Issue - meetings

(The Chair agreed that the report could be considered at the meeting as a matter of urgency under the provisions of Section 100(4)(b) of the Local Government Act 1972, in order to allow progress the street purchase programme, particularly in relation to the imminence of the Welfare Reform programme.)

The Cabinet received the joint report of the Leader and Cabinet Member for Housing on the programme to acquire housing from private market sources.

By Minute 3 (24 July 2012), the Cabinet established a £2.5m budget to fund a programme of buying existing street properties for the Council’s Housing Revenue Account (HRA).  The details in the report set out how that budget would be used over a two year period to:

·  Purchase private market homes in the Borough,

·  Focus on houses which had formerly been in Council ownership that were in poor condition and were causing or were likely to cause blight in a neighbourhood, and

·  Consider ways to extend choice to Council tenants in terms of options for moves to homes out of the Borough.

The funds would enable the exploration of options to provide a further supply of social rented / Council homes during the period before the steady stream of new Council housing and the homes being developed by Barking & Dagenham Reside were ready to let.  It would also provide the added benefit of extended choice for local tenants seeking a transfer to alternative accommodation, particularly as a result in the upcoming changes to the benefit system.

It was noted that the programme was only part of the Council’s new build housing investment programme of over £130m over 10 years and the Barking & Dagenham Reside build programme in excess of £70m.  The Greater London Assembly had also indicated it would accept bids for grant under the Affordable Housing Programme 2011/15 in relation to market homes acquired by the Council.  The GLA grant could be in the region of £24,000 per property but would not be available for purchases outside London.

Cabinet agreed:

(i)  To pursue the purchase of appropriate private market homes within the Borough within the programme of £2.5m;

(ii)  That officers further explore the options referred to in paragraphs 4.2 - 4.5 of the report and present a report to a future Cabinet meeting on a package of potential purchase or development opportunities in the selected areas; and

(iii)  To delegate authority to the Corporate Director of Housing and Environment in consultation with the Chief Financial Officer, the Head of Legal and Democratic Services and the Cabinet Member for Housing and on advice from the Council’s Property Advisory Group, to agree terms and enter into all necessary legal documentation for purchasing properties under recommendation (i) above.