Purpose

This report seeks the Executive
Mayor’s approval to acquire 7 brand new
4 bed houses in Selsdon currently marketed for a combined marketing
price of £4,220,000. The development consists of 7 houses of
which 1 is a category 3 unit in terms of adaptability and the
remaining 6 are category 2. The proposed purchase of the seven new
build 4 bed units would result a total potential saving of
£192,276 per year referenced against the continued cost of a
4 bed property in Temporary
Accommodation which is on average £42,588
 
The proposed purchase under the
buyback project meets objectives to acquire a minimum of 300 (2, 3,
and 4+ bedroom) properties over a 3-year period 2024 to
2027.
 

Content

For the reasons set out in the
report (Part A & Part B) and its appendices (Part A&B), the
Executive Mayor AGREED to:
 
Purchase 46-58 Quail Gardens,
Selsdon, CR2 8TF on the terms
detailed in the Part B
report.

Reasons for the decision

The new build completed
development has been offered to the Council for
consideration.
 
The Council has a significant
Housing supply challenge, we currently have 3,600 families in
Temporary Accommodation (TA) and 3,100 agreed on the housing
register.
 
The Council has previously
relied on the housing association sector to increase supply but the
rate of new supply of affordable homes within the borough has
declined significantly and there are significant constraints in
accessing suitable accommodation in the private sector.
 
Financial savings achievable by
reducing the demand on temporary and emergency
housing, t

Alternative options considered

The Council has already
considered and entered a number of different housing solutions to
address the need for temporary and emergency accommodation and
continues to review options.
 
These have included taking long
leases, typically for 40 years with rents below Local Housing
Allowance levels but subject to RPI increases. At the end of the 40
years the Council can acquire the properties for £1. These
schemes have a future place in providing this type of accommodation
but do not offer the overall flexibility that straight purchase of
homes has to offer.