Issue - meetings

Redevelopment of Sweyn Close/Fulmerston Road, Thetford - Release of Restrictive Covenant

Meeting: 26/07/2011 - Cabinet (Item 58)

58 Redevelopment of Sweyn Close/Fulmerston Road, Thetford - Release of Restrictive Covenant (Agenda Item 7) pdf icon PDF 19 KB

Report of the Executive Member for the Assets and Strategic Development Portfolio (Mark Kiddle-Morris).

Additional documents:

Minutes:

The Executive Member for Assets & Strategic Development introduced the report which sought the release of covenants which might impede redevelopment.

 

Mr Kybird, speaking as a Thetford Member, supported the scheme as an exemplar regeneration project and a key element of Moving Thetford Forward.

 

Mr Goreham asked for a brief outline of what the restrictive covenants said.

 

The Land Management Officer advised that the covenants were imposed on all right-to-buy properties.  They restricted development and maintained specific boundaries.  The restrictions would prevent the layout of the redevelopment scheme.

 

Mrs Monument urged Members not to keep the restrictions which were very good when they applied to the original site, but not for the new layout.  The question was on what terms should they be parted with?

 

The Vice-Chairman said that housing was a major priority for the Council and Cabinet should do what it could to assist more homes being built.

 

The Chairman agreed.  The release of the covenants amounted to a gift of £100,000 towards the scheme but he did not want to jeopardise its progress.

 

Options

 

(1)     To agree to release each and every restrictive covenant (insofar as the Council has power to do so) contained in the relevant Conveyances in respect of the properties identified in the report, at nil consideration, as per the request from Flagship Peddars Way.  Please refer to paragraph 3 of the letter attached, as to the reasoning the Housing Association feels the covenants should be released at no premium; or

 

(2)    To agree to release each and every restrictive covenant (insofar as the Council has power to do so) contained in the relevant Conveyances in respect of the properties identified in the report but negotiate with the Housing Association as to an appropriate market value and/or a claw back arrangement.

 

Reasons

 

1.            To deliver 67 affordable dwellings of which 33 will be additional to the re-provision of 34 cross-walled properties; and

 

2.      The development of Sweyn Close forms part of the regeneration of the Barnham Cross Estate.

 

RESOLVED to release each and every restrictive covenant, (insofar as the Council has power to do so) contained in the relevant Conveyances in respect of the properties identified in the report, at nil consideration.