Decision details

The Cabinet Member for Housing Services presented a reported to Council to propose the transfer 11 – 13 Stock Street, Bury from the Land & Property Team to Housing Services, for the provision of temporary accommodation in accordance with the recommendations in section 2 of the accompanying report.

If this proposal is approved, the property will provide temporary accommodation for larger, low-income families who are statutory homeless and in priority need, until a more permanent solution can be found. The rent would be capped at the Local Housing Allowance (LHA) rate to ensure affordability. Rental income generated from the letting of this property would be paid into the Housing Revenue Account (HRA).

Recommendations:

Cabinet:

1.    Agree that this property is declared surplus from the Land & Property Team and transferred by appropriation to Housing Services (under Section 122 of the Local Government Act 1972), for the provision of temporary accommodation for larger families who are statutory homeless and in priority need.

2.    Agree that refurbishment costs can be funded in their entirety via accumulated commuted sums which have specifically been identified for the acquisition and refurbishment of empty properties in the borough.

3.    Agree that an affordable monthly rent of £797.81 can be charged for this property in line with LHA rates, to ensure affordability.

4.    Delegate the finalised terms of the transfer to the Director of Law and Governance in conjunction with the Director of Place and Cabinet Member for Housing.

Reasons for recommendations:

The number of homeless households and those living in temporary accommodation is increasing, due to significant shortages within the housing stock, net inward migration and unaffordable rented accommodation in the private sector.

The Council is in urgent need of temporary family housing, to support larger households in priority need who are statutory homeless. At present, there are no 4-bedroom properties within the temporary housing stock and larger families who are homeless are having to be re-housed in smaller properties or, as a last resort, bed and breakfast accommodation until something more suitable is available, which can be particularly detrimental to the health and development of children.

Alternative options:

Option 2 - sell the property at auction and retain the proceeds of the sale in the Council’s General Fund.

Option 3 – sell the property at auction and ring-fence the proceeds of the sale to purchase an alternative 4-bedroom property in the borough, to accommodate families who are statutory homeless and in priority need.