Issue - meetings

The report by the Director of Housing, Neighbourhood and Building Services seeks approval from Cabinet Member for Housing to engage in the Regeneration team to deliver a new build 5 bed property for a family due to the exceptional needs (as identified in the exempt appendices to the report). The report also seeks approval for the purchase of the family's current property into the Housing Revenue Account, on it becoming void, then to refurbish and re-let it as a disabled adapted property.

RECOMMENDED that the Cabinet Member for Housing authorises the build of a new five bed house, alongside the purchase and refurbishment of the family's current home through prudential borrowing and 141 receipts.

The Cabinet Member for Housing authorised the build of a new five bed house, alongside the purchase and refurbishment of their current home, through prudential borrowing and 141 receipts.

James Hill, Director of Housing, Neighbourhood and Building Services, was accompanied by Jo Bennett, Head of Business Relationships, Growth and Support, Alison Cloutman, Supported Housing Business Partner, and Wayne Layton, Finance Manager.  He explained the need for the appendices to his report to be exempt to ensure that the circumstances of the family were not discussed in open session.  The family which was the subject of the report was not currently in Portsmouth City Council (PCC) housing stock, but they had been on the PCC waiting list for some time.  The Housing Service would use land to build a purpose built property and purchase the family's current accommodation; this would mean that the 2 properties would be added to PCC's housing stock. It would also enable another family to be rehomed into disabled adapted accommodation.  Both properties were protected from the 'Right to Buy' scheme.  James Hill wished to clarify that funding would be via prudential borrowing and not council tax funding, and the rental income would be used towards recuperating the costs involved (the financial appraisal which formed exempt appendix 2 explained this). 

Paulsgrove ward councillors Gemma New and Jo Hooper entered the meeting during the exempt session; Councillor Sanders agreed they could stay on a business confidential basis.

After private discussions in the exempt session, Councillor Sanders asked the officers for further explanation of the £240,000 purchase cost of the family's existing property.  Wayne Layton, Finance Manager, reported that the cost was approximately £190,000 for purchase, plus legal fees, stamp duty and refurbishment costs to give the total estimate of £240,000.

Councillor Luke Stubbs, Conservative Opposition Spokesperson, had no further questions or comments, but had taken the opportunity to ask questions in the exempt part of the meeting to examine the financial appraisal, the borrowing implications and other options considered by the officers.

Councillor Sanders asked about the timescales involved in this case during the exempt session.

Councillor Sanders accepted that the officers were requesting a substantial financial commitment, but this had been analysed in the exempt session, and the alternative could mean that PCC would need to pay large care costs, so the recommended option was a more cost effective and preferable solution, which he supported.

Councillor Sanders as Cabinet Member for Housing asked that officers ensure that the capital cost as outlined at £670,000 be a maximum figure, and that if there was any variation above this a report would need to come back to the Housing portfolio for decision.

DECISION: The Cabinet Member for Housing authorised the build of a new five bed house, alongside the purchase and refurbishment of their current home, through prudential borrowing and 141 receipts.