Decision Maker: Cabinet

Outcome: Decision approved

Is Key Decision?: No

Is Callable In?: Yes

Date of Decision: October 1, 2024

Purpose:

Content: Decision   For the reasons set out in the report and its appendices Cabinet RESOLVED to Agree:   i)  The commencement of the procurement process for the refurbishment and conversion works at 46 Clova Road, with an estimated contract value of £1.475 million. ii)  To delegate authority to the Corporate Director of Resources in consultation with the Lead Member for Children and Young People and the Lead Member for Finance and Corporate Services to award and enter into a works contract for the refurbishment. iii)  As set out at paragraph 4.10, approve procurement for provision of housing management and support services to the residents of 46 Clova Road for up to 10 years in the form of five years with the option of one further period of up to five years (5+5) at an estimated cost of £4.29m over 10 years iv)  Determine the arrangements for the Council’s management of the Property in line with paragraph 4.9 below and to enter into the necessary associated legal and contractual documentation. v)  Agree to accept the Single Homeless Accommodation Programme (SHAP) grant of £722,750; and 2.6 Agree allocation of up to £750,250 from the Council’s Capital Programme for the refurbishment of 46 Clova Road.   Alternatives Considered   a)  Do nothing/ do minimum - The Council could choose not to proceed with this refurbishment and lease the Property on the open market, providing an income of circa £55,000 per annum. However, this would not enable the Council to meet its priorities of developing homes for our residents and supporting young people. This option has been rejected as the Council would continue to be wholly reliant on the market to pay increasing high rates for accommodation costs. This proposal is an opportunity to develop a bespoke in borough provision for 18-25 year olds requiring 24/7 support. b)  The Council could look to find another service area to use this building. However, following engagement with a range of Council departments, accommodation and support services for single homeless adults was the only suitable service area identified. c)  The Council could look at disposing of the Property on the open market. However, this would not enable the Council to deliver its ambitious commitments to provide fit for purpose accommodation and make use of grant funding for a significant proportion of the refurbishment costs. This option has been rejected as it would not reduce the current level of costs.