FORMER SCOUT HUT AT WELCH AVENUE, STAPLEFORD
Report of the Director of Housing, Leisure and Property Services
1. Purpose of report
To consider the sale of the site of the former Scout Hut at Welch Avenue, Stapleford for four units of affordable rented flats to Nottingham Community Housing Association (NCHA) in accordance with the Council’s priority of Housing.
It is intended to redevelop this small site on Welch Avenue, Stapleford for 2 new units of Council house properties.
Members of the Stapleford Advisory Committee on 16 September 2014 were advised that this site (the former Scout Hut premises) and the garage site at Ryecroft Street, Stapleford would both be redeveloped for social housing.
An original proposal to develop the site at Hickings Lane, Stapleford (adjacent to the recreation ground) has been withdrawn because of objections from Sport England and local opposition to any encroachment onto the recreation ground.
It is now proposed to transfer this land to NCHA and build 14 flats for affordable rent.
A grant allocation has been secured from the HCA for 14 units to be commenced by the end of March 2015.
A revised proposal is now to be submitted for planning permission for 9 flats at Hickings Lane, Stapleford (affordable rent) with no encroachment onto the adjacent recreation ground leaving 5 units of potential grant aided affordable rented units without available land on which to build them.
It is proposed that use is made of this ‘spare’ grant for 5 units and optimise the allocation within Broxtowe and Stapleford as intended.
Given the very limited time available to secure the grant allocation from the HCA before it is lost and distributed elsewhere, members are asked to consider making the former scout hut site at Welch Avenue, Stapleford available to NCHA for 4-rented affordable flats, instead of 2 affordable rented council houses for the Council.
The new flats would be let through the Council’s Choice Based Lettings Scheme.
In consultation with the Portfolio Holder for Housing, preliminary discussions have been undertaken with NCHA regarding the prospect of the Council selling the scout hut site at Welch Avenue to NCHA to expedite this transaction.
The land has a residential plot value of approximately £70,000.
It is considered appropriate to sell this land at a discount to achieve the additional rented accommodation to which the Council would have nomination rights.
The land is an asset within the General Fund which would have to bear the cost of demolition clearance and security of this site now that the scouts have taken up occupation at Stapleford House.
Under the circumstances highlighted above, it is considered appropriate and reasonable to sell the scout hut land for a sum of £40,000 (£10,000 per plot per flat x 4 flats) resulting in only one lost unit of HCA grant as opposed to 5.
The Council has a duty under S123 of the Local Government act 1972 to dispose of assets at the best price reasonably obtainable.
However, if it is consider that the disposal will contribute to the promotion or improvement of the economic, social or environmental well-being of the area the Council can dispose at an undervalue under the terms of the General Disposal Consent 2003.
The Advisory Committee is asked to RECOMMEND to Cabinet the sale of the land at Welch Avenue, Stapleford as detailed in this report.
The sale of the former scout hut to NCHA as set out above will result in a capital receipt of £40,000 that will be available to help finance the General Fund capital programme.
The estimated cost of demolishing the former scout hut, clearing the site and ensuring that it is secure is approximately £5,000. This cost will be met by NCHA if the sale of the site is approved.
You can find the full agenda via the link below.
This meeting takes place at 10am on 24th October at Broxtowe Borough Council.