Decision details

To consider the report of the Cabinet Member for Housing and Sustainability seeking approval for the procurement and delivery options for Townhill Park Phase One regeneration. Work will progress next year to start demolishing homes and therefore delegated approval is also required for the Compulsory Purchase Orders. Delegated powers are also required to enable the open space disposal. These action will kick-start Phase One of Townhill Park and the regeneration of the area.

(i)  To approve the commencement of a procurement process for the redevelopment of Townhill Park Phase 1 to deliver a scheme acceptable in planning terms which should include the provision of Starter Homes and affordable housing;

(ii)  To delegate to the Chief Operating Officer following consultation with the Cabinet Member for Housing and Sustainability, agreement of the procurement details.  The preferred bidder will be referred to Cabinet for approval;

(iii)  To delegate to the Chief Operating Officer the commencement of the Compulsory Purchase Order process necessary to secure the delivery of the scheme in Phase 1 by the carrying out of land referencing, survey and other information gathering activities to establish the detailed type and scope of powers required and the extent of interests likely to be affected;

(iv)  To note that the Chief Operating Officer will seek Cabinet approval for the making of the Compulsory Purchase Order at the appropriate time;

(v)  To resolve that the use of the Council’s compulsory purchase powers under section 226 (1) (a) Town and Country Planning Act 1990 to facilitate the redevelopment of Phase One would be justified in principle;

(vi)  To authorise the Service Director, Legal and Governance :(a) To acquire interests in or rights over the land shown edged red on Appendix 1 either by agreement or compulsorily; (b) To advertise the proposed disposal of part of Townhill Park open space for two consecutive weeks in a local newspaper circulating in the locality;

(vii)  To delegate authority to the Chief Operating Officer following  consultation with the Cabinet Member for Housing and Sustainability to determine any objections received from the adverts and to make a final decision as to whether or not to approve the disposal in light of any such objections and to finally take the decision to confirm the disposal;

(viii)  To authorise the Chief Operating Officer, following consultation with the Service Director, Legal and Governance and the Chief Financial Officer, to take all lawful steps to effect the proposals in the report;

(ix)  To approve the demolition of the former Ark Public House;

(x)  To note that the current approved budget for site assembly will be used to cover the costs of activities outlined in this paper;

(xi)  To note that there is £7.7M available in the Housing Revenue Account (HRA) Business Plan for the purchase of affordable properties in Townhill Park Phase 1; and

(xii)  To thank the Townhill Park Forum for working with the Council on the project, their contribution and valuable comments, as the scheme has progressed.

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 proposed changes to housing and planning policy have required reappraisal of how Phase 1 of Townhill Park is delivered. This report therefore sets out recommendations enable the redevelopment of Townhill Park Phase 1 and the delivery of the Estate Regeneration objectives. 

In order for Phase 1 to proceed vacant possession of the whole site is required in order to pass the site over to the developer. There is only one interest yet to be acquired, all the rest of the land in Phase 1 being in the Council’s ownership. Whilst negotiations with the owner will continue, if these prove unsuccessful, the Council will need to use its powers of compulsory purchase to acquire the outstanding interest.

The redevelopment of Townhill Park involves the redesign of the buildings and open space.  The existing layout provides large open space areas between buildings which are of low quality for recreation.  The new design improves the relationship between buildings and open spaces and provides for better quality recreational opportunities which it is believed compensate for the actual loss of public open space. 

Revised procurement and delivery of Phase 1

To continue with plans to deliver Phase 1 via a Development Company has been reconsidered due to the impact of recent Government policy changes on housing, along with the Welfare Bill, and the resulting adverse financial impact on the Housing Revenue Account.

Working with a Housing Association to develop the site has also been discounted as the ability of Housing Associations to deliver affordable homes has been adversely affected by the impact of recent Government changes. The Council has a strong relationship with local Housing Associations. Following changes made in the summer 2015 budget, meetings took place with Housing Associations working in the City to discuss the possibility of their involvement in citywide regeneration. Feedback so far is that, due to the summer budget changes, there is no immediate appetite amongst Housing Associations to take on this kind of project. 

Compulsory Purchase Order (CPO)

To reject the use of CPO powers and to continue to try to acquire the land by agreement only. This is unlikely to deliver vacant possession of the site to enable development to take place. 

Public Open Space Disposal

To maintain all of the current low grade open space would not maximise the provision of new housing at Townhill Park.  The proposed loss of the open space in Phase 1 will be mitigated by the enhancement of the remaining open space.