APPENDICES - MAP EXTRACTS - SETTLEMENTS

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1 Contents 1. EXECUTIVE HOUSING STUDY 2 Introduction Definition Core Strategy Issues and Options Consultation Responses North East Regional Studies Existing Spatial Distribution of Executive Housing Conclusions Next Steps Criteria for Consideration of Strategic Executive Housing Sites APPENDICES A. - CONSULTATION RESPONSES TO THE CORE STRATEGY ISSUES AND OPTIONS DOCUMENT Question 18 The Provision of Executive Housing Question 19 The Location of Executive Housing B. - MAP EXTRACTS 18 C. - SETTLEMENTS 23

2 1 Introduction 1.1 The need to plan for the provision of executive housing is a long recognised issue in County Durham. The 1981 County Durham Structure Plan stated: It is important to make land available for low density private housing development within the County, to assist in the attraction of new firms by ensuring that a range of suitable housing is available for the executives of such firms. 1.2 More recent studies outlined in this paper continue to suggest that housing supply needs to be matched to housing aspirations in order to attract higher skilled workers and entrepreneurs to improve the attractiveness of an area as a place to live and invest in and to drive economic growth. 1.3 The Regional Spatial Strategy (RSS) identified a shortage of executive housing of high enough quality to attract more mobile households. The 2008 County Durham Strategic Housing Market Assessment (SHMA) supported this conclusion. The 2005 Regional Housing Aspirations Study also stated that market towns and villages are popular with these Wealthy Achievers and County Durham, falling between the two City Regions and with a number of attractive market towns and villages, could play a significant role in providing this essential offer for the region. Definition 1.4 Executive housing has been defined in some studies by the higher Council Tax Bands.If executive housing is defined as houses in Council tax band E and above then the stock in County Durham is 6.4%, similar to the regional average of 6.7%, but significantly below the national average of 18.7% 1.5 Using the Mosaic classification executives are classified as symbols of success, and the type of housing associated with this group, is spacious with four bedrooms or more, and very often built to individual designs at low densities,... most will be in the form of detached, single family dwellings set in gardens 1.6 However, executive housing can be related to a combination of value, size, density and surroundings. For the purposes of the Core Strategy, the term Executive Housing relates to top end of the market, detached housing of high quality design and materials, set in its own grounds at a density of no more than 6 dwellings per hectare. Core Strategy Issues and Options Consultation Responses 1.7 The Core Strategy Issues and Options document asked a question about the proportion of new dwellings which should be executive based on the low density definition outlined above. The responses are shown in Figure 1 below. 2

3 1 Figure 1 chart1 1.8 The consultation response indicates significant support for the provision of the highest executive housing requirement. 1% of the total housing requirement would equate to approximately 289 houses. 1% of the total housing requirement was also recommended by sustainability appraisal. Please see below: Recommendation Sustainability Appraisal recommended that Option C - 1% of the total housing requirement i.e. 290 houses is taken forward as the preferred option. As minor differences occur between the options 1% should be apportioned to allow the most flexibility over the provision of executive housing over the plan period. However, provision will need to be matched and phased to market demand, regeneration activity and availability of suitable employment. As a result a proportion of the 290 houses could initially be allocated within the County Durham Plan with the remaining numbers to be phased later in accordance with market demand, regeneration activity, suitable employment etc. 1.9 A question was also asked about the location and distribution of executive dwellings. The responses are shown in Figure 2 below. 3

4 1 Figure 2 chart As can be seen, there is significant support for a more dispersed approach rather than concentrating on one or two sites. The dispersed approach to executive housing was also recommended by Sustainability Appraisal. Please see below: Recommendation Sustainability Appraisal recommended that Option A - Dispersed distribution with additional executive housing in a large number of locations meeting sustainability criteria is taken forward as the preferred option. As the purpose of executive housing is to contribute to economic development, this option will allow the most flexibility over the period in terms of locating executive housing in a range of locations to match suitable employment, while contributing to regeneration activities as they come forward in the County and providing choice to the potential buyer. High level employment opportunities and / or demand for executive housing may arise in unexpected areas of the County over the plan period and as a result allocation of executive housing will need to be phased. Option A will also provide more flexibility in terms of avoiding negative environmental effects i.e. Steering development away from flood risk, biodiversity value etc Further information on the consultation responses is set out in Appendix A. 4

5 1 North East Regional Studies Regional Housing Aspirations Study and Benchmarking the Regions Housing Stock 2005 by Nathaniel Litchfield & Partners (NLP) 1.12 The Benchmarking Study built upon the findings of the Regional Housing Aspiration Study which identified a clear mismatch between the demand and supply of housing in the North East. It showed the significant regional variations in the proportions of dwellings in council tax bands as set out in Figure 3 below. Figure 3 Council tax band proportionate by region 1.13 If in this table executive housing is defined as houses in Council tax band E and above, then it highlights the very low proportions of this type of housing in the North East At present the deficiencies in the Region s housing stock compared to other regions, puts the region at a competitive disadvantage. For housing to contribute to economic prosperity, new housing must be able to attract a higher skilled workforce. Addressing the house price differentials through increasing the supply 5

6 1 of detached housing is one way of achieving this. The provision of high quality housing within a quality environment, which meets aspirations, is another way in which a competitive advantage can be developed. There is a clear link between detached properties, higher socio economic groups and economic growth The Benchmarking Study concluded that there is clearly a need within the region to identify where exemplar higher banded housing sites can be brought forward at lower densities to ensure that the local evidence base fits with wider regional strategic objectives. The economic role of mobile professional and creative workers and their housing and residential preferences: evidence from North East England study by Nathaniel Litchfield & Partners 1.16 Nathaniel Lichfield and Partners produced a study The economic role of mobile professional and creative workers and their housing and residential preferences: evidence from North East England (NLP study) which examined the role that executive housing may play in attracting and retaining mobile creative professionals in the North East Region. The study identified that: There are strong reasons to believe that the planning and development system may not be producing the types of housing that creative professionals require. The recent focus in the main urban areas, particularly the provision of luxury apartments is likely to be insufficient to create the types of housing and residential amenity that will appear to attract and retain the creative class. City regions that fail to adjust their housing market in the light of the aspiring housing demand may be disadvantaged in the arena of territorial competition. There is growing evidence of a link between entrepreneurial activity and the opportunity for self expression in home design. Centre for Urban & Regional Studies (CURS) University of Newcastle upon Tyne 1.17 Research by CURS has shown that occupiers of executive housing are professionals often involved in the development of Knowledge Intensive Business Services (KIBS). The research identified that 70% of the properties in Council Tax bands G H surveyed were occupied by a knowledge worker and a high proportion of executive home-based businesses are in the KIBS sector. KIBS account for an increasing share of productivity growth in the North East and are seen as central to increasing economic performance as stated in the Regional Economic Strategy CURS undertook a case study of recent executive housing at Wynyard, close to the south-eastern edge of County Durham. The research found that: The overwhelming majority of the occupiers are creative professionals; 40% of households in Wynyard own or part own a business; 40% moved to Wynyard from outside of the North East region; Fourteen separate businesses exist at Wynyard, half of which have main markets outside of the North East region. Executive Housing: Supply, Demand & Opportunities in Durham City, report by Nathaniel Litchfield & Partners (NLP), March NLP undertook a telephone survey of estate agents in the region, which indicated that in terms of location, potential purchasers of executive housing look particularly for: 6

7 1 Good accessibility by road including convenient access to motorways and main dual carriageways; Proximity to good quality schools (either private or state provision); Affluent neighbourhood In terms of environment estate agents cited the following as being important: Countryside amenity a dwelling sited in an environment with a countryside/leafy feel and rural aspect; A secluded environment and feeling of privacy; A safe environment the level of security of the dwelling and the grounds or of the wider estate (24 hour on-site security is particularly desirable); Private space, an extended garden or grounds ( acres) Local agents requirements/specifications for executive properties suggest the following dwelling characteristics are also often sought: 5 bedrooms (minimum) High quality bathroom En-suite bathroom (preferably two) Large, high quality kitchen with a family area Reception rooms (at least two) Separate utility area Library/study Intercom security system Entrance gates Off-street parking double garage Dwellings at the higher end of the market might also include: Bespoke architectural design Swimming pool Jacuzzi sauna/steamroom Stables CAT 5 cabling multi room music and office equipment Home cinema 7

8 1 Games room Under-floor heating. North East Regional Policy 1.23 The evidence and recommendations of the studies discussed above have informed subsequent planning policy, particularly the North East Regional Spatial Strategy. North East Regional Spatial Strategy (RSS) Paragraph 3.94 of RSS states The provision and location of so called executive housing, defined as the upper end of the market, and dwelling types under-represented in the current stock, like detached housing, will have an important role to play in attracting and retaining population. There will be no need for locational exceptions for executive housing or types under represented in the housing stock as these should be subject to the RSS locational strategy and sequential approach. The type and size of dwellings should be controlled through clear local policies on density Policy 29, Delivering and Managing Housing Supply states that Local Development Frameworks should: provide for an average density of dwellings per hectare at the local authority level, and set out criteria to define circumstances where provision of lower densities is needed for additional dwellings to better provide for future households and a better mix of dwelling type, size and tenure within the context of the RSS Locational Strategy and Sequential Approach. North East Regional Housing Strategy The Strategy contains four strategy objectives. Objective Two is: to ensure the supply, type and mix of new housing for rent and for sale meets social and economic needs, provides choice and supports growth. This will reflect the diversity of urban and rural communities and the needs for affordable, family and executive housing; County Durham Strategic Housing Market Assessment (SHMA) Review The SHMA confirms that the proportion of executive housing within County Durham is similar to the Regional figure (see Figures 4 and 5 below). 8

9 1 Figure 4 Council Tax Bands in County Durham 9

10 1 Figure 5 Council Tax Bands in County Durham by delivery area Existing Spatial Distribution of Executive Housing 1.28 Using the Core Strategy definition of executive housing as being detached houses set in their own grounds at a density of no more than 6 dwellings per hectare, the proportion of the 233,190 dwellings in the County which falls within this definition is around 1%. The distribution of these existing executive houses has been plotted and the top ten locations for Executive Housing are shown in Table 1 below. Table 1 - Top Ten Locations for Executive Housing Area Open Countryside Durham City Hamsterley Mill Bishop Auckland Newton Aycliffe ( including Woodham & Aycliffe village ) Consett ( including Blackhill & Shotley Bridge Spennymoor Staindrop Tudhoe Cotherstone Number

11 1 Figure 6 11

12 1 Figure Using the table and figures above the key findings of the spatial distribution of Executive Housing are as follows: Generally dispersed around the County, with the highest proportion being scattered in the countryside not related to a settlement The largest cluster is within Durham City, followed by the Derwent Valley (Shotley Bridge and Hamsterley Mill) East Durham is the area of the County with the lowest proportion. Most main towns have reasonable, albeit modest, proportions relative to their size, however, Seaham and Stanley have significantly lower numbers and proportions Even some former mining villages, such as Blackhall Colliery and Easington Colliery have some low density detached dwellings 1.30 Although the dwellings in places such as Blackhall Colliery and Easington Colliery do qualify as executive under the definition it has to be questioned whether they can be regarded as true executive housing given that their location is not likely to put them at the top end of the housing market. 12

13 1 Conclusions 1.31 Based on previous evidence and studies undertaken regionally and the work undertaken to support the County Durham Plan there is clear justification for the specific provision of executive housing, as defined in the Core Strategy, within County Durham. Furthermore consultation on the Core Strategy Issues and Options showed significant support for the principal of at least 1% of the Plan s housing requirement being executive housing The evidence on the spatial distribution of existing executive housing indicated that it is currently dispersed across the County. The Issues and Options consultation showed broad support for a dispersed distribution of new executive housing. This would seem the most appropriate approach but it must reflect the needs of the market, locating any sites in areas that are attractive to both developers of executive housing and those entrepreneurs and highly skilled people that will help grow the County s economy. Next Steps 1.33 As the provision of executive housing is a key tool in promoting economic growth, the principal objective of the County Durham Plan, it is suggested that the identification of executive housing sites is a strategic issue to be dealt with in the Core Strategy rather than in the future Development Allocations document. The Council are therefore issuing a call for sites to help identify those most suitable. To help to assess any sites that are submitted we have developed a number of criteria against which any submitted sites will be assessed. Sustainability Appraisal will also be used in order to shortlist potentially suitable sites. Criteria for Consideration of Strategic Executive Housing Sites 1.34 The five criteria used to assess suitable sites are below: Settlements with 20 or more existing executive dwellings Settlements containing post codes having an average household income of 60,000 or more (high income areas) Settlements containing no super-output areas with deprivation in the worst 10% or 20% nationwide (no deprivation) Settlements containing a secondary school with the % of 5+ A-C grades in GCSEs above the English Local Authority average (above national school) Settlements within 15 minutes peak time drive time of the A1 trunk road (good access to A1) In order to give guidance on likely suitable locations we have applied these criteria to existing settlements and the results are shown in Appendix C. This assessment found that three locations; Durham City; Chester-le-Street; and Sedgefield met all five criteria In addition to those sites submitted for consideration we will also assess those sites identified as green in the Strategic Housing Land Availability Assessment (SHLAA), located within or adjoining the above three settlements Following the site assessment the sites considered most suitable for executive housing will be taken forward in the Core Strategy. 13

14 A - Consultation Responses to the Core Strategy issues and Options Document Question 18 The Provision of Executive Housing Q18(i) - What proportion of new housing should be developed as executive housing? Potential Options: A. 0.5% percent of the total housing requirement i.e. 145 houses. B. 0.75% of the total housing requirement i.e. 217 houses. C. 1% percent of the total housing requirement i.e. 290 houses. Total Respondents = 34 Option A = % Option B = % Option C = % Q18(ii) - You can use this question to explain why you have chosen this option (please restate which option you prefer) or to let us know if there are other options to consider? Summary of Comments Executive type home developments should their very nature be market driven (numbers, location, density etc.) Executive home provision is very sensitive to market conditions The proposals at the moment are too prescriptive Need to respond to shortage of executive homes 1% must be a minimum must be left to the market Executive homes are needed to attract new economic activity What is the definition of executive homes? Council s Response It is anticipated that executive housing sites will be allocated in the Plan, based on market preferences and sustainability considerations As above As above As above. Agreed that planned provision of 1% is a minimum. Any provision above this will be regarded as windfall. agreed The definition of executive homes is clarified in this document. Executive homes in Durham mean houses 4x beds 2x garages located in an attractive environment which is attractive to the market. Need to consider: Use of Greenfield sites Location is crucial and is of greater importance than density Do not have minimum density (needs to vary according location and type of development e.g. executive homes can comprise of detached or terraced dwellings or a sub-division of an historic property for example) Consider the Settlement Strategy Factor in the above and you will get robust allocations in areas such as the City and Net Park Executive home provision should be part of overall housing provision Executive housing will count towards the overall housing provision 14

15 - Consultation Responses to the Core Strategy issues and Options Document A Summary of Comments Do not have executive homes on exception sites Acknowledge the regional context There is a need to use exception sites What about impact of a large number of executive homes on the Strategic Road Network Executive homes would increase Council Tax Income Some consultants are promoting specific sites and these can be assessed in the appropriate Allocations DPD. Possible use of GB Take care that the locations for executive homes do not have an adverse impact on locality Council s Response It is anticipated that exception sites will be primarily for affordable housing, but that the policy will allow some flexibility to reflect local needs agreed It is anticipated that exception sites will be primarily for affordable housing, but that the policy will allow some flexibility to reflect local needs The impact is unlikely to be significant relative to overall housing provision. agreed Sites promoted through the SHLAA in appropriate locations will be assessed Any sites allocated for housing in the Durham City green belt will be considered for the provision of some executive housing agreed Respondents for both Parts (i) & (ii) comprise of: Representations by developers / landowners through planning consultants and estate agents Parish / Town Councils Housebuilders: Persimmon; Taylor Wimpey; Ben Bailey Homes; Barratt; McInerney Homes; Yuill House Builders Federation Developers Members of the Public CPRE Residents Association One North East Dean and Chapter of Durham Politicians Highways Agency Partnership English Heritage 15

