Pyrles Lane Nursery, Loughton - Disposal
(Asset Management & Economic Development Portfolio Holder) To consider the attached restricted report (C-010-2017/18).
Additional documents:
Decision:
(1) That the disposal of the Pyrles Lane Nursery Site, on the basis of the external valuation report and the insertion of an overage agreement into the sales particulars to the benefit of the Council if any future developer was to achieve a planning permission for a scheme with increased density, be agreed;
(2) That the sale of the site be subject to a requirement that the purchaser must enter into a separate Development Agreement with the Council requiring the affordable rented housing for the development to be sold to the Council (with any shared ownership homes sold to one of the Council’s Preferred Housing Association Partners) on practical completion, on the following basis:
(a) that tenderers provide two prices as follows:
(i) one price on the basis that all of the affordable housing will be purchased by the Council for affordable rented properties; and
(ii) one price on the basis that, in accordance with the Council’s proposed new Housing Strategy, at least 75% of the affordable housing will be purchased by the Council for affordable rented properties and the remaining affordable housing will be purchased by one of the Council’s Preferred Housing Association Partners for shared ownership, in accordance with the shared ownership policies set out in the proposed Housing Strategy;
(b) that tenderers for the purchase of the site be required to submit their tenders on the basis of the Council (and, in the case of any shared ownership properties, a Preferred Housing Association Partner) paying specified sums set out in the tender documents to purchase different individual property types, sizes and tenure of affordable housing, through the proposed separate Development Agreement;
(c) That the specified purchase sums for the affordable housing be assessed on the same basis as the assumptions used by the Council for the recent purchase of the affordable housing from the private developer at Barnfield, Roydon, but with affordable rent levels based on current levels and Local Housing Allowances for Loughton; and
(d) That, as the Council is only able to utilise its ‘one-for-one replacement’ capital receipts for the purchase of affordable rented homes and not shared ownership homes, the financial implications of this restriction be set out in the report to be made to the Cabinet on the tenders received; and
(3) That provision be made within the Council’s Capital Programme from any future receipt of £100,000 to undertake the necessary alteration works to accommodate the Nursery and Landscape Service at the Townmead Depot at Waltham Abbey.
Minutes:
The Cabinet considered a report of the Assets and Economic Development Portfolio Holder, in connection with the disposal of the Council’s existing Nursery Site at Pyrles Lane, Loughton.
RESOLVED:
(1) That the disposal of the Pyrles Lane Nursery Site, on the basis of the external valuation report and the insertion of an overage agreement into the sales particulars to the benefit of the Council if any future developer was to achieve a planning permission for a scheme with increased density, be agreed;
(2) That the sale of the site be subject to a requirement that the purchaser must enter into a separate Development Agreement with the Council requiring the affordable rented housing for the development to be sold to the Council (with any shared ownership homes sold to one of the Council’s Preferred Housing Association Partners) on practical completion, on the following basis:
(a) that tenderers provide two prices as follows:
(i) one price on the basis that all of the affordable housing will be purchased by the Council for affordable rented properties; and
(ii) one price on the basis that, in accordance with the Council’s proposed new Housing Strategy, at least 75% of the affordable housing will be purchased by the Council for affordable rented properties and the remaining affordable housing will be purchased by one of the Council’s Preferred Housing Association Partners for shared ownership, in accordance with the shared ownership policies set out in the proposed Housing Strategy;
(b) that tenderers for the purchase of the site be required to submit their tenders on the basis of the Council (and, in the case of any shared ownership properties, a Preferred Housing Association Partner) paying specified sums set out in the tender documents to purchase different individual property types, sizes and tenure of affordable housing, through the proposed separate Development Agreement;
(c) That the specified purchase sums for the affordable housing be assessed on the same basis as the assumptions used by the Council for the recent purchase of the affordable housing from the private developer at Barnfield, Roydon, but with affordable rent levels based on current levels and Local Housing Allowances for Loughton; and
(d) That, as the Council is only able to utilise its ‘one-for-one replacement’ capital receipts for the purchase of affordable rented homes and not shared ownership homes, the financial implications of this restriction be set out in the report to be made to the Cabinet on the tenders received; and
(3) That provision be made within the Council’s Capital Programme from any future receipt of £100,000 to undertake the necessary alteration works to accommodate the Nursery and Landscape Service at the Townmead Depot at Waltham Abbey.
