Decision details

The acquisition of a property portfolio for Affordable Housing

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Decision Maker: City Mayor (Individual Decision)

Decision status: Recommendations Approved

Is Key decision?: No

Is subject to call in?: Yes

Purpose:

The purchase of this large portfolio of properties will boost the Council’s efforts to deliver the manifesto commitment of 1,500 new affordable homes by March 2023.

Decision:

To purchase a substantial portfolio of properties that will increase the Housing Revenue Account (HRA) stock by 371 units of accommodation, funded by the Housing Revenue Account capital programme allocation for Affordable Housing acquisitions.

Please Note: This decision was Called-In under Rule 12 of Part 4D of the Council’s Constitution. The Call-In was considered by the Overview Select Committee at its meeting on 16 December 2021 where it was withdrawn by resolution of the Committee in accordance with Rule 12 (g) of Part 4D of the Council’s Constitution. The original decision taken on 22 November 2021 is, therefore, deemed to be revived in its entirety.

Reasons for the decision:

To increase and refresh the number of HRA properties, lost by the Right To Buy, scheme so that we can meet the ongoing need of those wating for home on the Housing register.

Alternative options:

None.

Publication date: 22/11/2021

Date of decision: 22/11/2021

Effective from: 30/11/2021

This decision has been called in by:

Councillor Patrick Kitterick who writes We the undersigned ask for the Executive Decision on "The acquisition of a property portfolio for Affordable Housing" to be called in for scrutiny for the following reasons. This is a transaction costing over £26 million between the council and a private entity Public Scrutiny is required in order to establish the following in a public forum, currently no scrutiny of this decision is planned prior to the transaction taking place. Amongst other matters we wish for the following issues to be tested with Public Scrutiny:- -How this transaction was initiated? -What alternative ways of spending this money to provide housing were explored? -Whether the transaction represents good value for money? -What are the prospective costs of upgrading the properties due to be purchased? -What is the programme for the upgrades to properties due to be purchased? -Has due diligence been carried out at all these stages of the development of this transaction?"
Councillor Ross Willmott who writes We the undersigned ask for the Executive Decision on "The acquisition of a property portfolio for Affordable Housing" to be called in for scrutiny for the following reasons. This is a transaction costing over £26 million between the council and a private entity Public Scrutiny is required in order to establish the following in a public forum, currently no scrutiny of this decision is planned prior to the transaction taking place. Amongst other matters we wish for the following issues to be tested with Public Scrutiny:- -How this transaction was initiated? -What alternative ways of spending this money to provide housing were explored? -Whether the transaction represents good value for money? -What are the prospective costs of upgrading the properties due to be purchased? -What is the programme for the upgrades to properties due to be purchased? -Has due diligence been carried out at all these stages of the development of this transaction? "
Councillor Lindsay Broadwell who writes We the undersigned ask for the Executive Decision on "The acquisition of a property portfolio for Affordable Housing" to be called in for scrutiny for the following reasons. This is a transaction costing over £26 million between the council and a private entity Public Scrutiny is required in order to establish the following in a public forum, currently no scrutiny of this decision is planned prior to the transaction taking place. Amongst other matters we wish for the following issues to be tested with Public Scrutiny:- -How this transaction was initiated? -What alternative ways of spending this money to provide housing were explored? -Whether the transaction represents good value for money? -What are the prospective costs of upgrading the properties due to be purchased? -What is the programme for the upgrades to properties due to be purchased? -Has due diligence been carried out at all these stages of the development of this transaction?"
Councillor Gary O'Donnell who writes We the undersigned ask for the Executive Decision on "The acquisition of a property portfolio for Affordable Housing" to be called in for scrutiny for the following reasons. This is a transaction costing over £26 million between the council and a private entity Public Scrutiny is required in order to establish the following in a public forum, currently no scrutiny of this decision is planned prior to the transaction taking place. Amongst other matters we wish for the following issues to be tested with Public Scrutiny:- -How this transaction was initiated? -What alternative ways of spending this money to provide housing were explored? -Whether the transaction represents good value for money? -What are the prospective costs of upgrading the properties due to be purchased? -What is the programme for the upgrades to properties due to be purchased? -Has due diligence been carried out at all these stages of the development of this transaction? "
Councillor Sharmen Rahman who writes We the undersigned ask for the Executive Decision on "The acquisition of a property portfolio for Affordable Housing" to be called in for scrutiny for the following reasons. This is a transaction costing over £26 million between the council and a private entity Public Scrutiny is required in order to establish the following in a public forum, currently no scrutiny of this decision is planned prior to the transaction taking place. Amongst other matters we wish for the following issues to be tested with Public Scrutiny:- -How this transaction was initiated? -What alternative ways of spending this money to provide housing were explored? -Whether the transaction represents good value for money? -What are the prospective costs of upgrading the properties due to be purchased? -What is the programme for the upgrades to properties due to be purchased? -Has due diligence been carried out at all these stages of the development of this transaction? "

Accompanying Documents: