Content

To enter contract
with M&M Demolition Ltd to demolish the main building at
Ashcroft, Kingston Lane for both health and safety and development
enabling reasons, following a decant (for health and safety
reasons), planning approval in 2021 for redevelopment and a
thorough tender process for the works in Autumn 2023.

Reasons for the decision

In early 2020, residents of the
Ashcroft Sheltered Housing block were moved out following a Type 1
Fire Risk Assessment for the building which indicated serious
issues with the evacuation strategy and compartmentation of the
building. A further Type 4 risk assessment found that risk to life
from fire was substantial, and in addition, the building does not
meet the requirement of the Homes (Fitness for Human Habitation)
Act 2018.
 
To comply with current regulatory
standards and those actions identified within the Type 4 Fire Risk
Assessment, any refurbishment would result in a significant net
loss of dwellings in the block. In 2021, residents were consulted
on refurbishment and redevelopment options with the majority of
residents in favour of construction of a new block rather than
refurbishment of the existing. In 2022, planning consent was
achieved for the demolition of the Ashcroft block and delivery of a
new, 44-unit sheltered housing scheme. £407,000 was secured
from the Brownfield Land Release Fund (BLRF) to support the
preparatory works and the abnormal costs associated with delivery
of the project.
 
In Summer 2023, tenders were invited for the
construction works required to deliver the project, which included
the demolition works. At the same time, the Council learnt that it
would not be eligible for Homes England funding until it was deemed
by the Regulator to be out of the regulatory breach, so we are not
able to proceed at present with the redevelopment works.
 
The building at Ashcroft is
fundamentally unsafe, with rainwater ingress potentially affecting
the integrity of the structure, damage to flooring and staircases,
no power or heat and broken windows. It is costing the Council a
lot of money in efforts to keep secure, including rent of fencing,
steel panelling across windows, steel across doors, CCTV to capture
any intruders and a responsive security company. Despite this, the
building has been broken into many times. 
 
We have the BLRF grant to
demolish the building and prepare the site for development, which
if unspent after March 2024, will have to be
returned. 
 
In Autumn 2023, single stage fixed price tenders were
invited for the demolition works. Five submissions were received.
Tender documents specified a 60% Price .
40% Quality split in terms of evaluation weighting. Following this
moderation review, and a review of accuracy and measured works.
M&M Demolition Ltd scored both the highest in terms of Quality
and Price, with a tender sum to the value of £129,200,
confirmed by our Employers Agent and Quantity Surveyor as
representing value for money for a demolition scheme of this nature
and geographical location.
 
The administrator of the BLRF
grant will not seek to claw back the difference between the grant
and the cost of the works. Soon after, to satisfy the conditions of
the grant, the Council will either have to a) implement the
planning permission (which can be achieved through digging of a
trench for example) to demonstrate that development is progressing
or b) dispose of the land to a third party to enable development to
come forward.
 

Alternative options considered

To keep the building
in-situ until demolition can be included within a main delivery
contract. This was discounted because the building is costing a lot
of money to keep up and it is increasingly difficult to guarantee
non-entry. Further, we are unsure when we may be eligible for Homes
England grant and be able to continue delivery of the
project.
 
To refurbish the
building. This was discounted because it is not cost efficient or
logistically possible to improve the building to a proper
standard.