URL: https://moderngov.southwark.gov.uk/ieDecisionDetails.aspx?ID=8242

Decision Maker: Cabinet

Outcome:

Is Key Decision?: Yes

Is Callable In?: Yes

Purpose: Approval of the Compulsory Purchase Order strategy for phase 2 of the Tustin Estate Regeneration

Content: Approval of the Compulsory Purchase Order strategy for phase 2 of the Tustin Estate Regeneration It was not possible to circulate this report five clear days in advance of the meeting. The chair agreed to accept this item as urgent to secure vacant possession of Heversham House at Tustin Estate (which it is contractually obliged to do) to enable the scheme, including the demolition works scheduled to commence in summer 2025, to proceed.   RESOLVED:   1.  That the following be noted:     i.  The current position in relation to the delivery of 295 new homes at Phase 2 of the Tustin Estate redevelopment:     ii.  As referred to in the 16 September 2024 cabinet report:   ·  A development partnership with BY Development Ltd (trading as Linkcity) to deliver the Estate Redevelopment, along with the financial plan to deliver the scheme, was agreed by cabinet in October 2022. ·  The council appointed BY Development Ltd (trading as Linkcity) to bring forward the phased rebuilding of the Tustin Estate under a Development Agreement dated 8 November 2022.     iii.  A planning application for Phase 2 was submitted in August 2024, with an expected target date for planning permission in January 2025.     iv.  The council has now successfully acquired 13 leaseholder interests in Heversham House.     v.  Only 15 leaseholder interests now remain outstanding in Heversham House.     vi.  The council is taking and will continue to take reasonable steps to acquire remaining leaseholder interests situated within Heversham House by agreement; and      vii.  The council is offering to rehouse all resident leaseholders who want to stay on the rebuilt Tustin Estate, a new leasehold home on a shared ownership or shared equity loan basis in Phase 1 or 2. Phase 1 is anticipated to complete in April 2025.   2.  That  compulsory purchase powers under Section 226(1)(a) of the Town and Country Planning Act 1990 (“the 1990 Act”) and section 13 of the Local Government (Miscellaneous Provisions) Act 1976 for the acquisition of all land and interests (which are not already owned by the council) within the area of land shown edged black and bold on the plan at Appendix 2 of the report (“the CPO Land”) for the purposes of facilitating the redevelopment, development and improvement of the land and securing the delivery of new homes on the site in line with the planning application for Phase 2 and thereby securing the continued redevelopment of the Tustin Estate, be agreed.   3.  That the director of planning and growth, in consultation with the managing director of Southwark Construction, be authorised on behalf of the council to:     i.  Take all necessary steps to secure the making, confirmation, and implementation of the Compulsory Purchase Order (“CPO”), including land referencing, serving any requisitions for information, preparing all necessary documentation (including the CPO, the Order Plan and Statement of Reasons), the submission of the CPO to the Secretary of State, the publication and service of all notices and the presentation of the council’s case at public inquiry should one be called.     ii.  Acquire for planning purposes all land and interests in land and new rights (which are not already owned by the council) within the CPO Land and wider masterplan area as may be necessary to facilitate the Scheme either by agreement or compulsorily, including entering into negotiations with any third parties for the acquisition of the land interests and/or for new rights over their land (as appropriate), the payment of compensation and dealing with any blight notices served in connection with the CPO.     iii.  Dealing with objections to the CPO including approving agreements with landowners setting out the terms for the withdrawal of objections to the CPO, including where appropriate seeking the exclusion of land or new rights from the CPO or giving undertakings as to the enforcement of the terms of the CPO.     iv.  Remove from the CPO any plot or interest therein no longer to be acquired compulsorily and to then amend the interests in the scheduled CPOs (if so advised).     v.  Make any minor additions, deletions, or amendments to the extent of the land as shown on the plan at Appendix 2 should the need arise, to include all land and interests in land and rights required to facilitate the construction, maintenance, and use of the Scheme.     vi.  Take all necessary actions in relation to any legal proceedings relating to the CPO, including defending or settling (as appropriate) any compensation claims referred to the Lands Chamber of the Upper Tribunal due to the making, confirmation or implementation of the CPO, and to take all necessary steps in respect of any other legal proceedings that relate to the making, confirmation or implementation of the CPO.     vii.  Appoint and/or retain such external professional advisors and consultants as are necessary to assist the council in facilitating the Scheme, including in the promotion of the CPO and the settlement of any compensation claims.     viii.  Make any amendments to the Statement of Reasons annexed at Appendix 5 to this report as are considered necessary prior to its submission to the Secretary of State.     ix.  Confirm the CPO if granted the power to do so by the Secretary of State.     x.  Exercise the compulsory purchase powers authorised by the CPO by way of General Vesting Declaration(s) and or notice(ss) to treat.   4.  That the director of planning and growth be delegated authority to negotiate and enter into off-plan sales agreements in Phases 1 and 2 of the new development with resident leaseholders on the estate who qualify for a new council home.   5.  That it be resolved to:     i.  Approve the commencement of statutory consultation with secure tenants, pursuant to Part 5 of Schedule 2 to the Housing Act 1985, regarding the proposal to seek the Secretary of State’s approval for the redevelopment Scheme for the purpose of Ground 10A, Schedule 2Housing Act 1985.     ii.  Agree to obtain vacant possession of Heversham House and Kentmere House pursuant to Ground 10/10A of Schedule 2 of the Housing Act 1985 in order to deliver the Scheme.

Date of Decision: January 7, 2025