Agenda item

Housing Development – Former Grange Methodist Church site, Kettering

Decision:

RESOLVED

 

KEY DECISION

 

That the Executive:

 

a)    Approved the amendment of the budget to £2,173,000 for the Former Grange Methodist Church, Stamford Rd, Kettering - Housing Development

 

b)    Noted that the construction works will then be procured via an open procedure tender process

 

c)    Delegated authority to the Executive Member for Housing, Communities and Levelling Up in consultation with the Executive Director of Adults, Health Partnerships and Housing to take any decisions necessary to complete the project including decisions to conclude procurement and award contracts

 

 

Reasons for Recommendations:

 

·         To enable the delivery of the housing development.

·         To bring back into use a redundant brownfield site in a residential area, which is currently subject to vandalism and attracts anti-social behaviour.

·         The Avondale Grange ward within which the proposed development is located has been designated as a “left behind” area and in need of additional investment under the Government’s levelling up agenda.

·         To increase the supply of affordable rented housing available in North Northamptonshire, which meets the corporate objective of enabling safe and thriving places.

·         To increase the supply of housing suitable for disabled people, which meets the corporate objective of helping people to live healthier, more active and fulfilled lives in North Northamptonshire.

 

Alternative Options Considered-

 

·         Do nothing – this would not deliver any of the objectives set by the Council and would not deliver additional affordable housing.

·         Cease the development and sell the site- not recommended because the site is required by the Council to deliver its existing programme of housing development, increase the supply of affordable housing and housing suitable for people with disabilities and enable spend of Right to Buy Receipts, which would otherwise have to be returned to the Government.

·         Further pause the development and redesign the scheme to achieve lower per unit costs/increase rental income- not recommended because it would not allow the provision of additional housing suitable for disabled people. It would also require the project to be restarted as a new planning application would be required and all spend to date would be abortive cost.

 

Minutes:

The Chair invited Cllr Lyn Buckingham to address the meeting. Cllr Buckingham spoke to welcome the report and the proposed development that would bring social housing to the fore and potentially be the start of an ongoing development programme. Cllr Buckingham referenced the proposed budgetary increase, noting the uplift in construction costs due to a number of external pressures.

 

The Chair thanked Cllr Buckingham for her comments before inviting Cllr Anne Lee to speak. Cllr Lee raised concerns at the delays to commencement of the development and noted that the site had attracted anti-social behaviour during the time it had remained derelict. Although Cllr Lee stated her support for the recommendations, concerns were raised regarding the increase in costs and the apparent lack of biodiversity in green spaces surrounding the development.

 

The Chair thanked Cllr Lee for her contribution and invited Cllr Robin Carter to address the meeting. Cllr Carter fully supported the recommendations and requested that consideration be given to the sustainability of the development, with solar panels and electric vehicle charging points potentially forming part of the new homes. Cllr Carter queried whether the appointed contractor would have a fixed price for construction as part of the awarded contract.

 

The Chair thanked Cllr Carter for attending before inviting Cllr William Colquhoun to speak. Cllr Colquhoun also welcomed the report but queried the delay in implementation, whether the proposed budget would prove to be sufficient and whether the biodiversity net gain assessment referenced in the report had been completed.

 

The Chair thanked the speakers for their input before inviting the Executive Member for Housing, Communities and Levelling Up, Cllr Matt Binley to introduce a report that sought approval to amend the project budget for the Former Grange Methodist Church, Kettering housing development and further sought to procure a principal contractor via an open procedure tender process, subject to planning approval for the site.

 

Cllr Binley reported that a budget increase of £313,000 was required in addition to the £1.86m approved by the Executive of the former Kettering Borough Council in January 2021 to be able to complete the redevelopment, taking the total required to £2.173m, subject to planning approval. The budgetary increase was required following the redesign of the site to meet planning requirements and to be able to cover general build cost inflation since January 2021.

 

It was noted that the development would bring back into use a brown field site in a “left behind” area that had become a focal point for crime and anti-social behaviour. Proceeding with the development would reduce such activity in the local area.

 

The meeting heard that the development would consist of eight new affordable homes that would become part of the Council’s Housing Revenue Account (HRA), four 1-bedroom and two 2-bedroom bungalows, plus two 3-bedroom houses. Six of the eight homes would be accessible for disabled tenants, comprising four disabled access bungalows and two specially designed 3-bedroom houses with disabled access to the ground floor. It was noted that properties of this type were difficult to secure via private sector developers and whilst costs for building such properties was higher, they would be constructed to an Energy Performance Certificate rating of B or above.

 

It was reported that a construction contractor would be secured via an open tender process ensuring greater competition. The projected timeframe anticipated an expected practical completion by September 2024. Sufficient budget was available within the HRA housing development capital budget, with 40% of the funds for the project will coming from Right to Buy receipts. The capital costs would be recovered through the property rentals.

 

In response to queries raised by speakers, Cllr Binley stated that officers would be working to ensure there was sufficient biodiversity and greenery surrounding the development and that the proposed budget would cover the build costs, incorporating as it did a contingency, potential risks having been considered. The delay to commencement of the project was noted as stemming from an objection received to the initial planning application for the site.

 

Cllrs Harrison, Edwards, Pentland, Lawman and Bunday spoke to welcome the report, noting the importance of delivering specialist, disabled-accessible housing whilst improving a derelict site that had caused issues for local residents. Councillors also welcomed the opportunity for local builders to potentially apply for the construction tender as well as the sustainability of the development.

 

 

RESOLVED

 

KEY DECISION

 

That the Executive:

 

a)    Approved the amendment of the budget to £2,173,000 for the Former Grange Methodist Church, Stamford Rd, Kettering - Housing Development

 

b)    Noted that the construction works will then be procured via an open procedure tender process

 

c)    Delegated authority to the Executive Member for Housing, Communities and Levelling Up in consultation with the Executive Director of Adults, Health Partnerships and Housing to take any decisions necessary to complete the project including decisions to conclude procurement and award contracts

 

 

Reasons for Recommendations:

 

·       To enable the delivery of the housing development.

·       To bring back into use a redundant brownfield site in a residential area, which is currently subject to vandalism and attracts anti-social behaviour.

·       The Avondale Grange ward within which the proposed development is located has been designated as a “left behind” area and in need of additional investment under the Government’s levelling up agenda.

·       To increase the supply of affordable rented housing available in North Northamptonshire, which meets the corporate objective of enabling safe and thriving places.

·       To increase the supply of housing suitable for disabled people, which meets the corporate objective of helping people to live healthier, more active and fulfilled lives in North Northamptonshire.

 

Alternative Options Considered-

 

·       Do nothing – this would not deliver any of the objectives set by the Council and would not deliver additional affordable housing.

·       Cease the development and sell the site- not recommended because the site is required by the Council to deliver its existing programme of housing development, increase the supply of affordable housing and housing suitable for people with disabilities and enable spend of Right to Buy Receipts, which would otherwise have to be returned to the Government.

·       Further pause the development and redesign the scheme to achieve lower per unit costs/increase rental income- not recommended because it would not allow the provision of additional housing suitable for disabled people. It would also require the project to be restarted as a new planning application would be required and all spend to date would be abortive cost.

 

Supporting documents: