Agenda item

Presentation of the Director of Community and Children’s Services.

The Sub Committee received a presentation of the Director of Community & Children’s Services concerning the mixed use scheme at the One Tower Bridge development and asking Members for their thoughts regarding rent setting, allocations and tenure, and to make a recommendation to the Grand Committee.

Members discussed the options at length, querying details including the following:

-          Expected level of service charges: this is not yet determined but expected to be higher than other City stock due to the level of amenity and quality of the building;

-          Demand from existing tenants: can we identify those who might be interested or whose income would meet higher rents should they be charged?  A marketing campaign will be undertaken when the level of rent is agreed. The City does hold details of tenants’ income, other than for those who are claiming housing benefit;

-          Lack of signage promoting the Corporation’s involvement in the development: the developer-only signage was part of the agreement negotiated by the City Surveyor;

-          Right to buy: tenants of Horace Jones House would acquire the right to buy, but it is anticipated that such purchases are unlikely given the market value of the properties;

-          Rent increases:  it is proposed that these are in line with the government-set regime for the City’s other social housing (CPI + 1%);

-          Provision of disabled facilities:  one property in the block has been specifically adapted to meet the needs of those with disabilities; and

-          Fixed term tenancy length: if such tenancies are used, they would be fixed for 5 years, in line with the recommendation of the Localism Act and best practice.

Members agreed that there was a need for mixed developments providing affordable housing to ensure a mix of people could live in the centre of the City. They also agreed this development offered an opportunity to fund improvements to the City’s existing housing assets or to support further new development.

RESOLVED – That a recommendation be made to the Community and Children’s Services Committee based on the following:

(a)  Rent: set at 40% of market rents;

(b)  Allocations: existing social housing tenants should be prioritised (with greatest priority given to those overcrowded or under-occupying); and

(c)  Tenancy: like-for-like for existing social housing tenants (predominantly lifetime tenancies) and five-year fixed term tenancies for new applicants.