Decision details

1. Accepting the revised Greater London Authority (GLA) Grant of £37,959k to support the delivery of 217 (note this is for the Grant, not the number that may be delivered) affordable homes through the indicative sites, set out below be approved:

·  Bromley North

·  Beckenham

·  Bellegrove (subject to further feasibility works to be reported to the Executive)

·  Manorfields (subject to further viability assessment to be reported to the Executive)

·  Poverest (subject to further viability assessment to be reported to the Executive)

2. External borrowing in relation to the financing requirements of the Bromley North and Beckenham capital financing requirements, as set out in section 6 of this report be approved. 

3. The following recommendations in relation to each site listed above be approved:

Bromley North

(a)  Subject to the determination of the Bromley North Planning Application, expected in October 2023:

  ii.  Authorise the addition of the Bromley North Scheme to the Capital Programme at an estimate of £25.5m noting that this is the scheme cost, not the cost to the Council, and note that the Council is foregoing a potential capital receipt of £5.0m in relation to this site.

  iii.  Approve the allocation of £515k of S106 funding towards the affordable housing element of the Bromley North Scheme.

  iv.  Approve the acceptance of the £720k grant from the BLRF towards the Bromley North Scheme, delegating authority to the Director of Housing, Planning, Property & Regeneration in conjunction with Director of Corporate Services to agree legal matters related to the grant and discharge of conditions.

  v.  Approve award of contract, as set out in paragraphs 3.12 to 3.14, to the provider named in the Part 2 Report for multi-disciplinary consultancy services for RIBA Stages 3b to 7 of the Bromley North Scheme at an estimated whole life value as detailed in the Part 2 Report, noting there will be a break clause in the contract at RIBA Stage 4a should the scheme not progress to award of contract for construction works.

  vi.  Note, as set out in paragraph 3.15, that Cost and Project Management services for the Bromley North scheme will be tendered separately to ensure stringent financial governance. The estimated value of those contracts is £390k and will, subject to Executive approval of the main recommendations, proceed to procurement and award within Officer delegated authority.

  vii.  Approve proceeding to procurement, as set out in paragraph 3.11 and paragraphs 3.16 – 3.17,  via a compliant route (either framework or closed tender process) for a works contractor for the initial enabling works for Bromley North at an estimated value of £720k in line with BLRF grant conditions, noting that the commencement of the enabling works contract will be dependent on award of contract for the main construction contract for the entire development of the scheme.

  viii.  Approve, in principle as set out in paragraph 3.18, proceeding to procurement for the design and build works contract at the end of RIBA Stage 4a for the Bromley North scheme at an estimated value of £21m, with delegated authority to the Director of Housing, Planning, Property & Regeneration to approve the detailed procurement strategy in agreement with the Portfolio Holder, the Assistant Director Governance & Contracts, the Director of Corporate Services and the Director of Finance, noting that award of contract and commencement of the scheme if considered financially viable will be subject to Executive decision in due course.

  ix.  Approve the implementation, as far as possible, of recommendations 2.4.1 to 2.4.7 in the event of the Bromley North Planning decision being deferred, noting that no contracts will be awarded until and if Planning is secured; and noting that if the Bromley North Planning application is not granted then none of the recommendations will be taken forward.

Beckenham Site

(a)  Subject to undertaking sufficient public engagement, the submission of the Beckenham Car Park (Appendix B) scheme to Planning be approved, noting that the site has already been developed to RIBA Stage 3a. It be noted that if the scheme is not submitted within the near future, there is a risk that the surveys procured as part of the planning process will be superseded by forthcoming policies and will therefore need to be re-commissioned at an additional cost. 

(b)  The addition of the Beckenham Site to the Capital Programme be authorised at an estimate of £15.2m noting that this is the scheme cost, not the cost to the Council, and it be noted that the Council is foregoing a potential capital receipt of £0.9m in relation to this site.

(c)  In principle as set out in paragraph 3.23 of the report, proceeding to procurement for multi-disciplinary consultancy services for RIBA Stages 3b to 7 for the Beckenham Scheme at an estimated whole life value of £669be approved, with authority delegated to the Director of Housing, Planning, Property & Regeneration to approve the detailed procurement strategy in agreement with the Portfolio Holder, the Assistant Director Governance & Contracts, the Director of Corporate Services and the Director of Finance, noting that award of contract will be subject to Portfolio Holder decision in due course.

(d)  It be noted, as set out in paragraph 3.24 of the report, that Cost and Project Management services for the Beckenham scheme will be tendered separately to ensure stringent financial governance.  The estimated value of those contracts is £167k and will, subject to Executive approval of the main recommendations, proceed to procurement and award within Officer delegated authority.

Bellegrove, Manorfields and Poverest Sites

(a)  It be approved that Feasibility funding for sites now added to the capital programme (West Wickham, Bromley North and Beckenham) are ‘refunded’ from the relevant capital budgets to allow detailed feasibility for Bellegrove, as well as further scoping for Manorfields and Poverest sites.

(b)  It be approved that, in principle as set out in paragraph 3.27 – 3.29, proceeding to procurement for multi-disciplinary consultancy services for RIBA Stages 2 to 7 for the Bellegrove Scheme at an estimated whole life value of £1.5m, with delegated authority to the Director of Housing, Planning, Property & Regeneration to approve the detailed procurement strategy in agreement with the Portfolio Holder, the Assistant Director Governance & Contracts, the Director of Corporate Services and the Director of Finance, noting that award of contract will be subject to Executive decision in due course, including detail on break clauses within the contract should the scheme not progress.

(c)  It be noted, as set out in paragraph 3.30 of the report, that Cost and Project Management services for the Bellegrove scheme will be tendered separately to ensure stringent financial governance.  The estimated value of those contracts is £383k and will, subject to Executive approval of the main recommendations, proceed to procurement and award within Officer delegated authority.

(d)  It be approved that Bellegrove will commence a decant of the site from February 2024.

(e)  It be approve bids for other grants towards housing schemes as may be available and appropriate.

(f)  Authority be delegated to the Director of Housing, Planning, Property & Regeneration in conjunction with the Director of Corporate Services and Governance any legal matters related to the development of Council sites for housing, including Land Appropriation matters for both planning purposes and appropriation into the Housing Revenue Account upon completion of the schemes.

(g)  Authority be delegated to the Director of Housing, Planning, Property & Regeneration in conjunction with the Director of Corporate Services and Governance and the Director of Environmental Services relating to any matters of road adoptions or works with TFL as part of the Housing Schemes listed.

(h)  It be noted that a decision not to continue with any of the sites listed will result in a return of the GLA grant and/or the BLRF grant.