Agenda item

16.1

The Executive Director, Place, submitted a report seeking authority to dispose of two cleared sites at Wybourn, known as Cricket Inn 1B and 1C, to Great Places Housing Group (GPHG) for the development of housing for affordable rent. This follows the decision of Cabinet on 1 August 2012 to dispose of the first Cricket Inn development site, known as 1A, to GPHG for the same purpose

16.2

RESOLVED: That Cabinet:-

(a)

agrees that the Cabinet decision of 1 August 2012 concerning the disposal of the site then identified at Appendix A and now described as Cricket Inn Site1A, be rescinded;

(b)

agrees that, subject to planning permission, the site now shown at Appendix A as Cricket Inn 1A be leased to Great Places Housing Group at nil consideration for a period of 125 years for use as social housing;

(c)

agrees that, subject to planning permission, the site now shown at Appendix A as Cricket Inn 1B be leased to Great Places Housing Group at nil consideration for a period of 125 years for use as Social housing;

(d)

agrees that, subject to planning permission and funding for the development being secured the site now shown at Appendix A as Site 1C be leased to Great Places Housing Group at nil consideration for a period of 125 years for use as social housing;

(e)

authorises the Director of Property and Facilities Management, in consultation with the Director of Housing, Enterprise and Regeneration, to agree terms for the disposal of the sites for the purposes set out in this report and to instruct the Director of Legal Services to complete the transfer on the terms agreed; and

(f)

agrees the proposed nomination arrangements set out at Section 6 of this report.

16.3

Reasons for Decision

16.3.1

Disposal of these sites would allow for residential development consistent with the Council approved Masterplan for Wybourn, Arbourthorne and Manor Park.

16.3.2

The development of approximately 70 new homes for affordable rent would help meet the identified shortfall in affordable housing in the city.

16.3.3

The provision of a mix of housing types, including bungalows, would provide greater housing choice, especially for local older people who may wish to move to more suitable accommodation, thus freeing up much needed family housing.

16.3.4

The development of the sites by GPHG, the local landlord of choice, would ensure that local people and stakeholders were properly consulted and that their needs and aspirations were at the forefront of the planning and development process.

16.4

Alternatives Considered and Rejected

16.4.1

Do not dispose of the site yet.

In order to maximise receipt from the potential sale of the site it has been considered whether it would be appropriate to wait until an upturn in the economy before disposal. This would however mean that the site would be left undeveloped for an indeterminable time with no guarantee of developer interest in this site or potential best price offer.

It would also deny the opportunity to develop the site speedily and to fit with GPHG investment plans for the neighbourhood or resident expectation for the development of the site.

GPHG view continued investment in Wybourn as a high priority for their organisation, and the first new homes should be available by 2014.

The timely development of the site is also intended to raise developer confidence in the wider area which will be reflected in the viability of other potential projects.

This option would also delay the delivery of an important strategic intervention of the Wybourn and Manor Park Masterplan. 

16.4.2

Open market with conditions/no conditions

Although this option could potentially allow rapid development of the site and maximise receipt, this is improbable in the current economic downturn as we could not guarantee developer interest or potential best price offer.

If the site was sold for open market development it would reduce the opportunity for local residents to access the new housing.  It would also deny opportunity for local lettings and compromise the investment strategy of GPHG.

The process would also delay appointment of a developer and a start on site. 

16.4.3

Disposal of the site to another Registered Provider

This option would allow development by a Registered Provider other than the local resident’s landlord of choice. 

Although this would introduce a choice of landlord for residents, it may compromise the opportunity for aligning investment and maintenance strategies.

This option may also compromise the compatibility of local lettings policies to the detriment of local residents wanting to access properties at Wybourn.

16.4.4

Disposal of the site to Sheffield Housing Company (SHC).

This site is not on the current list of sites that has been offered to the SHC. If it were to be offered then there is no certainty as to when the site would be released and any agreed release date would be made on the SHC priorities rather than local need. 

16.4.5

Open competition with detailed development brief.

The Council could agree a development brief and advertise the site to developers.  This would allow the Council to be prescriptive and prioritise the development requirements; however, it would delay the release of the site, be Council resource intensive and not guarantee developer interest or potential best price offer.

If a condition were included in the development brief that required that the developer work in partnership with GPHG then this may deter developer interest or create a difficult working arrangement that may be detrimental to any scheme.

16.5

Any Interest Declared or Dispensation Granted

None

16.6

Reason for Exemption if Public/Press Excluded During Consideration

None

16.7

Respective Director Responsible for Implementation

Simon Green, Executive Director, Place.

16.8

Relevant Scrutiny and Policy Development Committee If Decision Called In

Safer and Stronger Communities.

