Purpose

Cabinet will consider the full business case
for Church Street Site A.

Decision

Cabinet approved the
following recommendations:

·      
Approved and endorsed the Church Street Site A Full Business Case annexed at exempt Appendix A
and the delivery of Church Street Site A by the JV LLP.

·      
Approved expenditure to the JV LLP from the Council’s Housing
Revenue Account of: i. A maximum of £84.100m in Residual Land
Value payment (as detailed in exempt Part B of this Report). ii. A
maximum of £17.844m Social Rent Home Package Price payments
(as detailed in exempt Part B of this Report).

·      
Approved expenditure to the JV LLP from the Council’s General
Fund of: i.
A maximum of £20.000m equity (as detailed in exempt Part B of
this Report). ii. A maximum of £6.208m for the Intermediate
Rent Homes Package Price payments, which will be transferred to
Westminster Builds when complete (as detailed in exempt Part B of
this Report).
 
Reasons for Decision: The development
of Church Street Site A is set to deliver new homes including an
increase of new affordable homes (over 50% increase on the previous
estate), which will include new family sized homes and an increase
of public realm and play space. The FBC represents the final
business case stage for Church Street Site A and reconfirms that a
joint venture partnership delivery route as structured, remains the
most suitable option for delivery. Once the Development Agreement
becomes unconditional, Church Street Site A will be let to the JV
LLP and the JV LLP will commence
delivery of its business plan and the development of Church Street
Site A.