Agenda item

Report of the Interim Director for Placemaking and Housing. To be introduced by the Cabinet Member for  Housing and Planning(Deputy Leader).

This report recommends appointing a contractor to complete the Council's scheme to deliver fifteen Council homes for Council rent.

The Cabinet Member for Housing and Planning (Deputy Leader) introduced the report which sought Cabinet’s approval to appoint the recommended contractor to complete a new build development of 15 new Council homes on Land adjacent Wat Tyler House, Boyton Road N8 7AU. The scheme comprised of six one-bedroom flats, one of which was fully adaptable, eight two-bedroom flats and one three-bedroom flat. The scheme would improve the existing public realm. Detailed planning permission was granted on 1st June 2023.

Cabinet was asked in light of the formal procurement exercise to approve the appropriation of the land edged red on the development plan at Appendix 1 from housing for planning purposes to facilitate the development process. This would allow the Council to utilise its powers to override any third-party interests and rights (subject to engagement with any potential claimants) and then to appropriate the land back to housing following practical completion of the development.

In response to questions from Cllr Carlin and Cllr Barnes, it was noted that there would be an opportunity for downsizing and one bedroom and two-bedroom properties would be available to other residents in Wat Tyler House to free up the family sized home offers. The expected start date on the site was January 2025.

Further to considering exempt information and exempt recommendation at item 21,

RESOLVED

1. To approve the appointment of Contractor A, identified in the exempt part of the report, to undertake the new build works to provide a total of fifteen new homes let at social rents at Wat Tyler House for a contract sum set out in the exempt part of the report; and approves sum set out in the exempt part of the report.

2. To approve the appropriation of Land adjacent to Wat Tyler House shown edged red on the plan titled ‘Development Plan’ attached at Appendix 1, from housing purposes to planning purposes pursuant to section 122 of the Local Government Act 1972 as it is no longer required for the purposes which it is currently held, and for the purposes of carrying the development as set out in part 6 of this report.

3. To approve the use of the Council’s powers under Section 203 of the Housing and Planning Act 2016 to override easements and other third-party rights and interests infringed upon by the Wat Tyler House development, under planning permission Ref: HGY/2022/3858.

4. To delegate to the Director of Placemaking & Housing, after consultation with the Director of Finance and the Cabinet Member for Housing and Planning (Deputy Leader) authority to make payments of compensation as a result of genuine claims of third-party rights affected by the Wat Tyler House development and payable as a result of the recommendation 3.1.3, within the existing scheme of delegation.

5. To approve the appropriation of Land adjacent Wat Tyler House site shown edged red in the plan titled ‘Development Plan’ attached at Appendix 1, from planning purposes back to housing purposes under Section 19 of the Housing Act 1985, after practical completion of the development.

6. To approve the total scheme cost set out in the exempt part of the report.

7. To approve the issuance of a letter of intent for up to 10% of the contract value as set out in the exempt part of the report.

8. To consider the engagement and consultation carried out on this proposed scheme set out at clauses 6.7 to 6.10 of this report.

 Reasons for decisions

The site known as Car park adjacent Wat Tyler Houe was approved by Cabinet in July 2019 to be included in the Council’s Housing Delivery programme. The scheme was granted planning consent on 1st June 2023 and is ready to progress to construction. This report therefore marks the third, and final, Members’ decision to develop on this site.

Contractor A has been identified by a formal tender process to undertake these works.

There are no reasons for the Council to believe that any third-party rights would be infringed by the development: the scheme has received planning permission, and no concerns about the loss of rights were raised during extensive local engagement and consultation with residents. However, appropriation of the development site for planning purposes is recommended as a precaution. It will allow the Council to use the powers contained in Section 203 to override easements and other third party rights that may be infringed by the development 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 site 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 15 new Council homes.

The proposed development site shown edged red on the plan comprises of the existing car park adjacent Wat Tyler House with frontage onto Boyton Road. The site proposal will provide 15 much needed Council homes in a 4, 5 and 7 -storey building. In conjunction with the housing development a number of landscape and amenity improvements are proposed including play facilities, additional trees, additional planting, seating areas, bike hangers and additional CCTV in the immediate neighbourhood layout’ plan at Appendix 1. The proposals alleviate potential anti-social behaviour attracted to the site by an open, car park, improving a prominent estate boundary on Boyton Road.

These 15 homes will also contribute to the Council’s commitment to start 500 homes on site as part of the GLA 21-26 Affordable Homes Programme and the Council’s political aspiration to build 3000 Council homes by 2031.

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 and would leave existing car park site continuing to be vulnerable to anti-social behaviour and ongoing management issues.

This opportunity was procured via a restrictive, competitive tender to the open market via Haringey Procurement and Contract System (Find a tender) using the JCT Design Build Contract 2016 with amendments, the route recommended by Strategic Procurement for a contract of this value.

The alternative options would have been either a competitive tender through the London Construction Programme (LCP) Major Works 2019 Framework Agreement or a direct appointment to one of the LCP framework providers. These options were both rejected because of the quality and price safeguarding a competitive tender provides.

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 the scheme 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 under secure tenancies, thereby not supporting the delivery of much needed affordable homes.