Decision details
Purchase of 137 Homes at Haine Road for Affordable Rent
Decision Maker: Cabinet
Decision status: Recommendations Approved
Is Key decision?: Yes
Is subject to call in?: Yes
Purpose:
Cabinet approved the purchase of 137 properties for affordable rent on the Spitfire Green Phase 3 site being constructed by BDW (Barret David Wilson) on New Haine Road, Ramsgate for £38,150,000 plus £75k for legal costs.
Decision:
Cabinet agreed the following:
1. That the Council progresses with the acquisition of 137 new affordable homes being built by developer BDW, using the accelerated housing programme capital budget, approved by Council at its meeting on 12 October 2023;
2. That Cabinet note that the acquisitions are dependent upon the council securing sufficient Homes England Grant to make the project financially viable;
3. That Cabinet note that this project replaces the previously approved project to acquire 32 section 106 affordable homes at the same site;
4. That the Director of Corporate Services be delegated authority to re-assess the viability of projects within the programme, and subsequently approve a variation to the assumed level of borrowing or other funding needed, in consultation with the Deputy Leader and Cabinet Member for Housing, provided the assessment shows that the schemes remain viable and remain within the overall approved budget. Any changes in funding will be subsequently reported to Cabinet;
5. The letting of these homes in accordance with the council’s Allocations Policy and any subsequent Local Letting Plan (LLP), at an affordable rent as set out in the council’s Tenancy Strategy.
Reasons for the decision:
Cabinet agreed to the purchase of 137 homes from BDW for households in Housing Need on the register.
Alternative options considered:
The Council could choose not to purchase the homes as these were not originally intended to be affordable housing. However, this would represent a missed opportunity at a time when the Council has 1,500 households on its housing register with further applicants waiting for the applications to be assessed, as well as 300 households in temporary accommodation.
One other option could be to take a smaller number than the 137 homes. However, again, with the careful thought and planning that will go into the way these homes and tenancies are managed in-house by the Council, the readiness of the Tenant and Leaseholder Service to manage these properties, and the importance assigned to creating a sense of place and building a community, then these will be good quality homes for those who need them most.
Report author: Mark James
Publication date: 27/09/2024
Date of decision: 26/09/2024
Decided at meeting: 26/09/2024 - Cabinet
Effective from: 05/10/2024
Accompanying Documents: