The report set out a business case for the Garage Site Redevelopment Proposals for Fawters Close, Magdalen Gardens and Fielding Way. The business case explored 3 options:

·      Option 1 - the Council secured planning approval and disposes had a freehold or long leasehold interest in the garage sites on the open market for affordable housing development.

·    Option 2 - the Council directly procured a contractor to build affordable housing on the garage sites, which would have remained in Council ownership.

·      Option 3 - the Council procured a framework of preferred Registered Provider (RP) developer partners were to acquire and redevelop the freehold or long leasehold interest in the garage site for affordable housing, with Fawters Close retained in Council ownership and managed by the Council.

Options 3 was the preferred option because it would bring:

·                     expertise in the delivery of the social housing;

·                    value for money in construction costs;

·                    high quality new build affordable housing;

·                    The capacity to invest the Right to Buy Capital Receipts;

·                    the opportunity for the Council to retain some of the development in Council ownership.

·                    The potential for a rolling programme of redevelopments on   garage and other sites.

·                    The potential to dispose of the long-term leasehold interest in the sites and generate an annual income from the ground rents.

The report set out a timescale for the procurement of the Framework via the Official Journal of the European Union (OJEU) tender process.

A motion was MOVED by Cllr Hossack and SECONDED by Cllr Poppy

A vote was taken by a show of hands and it was RESOLVED UNANIMOUSLY:

1.    To undertake a soft market testing exercise to establish RP interest in bidding to become framework development partners to redevelop Council garage sites.

2.    Subject to market interest, to procure RP framework partner/s to:

·           Acquire and redevelop Magdalen Gardens for general needs affordable housing for rent.

·           Redevelop Fawters Close for older peoples affordable housing for rent, to be retained in Council ownership. 

·           Acquire and redevelop Fielding Way for general needs affordable housing for rent subject to a further design review.

·           To approve the option to substitute Fielding Way with an alternative Council garage site, subject to the outcome of a detailed design review.

REASON FOR DECISION

Assessing all the options, option 3 is recommended as the most advantageous option for the Council. This option would provide:

·           expertise in the delivery of the social housing;

·           value for money in construction costs;

·           high quality new build affordable housing;

·           the capacity to spend the Right to Buy Capital Receipts;

·           the opportunity for the Council to retain some of the development in Council ownership;

·           The potential for a rolling programme of garage site redevelopment.

·           The potential to dispose of the long-term leasehold interest in the sites and generate an annual income form the ground rents.