Issue details

Amendment of Head Lease for existing transfer of land at Paddock Row Elsworth

Background

The council undertook a survey of the council housing stock in 2004 to determine how much investment was required for properties to meet the decent homes standard and it was found that the structural condition of the Airey ( Pre- fabricated) properties meant that they would not meet the decent homes standard, without considerable investment. Therefore, on 28th October 2004 full council approved redevelopment as the most cost-effective solution for those Airey sites with redevelopment potential. The Airey properties at Paddock Row Elsworth were agreed as having redevelopment potential. As, the council was not developing council homes at that time a consultative tender process was undertaken and, Wherry Housing Association, which is now known as Clarion, were selected as the council’s preferred partner to undertake the redevelopment program in South Cambs. As part of this process the land owned by South Cambridgeshire District Council was transferred to Wherry Housing Association (now Clarion) on a 125-year lease. Following redevelopment Wherry Housing Association should then have granted subleases on a shared ownership basis for a term of 125 years (less 10 days)

 

Purpose

South Cambs District Council transferred the land at Paddock Row Elsworth to Wherry Housing Association/ Circle Anglia (now Clarion) on a 125-year lease from 22nd December 2006 expiring on 21st December 2131. Unfortunately, Clarion found that the sub leases that were issued by them, for the shared ownership properties, were not compatible with the Head lease. Therefore, Clarion have formally submitted a request for a new lease to be granted to them (overriding lease), which will sit above the Head lease and be for a term expiring on 21st April 2132. This will ensure that Clarion’s interest in the properties at Paddock Row Elsworth, will exceed that of the shared ownership leases.

 

The purposes of this decision are to allow the Council to approve Clarion’s request to grant an overriding lease for land that was transferred, as part of the Airey properties redevelopment programme at Paddock Row Elsworth.

 

Decision type: Non-key

Decision status: Recommendations Approved

Wards affected: Caxton & Papworth;

Notice of proposed decision first published: 13/03/2020

Decision due: 12 March 2020 by Lead Cabinet member for Housing

Lead member: Lead Cabinet member for Housing

Contact: Heather Wood, Interim Assistant Director of Housing (Statutory and Strategic Services) 01954 713044 Email: heather.wood@scambs.gov.uk.

Consultees

Councillors Mark Howell and Nick Wright, district councillors for Elsworth were consulted. Both confirmed that they have no objection to proceeding with this mater.

Purpose of Report: Airey redevelopment programme – Cabinet paper 2006

Decisions

Agenda items

Documents