Agenda item

Cabinet discussed proposals for the Council to progress with the acquisition of the 11 new affordable homes being built by developer Vistry, subject to the approval of the necessary adjustments to the general fund capital programme by Full Council on 10 October 2024. The letting of these homes would be in accordance with the Council’s Temporary Accommodation Allocation Policy, approved by Cabinet in July 2024.

The report sought the approval to purchase 11 homes, constructed by Vistry, which would be used for temporary accommodation in the Thanet District. Unlike previous properties being acquired by the Council, these properties did not sit in a section 106 agreement and did not constitute addition to the Council’s Housing Revenue Account stock due to their status as Temporary Accommodation. The homes were not, as in other instances, sitting empty. These were homes that the Council had sought out from the developer, knowing that there was a huge need for high quality temporary accommodation of varying sizes.

The council had a good working relationship with Vistry from the Local Authority Housing Fund properties it had acquired, which had proven to be excellent acquisitions. These homes would be managed and maintained by the Council and would be managed closely through the temporary accommodation property officer that the Housing Options team employed to check on the welfare of its tenants.

The cost for the 11 homes (4 x 2-bedroom homes and 7 x 3-bedroom homes) totals £2,850,000, in addition to £132,000 Stamp Duty and £22,000 legal costs and was funded through the General Fund capital budget, if approved by Council. This was why in addition to the previous Overview & Scrutiny Panel and Cabinet papers, a separate paper was being taken for approval to add this additional budget and borrowing to the capital programme. Though the homes had not been designated as temporary accommodation in the planning consent, they would have been designed to a very good specification, which ensured the quality of housing the Council wished to provide for those households that it would temporarily house here.

As had been discussed many times in Cabinet meetings, the impact of being in Temporary Accommodation, especially outside the area, had a huge impact on households. To address this issue fully, Cabinet had to not only grow Council’s general needs portfolio, to ensure that it had homes that could be provided to residents in need, but also continued to expand its in-house temporary housing. This would ensure that in the short term residents were kept in an area close to their families, schools, work and support networks.

The financial impact of the use of external temporary accommodation was also huge and was indicated by the fact that the project would be moving into surplus on these properties in only year two. To be able to bring forward two items in one meeting that addressed both these needs was a huge privilege. Cabinet thanked the Housing and Finance teams for the exemplary work on providing for residents. Cabinet said that this was wholly recognised and valued beyond measure.

Councillor Davis and Councillor Bayford spoke under Council Procedure Rule 20.1.

Councillor Whitehead proposed, Councillor Keen seconded and Cabinet agreed the following:

1. That the Council progresses with the acquisition of the 11 new affordable homes being built by developer Vistry, subject to the approval of the necessary adjustments to the general fund capital programme by the full Council on 10th October;

2.  The letting of these homes will be in accordance with the Council's Temporary Accommodation Allocation Policy, approved by Cabinet in July 2024.