Thanet council plans to buy 31 affordable rent homes at a housing development in Margate.
The properties at Nash Road have been offered by developer Bellway which says it has been unable to secure a deal with an affordable housing provider (housing association).
The 9.3 hectare agricultural site off Nash Road was taken on by Bellway Homes in 2022 after outline permission was granted for the scheme. Proposals were initially lodged with Thanet council in 2016 by Piper Developments. Despite a decision to ‘defer and delegate’ approval to officers in August 2017 that outline permission took until February 2022 to be granted.
The controversial application for ‘Navigators Walk’ had provoked opposition for reasons including environmental concerns and the reduction of affordable homes from 30% (75 homes) to 18% (45 homes). Concerns were also raised by neighbouring St Gregory’s Primary that changes to the road layout near the school will cause problems for current vehicle and pedestrian access and there will be a danger of speeding vehicles in front of the school.
Council homes
Now Thanet council plans to buy all the units allocated for affordable rent for £4.275m and £574,250 for associated costs.
A report to TDC Cabinet members, who are due to meet next week, says: “Officers were contacted by Bellway, owner of the development known as Nash Road Margate, who are required to deliver 18% affordable housing on site following negotiations.
“As per policy 70% of this is required to be affordable rent this being 31.5 units. The remaining units will be delivered as shared ownership. We have offered on 31 new affordable rent homes. “They have been unable to secure an affordable housing provider to deliver these homes.”
Officers say the purchase would generate a cash flow deficit in year 1 of £47,960 with a break even point in year 16 and surpluses between year 16 and year 50.
The homes bought by the council will be allocated to households on the council’s housing waiting list or those living in temporary accommodation.
The mix of properties will consist of 12 x one bed units; 16 x two bed units; 2 x three bed units and 1 x four bed units.
Bellway Homes says the development will be ready for the first residents to move in from Autumn 2024 to 2025.
Lettings Plan
The report says: “A local lettings plan will be agreed to ensure that 50% of the homes are let to people moving out of temporary accommodation, with the remaining homes let to priority applicants from the council’s Housing Register.
“It is also proposed that they are let at an affordable rent, in line with the council’s approved Tenancy Strategy. The Tenancy Strategy defines an affordable rent, as a rent that is no more that 80% of the local market rent and does not exceed the relevant Local Housing Allowance rate.”
Thanet council plans to buy or build at least 400 new homes by 2027. It has already secured more than 200 homes since last July. Other purchases secured include at Spitfire Green, Reading Street, Tothill Street and Northwood Road.
The purchase will be discussed at a Thanet council Cabinet meeting on April 25.
