Agenda item

Approval of appropriation of land and construction contract at Stainby Road car park and Cornwall Road

Minutes:

The Cabinet Member for House Building, Placemaking and Development considered the report which sought Cabinet’s approval, in light of engagement and consultation with local residents, to build two houses on Stainby Road car park and nine apartments on a disused tennis court at Cornwall Road for Council rent on Council land.

 

RESOLVED that the Cabinet Member:

 

1.         Considers the responses to the consultation carried out on this proposed scheme in line with section 105 of the Housing Act 1985, as set out in paragraphs 6.13 of this report, and the wider community engagement set out in paragraphs 6.6 to 6.18.

 

2.         Approves the appointment of NFC Homes Limited to undertake the new build works to provide a total of nine new homes at Cornwall Road and two new homes at Stainby Road car park for the contract sum of £3,228,291 and to approve the client contingency sum set out in the Exempt report Appendix 2.

 

3.         Approves the appropriation of the land at Cornwall Road Tennis Court and the land at Stainby Road Car Park (each shown edged red in the plans attached at Appendix 1) from housing purposes to planning purposes under Section 122 of the Local Government Act 1972 as it is no longer required for the purpose which it is currently held, and for the purpose of carrying out development as set out in part 6 of this report.

 

4.         Approves the use of the Council’s powers under Section 203 of the Housing and Planning Act 2016 to override easements and other rights of neighbouring properties infringed upon by each of the Cornwall Road development under planning ref: HGY/2021/0967 and Stainby Road development, under planning permission ref: HGY/2020/0087.

 

5.         Delegates to the Director of Housing, Regeneration and Planning, after consultation with the Director of Finance and the Cabinet Member for House Building, Placemaking and Development, authority to make payments of compensation as a result of any infringement arising from the development and the recommendation 3.1.3, within the existing scheme of delegation.

 

6.         Approves the appropriation of each of the land at Cornwall Road and the land at Stainby Road car park (each edged red in the plans attached at Appendix 1) from planning purposes back to housing purposes under Section 19 of the Housing Act 1985, after practical completion of each of the individual development.

 

Reasons for decisions

 

The land at Cornwall Road and Stainby Road was approved by Cabinet in July 2019 to be included in the Council’s housing delivery programme. The schemes were subsequently granted planning consent and are ready to progress to construction. This report therefore marks the third, and final, Members’ decision to develop on these sites.

 

The appropriation of the sites for planning purposes is required as it will allow the Council to use the powers contained in Section 203 to override easements and other rights of neighbouring properties and will prevent injunctions that could delay or prevent the Council’s proposed development. Section 203 converts the right to seek an injunction into a right to compensation. The sites will need to be appropriated back from planning purposes to housing purposes on completion of the development to enable the Council to use the land for housing and let new Council homes at Council rent.

 

The proposals will improve security for new and existing residents and alleviate potential anti-social behaviour attracted to the sites by an open disused Tennis Court at Cornwall Road and an unsecured car park at Stainby Road.

 

Alternative options considered

 

It would be possible not to develop this site for housing purposes. However, this option was rejected as it does not support the Council’s commitment to deliver a new generation of Council homes.

 

The Council could have run a competitive tender from the London Construction Programme (LCP). This option was rejected due to limited interest from the LCP framework contractors and time constraints to deliver the new build programme. Instead, this opportunity was procured via a direct appointment from the Major Works 2019 LCP Framework Agreement, the recommended route for a contract of this value.

 

The two sites could have been procured through separate contracts. This option was rejected because it would have been more costly and more time-consuming. 

 

The Council could continue with the scheme without appropriating the site for planning purposes, but this would risk the proposed development being delayed or stopped by potential third-party claims. By utilising the powers under Section 203 of the Housing and Planning Act 2016 (HPA 2016), those who benefit from third party rights will not be able to seek an injunction since those rights or easements that are overridden are converted into a claim for compensation only. The Council recognises the potential rights of third parties and will pay compensation where a legal basis for such payments is established. The housing delivery team actively engaged with local residents about the development of this site as they proceeded through the feasibility and design stages and any comments or objections raised were taken into consideration by Planning Committee in reaching its decision.

 

The Council could decide not to appropriate the land for housing purposes upon practical completion of the building works. This option was rejected because it could prevent the Council from being able to offer up these homes for occupation as social housing thereby not supporting the delivery of much needed affordable homes.

 

Supporting documents: