Decision Maker: Property / Regeneration Briefing

Outcome:

Is Key Decision?: No

Is Callable In?: Yes

Date of Decision: March 10, 2025

Purpose:

Content: Salford City Council - Record of Decision   I Paul Dennett, City Mayor, in exercise of the powers contained within the City Council Constitution do hereby:   1.    Approve in principle, the disposal of 25 properties to Dérive RP Limited at Tully Street (10 units) and Bridgewater Street (15 units). 2.    Approve the provisional lending to Dérive RP Limited of £2.046m, to fund the acquisition of the completed scheme. 3.    Approve the proposed capital expenditure of £5.052m for the Council construction of the 25 units before the tender is let (subject to approval of Procurement Board). 4.    Note the previously approved award of £2.052m Single Homelessness Accommodation Programme grant funding, towards the delivery of this scheme. 5.    Note progress to date on the Homes England Affordable Housing Programme grant funding bid of £0.700m. 6.    Authorise the Shared Legal Service to prepare all necessary documentation and to take all steps which are required to give effect to the above recommendations.   The Reasons are:  Following the successful application for Single Homelessness Accommodation Programme (SHAP) funding in November 2023 the City Mayor in May 2024 has previously approved the council entering into a grant agreement with Homes England to deliver 18 move on homes for young people at risk of homelessness.  Provision was made within the capital programme to develop a detailed design for the scheme, obtain planning approval and appoint a contractor to provide firm scheme costs.   The report updates the Deputy City Mayor on the proposed scheme costs and that a separate Procurement Board report seeks approval to enter in to contracts to deliver the scheme.   Options considered and rejected were: none Assessment of Risk: ·         Failure to enter into a construction contract before 31st March 2025 will put the draw down of SHAP funding at risk ·         Failure to secure AHP funding from Homes England   The source of funding is: ·         Capital Programme 2024/25 ·         Homes England Single Homelessness Accommodation Programme grant funding     Legal Advice obtained: Kathryn Saldanha, Shared Legal Team   Financial Advice obtained: Grace Rogerson, Capital Finance Manager   Procurement Advice obtained: n/a the award of the contract to Seddon Construction to build the affordable homes was subject to a separate Procurement Board approval.   HR Advice obtained: n/a   Climate Change Advice obtained: Mike Hemingway - Principal Officer - Climate Change   The following documents have been used to assist the decision process:   Public/briefing report submitted to Property/Regeneration Briefing on 10th March 2025 Report to Cabinet on 13th July 2021 - Housing Delivery – Approval Of Matters Relating To Dérive RP’s Application to the Regulator for Social Housing and Business Plan     Contact Officer:  Dylan Vince, Service Manager Assets and Developments   -       This decision is not subject to consideration by another Lead Member. -       The appropriate scrutiny to call-in the decision is the Growth and Prosperity Scrutiny Panel                          Signed: Paul Dennett          City Mayor Dated: 10th March 2025                   This decision was published on Monday 10th March 2025                                             This decision will come in force at 4.00 p.m. on Monday 17th March 202 unless it is called-in in accordance with the Decision Making Process Rules.