Decision details

(1)        That, subject to appropriate terms being agreed with the City Parochial Foundation (CPF) and the Secretary of State’s consent, the Council‘s lease for land at Marden Close, Chigwell Row be surrendered;

(2)        That competitive tenders be sought from the Council’s five Preferred Registered Social Landlord (housing association) Partners to enter into a long lease with the CPF for the land at Marden Close (on similar terms, but with the period to be agreed with the CPF), and to convert the 20 existing bedsits into 10 self-contained one bedroom flats, to let on assured tenancies to non-elderly couples registered on the Council’s Housing Register;

(3)        That the selected housing association be required to submit a capital funding bid to the Homes and Communities Agency to assist with the capital costs;

(4)        That the existing tenants of Marden Close be required to transfer to alternative suitable Council or housing association accommodation, with an option to return to the converted flats once completed;

(5)        That the Council meets the reasonable removal costs of the existing tenants;

(6)        That, if the highest tender received results in a positive net present value (NPV) valuation then:

(a)        the Housing Portfolio Holder be authorised to accept the tender and approve the proposed refurbishment scheme without any further reference to the Cabinet; and

(b)        the resultant capital receipt be utilised as Social Housing Grant, to be allocated to a housing association to assist with the cost of providing affordable housing at a development elsewhere in the District;

(7)        That if the highest tender valuation received results in a negative NPV valuation then a report by the Housing Portfolio Holder to seek appropriate capital funding be submitted to the Cabinet;

(8)        That, if Chigwell Parish Council did express an interest, Faversham Hall be leased to the Parish Council for a period of 99 years for letting to local community groups, subject to the lease being completed within six weeks of the negotiated valuation being agreed by the Housing and Legal & Estates Portfolio Holders, unless there were delays outside of the control of the District or Parish Councils;

(9)        That the following key terms be included within the lease:

(a)        the Parish Council would be charged the agreed negotiated value of the premium and annual rental;

(b)        the District Council would use the income received from the premium and annual rental (less the cost of insurances) to fund community development/activities on the Limes Farm Estate, Chigwell;

(c)        the District Council would be responsible for insuring the Hall;

(d)        existing fixtures, fittings and furniture in the Hall would be included within the lease;

(e)        the Parish Council would be prohibited from letting the Hall for parties and the playing of music after 9pm; and

(f)         the District Council would retain the freehold of the building, including the retention of the first floor flat;

(10)      That, if Chigwell Parish Council did not express an interest in leasing Faversham Hall, or failed to complete the lease within six weeks of the negotiated valuation being agreed by the Housing and Legal & Estates Portfolio Holders (unless there were delays outside of the control of the District or Parish Councils) then the conversion of the Hall into 2 self contained flats be included within the tender arrangements and subsequent refurbishment scheme at Marden Close, with the Hall being leased to the selected housing association for the same period as the lease with the CPF for Marden Close;

(11)      That the premium for the proposed lease of the ground floor of Faversham Hall to Chigwell Parish Council be based on the negotiated value agreed by the Housing and Legal & Estates Portfolio Holders;

(12)      That, when inviting the Council’s Preferred RSL Partners to submit tenders for the proposed redevelopment scheme for Marden Close, they also be asked to provide an optional purchase price for having a 99 year lease of the ground floor of Faversham Hall and converting the existing hall into two self-contained flats, let on assured tenancies at affordable rents to nominees from the Council’s Housing Register;

(13)      That the provision for external repairs and the arrangement of building insurance for Faversham Hall within the proposed lease be undertaken by the District Council, with the associated cost shared between the District Council and Parish Council on a floor area basis of the ground and first floor; and

(14)      That the District Council be reimbursed by the Parish Council for its share of the costs by way of a service charge under the terms of the lease.