Agenda item

Farnborough and Crofton ward

Report HPR 2022/003

The report provided an update on scheme funding in relation to York Rise, including increased funding from the Greater London Authority (GLA). This would enable MAR Ltd, the appointed design and build contractor, to proceed with the construction of 35 affordable homes at York Rise, Orpington, BR6 8PR. The scheme was granted planning permission at the December 2021 Development Control Committee.  The Chairman of Executive, Resources and Contracts PDS Committee had given consent for this report to be taken under Budget and Policy Framework Procedure Rules - Rule 4 of the Urgency Procedure, given the significance in additional funding plus the importance of affordable housing at this critical time.

The report was scrutinised by Renewal, Recreation and Housing PS Committee at its meeting on 26^th January 2022, and the Committee supported the proposals.

Councillor Charles Joel attended the meeting as ward member for Farnborough and Crofton. He welcomed the provision of additional housing units for local people, but summarised a number of concerns relating to the site and its history. He considered that some of the problems with the site - the challenging ground levels, the abandoned air raid shelters and the retaining wall, could have been investigated and addressed at an earlier stage.

A statement was read out from Cllr Christopher Marlow, Chairman of Executive, Resources and Contracts PDS Committee and ward member for Farnborough and Crofton. The statement is attached to these minutes as Appendix A.

Members were concerned at the increase in the cost of the scheme, but considered, on balance, that it was still viable and would provide very useful new housing for local families. Members were assured that senior officers would keep a close eye on the project and its costs – an Employer’s Agent would be appointed, and the Renewal, Recreation and Housing Portfolio Holder would be kept closely informed of progress. 

RESOLVED that

(1)  The progress of the project be noted as set out within the report.

(2)  A supplementary capital estimate of £3,174k be approved as set out in the accompanying Part 2 Report, under the Budget and Policy Framework Procedure Rule 4 of the Urgency procedure.

(3)  The revised financing of the scheme be approved as set out in paragraph 8.5 of the report, noting that there is no change to the internal loan of £6,064k from the General Fund to the Housing Revenue Account.

(4)  It is noted that the land appropriation value has been set by independent valuation at £390k.

(5)  The utilisation of a further £314,080.89 Section 106 contributions be approved.

(6)  The varied Contract Award to Module-AR (as originally set out in report No HPR2021/032 B, 30^th June 2021) be approved as detailed in the accompanying Part 2 report, for the Design and Build contract using the LHC NH2 Framework.

(7)  Delegated authority be granted to the Director of Renewal, Recreation and Housing to proceed to procure and/or contract award for additional consultancy services as required to bring about completion of this scheme, provided they are allowed for within the financial budget and subject to Agreement as required through the Council’s Contract Procedure Rules with the Portfolio Holder for Recreation, Renewal & Housing, the Assistant Director, Governance & Contracts, the Director of Corporate Services and Governance and the Director of Finance.

(8) Authority be delegated to the Director of Corporate Services and Governance to authorise any legal measures needed to develop the scheme.

(9) The revised financing of the scheme be approved as set out in paragraph 8.5 of the report, noting that there is no change to the internal loan of £6,064k from the General Fund to the Housing Revenue Account.