New Build Opportunities & Challenges A Presentation to NFA Conference Paul Stephenson, CEO 16 July 2014
New Build Opportunities & Challenges How it Started: 3* ALMO following Audit Commission Inspection January 2007 Asset Management Strategy identified regeneration potential CBH aspiration to develop and own stock Mandate from CBC in March 2007 for St Paul s Regeneration Inclusion of ALMOs in 2008 2011 HCA Affordable Homes Prog.
New Build Opportunities & Challenges Initiation Stages Phase 1: ALMO Owned Homes Secured HCA Investment Partner status Sourced Development Agent for access to Consultant/Contractor Frameworks and IMS Secured grant allocations of 3.38m for CBH for 2 schemes at social Rents and with part affordable home ownership Achieved social housing Manager status from Audit Commission
New Build Opportunities & Challenges Whilst in the background: Secured CBH Board and CBC Officer, Cabinet & Council support Appointed Consultants and Contractors from approved Frameworks Progressed schemes through consultation and planning Agreed developments as CBH homes funded through HCA grant, free land from CBC, Capital subsidy (CBC) and affordable loan (PWLB) Completed legal documentation and secured approvals to commit to site
New Build Opportunities & Challenges Brighton Road 8 Unfit non-traditional houses 7 let and 1 in private ownership Acquired freehold interest of single private property Re-provided 12 houses (2b & 3b) and 4 bungalows (2b) Introduced highway improvements
Brighton Road
New Build Opportunities & Challenges St Paul s Phase One Neighbourhood Renewal Assessment Clearance & redevelopment of 2 sites Split into 2 Phases due to market in 2008 44 homes cleared under Phase 1 30 new houses and flats for social rent and 18 houses and flats for affordable home ownership
New Build Opportunities & Challenges Transformational Improvements Uplifting retained homes Works to facades and external environment Design styling to match the new build Full participation in first phase by 93 households (including 13 in private ownership funded by CBC)
St Paul s Regeneration Phase 1
48 New Homes
New Build Opportunities & Challenges Building on Success Phase 2: More ALMO Homes Approval for more CBH homes now for affordable rent Unsuccessful 2008-2011 bid, but referred by HCA to DPP (Delivery Partner Panel) Tendered further 3 schemes secured Developer Grant for St Paul s Phase 2 and pre SOS secured HCA grant for Garage Sites Ph.1 Progressed both schemes on same funding basis
Garage Sites
Garage Sites
St Paul s Phase 2
St Paul s Phase 2
New Build Opportunities & Challenges A Change of Direction: The Future Utilisation of HRA freedoms Commitment of Right-to-Buy receipts Ongoing active asset management HRA capital and revenue surpluses Keeping the returns in-house!
New Build Opportunities & Challenges Phase 3 Developments: Initial 3 projects as first new homes for CBC Funded through HRA subsidy, RTB retained capital & Affordable Loan (PWLB) Potentially at affordable rents Further development pipeline covering: Unfit non-trads Sheltered housing investment CBC land assets within Joint Core Strategy
New Build Opportunities & Challenges Finance Flexibility within HRA Headroom Accumulated receipts (RTB) Availability of long term finance Commitment to reinvest surpluses across stock, services and development of new homes
New Build Opportunities & Challenges Partnership CBC and CBH of like mind Supportive Executive and Councillors Joint Programme Group to monitor and manage regeneration and investment Extending perspective further into future
New Build Opportunities & Challenges Challenges Being clear about CBH role Best use of reserves and available capital Affordability (AR vs SR) Building upon success
New Build Opportunities & Challenges Recognition for St Paul s Phase One: Winner RTPI Awards 2014 Exemplary Planning to Deliver Housing Winner RTPI Awards (South West) Planning Excellence Winner RTPI Awards (South West) Overall Winner Cheltenham Civic Awards 2013 Improvements to Existing Homes Cheltenham Civic Awards 2014 New Build Social Housing Highly Commended Housebuilder Awards 2013 Highly Commended National Housing Awards 2013