To seek approval to purchase completed units for a mix of Market Rent and Affordable Rent homes.

That:

1.  The financial returns for the proposed acquisition as shown in Exempt Appendix 3 to the report, which supports the Housing Development and Regeneration Investment Plan and overall Development Strategy, be approved;

2.  Delegated authority be given to the Director of Finance, Resources and Business Improvement to:

a)  Negotiate terms for the purchase of the proposed acquisition for the sum as shown in the Exempt Appendix 3 to the report;

b)  Procure and enter into all such deeds, agreements, contracts and documents which may be required to facilitate the purchase of the site, and the subsequent redevelopment works required to deliver the scheme referred to in this report. Including (but not limited to) any related appointments such as suitably qualified consultants and a Contractor if required;

c)  Subject to satisfactory conclusion of all due diligence to negotiate and finalise and complete all legal formalities, deeds and agreements which may be required to facilitate the purchase;

d)  Negotiate and agree any lease between The Council and Maidstone Property Holdings.

3.  The Head of Mid Kent Legal Services be authorised to appoint the Solicitors required to negotiate and complete the necessary contract documentation, deeds and agreements associated with the purchase and construction works on the terms as agreed by the Director of Finance, Resources & Business Improvement.

When appraising new housing development opportunities, the New Business and housing Development Team consider proposals against the following standard risk headings: -

• Site location and ownership

• Town Planning Status

• Schedule of accommodation, tenure mix and parking ratio

• Quality – Maidstone Building for Life 12

• Housing Management

• Deal structure

• Contractor procurement•

Financial viability

• Delivery programme

• Professional team

The opportunity proposed has been fully appraised against these standard risk headings in the exempt Appendix 1.

The Housing, Health and Environment Policy Advisory Committee considered the matter on 10 October 2023, and supported the report recommendations.

To not approve the purchase of the proposed acquisition. The Council would however lose an excellent opportunity to purchase a completed development of 13 houses with a good mix of both affordable and market rent.

This option was rejected as the proposal would contribute towards the 1000 affordable homes strategy, was a good opportunity and had received cross-party support from the Housing, Health and Environment Policy Advisory Committee.