Issue details

Purchase of a long-term property to provide affordable housing

Reason for the Decision

 

To bring a long-term empty property back into use and create a 3-bedroom family home in an area of high housing need.

 

Alternative Options considered and rejected

 

Take no action – without Council intervention it is very likely that the property will remain empty for the foreseeable future. The Council has a high demand for accommodation in this area.

 

Purchase the property and ‘back-to-back’ private sale - The Council has a high demand for affordable and temporary accommodation in this area and 25 Dawlish Crescent represents an ideal opportunity to further meet such demand.

 

Compulsory Purchase – the current owner has agreed to sell the property to the Council and therefore acquiring the property using Compulsory Purchase powers is not appropriate.

 

Empty Dwelling Management Order – this would require the Council to renovate the property, allocate tenants and manage the building for 7 years and then ‘hand it back’ to the current owner. As such this option does not offer long term value for money for the Council. The current owner has agreed to sell the property to the Council

 

Budget Implications

 

It is estimated that the buildings current market value in its current condition is in the region of £250,000.

 

It is proposed that the Council use capital ‘to bring a long-term empty property back into use’ to purchase and renovate the property.

 

Renovation and improvement costs to make the property decent and safe are estimated to be in the region of £50-60,000 subject to detailed inspection and specification.

 

Legal Implications

 

The Councils solicitors would handle the purchase of the property and it would be subject to the normal legal searches and building survey prior to exchange of contracts.

 

Any Conflict of Interest

None

 

Decision type: Non-key

Decision status: Recommendations Approved

Notice of proposed decision first published: 03/05/2022

Decision due: 29 Apr 2022 by Portfolio Holder for Housing and Community Safety

Lead member: Portfolio Holder for Housing and Community Safety

Lead director: Executive Director, People - Adults

Contact: Richard Conway, Service Manager for Housing Standards Email: richard.conway@dorsetcouncil.gov.uk.

Consultees

Portfolio Holder for Housing

Corporate Director for Housing

Housing Services Team

Decisions

Documents

  • Background Documents