Decision details

1.         To agree that Appendices 1, 2 and 3 are not for publication on the basis that they contain information relating to the financial or business affairs of any particular person (including the authority holding that information) as set out in paragraph 3 of Schedule 12A of the Local Government Act 1972 (as amended).

2.         To approve one off capital investment for the acquisition of five properties (including purchase price, legal fees and stamp duty) as detailed in exempt Appendix 1, to be funded from borrowing.

3.         To enter into the contract for sale and transfer deeds for each property with Shepherds Bush Housing Association

4.         To approve the novation of Housing Management Contracts between current providers and Shepherds Bush Housing Association to the Council, to enter into the associated novation agreements and to delegate to the Assistant Director of Legal Services in consultation with the Assistant Director of Research & Innovation the terms of such further Housing Management Contracts as are required with the same providers when they expire.

5.         To note the implications of the Greater London Authority grant associated with the properties explained in paragraph 7.

The negotiated purchase price represents excellent value for money for the Council based on both existing use and unrestricted value of the assets. In the case of all five schemes, which comprise of a total of 43 bed spaces, if the Council did not acquire the existing properties, it would be exposed to the costs of securing alternative accommodation, at considerably higher costs, as no suitable alternative in-borough provision/capacity is available at present.

Acquiring the properties provides the Council with greater control to protect vulnerable residents. This will enable the Council to safeguard existing services, avoiding potential adverse social and financial implications that could result from a change in ownership.

1.         Doing nothing (not recommended) may put residents and service users at risk from local housing association divestment.

2.         Pursuing alternative properties on the market is not recommended considering the properties for sale are ideally suited to current provision and unique in offering occupants continuity of accommodation. Additionally, it is not expected that suitable alternative properties can be secured within the borough at better value for money than the negotiated purchase price.