Purpose

This report seeks approval to proceed with the redevelopment, subject to a successful application for Homes England grant for social rent. The detailed cost of the redevelopment is £3,330,000 inclusive of fees and expenses, with construction costs calculated as £2,737,167.

Decision

Cabinet agreed the following:

1. To approve the spend of £3,330,000 in the HRA to redevelop the Edgar Road building to provide 10 permanent homes for households on the housing register;
2. To set a social rent for the homes, making them genuinely affordable and satisfying Homes England’s 2026-2036 eligibility criteria;
3. To agree that the new homes are let in accordance with the council’s approved allocations policy, subject to an approved local letting plan.

Reasons for the decision

The scheme brings the building back into use, in line with the aspirations for it when it was acquired using LiveMargate funding back in 2023. It also provides 10 much-needed homes for households on the housing register. Setting social rent levels means the homes are genuinely affordable and the scheme accesses Homes England grant funding.

Alternative options considered

Option 1 - mothball the site - effectively mark the scheme for now - though costs of over £55,000 would be incurred to do this.

Option 2 - disposal - this is discounted as no private developer will likely take the site on with high levels of expenditure involved - the council would also have to return the LiveMargate funds that acquired the site.

Option 3 - higher density scheme - this is not possible due to the rules on 1-bedroom homes in the Cliftonville area.

Option 4 - lower quality scheme - discounted as it would not be in line with corporate plan goals of delivering homes with reduced carbon.