16.1

The Executive Director, Place, submitted a report seeking authority to dispose of two cleared sites at Wybourn, known as Cricket Inn 1B and 1C, to Great Places Housing Group (GPHG) for the development of housing for affordable rent. This follows the decision of Cabinet on 1 August 2012 to dispose of the first Cricket Inn development site, known as 1A, to GPHG for the same purpose

16.2

RESOLVED: That Cabinet:-

(a)

agrees that the Cabinet decision of 1 August 2012 concerning the disposal of the site then identified at Appendix A and now described as Cricket Inn Site1A, be rescinded;

(b)

agrees that, subject to planning permission, the site now shown at Appendix A as Cricket Inn 1A be leased to Great Places Housing Group at nil consideration for a period of 125 years for use as social housing;

(c)

agrees that, subject to planning permission, the site now shown at Appendix A as Cricket Inn 1B be leased to Great Places Housing Group at nil consideration for a period of 125 years for use as Social housing;

(d)

agrees that, subject to planning permission and funding for the development being secured the site now shown at Appendix A as Site 1C be leased to Great Places Housing Group at nil consideration for a period of 125 years for use as social housing;

(e)

authorises the Director of Property and Facilities Management, in consultation with the Director of Housing, Enterprise and Regeneration, to agree terms for the disposal of the sites for the purposes set out in this report and to instruct the Director of Legal Services to complete the transfer on the terms agreed; and

(f)

agrees the proposed nomination arrangements set out at Section 6 of this report.

16.3

Reasons for Decision

16.3.1

Disposal of these sites would allow for residential development consistent with the Council approved Masterplan for Wybourn, Arbourthorne and Manor Park.

16.3.2

The development of approximately 70 new homes for affordable rent would help meet the identified shortfall in affordable housing in the city.

16.3.3

The provision of a mix of housing types, including bungalows, would provide greater housing choice, especially for local older people who may wish to move to more suitable accommodation, thus freeing up much needed family housing.

16.3.4

The development of the sites by GPHG, the local landlord of choice, would ensure that local people and stakeholders were properly consulted and that their needs and aspirations were at the forefront of the planning and development process.

16.4

Alternatives Considered and Rejected

16.4.1

Do not dispose of the site yet.

In order to maximise receipt from the potential sale of the site it has been considered whether it would be appropriate to wait until an upturn in the economy before disposal. This would however mean that the site would be left undeveloped for an indeterminable time with no guarantee of developer interest in this site or potential best price offer.

It would also deny the opportunity to develop the site speedily and to fit with GPHG investment plans for the neighbourhood or resident expectation for the development of the site.

GPHG view continued investment in Wybourn as a high priority for their organisation, and the first new homes should be available by 2014.

The timely development of the site is also intended to raise developer confidence in the wider area which will be reflected in the viability of other potential projects.

This option would also delay the delivery of an important strategic intervention of the Wybourn and Manor Park Masterplan. 

16.4.2

Open market with conditions/no conditions

Although this option could potentially allow rapid development of the site and maximise receipt, this is improbable in the current economic downturn as we could not guarantee developer interest or potential best price offer.

If the site was sold for open market development it would reduce the opportunity for local residents to access the new housing.  It would also deny opportunity for local lettings and compromise the investment strategy of GPHG.

The process would also delay appointment of a developer and a start on site. 

16.4.3

Disposal of the site to another Registered Provider

This option would allow development by a Registered Provider other than the local resident’s landlord of choice. 

Although this would introduce a choice of landlord for residents, it may compromise the opportunity for aligning investment and maintenance strategies.

This option may also compromise the compatibility of local lettings policies to the detriment of local residents wanting to access properties at Wybourn.

16.4.4

Disposal of the site to Sheffield Housing Company (SHC).

This site is not on the current list of sites that has been offered to the SHC. If it were to be offered then there is no certainty as to when the site would be released and any agreed release date would be made on the SHC priorities rather than local need. 

16.4.5

Open competition with detailed development brief.

The Council could agree a development brief and advertise the site to developers.  This would allow the Council to be prescriptive and prioritise the development requirements; however, it would delay the release of the site, be Council resource intensive and not guarantee developer interest or potential best price offer.

If a condition were included in the development brief that required that the developer work in partnership with GPHG then this may deter developer interest or create a difficult working arrangement that may be detrimental to any scheme.

16.5

Any Interest Declared or Dispensation Granted

None

16.6

Reason for Exemption if Public/Press Excluded During Consideration

None

16.7

Respective Director Responsible for Implementation

Simon Green, Executive Director, Place.

16.8

Relevant Scrutiny and Policy Development Committee If Decision Called In

Safer and Stronger Communities.