DD2075 Various Sites LB Waltham Forest - Property Agency appointment

Type of decision: 
Director's decision
Code: 
DD2075
Date signed: 
10 January 2017
Decision by: 
David Lunts, Executive Director Housing and Land and Interim CEO of OPDC

Executive summary

This Director’s Decision seeks approval of expenditure of up to £45,000 to appoint property advisors through TfL’s Property Advisor Framework. This expenditure is in addition to the budget of £35,000 already approved for this project under ADD2033 to carry out the valuation of the site and so takes the total expenditure above the £50,000 AD delegation. Once appointed the property advisor will enter into discussions with the current freehold owner of a series of sites in the Waltham Forest Housing Zone on behalf of GLA Land and Property Ltd to seek a negotiated purchase price in line with the Red Book valuation of the site.

Decision

That the Executive Director for Housing and Land approves expenditure of up to £45,000 to undertake the required work on behalf of GLA Land and Property Ltd to seek a purchase price for the potential acquisition of a series of sites within the Waltham Forest Housing Zone.

Part 1: Non-confidential facts and advice

Introduction and background

This request relates to appointing a Property Advisor to act on behalf of the GLA Land and Property Ltd (GLAP) to agree a purchase price with the freehold owner of a number of sites in the vicinity of the Webbs site. The London Borough of Waltham Forest was awarded Housing Zone status in March 2015 for the Blackhorse Road area. As part of the proposal, sites were identified in the Housing Zone to bring forward a residential led mixed used development.

On the 17th March 2016, the Mayor approved (MD1627), the proposal to acquire the former Webbs Industrial site within the Waltham Forest Housing Zone for redevelopment via the London Development Panel for mixed use residential scheme. The site was acquired by GLAP in July 2016 and will help kickstart the comprehensive regeneration of the Blackhorse Lane area.

The acquisition of a further number of sites in the vicinity of the Webbs site will, in conjunction with the Webbs site, help to transform and regenerate the wider area and deliver new homes, new employment and an improvement in the quality of life for local residents.

On the 29th September 2016 ADD2033 approved expenditure of £35,000 to undertake valuation work for the potential acquisition of these sites in the vicinity of the Webbs site.

The Deputy Mayor for Housing has been briefed on these sites at DPM in relation to their connectivity with the Webbs site, and he is supportive of the proposal to purchase these sites.

Officers are therefore seeking approval to commission a property advisor to enter into discussions on behalf of GLAP with the freehold owner of the sites in the Blackhorse Lane area to seek a purchase price in line with the Red Book valuation. Once a potential purchase price is agreed further approval will be sought from the Mayor to acquire these sites.

Objectives and expected outcomes

An agreed value for purchase of the sites in line with the Red Book valuation will enable the comprehensive regeneration of the area. The sites will be released to the LDP in conjunction with the Webbs site for the development of new homes, employment and retail spaces and address existing environmental issues.

Equality comments

The delivery of this development is aimed at implementing the Mayor’s policies set out in the Mayor’s London Housing Strategy. In January 2014 the GLA published an integrated impact assessment (“IIA”), including an equalities impact assessment, of that strategy. The policies related to increasing housing supply, of which this paper relates, were covered by the Integrated Impact the London Plan.

The IIA concluded that updating housing projections and targets would support the delivery of sufficient housing and may help stabilise housing prices, supporting equal opportunities throughout communities. Furthermore, the provision of housing, including maximising the delivery of affordable housing would be in line with other policies of the Plan (e.g. Policy 3.5), ensuring that the needs of different groups are taken into account in the housing design.

The delivery of new and additional homes within the Housing Zones will help to implement Objectives 1, 2, 3 and 4 of the Mayor’s Equalities Framework “Equal Life Chances for All” (June 2014) through the creation of new affordable homes, housing products and well-designed housing schemes.

Other considerations

Should negotiations for the future land purchase stall or the landowner prove to be a reluctant seller; the GLA will seek alternative routes for acquiring the sites.

Financial comments

This decision seeks approval to expend up-to £45,000 appointing property advisors to negotiate a purchase price in line with the Red Book valuation of the sites within the Waltham Forest Housing Zone. Once a purchase price is agreed, a separate approval will need to be submitted for the site acquisition.

This expenditure is available from the Housing & Land Housing Zones Revenue Budget and will be expended in 2016/17 financial year. Any changes to this proposal, including the requirement of additional funds, will be subject to further approval via the Authority’s decision making process.

Activity table

Activity

Timeline

Procurement of an agent from TfL’s Framework to start negotiation process with freehold owner of sites.

Q3 2016/17

Purchase price of sites agreed

Q4 2016/17

Mayoral decision on whether to acquire further sites

Q4 2016/17


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