This Property is a 6 bedroom end-terraced three storey property. It is of a size and layout which is useful to the Council and its partners.
The purchase is part funded by grant funding from the MHCLG to provide supported housing for Rough Sleepers. The Building will be leased out to a Partner Organisation who will provide management and support to medium/high support needs single homeless people. Properties of this size and layout are needed to ensure that both accommodation and support can be provided to the medium/high support needs single homeless people.
I have considered the Valuation for the Property dated 6th August 2020. As this purchase is part funded by the Housing Revenue Account (HRA), I have consulted with Councillor Richard Kerry, the Portfolio Holder for Housing, who has approved the purchase.
I note that the purchase price of the Property is £220,000. This represents value for money, as although the Purchase Report values the property at £200,000, the difference in value is within an acceptable negotiation margin as the Purchase has been negotiated on the open market. In addition it is difficult to find properties of this size and cost that meet the Council’s needs, therefore it is necessary to purchase this Property.
The management of assets is a service and function which falls within the Cabinet’s responsibilities ((paragraph 31) on page 37 of the Constitution).
Each Cabinet Member is responsible for all of the types of decisions which sit within their portfolio, unless certain conditions in paragraph 5.4 on page 34 of the Constitution apply. None of those conditions apply, and as this purchase will be using HRA monies, the responsibility for it falls within the Housing portfolio, which is Cllr Kerry’s.
However, paragraph 5.1 on page 34 of the Constitution provides that unless a function is reserved to Members, or the Leader of the Council has given notice that the decision will be taken by a Member, all decisions in relation to the discharge of Cabinet functions are delegated to Officers in accordance with the Scheme of Delegation to Officers. This is to ensure that decisions of the Council are taken at the most appropriate level and in a timely manner.
The decision to purchase the Property is not one which has been reserved to Members, nor is it one that the Leader has given notice of, that it shall be made by a Member.
As Head of Housing, I am responsible for Housing. Therefore, under paragraph 6 on page 47 of the Constitution, I have delegated authority to make this purchase, and I am a suitably qualified and competent Officer to do so.
As the proposed expenditure is over £30,000 but under £250,000, and under paragraph 10.1(b) on page 49 of the Constitution, I must consult with the relevant Portfolio holder, to authorise the expenditure. As this purchase is funded by the Housing Revenue Account (HRA), I have consulted with Councillor Kerry, on 20th August 2020 who has approved the purchase. Strategic Director Andrew Jarvis has been involved in various e mails since the Property was first marketed indicating his approval to proceed.