Issue details

Provision of 10 no. affordable dwellings at Impington Lane, Impington

The purpose of this Decision Notice is to give approval for South Cambridgeshire District Council (SCDC) to enter into Heads of Terms followed thereafter into a JCT Design & Build Contract (JCT 2016 – industry standard) to purchase 10 no affordable homes representing the S106 40% affordable housing contribution on a site at Impington Lane , Impington.

 

The site has been brought forward by Hill who, as an award winning house builder and developer, SCDC have worked in partnership with providing a number of high quality affordable homes in our district.

 

In its entirety the site totals 26 new homes - with the policy compliant 40% affordable housing of 10 new homes comprising 7 rented homes and 3 shared ownership homes.

 

Hill are due to start on site in December 2019 and have issued draft Heads of Terms to proceed on. This site forms part of a package of sites put forward by Hill previously and formed part of the HRA Borrowing bid made in September 2018.

 

All reserved planning matters have been resolved .

 

It should be noted that the payback is in year 34

 

This site was one of a number included in Appendix L of the HRA Budget setting report approved by council in November 2018 ( see attached) . It is therefore one of the development sites that are part of the ‘ Unallocated New Build/Acquisition Budget’ included in the New Build Investment Cashflow (Appedix E) of the MTFS approved in February 2019.

 

Enabling/Strategic support

Strategic Housing fully support this mix, as it will provide much needed homes in Impington where SCDC has existing stock .

The overall affordable housing mix has previously been agreed by Housing Strategy as meeting the housing needs in Impington and its environs.

 

Scheme Details:

Planning Reference number :

The site has planning (ref: S/1486/18/FL) with all conditions now discharged.

 

The S106 is signed and completed.

 

Mix:

Description of

No of

Type of

Stock

No of

Units to be delivered:

Units:

Tenure:

Category:

Beds:

 

 

 

 

 

1 bed flat

6

Rent

Flat

1

3 bed house

1

Rent

House

3

2 bed house

2

Shared O’p

House

2

3 bed house

1

Shared O’p

House

3

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

                                                        

Shared Ownership units will be sold as part of this scheme                          

and their ongoing sale forms part of this decision                                          

Average equity buy-in will be 40%.

 

Contract type:

The contract will be a JCT 2016 contract. (Joint Contracts Tribunal) Design & Build Contract

 

 

Legal Advice : Freeths  ( Previously provided at Grace Crescent , Hardwick)

“We believe that either ownership or an option constitute such “exclusive rights”. It needs to be said, however, that cases do turn on their facts. We would also have to state that the Council should be able to demonstrate that in the case where it was letting a contract including development, that there is no reasonable alternative or substitute – ie there are not other similar convenient sites which could reasonably be regarded as being available for development, eg in terms of being for sale, zoning, access to services etc.

 

There are no other suitably sized permissioned sites in Impington that are available for consideration at this time.

 

Financial:

Use of Right to Buy Receipt:

This scheme consists of 7 rented homes which allows the use of Right to Buy receipts totalling £356,390

 

Use of Commuted Sum:

We are using £150,000 of commuted sum monies to assist in bringing these 3 shared ownership homes forward as council new build. This aligns with our standard £50,000 per unit commuted sum spend profile on new build schemes

 

The scheme is considered to be value for money for the council. The offer and price per sq. m is commensurate with sums paid for recent council new build development schemes. In addition a robust financial appraisal has been carried out and a commercially sensitive financial appendix is attached. The scheme has a Payback year within the business plan parameters.

Decision type: Non-key

Decision status: Recommendations Approved

Wards affected: Histon & Impington;

Notice of proposed decision first published: 06/11/2019

Decision due: 29 October 2019 by Lead Cabinet member for Housing

Lead member: Lead Cabinet member for Housing

Lead director: Housing Director

Department: Housing

Contact: Kirstin Donaldson, Head of New Build Kirstin.Donaldson Email: @scambs.gov.uk.

Consultees

Hill have consulted as required & demonstrated by the successful planning process.

Decisions

Documents

  • Provision of Affordable Housing