Issue - decisions

RESOLVED

(i)            That the Business Case be approved and the set-up of the Property Development and Property Holding companies agreed, as proposed in the Business Case to enable the delivery of affordable rented homes in the Horsham District.

(ii)           That the Director of Community Services, in consultation with the Cabinet Member for Community and Wellbeing, be authorised to draft and agree:

a.    The Articles of Association of the Companies, the Shareholders’ Agreement between the Council and the Companies and any other necessary agreements required between the Council and the Companies.

b.    The appointment of the initial Company Directors of both companies.

c.     All further legal documentation necessary for the set-up of both companies.

(iii)          That the Property Development and Property Holding companies may undertake commercial activities to develop affordable housing for rent and to manage the same, subject to approved site specific business cases.

(iv)          That it be noted that decisions will need to be made on the following issues by Council later in 2019:

a.    The approval to dispose of Council owned land to the Development Company

b.    Allocation of S106 funds to the Property Holding Company to acquire the completed affordable housing units

RECOMMENDED TO COUNCIL

(v)           That approval be given for £500,000 equity funding to be provided to the Property Development Company.

REASONS

(i)            To increase the delivery of affordable housing.

(ii)           To make the best use of Section 106 Commuted Sums.

(iii)          To provide a financial return to the Council for reinvestment in the District.