Decision details

To consider the report of the Leader seeking approval for developments in the delivery of Phase 1 and subsequent phases including decanting and legal issues such as CPO, disposal and acquisition of land and other matters

Delivery and procurement Plot 1 (phase 1) and

delivery of Plot 2 (phase 1) and further demolitions

(i)  To delegate authority to the Service Lead: Capital Assets after consultation with the Service Director – Finance and Commercialisation and  the Leader to:

a)  Finalise agreement of the procurement process for Plot 1 (phase 1) and appointment of a building contractor using an OJEU compliant framework subject to the contract sum being within the scheme approved budget

b)  Subject to written approval by the Service Director: Legal & Governance that all legal requirements are met and obtaining all necessary regulatory consents, to enter into the necessary legal agreements on land sale and lease to enable the delivery of housing on Plot 2 (phase 1)

c)  Subject to remaining within approved budget, to procure and enter into further demolition contracts to secure the clearance of property required to progress future redevelopment plots identified in the approved Master Plan. 

Land Disposal

(ii)  To delegate authority to the Service Lead: Capital Assets after consultation with Service Director:- Legal &Governance, the Service Director: Finance and Commercialisation and the Leader to dispose of land required for the delivery of the Townhill Park regeneration Scheme at less than market value where there is appropriate social and economic benefit and the disposal meets the conditions under Section 32 and 34 of the Housing Act 1985 permitting disposal at less than market value.

Future Decant Programme

(iii)  Delegate authority to the Service Lead: Capital Assets after consultation with the Service Director: Legal & Governance, the Service Lead: Council Housing & Neighbourhoods and the Cabinet Member for Housing and Adult Care to:

(i)  Carry out all necessary consultation on the Decant Policy and arrangements under the Housing Act 1985. The outcome of the consultation will be presented to Cabinet for approval of the revised Decant Policy

(ii)  Subject to the future approval of Cabinet in relation to (i) above, to determine the future decant programme and associated arrangements for all affected properties required to deliver the regeneration scheme.

(iv)  To note that the current approved budget together with funding from Section 106 Affordable Housing contributions will be used to cover the costs of activities outlined in this report.  In addition there is agreed Homes and Communities Agency (HCA) funding of £750,000 towards 50 affordable homes on Plot 1 (phase 1).

1.  Delivery

The Council’s Estate Regeneration programme aims to identify the potential within Southampton’s council housing estates for the development of new modern homes and to stimulate more mixed tenure communities.  Townhill Park regeneration continues the momentum already achieved in delivering improvements to a number of council estates. Recent and proposed changes to Government housing and planning legislation have necessitated reappraisal of how the regeneration of Townhill Park is delivered. This report therefore sets out recommendations to enable the redevelopment of Townhill Park Plots 1 and 2 (formerly known as Phase 1) and future demolition of the further redevelopment plots in order to achieve Estate Regeneration objectives. 

2.  Future Decant

The comprehensive regeneration of Townhill Park is dependent on delivering more efficient buildings in an improved environment and relies on decanting existing residents from the proposed redevelopment sites. The Council’s current decant policy is out of date and needs modifications. If would be prudent for Cabinet to give its permission for any consultation to be commenced both on the proposed amendments to the policy and on the decant programme due to the large number of council tenants and other residents that will need to be decanted and the potential for the residents to be substantially affected by the proposals. All representations will be taken into account prior to any final decision being referred to cabinet and prior to the Secretary of State’s permission (where required) being sought.

1  Revised delivery of Phase 1

As government housing policy has changed (reducing funding for affordable social housing and rental income from local authority housing rental) previous options for phase 1 delivery have become unviable.  In February 2016 it was anticipated that Plot 1 would be appropriate for the government’s then new initiative Starter Homes, but this has not proved to be the case. 

2  Future Decant and Demolition

It is not feasible to carry out comprehensive regeneration of Townhill Park estate without decanting as the development sites need to be cleared to allow maximum potential to deliver a high quality living environment.