16 A - Consultation Responses to the Core Strategy issues and Options Document Question 19 The Location of Executive Housing Q19(i) Where new executive homes should be developed? Potential Options: A. Dispersed distribution with additional executive housing in a large number of locations meeting sustainability criteria. B. Allocate executive housing in a small number of locations which meet sustainability criteria and are in close proximity to high quality employment sites. C. Allocate executive housing in only one or two select locations which meet sustainability criteria and in proximity to the most prestigious employment locations such as NetPark or Durham City. Total Respondents = 45 Option A = % Option B = % Option C = 3-6.7% Question 19(ii) - You can use this question to explain why you have chosen this option (please restate which option you prefer) or to let us know if there are other options to consider? Summary of Comments Policy should not be overly prescriptive need a flexible approach that will be market led Sites should be dispersed Perhaps in rural areas, Durham City or Net park etc Some may want to live next to high end employment sites, but others will want to live well away from where they work Need to be part of mixed communities not executive ghettos Should not be like Wynyard where people need to use cars to get the simplest necessities Could increase car travel especially if those who occupy these properties work in Tyne & Wear or the Tees Valley Locations should be decided by those looking for these types of houses Small site and or single dwelling allocations Council s Response It is anticipated that executive housing sites will be allocated in the Plan, based on market preferences and sustainability considerations It is anticipated that sites will be dispersed around the Durham City, Chester-le-Street and Sedgefield areas Agreed that sites which can provide a well landscaped, semi-rural character and appearance in and around Durham City and Sedgefield could be suitable. It is agreed that convenient links to the A1 trunk road is a locational consideration Close proximity to dwellings at the lower end of the housing market is unlikely to be appropriate Appropriate locations are unlikely to be in convenitent walking distance of existing services, and executives have car orientated life styles Any increase is unlikely to be significant given the limited numbers of executive dwellings to be built It is anticipated that executive housing sites will be allocated in the Plan, based on market preferences and sustainability considerations It is anticipated that some executive housing will be built on small sites 16

17 - Consultation Responses to the Core Strategy issues and Options Document A Summary of Comments There should be no specific site allocations, leave to the market and the Development Management process There should be a preference for sustainable locations rather than a requirement The right and appropriate locations are very important Executive housing needs to be considered with regard to the Settlement study, restructuring the economy, use of Greenfield and possibly some Green Belt sites Many agents also promote their client s sites as being appropriate for executive or mixed development Council s Response It is anticipated that executive housing sites will be allocated in the Plan, based on market preferences and sustainability considerations It is anticipated that executive housing sites will be allocated in the Plan, based on market preferences and sustainability considerations Agreed Agreed Noted Respondents for both Parts (i) & (ii) comprise of: Representations by developers / landowners through planning consultants and estate agents Parish / Town Councils County Durham Association of Local Councils Housebuilders Developers Members of the Public CPRE Residents Association Local Trust One North East Dean and Chapter of Durham Politicians Highways Agency Partnership English Heritage North East Combined Transport Activist Roundtable (NECTAR) HCA Living Streets 17

18 B - Map Extracts This appendix contains examples of clusters of executive dwellings in: Bishop Auckland, Durham City, Hamsterley Mill and Shotley Bridge. 18

19 - Map Extracts B Map 1 Bishop Auckland 19

20 B - Map Extracts Map 2 Durham City 20

21 - Map Extracts B Map 3 Hamsterley Mill 21

22 B - Map Extracts Map 4 Shotley Bridge 22

23 - Settlements C Settlement Appraisal Table 1 & 2nd tier Settlement Barnard Castle Middleton in Teesdale Stanhope Wolsingham 20 + existing exec housing West Durham High income areas No deprivation Above national school Good access to A1 Central Durham Durham City Brandon / Langley Moor / Meadowfield Bowburn Coxhoe Langlay Park Sacriston Ushaw Moor North and East Durham Chester le Street Pelton / Newfield Consett Stanley / Tanfield Lea Annfield Plain Peterlee Horden Shotton Easington / Colliery Seaham Murton South Durham Bishop Auckland Crook Willington Wingate Blackhall / Rocks / Colliery Newton Aycliffe (including Woodham) Shildon Spennymoor Ferryhill / Station Chilton Sedgefield Lanchester 3rd Tier Settlement Key Yes No 23