Agenda item

8.1

The Executive Director, Communities submitted a report recommending the disposal of land at Fretson Road and Queen Mary Road, known as Manor 8, for a private housing development to Gleesons Development Ltd.

8.2

RESOLVED: That:-

(a)

the land be declared surplus to requirements;

(b)

the decision of Cabinet on 19 March 2014 be rescinded insofar as it relates to procurement of a developer for Manor 8 using the Homes and Communities Agency’s Developer Panel;

(c)

the site, known as Manor 8 and identified on the plan attached to the report as Appendix B, be disposed of to Gleesons Development Ltd in the terms set out in the report and Appendix A;

(d)

authority be delegated to the Director of Capital and Major Projects, in consultation with the Executive Director, Communities to vary any boundaries or terms as required and to instruct the Director of Legal and Governance to complete the necessary legal documentation to dispose of  the site; and

(e)

authority be delegated to the Director of Capital and Major Projects, in consultation with the Executive Director, Communities, to advertise the land on the open market should Gleesons and the Council have not entered into a binding contract within 12 months of this decision.

8.3

Reasons for Decision

8.3.1

In 2014 Cabinet gave approval to market the site, known as Manor 8, via the HCA Developer Partner Panel, however this was not successful.   Prior to this Cabinet approved the disposal of the site in 2006 to Lovell Partnerships Ltd but this agreement was rescinded as Lovell were not able to progress the development due to the onset of the economic downturn and fall in the housing market.  No further interest has been shown in this site by developers.

8.3.2

Gleesons Development Ltd has approached the Council with a financial offer for the site and a commitment to develop 101 family homes for sale on the open market. 

8.3.3

The offer from Gleesons Development Ltd complies with the vision for the area to introduce more housing choice and increase tenure choice.

8.4

Alternatives Considered and Rejected

8.4.1

The site continues to be marketed via the HCA Developer Partner Panel.  However this site has been available to the panel since 2014 and no interest has been received to date.

8.4.2

To not accept the offer from Gleesons Development Ltd.  This would mean the site will remain undeveloped and the Council will continue to carry the maintenance liability for the site, forego the additional Council Tax and have the homes the city requires.

8.4.3

To advertise the land on the open market for sale and consider any offers that may be received.  However, as the offer from Gleesons represents the open market value for the site and no other developers have come forward over a period of time, it is not anticipated that there will be any better offers forthcoming.

8.5

Any Interest Declared or Dispensation Granted

None

8.6

Reason for Exemption if Public/Press Excluded During Consideration

None

8.7

Respective Director Responsible for Implementation

Laraine Manley, Executive Director, Communities

8.8

Relevant Scrutiny and Policy Development Committee If Decision Called In

Safer and Stronger Communities

8.1

The Executive Director, Communities submitted a report recommending the disposal of land at Fretson Road and Queen Mary Road, known as Manor 8, for a private housing development to Gleesons Development Ltd.

8.2

RESOLVED: That:-

(a)

the land be declared surplus to requirements;

(b)

the decision of Cabinet on 19 March 2014 be rescinded insofar as it relates to procurement of a developer for Manor 8 using the Homes and Communities Agency’s Developer Panel;

(c)

the site, known as Manor 8 and identified on the plan attached to the report as Appendix B, be disposed of to Gleesons Development Ltd in the terms set out in the report and Appendix A;

(d)

authority be delegated to the Director of Capital and Major Projects, in consultation with the Executive Director, Communities to vary any boundaries or terms as required and to instruct the Director of Legal and Governance to complete the necessary legal documentation to dispose of  the site; and

(e)

authority be delegated to the Director of Capital and Major Projects, in consultation with the Executive Director, Communities, to advertise the land on the open market should Gleesons and the Council have not entered into a binding contract within 12 months of this decision.

8.3

Reasons for Decision

8.3.1

In 2014 Cabinet gave approval to market the site, known as Manor 8, via the HCA Developer Partner Panel, however this was not successful.   Prior to this Cabinet approved the disposal of the site in 2006 to Lovell Partnerships Ltd but this agreement was rescinded as Lovell were not able to progress the development due to the onset of the economic downturn and fall in the housing market.  No further interest has been shown in this site by developers.

8.3.2

Gleesons Development Ltd has approached the Council with a financial offer for the site and a commitment to develop 101 family homes for sale on the open market. 

8.3.3

The offer from Gleesons Development Ltd complies with the vision for the area to introduce more housing choice and increase tenure choice.

8.4

Alternatives Considered and Rejected

8.4.1

The site continues to be marketed via the HCA Developer Partner Panel.  However this site has been available to the panel since 2014 and no interest has been received to date.

8.4.2

To not accept the offer from Gleesons Development Ltd.  This would mean the site will remain undeveloped and the Council will continue to carry the maintenance liability for the site, forego the additional Council Tax and not have the homes the city requires.

8.4.3

To advertise the land on the open market for sale and consider any offers that may be received.  However, as the offer from Gleesons represents the open market value for the site and no other developers have come forward over a period of time, it is not anticipated that there will be any better offers forthcoming.