Agenda item

Delivery of New Homes at Neasham Road - Land Disposal and Joint Venture Proposal

Report of the Chief Executive.


The Cabinet Member with the Economy Portfolio introduced the report of the Chief Executive (previously circulated) informing Members of the intention to sell land at Neasham Road Cell C, as shown on the submitted plan (also previously circulated), using the Council’s Joint Venture framework.


The submitted report stated that a further report would be submitted to Cabinet to identify the net capital receipt for the Council; seek final approval to establish the new Joint Venture Company; approve the funding arrangements for the housing development at Cell C; and that no disposal would take place until Cabinet approval had been obtained.


It was reported that Cabinet approved the release of funding for Esh Homes Ltd to undertake preliminary surveys (Minute C213/Nov/22 refers); those preliminary surveys had been completed and a planning application had been submitted in January 2023; approval was now sought for the sale terms to Esh Homes Ltd.; and that it was proposed that the new Joint Venture company would be responsible for developing  Cell C.


Particular reference was made at the meeting to what the Council would do to ensure that the target in the Local Plan in relation to provision of affordable homes, was met.  The Cabinet Member with the Economy Portfolio responded thereon.


RESOLVED  - (a)  That the principle and intention that Cell C will be sold to a new Joint Venture Company, on the terms and conditions as outlined in Appendix 2 of the submitted report, be noted, subject to a further Cabinet report once all costs have been determined.


(b)  That the Chief Executive be given delegated authority to prepare the terms of the disposal, in consultation with the Portfolio Holders, the details of which to be reported back in due course.


(c)  That the Assistant Director – Law and Governance be authorised to execute the necessary documents to facilitate future development.


DELEGATIONS - Delegated authority to the Chief Executive as detailed in para 6(b) above.


REASONS – (a)  To contribute to the delivery of new housing to satisfy the Borough’s housing need.


(b)  To achieve a capital receipt for the Council.

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