Decision details

A report was presented to cabinet following approval at Council of the accelerated affordable housing development programme, and the decision to include an additional £7.485m in the HRA capital programme, the report sought the  approval to purchase 42 section 106 units.

Cabinet agreed:

1. The purchase of 42 new affordable homes, using the additional capital budget, approved by council at its meeting on 13 July 2023;

2. The letting of these homes in accordance with the council’s Allocations Policy, at an affordable rent as set out in the council’s Tenancy Strategy.

Officers were contacted by BDW (Barretts) Homes, who are required to deliver 42 new affordable homes, as part of their development at Spitfire Green, Westwood.  This requirement is set out in the section 106 obligations for the development.  They have been unable to secure an affordable housing provider to deliver the homes. 

As the homes have been designated as affordable homes in the planning consent and section 106 agreement, they have been designed specifically for that purpose and accordingly are considered appropriate for the HRA, in line with the needs of households on the council register or those living in temporary accommodation.  There is a significant level of need for 1 bedroom homes, as well as for larger family homes.

A provisional offer of £5m has been made to the developer and subject to contract, legal due diligence, formal valuation and full approval this offer has been accepted.

Do not purchase the Section 106 units, which would mean that the developer would negotiate a commuted sum, losing the affordable housing units.