Decision details

Acquisition of S106 affordable housing for the Housing Revenue Account

Decision Maker: Cabinet

Decision status: For Determination

Is Key decision?: Yes

Is subject to call in?: Yes

Purpose:

To set out details of the potential for the authority to acquire eight s106 affordable homes on a development site in the district.

Decision:

DECISION:

 

a)    To approve the business case and approve the acquisition of eight homes within Surfleet for the HRA;

 

b)    To delegate to the Executive Director – Commercialisation (S151) to agree the contractual matters (including any terms and conditions which may represent a minor variation to the scheme approved in the business case) such as signing the contract/transfer document and other incidental actions that may be required and approving the associated due diligence and valuation required to purchase the properties;

 

RECOMMENDED TO COUNCIL:

 

c)      To amend the Capital Programme to identify the project as an approved scheme in the 2021/22 Budget.

Reasons for the decision:

·         A return on investment, and the generation of capital receipts from the sale of the initial tranche of shared ownership properties;

·         The delivery of eight additional dwellings into the HRA;

·         Meeting housing need;

·         The replacement of homes sold through Right to Buy;

·         The new homes could be part-funded from the time limited Right to Buy receipts; and

·         Market confidence.

Alternative options considered:

·         Do nothing – under this option, the authority would not proceed to purchase the properties, and as a consequence, the expected benefits listed in Section 9 of the report would not be realised.  Officers would seek to identify alternative appropriate schemes for consideration.

Reason Key: Incurring expenditure above £75,000 threshold in respect of revenue/£180,000 in respect of capital;

Wards Affected: Pinchbeck and Surfleet;

Contact: Caroline Hannon, Head of Delivery Email: Caroline.Hannon@sholland.gov.uk, Katie Nicol, Housing Development Programme Manager Email: Knicol@sholland.gov.uk.

Report author: Caroline Hannon

Publication date: 28/04/2021

Date of decision: 27/04/2021

Decided at meeting: 27/04/2021 - Cabinet

Effective from: 07/05/2021

Accompanying Documents: