homes within the Borough and

the homes are expected to be well received by future residents.

The construction of the homes (and associated external areas) is now well

advanced with completion anticipated for Spring 2024. During the construction

works, a number of instructions were issued by the Employer’s Agent and it is

anticipated future instructions will now be necessary to ensure completion.

Furthermore, it is necessary the Council fulfils its contractual obligations under the terms of the building contract. Where additional works are necessary, the Employer’s Agent is required to issue an instruction to the Contractor to undertake these works and, once the instruction is made, the Council is obligated to fund the costs associated with the additional works.

Alternative options considered

Do not seek additional funding. This option would result in the scheme not being completed as additional works could not be instructed without the necessary Funds being available to the Council to meet its contractual obligations. The Council would also face the risk of a claim for breach of contract as additional Funds are required to fund those instructions already issued by the Employer’s Agent.