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Lewes and Eastbourne
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Issue - meetings

Housing delivery programme

Meeting: 06/02/2019 - Eastbourne Borough Council Cabinet (Item 64)

64 Housing delivery programme pdf icon PDF 99 KB

Report of Director of Regeneration and Planning

Lead Cabinet member: Councillor Alan Shuttleworth

Decision:

(Key decision):

 

(1) To agree that the Council makes a loan facility available of up to £2.5m on market terms to AHLLP for the purpose of enabling the partnership to purchase residential accommodation for affordable purposes under a dedicated programme.

 

(2) To approve as a Restricted Matter under the LLP Agreement, the making of a loan facility by Lewes District Council of up to £2.5m on market terms to AHLLP for the purpose of enabling the partnership to purchase residential accommodation for affordable purposes under a dedicated programme.

 

(3) To authorise the Assistant Director for Legal and Democratic Services to ensure that a “Funding Agreement” pursuant to a “Deed of Entrustment” is entered into by AHLLP with the Council so that Right to Buy (RTB) receipts are appropriated in accordance with legislative requirements and the retention agreement with Government in relation to “social housing”. To give delegated authority to the Director of Regeneration and Planning to determine the terms of such agreement(s).

 

(4) To delegate authority to the Chief Finance Officer in consultation with the Lead Cabinet members for Housing and Finance to agree the whole scheme lending parameters for purchases for the programme outlined at resolution (1).

 

(5) To delegate authority to the Chief Finance Officer in consultation with the Lead Cabinet members for Housing and Finance authority to approve any draw down by EHICL from the £20m loan facility approved in the 2017/2021 Capital Programme (to the extent not already committed to other projects) for investment in EHICL’s property portfolio, the delivery of new mixed tenure homes and associated activities by EHICL and to delegate authority to the Chief Finance Officer in consultation with the Assistant Director - Legal & Democratic Services to determine the terms of any loan to be offered to EHICL provided always that the Chief Finance Officer is satisfied that:

 

(a)  There will be adequate security for the loan

 

(b)  There is a viable business case for the loan

 

(c)  Any such loan is on market terms.

Minutes:

The Cabinet considered the report of the Director of Regeneration and Planning, providing an update on the Council’s capital development within the housing revenue account. The report also detailed proposals for the Council’s housing investment partnership, through Aspiration Homes LLP (AHLLP) and the Eastbourne Housing Investment Company Ltd (EHICL) to invest in commercial and affordable residential accommodation schemes to assist the Council meeting its strategic housing agenda.

 

Councillors Tutt and Ungar declared a prejudicial interest in this item. They both withdrew from the room whilst the item was considered. Councillor Shuttleworth chaired the meeting for the duration of the item.

 

Resolved (Key decision):

 

(1) To agree that the Council makes a loan facility available of up to £2.5m on market terms to AHLLP for the purpose of enabling the partnership to purchase residential accommodation for affordable purposes under a dedicated programme.

 

(2) To approve as a Restricted Matter under the LLP Agreement, the making of a loan facility by Lewes District Council of up to £2.5m on market terms to AHLLP for the purpose of enabling the partnership to purchase residential accommodation for affordable purposes under a dedicated programme.

 

(3) To authorise the Assistant Director for Legal and Democratic Services to ensure that a “Funding Agreement” pursuant to a “Deed of Entrustment” is entered into by AHLLP with the Council so that Right to Buy (RTB) receipts are appropriated in accordance with legislative requirements and the retention agreement with Government in relation to “social housing”. To give delegated authority to the Director of Regeneration and Planning to determine the terms of such agreement(s).

 

(4) To delegate authority to the Chief Finance Officer in consultation with the Lead Cabinet members for Housing and Finance to agree the whole scheme lending parameters for purchases for the programme outlined at resolution (1).

 

(5) To delegate authority to the Chief Finance Officer in consultation with the Lead Cabinet members for Housing and Finance authority to approve any draw down by EHICL from the £20m loan facility approved in the 2017/2021 Capital Programme (to the extent not already committed to other projects) for investment in EHICL’s property portfolio, the delivery of new mixed tenure homes and associated activities by EHICL and to delegate authority to the Chief Finance Officer in consultation with the Assistant Director - Legal & Democratic Services to determine the terms of any loan to be offered to EHICL provided always that the Chief Finance Officer is satisfied that:

 

(a)  There will be adequate security for the loan

 

(b)  There is a viable business case for the loan

 

(c)  Any such loan is on market terms

 

Reasons for decisions:

 

(1) To effectively progress land and housing acquisition, investment and larger scale development within the HRA to meet the Council’s wider strategic aims and take advantage of new borrowing flexibilities.

 

(2) To improve access into the private rented sector (PRS) by providing residential accommodation to assist the Council meet its wider strategic housing agenda and increase the variety, availability and accessibility of affordable housing  ...  view the full minutes text for item 64