Decision Maker: Cabinet

Outcome: Recommendations Approved

Is Key Decision?: Yes

Is Callable In?: Yes

Date of Decision: June 4, 2025

Purpose: The council purchased 10-13 Edgar Road in 2023 using the final tranche of approved Housing Revenue Account funding for the Live Margate programme. This report seeks permission from Cabinet members to proceed with the redevelopment of 10-13 Edgar Road. The forecast cost of the redevelopment is £2,788,274 inclusive of fees and expenses, with construction costs calculated as £2.49m.

Content: Cabinet agreed the following:   1.  To the redevelopment of 10-13 Edgar Road to deliver ten two and three bed flats in the Housing Revenue Account at a total cost of £2,788,274, subject to planning consent and successful Homes England and BLRF grant applications;   2.  That the new homes are let in accordance with the council’s approved allocations policy, subject to an approved local letting plan.

Reasons for the decision: 10-13 Edgar Road was acquired as part of the Live Margate programme in September 2023. The purchase costs of £1.38m were funded from the final £1.8m tranche of Live Margate Funding.   It is proposed to deliver 10 flats in the building; a mix of 2-bed and 3-bed properties. Note that there is a no 1-bed planning policy in place for Cliftonville.   The new scheme proposes:   ·  A sensitive, lower-density reconfiguration; ·  Sensitive restoration; ·  The incorporation of low-carbon initiatives; ·  The optimal use of the existing structure, to limit waste and disruption; ·  The provision of larger family-sized accommodation to create a sense of community and to increase the mix of long-term residents in the area.

Alternative options considered: 10-13 Edgar Road could be left empty until financial circumstances to redevelop it are more favourable, for example, the reduction of loan interest rates.  This is not thought to be sensible as the asset will deteriorate further without significant investment. It would be hard to justify holding an empty property within the HRA in the context of circa 1,300 households on the housing register awaiting accommodation.   The council could revisit plans to achieve a greater quantity of dwellings at this address, as originally intended, but a higher density scheme will bring with it additional costs, in addition to operational challenges, including that of waste management, in an area that is already saturated with smaller properties.   A lesser, lower cost scheme could be delivered, such as providing homes at an EPC ‘D’ rating initially within a ‘retrofit ready’ building. This option has been discounted due to the small construction saving of £101,649 and the need to revisit the property within three years to strip out and dispose of heating and hot water appliances in line with Government targets for social housing stock to be EPC C by 2030.   The council could consider disposal of the building, however it was purchased as part of the Live Margate programme and disposal would mean that the programme aims would not be achieved.