Agenda item

Report of the Director of Placemaking and Housing. To be presented by the Cabinet Member for Housing and Planning, and Deputy Leader of the Council.

The Cabinet Member for Housing and Planning, and Deputy Leader of the Council introduced the report. The proposal to build 37 energy-efficient Council homes was explained, noting that the work would seek to provide high-quality and affordable housing for local people, including families and those with disabilities.

It was stressed that housing was a top priority for Haringey, and that the Council had committed to the delivery of 3,000 new high-quality Council homes for residents by 2031. It was highlighted that the need for new affordable homes was urgent and increasing and that the wait list time for residents on the Housing Register for two or three-bedroom houses was between 4 and 13 years. It was explained that the Lansdowne Road development would enable the Council to provide much-needed stable homes to those living in temporary, overcrowded and unsuitable accommodation. It was noted that, out of the 37 properties, 27 were proposed to be two-bedroom, with 3 of these being fully adaptable for residents with disabilities, and 3 will be three-bedroom homes.

In addition to housing, the development would feature play facilities and additional trees, planting, and seating areas for old and new residents alike to enjoy. Additional cycle storage and enhanced refuse and recycling facilities will also address concerns of existing residents.

It was explained that, as a landlord, Haringey Council had the responsibility to ensure energy bills were fair and affordable for our tenants and that our homes allow us to reach net zero-carbon. It was noted that the environmental benefits of the proposed homes, including cost-saving energy efficiency measures, meet the Mayor of London's high housing design standards and the Council’s own sustainability targets.

Following questions from Cllrs Hakata, Ovat and Emery, the following information was shared:

• The Cabinet Member explained that Haringey had undertaken positive steps in the development of new Council homes, which other authorities had struggled to overcome.
  
  
• Following questions regarding risk of failure of delivery and price rises, it was explained by officers that there were fixed price contracts for any development. It was also stressed that the Council employed retention clauses, which would ensure the maximum level of protection. It was stressed that this was not a total guarantee against contractor failure, but that it was a good mitigation against failure.
  
  
• Officers explained that there had been some viability challenges with the scheme which had required the undertaking of some value engineering, including the market being in a better place and the acquisition of additional grant funding from the Greater London Authority. It was explained that this work had caused some delays to the development of the scheme.
  
  
• Officers stressed that there was an arrangement to ensure that works would be undertaken on schedule.
  
  

RESOLVED:

That Cabinet: 

1.   Approved the appointment of Contractor A, identified in the exempt part of the report, to undertake the new build works to provide a total of thirty-seven new homes let social rent at Lansdowne Road for a contract sum set out in the exempt part of the report; and approved sum set out in the exempt part of the report. 

2.   Considered the engagement and consultation carried out on this proposed scheme.  

3.   Approved the appropriation of the land at Lansdowne Road shown edged red on the red line plan, 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 out the development. 

4.   Approved 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 Lansdowne Road development, under planning permission Ref:

a.    Ashdowne Court: HGY/2022/0295

b.    Fiske Court: HGY/2022/0305

c.    Arundel & Baldewyne Court: HGY/2024/1450

5. Delegated to the Director of Placemaking & Housing, after consultation with the Director of Finance and the Cabinet Member for Housing and Planning, authority to make payments of compensation as a result of valid claims of third-party rights affected by the Lansdowne Road development and payable as a result of the recommendation 3, within the existing scheme of delegation.  
   
   
6. Approved the appropriation of Lansdowne Road site shown edged red on the red line plan from planning purposes to the Housing Revenue Account (HRA) for housing purposes under Section 19 of the Housing Act 1985, after practical completion of the development, currently scheduled for March 2026.
   
   
7. Approved the total scheme cost.  
   
   
8. Approved the issuance of a letter of intent for up to 10% of the contract value.
   
   

Reasons for decisions

The site known as Lansdowne Road was approved by Cabinet in July 2019 to be included in the Council’s Housing Delivery programme. Ashdowne Court was granted planning consent on 14^th April 2022, Fiske Court was granted planning consent on 5^th April 2022 and Arundel and Baldewyne Court were granted planning consent on 14^th February 2025. All sites at Lansdowne Road were ready to progress to construction. This report marked the third and final Members’ decision to develop on this site.

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

There were no reasons for the Council to believe that any third-party rights would be infringed by the development: the scheme received planning permission, however there was a concern raised by an existing resident in regard to Right to Light. This was investigated further by the project team. Appropriation of the development site for planning purposes was recommended as a precaution. It would 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 converted the right to seek an injunction into a right to compensation. The site would 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 thirty-seven new council homes.

The proposed development site comprised four sites on Lansdowne Road. Arundel Court and Baldewyne Court were on opposite sides of Lansdowne Road, as are Ashdowne Court and Fiske Court. All four sites are currently being used to provide a range of parking bays, pram sheds, refuse points and there is a substation on Arundel Court and Fiske Court. The immediate surroundings are dominated by residential buildings that range from semi-detached houses to medium sized terraces and blocks of flats. The site will provide thirty-seven much needed council homes, with Arundel Court providing eighteen homes across three two-storey buildings, Baldewyne Court providing twelve homes across two two-storey buildings. Ashdowne Court and Fiske Court will provide three three-bedroom houses and four two-bedroom houses. In conjunction with the housing development a number of landscape and amenity improvements are proposed for new and existing residents including play facilities, additional trees, additional planting, seating areas, bike hangers and bike stores. Due to the nature of the site careful consideration has been taken to ensure the new buildings have been positioned to respect the locations of the existing flat blocks.

These thirty-seven 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 aspiration to build 3000 council homes by 2031.

Alternative options considered

It would be possible not to develop the Lansdowne Road site for housing purposes, as the council has no statutory duty to develop these sites. However, one of the council’s top priorities is the delivery of a new era of council housebuilding. To exclude this site from the development programme would undermine the council’s capacity to deliver new council homes.

This opportunity was procured via a competitive tender through the council’s London Construction Programme (LCP) Framework Agreement, using the Minor Works Dynamic Purchasing Systems (DPS). This route was recommended by Strategic Procurement due to the contract value.

The alternative options would have been either via a restrictive, competitive tender to the open market via Haringey Procurement and Contract System 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.