Issue - meetings

Report of the Corporate Director of Finance and Resources (S151 Officer). To be presented by the Cabinet Member for Housing & Planning (Deputy Leader).

DECLARATIONS OF INTEREST FOR THIS ITEM:

None

RESOLVED:

That Cabinet:

1. Approved the acquisition of the long leasehold interest in 12 flats at the property for housing purposes, for the purchase price as set out in the Part B (Exempt) report and based on the draft Heads of Terms contained in the Part B (Exempt) report.
   
   
2. Approved the total scheme cost for the acquisition as contained in the Part B (Exempt) report.
   
   
3. Approved the payment to Estate Office Investments Ltd (Estate Office) as contained in the Part B (Exempt) report.
   
   
4. Noted that it was proposed that grant funding from the Greater London Authority (GLA) would be used to part fund the acquisition with the option to use additional funding from the General Fund under an approved allocation for acquisitions through the CHAP programme. The amount of grant funding was contained in the Part B (Exempt) report.
   
   
5. In the event GLA funding was not available, Cabinet approval was sought for the use of right to buy (RTB) receipts. The amount of grant funding was contained in the Exempt Part B (Exempt) report.
   
   
6. Pursuant to the previous recommendation, where RTB funding was used, approved the grant of leases of these homes for a term not exceeding 7 years to the Haringey Community Benefit Society (HCBS) who, in turn, would let these homes at Local Housing Allowance (LHA).
   
   
7. Approved that the lettings of these homes were made in accordance with the grant funding conditions, and that the Neighbourhood Moves Scheme would not apply to these homes.
   
   
8. Granted delegated authority to the Corporate Director of Finance and Resources following consultation with the Head of Legal and Lead Member for Housing to finalise the Heads of Terms, agree the purchase price, finalise legal documentation and complete the transactions.
   
   

Reasons for decision

The acquisition of these properties resulted in 12 additional new council homes helping the council make good on its pledge to acquire and build 3,000 council homes by 2031.

The homes were expected to be of a good standard and to accord with the GLA’s design standards as set out in the London Plan.

Alternative options considered

Not to acquire the homes. This option was rejected because it would have been a missed opportunity for the Council to:
• Secure 12 new Council homes.
• Purchase homes at a commercially advantageous price and payment structure.
• Assist in maintaining momentum and progress in the overall aspiration to provide affordable housing in the borough.

The Cabinet Member for Housing and Planning, and Deputy Leader of the Council introduced the report.

It was explained that the Council had acquired 12 homes to be let at council rents at 67 Lawrence Road. It was noted that five of the flats were two-bedroom family homes, and four were wheelchair accessible and that each flat included a private balcony or terrace, and the site included a shared communal garden.

The Council had worked to increase the supply of affordable housing in the borough on an ongoing basis, with the aim of providing more residents with access to rented housing at council rent levels.

Following questions from Cllr Emery, the following points were made:

• Information was provided to explain that the site was originally owned by a private developer and had since been purchased by the Council.
  
  
• The Cabinet Member explained that the acquisition of these properties were part of the Council’s target to acquire 250 properties per year. It was explained that these acquisitions were additional to the target of building 2000 new homes.
  
  
• It was explained that the Mechanical Ventilation with Heat Recovery (MVHR) system within the site would need to meet planning requirements to prevent overheating.
  
  

RESOLVED:

That Cabinet:

1. Approved the acquisition of the long leasehold interest in 12 flats at the property for housing purposes, for the purchase price as set out in the Part B (Exempt) report and based on the draft Heads of Terms contained in the Part B (Exempt) report.
   
   
2. Approved the total scheme cost for the acquisition as contained in the Part B (Exempt) report.
   
   
3. Approved the payment to Estate Office Investments Ltd (Estate Office) as contained in the Part B (Exempt) report.
   
   
4. Noted that it was proposed that grant funding from the Greater London Authority (GLA) would be used to part fund the acquisition with the option to use additional funding from the General Fund under an approved allocation for acquisitions through the CHAP programme. The amount of grant funding was contained in the Part B (Exempt) report.
   
   
5. In the event GLA funding was not available, Cabinet approval was sought for the use of right to buy (RTB) receipts. The amount of grant funding was contained in the Exempt Part B (Exempt) report.
   
   
6. Pursuant to the previous recommendation, where RTB funding was used, approved the grant of leases of these homes for a term not exceeding 7 years to the Haringey Community Benefit Society (HCBS) who, in turn, would let these homes at Local Housing Allowance (LHA).
   
   
7. Approved that the lettings of these homes were made in accordance with the grant funding conditions, and that the Neighbourhood Moves Scheme would not apply to these homes.
   
   
8. Granted delegated authority to the Corporate Director of Finance and Resources following consultation with the Head of Legal and Lead Member for Housing to finalise the Heads of Terms, agree the purchase price, finalise legal documentation and complete the transactions.
   
   

Reasons for decision

The acquisition of these properties resulted in 12 additional new council homes  ...  view the full minutes text for item 379