A report from the Director of Regeneration and Environment is attached. This sets out a number of recommendations to progress the small housing sites phase 2 delivery. (Report No.201, agenda part two also refers) (Key decision – reference number 4161)
(8.50 – 8.55 pm)
Councillor Ahmet Oykener (Cabinet Member for Housing and Housing Regeneration) introduced the report of the Director – Regeneration and Environment (No.199) setting out proposals for the progression of the small housing sites phase 2 delivery.
1. That Report No.201 also referred as detailed in Minute No.21 below.
2. That, 28 homes were being proposed in total across the four sites, as set out in the report. It was now proposed that the homes to be constructed on the three sites at Padstow Road, Perry Mead, and Hedge Hill should all be disposed of as private sale properties.
3. The detailed development strategy as set out in section 3 of the report. By optimising the values from tenure across the four sites, the Council would be able to achieve approximately 54% affordable housing (paragraph 3.17 of the report referred). The proposed affordable rent levels for Ordnance Road were highlighted and discussed, as referred to in section 3 of the report. Members stated the importance of ensuring that the rent levels were genuinely affordable and noted the calculations that were used to determine appropriate and realistic levels of rent.
4. That Members’ attention was drawn to recommendation 2.2 of the report; that in the event that additional GLA Grant funding could be secured, this could be used to make as many of the 13 new homes at Padstow Road, Perry Mead and Hedge Hill more affordable and sold as shared-equity or shared ownership homes.
5. Following further discussions on the proposals set out in the report, Members requested that Officers consider whether the Council’s Enfield Innovations and Housing Gateway companies could have any effective involvement in the schemes.
Alternative Options Considered: NOTED the alternative options that had been considered as set out in section 4 of the report and below:
· Doing nothing had not been considered to be viable for the Council as the currently underutilised sites had capacity for new homes, of which there was an acute undersupply.
· Private rent rather than private sale on the three sites had been considered and previously preferred however given the opportunity to generate immediate cross subsidy in the form of a capital receipt on the Padstow Road, Perry Mead, and Hedge Hill sites, this could not offset a large proportion of the cost of the Ordnance Road scheme and reduce the impact on the HRA Business Plan which was currently constrained.
· If for any reason the homes did not sell at a price that could sustain the approach recommended in the report, the decision to sell the properties could be reviewed and instead the private properties could be rented at private rents.
· 100% affordable rent. While this option would spend a greater proportion of Right to Buy receipts, it would fail to capitalise on the value of the sites and capital receipt, and put further pressure on the HRA Business Plan.
· 100% Council Rent: While this option would spend a greater proportion of Right to Buy receipts, it would fail to capitalise on ... view the full minutes text for item 12