URL: https://moderngov.southkesteven.gov.uk/ieDecisionDetails.aspx?ID=1793

Decision Maker: Cabinet

Outcome:

Is Key Decision?: Yes

Is Callable In?: Yes

Purpose: To seek Cabinet approval to acquire rented dwellings for incorporation into the Council's Housing Revenue Account (HRA).

Content: To seek Cabinet approval to acquire rented dwellings for incorporation into the Council's Housing Revenue Account (HRA). Decision   That Cabinet:   ·       Approve the acquisition of nine dwellings in Long Bennington, for incorporation into the Council's Housing Revenue Account at the price set out in the exempt Appendix A.   ·       Delegate authority to the Director of Housing & Projects, in consultation with the Cabinet Member for Housing, Section 151 Officer and Monitoring Officer, to finalise the Heads of Terms and for the acquisition, within the financial parameters set out in exempt Appendix A to this report,   ·       Delegate authority to the Monitoring Officer to complete all documentation required to give effect to this decision.   Reasons for the decision   The recommendation to acquire the nine properties is made because the transaction provides the Council with an opportunity to increase its directly owned affordable rent housing stock within the district to address the 1,033 applicants on the housing register.   The properties would become long-term HRA assets, provide accommodation, be set at affordable rent levels and advertised on Choice Based Lettings system.   The acquisition is considered to support the Council's strategic housing objectives and provide an opportunity to secure additional affordable rented accommodation without the Council having to undertake the development of the properties itself.   The proposed acquisition price has been considered against the valuation and financial appraisal. The acquisition will only proceed where the Council is satisfied that the transaction represents value for money and is affordable within the HRA.   Cabinet approval is required because the proposed acquisition exceeds the £500,000 delegated authority approved by Cabinet for HRA asset acquisitions and disposals.   Delegated authority is recommended for the completion of the transaction to avoid unnecessary delay, subject to the financial parameters approved by Cabinet.   Other options considered   The Council could decide not to proceed with the acquisition. This would avoid the immediate capital expenditure and associated long-term revenue and maintenance obligations. However, this option would result in the Council losing the opportunity to acquire nine additional affordable rent dwellings and increase its directly owned housing stock. This option is therefore not recommended.   Proceed with the acquisition. Under this option, the Council would proceed with the acquisition of the nine affordable rent dwellings in Long Bennington. The Council would acquire the properties into the HRA and manage them as part of its affordable rented housing stock. This is the recommended option. It provides the Council with nine additional homes and a long-term housing asset while supporting its wider housing objectives.   Seek alternative opportunities. The Council could decline the current opportunity and seek alternative properties for acquisition. Whilst this would retain HRA capital resources for other opportunities, there is no guarantee that comparable properties would become available on similar terms. There would also be a risk that the current opportunity would be lost. This option is therefore not preferred.

Date of Decision: September 8, 2026