Reasons for Decision:
The disposal of the existing Nursery Site was consistent with the Council’s policy for the maximisation of the financial and socio-economic benefits of its assets and its programme of estate rationalisation.
Other Options Considered and Rejected:
The Cabinet considered and rejected the following options in regard to the proposed disposal of the existing Nursery ... view the full minutes text for item 29
Disposal of Lindsay House, Epping
(Asset Management & Economic Development Portfolio Holder) To consider the attached report (C-057-2016/17).
Additional documents:
Decision:
(1) That the previous decision of the Cabinet for the Council’s freehold interest in Lindsay House to be sold on the open market be reaffirmed;
(2) That a marketing exercise, including an invitation to bid from those parties who have previously expressed an interest, be carried out inviting bids based on:
(a) sale as a single private dwelling house; or
(b) conversion to flats (with or without the restrictive covenant); and
(3) That the Portfolio Holder be authorised:
(a) to consider the results of the marketing exercise and determine the basis on which the property is to be sold in light of the offers received, and in particular to consider if there would be financial benefit to the Council in seeking to remove the covenant; and
(b) subject to (a) above, to approve the highest offer received for the property with the covenant in place, or seek to remove the covenant.
Minutes:
The Portfolio Holder for Asset Management & Economic Development presented a report on the disposal of Lindsay House in Epping.
The Portfolio Holder reported that the Abbeyfield Society (Epping) had surrendered their lease for Lindsay House, at 15 Lindsey Street in January 2014; the Council was the freehold owner of the property. Following further negotiation with the London Congregational Union (Incorporated) back in 1998, the covenant on the premises had been extended to allow use as a single private dwelling house or social housing accommodation for vulnerable people. Essex County Council had previously agreed to acquire the property for their use as part of the negotiations for the redevelopment of St John’s Road, Epping. However, it transpired that the County Council no longer wished to proceed as they did not have a service requirement anymore. The Council was now required to determine the future use of the building, which had been vacant for a number of years, and the basis of a marketing exercise for freehold disposal of the property was proposed for the Cabinet to agree.
The Portfolio Holder highlighted that recommendation 2 permitted the Council to consider bids from charitable organisations, and would not automatically lead to the acceptance of the highest bid. The Director of Neighbourhoods informed the Cabinet that the capital receipt would go to the General Fund, and the Portfolio Holder reminded the Cabinet that 1-4-1 receipts from the sale of Council houses could only be used to fund a maximum of 30% of the cost if Lindsay House was converted to provide social housing units.
Decision:
(1) That the previous decision of the Cabinet for the Council’s freehold interest in Lindsay House to be sold on the open market be reaffirmed;
(2) That a marketing exercise, including an invitation to bid from those parties who have previously expressed an interest, be carried out inviting bids based on:
(a) sale as a single private dwelling house; or
(b) conversion to flats (with or without the restrictive covenant); and
(3) That the Portfolio Holder be authorised:
(a) to consider the results of the marketing exercise and determine the basis on which the property is to be sold in light of the offers received, and in particular to consider if there would be financial benefit to the Council in seeking to remove the covenant; and
(b) subject to (a) above, to approve the highest offer received for the property with the covenant in place, or seek to remove the covenant.
Reasons for Decision:
To enable the Council to obtain best value from its property assets.
Other Options Considered and Rejected:
To retain the property and convert it to either general social housing or some alternative use. However, the building was not conducive to conversion for general social housing and no other operational use had been identified.