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Decision details
Council House Building Programme
Decision Maker: Cabinet
Decision status: Recommendations Approved
Is Key decision?: Yes
Is subject to call in?: Yes
Purpose:
To seek approval for the Council’s housebuilding programme funded via the Council’s adopted Capital Programme and encompassing homes for Affordable Housing (AH), Private Rented Sector Housing (PRS) and on occasion a limited amount of exposure to Market Sale (MS) Housing.
Decision:
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;
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.
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;
and
4. It be agreed, post completion of the procurement process, to appoint a contractor for the works cost detailed in the financial summary at Exempt Appendix 3 to the report. If in the event tenders for the works cost are in excess of the agreed sum then officers will return to the Committee/Cabinet to seek further approval prior to the development itself commencing.
5. The Council maximises the green space by available means and that the size of the maisonettes meet Nationally Described Space Standards (NDSS), and to return to Cabinet if unable to achieve standards.
Reasons for the decision:
The development strategy for this programme was approved by the Policy & Resources Committee on 19 January 2022, and the proposals within the report are consistent with delivering that strategy.
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 in this report is fully appraised against these standard risk headings in exempt Appendix 1 to the report.
This was considered by Housing and Community Cohesion Policy Advisory Committee on 23 July 2024 who recommended that Cabinet approve the report recommendations. At Cabinet an additional recommendation was made to maximise the green space by available means of the site and that the size of the maisonettes meet Nationally Described Space Standards (NDSS).
Alternative options considered:
That the purchase of the proposed acquisition not be approved. The Council would however lose an excellent opportunity to purchase a site with outline planning permission with access to good transport links and amenities to add to its affordable housing stock. It will assist towards much needed affordable accommodation in the Borough and contribute towards the Council house building programme target.
Reason Key: Expenditure > £250,000;
Wards Affected: Fant and Oakwood Ward;
Other reasons / organisations consulted
Notification sent to ward councilors
Informal Cabinet Briefing will take place
Report author: Philip Morris
Publication date: 24/07/2024
Date of decision: 24/07/2024
Decided: 24/07/2024 - Cabinet
Effective from: 03/08/2024
Accompanying Documents: