Agenda item

[Report of the Director for Housing, Planning and Regeneration. To be introduced by the Cabinet Member for Housing and Estate Renewal.]

This paper brings forward proposals to start CPO proceedings to secure vacant possession of Tangmere and Northolt blocks following the identification of serious structural defects.

The Cabinet Member for Housing and Estate Renewal introduced the report which sought authority for the Council to use its compulsory purchase powers to make ‘The London Borough of Haringey (Tangmere and Northolt) Compulsory Purchase Order 2020’ (“the Order”) in respect of the Tangmere and Northolt sites and to acquire all outstanding property interests and any additional rights that may be required. It was noted that the majority of the information for this report had been covered in the deputation under item 7.

In response to a question from Cllr Chandwani, it was confirmed that there were people in both blocks who had accepted the package of relocation offers.

In response to a question from Cllr Cawley-Harrison, it was explained that the health and safety issues with the blocks had been discovered in 2018. All Council tenants had been rehoused as soon as possible and the remaining residents were leaseholders. It was noted that the Council had made significant efforts to come to agreements with the remaining leaseholders but that it was essential to vacate the blocks as they were unsafe and the current situation, including mitigation measures, was not sustainable.

Further to considering the exempt information at item 23,

RESOLVED

1.    To authorise the making of the Order to acquire all land and rights within the land edged red on (Appendix 2(b)) for housing purposes pursuant to the powers contained in section 17 of the Housing Act 1985, to enable the Council demolition of the Tangmere and Northolt blocks and the erection of new housing accommodation on the site so as to achieve a future qualitative gain following confirmation of the Order.

2.    To delegate authority to the Director of Housing, Regeneration and Planning in consultation with the Assistant Director of Corporate Governance as follows:

(a)  To make all necessary changes, as appropriate to the draft Statement of Reasons (and any adjustment to the Order Schedule and Order Map) and take all necessary steps to make, serve and implement the Order, to pursue its confirmation by the Inspector, Secretary of State (or the Council) and to implement the Order as may be necessary (these steps are set out in section 6.59-6.74 of this report);

(b)  To make General Vesting Declarations (GVDs) under the Compulsory Purchase (Vesting Declarations) Act 1981 and/or to serve notices to treat and notices of entry (if required) following confirmation of the Order.

(c)  To issue and serve any warrants to obtain possession of property acquired by the Council following the execution of a GVD or service of a notice of entry relating to the Order if it is considered appropriate and necessary to do so.

(d)  To acquire third party interests in the land within the Order either by agreement or compulsorily; and

(e)  To finalise and confirm the Order documents prior to making the Order.

Reasons for decision

Proceeding with a CPO and making the Order is necessary due to the extensive timescale and resources expended in acquiring all of the third-party properties by private treaty spanning approximately 2 years to date, which puts at risk residents’ safety. Residents approved the demolition of the blocks via consultation during 2018, and the Order is now necessary to ensure this can be delivered. The reasons for the Order are set out in the draft Statement of Reasons attached at Appendix 1.

To date and despite ongoing negotiations with affected parties, the Council has been unable toacquire all of the outstanding third party land interests in the proposed CPO site through agreement and is unlikely to be able to do so without the use of the Order. The demolition of both the Tangmere and Northolt blocks and the redevelopment of the site is at considerable risk if control of all of the land interests within the Order area is not obtained within a reasonable time. In the absence of making and using the powers afforded by the CPO, negotiations bythe Council with parties with individual land interests could be much moredifficult and protracted, as has been the case to date. Delays could also make the proposals more expensive, putting the deliverability of the project at risk. This would be due to the long-term costs associated with security of the blocks, the ongoing repairs and maintenance required whilst the blocks remain in place and outstanding interests to be acquired. Further to this, resident’s safety remains the Council’s priority and leaseholders continuing to remain in the blocks increases the risk to them and the surrounding area in the event of progressive collapse. The Cabinet is asked to resolve to make the Order to acquire all land and rights within the CPO Site. Officers are satisfied that there is a compelling case in the public interest to make the Order for the reasons set out in this Cabinet Report and the draft Statement of Reasons see Appendix 1. This is the reason for the recommendations at section 3 of this Report.

Therefore, the justification for making the CPO is:

1.    the blocks are unsafe and pose a risk both to inhabitants and the surrounding areas;

2.    the cost of the buildings remaining represents poor value for money due to the prohibitively high cost of refurbishment and structural works;

3.    the Council cannot deliver its commitments to rebuilding homes until demolition has been undertaken.

The confirmation of a CPO can be protracted if the CPO is challenged, which means the Council must therefore proceed with starting the CPO process now in order to avoid any further delays. A number of further steps will need to be taken to issue, serve and implement the Order. In order to expedite this process, Cabinet is also asked to grant delegated authority to the relevant officers identified in section 3 of this Report to undertake the actions required. This is the reason for the recommendations at 3.2 of this Report.

In order to use the powers under section 17 of the 1985 Housing Act to make the Order it is necessary for the Council to commit to delivering a quantitative or qualitative gain in housing stock on the CPO Site. On 13^th November 2018, Cabinet reiterated that following demolition of the two blocks the Council would re-provide at least the same number of Council homes as will be demolished. As these homes will be structurally compliant, this will represent a qualitative gain in housing. Design proposals are already being developed to ensure that this is the case. The Council will also explore options to deliver a quantitative housing gain by providing more units on the Order Land and the surrounding vacant land.

The definitive case for making the CPO is in the draft Statement of Reasons, appended to the report.

Alternative options considered

A number of alternative options were considered and rejected:

·         Option 1 - do not make a CPO, continue negotiations:

Option 1 is not recommended as it does not give the project any certainty in terms of the timeframe or budget. Negotiations have been ongoing with leaseholders in Tangmere since June 2018 and Northolt since February 2019 as referenced in section 1.1 of this Report. To date, despite ongoing negotiations and a comprehensive rehousing and payments policy being in place, agreement has not been reached to acquire the outstanding leasehold interests in the blocks by private treaty.

·         Option 2 - do not make a CPO, stop negotiations:

Option 2 is not a realistic option as the blocks were agreed to be demolished in November 2018 and need to be demolished due to safety concerns. The Council and Homes for Haringey have obligations to ensure the safety of the buildings, residents and neighbours – obligations that would not be met if this option was chosen.

·         Option 3 - make a CPO using alternative statutory powers

Option 3 is not recommended as, based on legal advice and full consideration of the specifics of the site, Section 17 of the Housing Act 1985 is considered the most appropriate enabling power.