Agenda item - HRA Stock Review: Delivering Temporary Accommodation - Stonehurst Court

Report of Executive Director Neighbourhoods, Communities and Housing (copy attached).

(1)            That it be agreed that the core part of the scheme be converted from 20 studio flats into 10 x 2 bedroom family houses, for initial use as good quality Temporary Accommodation for households to whom we have a duty to accommodate, with the potential in the future to use the homes as general needs stock to meet the needs of families waiting on the housing register.

(2)            That it be agreed that the 6 flats which are part of the street frontage on Down Terrace be reclassified as general needs housing, while ensuring the existing tenants (3) continue to receive support from Carelink and mobile sheltered support as necessary.

(3)            That it be noted that a budget of £1.044 million is included in the Housing Revenue Account Budget and Investment Programme 2017/18 and Medium Term Financial Strategy report, also being reported to this Committee.

56.1   The Committee considered a report of the Executive Director, Neighbourhoods, Communities & Housing which updated members on the progress made with the closure of the seniors housing scheme, called Stonehurst Court, over the last 12 months and made a recommendation for the site’s long term future use. When members considered the de-commissioning report in September and November 2016, support was expressed for the site’s future use as Temporary Accommodation for people to whom the council had a duty to accommodate. The report was presented by the Housing Stock Review Manager, who set out the development options to meet housing needs at the scheme in the future.  Option 3 was recommended.      

56.2    Councillor Lewry referred to the four options set out in paragraphs 4.2 of the report on pages 80 and 81. Some of the costings seemed quite high.  He referred to the photograph on page 85 of the agenda and asked if there could be a loft conversion to form an extra room.  The Housing Stock Review Manager explained that the recommended option was £0.104m total cost per unit. He did not have a detailed breakdown at committee. Loft conversions had not been considered because of the urgency to meet the need for two bedroom family homes for TA households.  The properties were built in the late 1940s as two bedroom family houses.  In 1966 they were divided into studios.

56.3    Councillor Mears commented that the scheme would relieve pressure on the general fund, but noted that it was not stated in the report that the HRA would retain its asset. It was important to have it written down that this was an HRA asset. The Executive Director Economy, Environment and Culture explained that a transfer of HRA assets to the general fund would have to be agreed by Housing & New Homes Committee and Policy, Resources and Growth Committee.  It was not proposed to transfer this HRA asset to the general fund.

56.4    Councillor Moonan was delighted to see the scheme come forward.  She referred to the six properties at the front of the scheme.  She noted that tenants had moved into three of these properties.  The Housing Stock Review Manager explained that the other three properties would be let through the general housing register.

56.5    Councillor Gibson asked if the three properties would be made decent.  The Housing Stock Review Manager explained that there was an urgent inspection taking place to ensure all the studios met decent homes standard..

56.6    Councillor Gibson considered the scheme to be a good project and was pleased to see that the council was producing its own temporary accommodation. He wholeheartedly supported the scheme. He suggested that it might be worthwhile checking to see if it was possible to put in an extra room as a loft conversion.

56.7    Councillor Bell asked if the unit cost had been identified by an external professional, and whether the works would be going out to tender. With regard to the £110,000 saving to the general fund, he asked who would be maintaining the cost of this facility.  He wanted to be assured that there would not be a situation whereby HRA money was being used to maintain this building, and that housing services were not receiving anything back from the general fund. If so, housing services should be charging the general fund for the use of housing properties. The Housing Stock Review Manager confirmed that an external consultant had looked at the unit costs.  The work would be carried out through the council’s strategic partnership for new build. Currently the principal contractor was Westridge. There would be further analysis and value engineering of the costs before work commenced.  The Housing Stock Review Manager stated that the HRA would receive a weekly rent from the general fund for these properties. Officers would then use that money to manage and maintain the properties.

56.8    The Chair asked that officers provide information to the committee on how the general fund repays the HRA and also explore the loft conversion suggestions.    

56.9    RESOLVED:-

(1)            That it be agreed that the core part of the scheme be converted from 20 studio flats into 10 x 2 bedroom family houses, for initial use as good quality Temporary Accommodation for households to whom we have a duty to accommodate, with the potential in the future to use the homes as general needs stock to meet the needs of families waiting on the housing register.

(2)            That it be agreed that the 6 flats which are part of the street frontage on Down Terrace be reclassified as general needs housing, while ensuring the existing tenants (3) continue to receive support from Carelink and mobile sheltered support as necessary.

(3)            That it be noted that a budget of £1.044 million is included in the Housing Revenue Account Budget and Investment Programme 2017/18 and Medium Term Financial Strategy report, also being reported to this Committee.