Reference : Housing ( Investment & Property ) Sub-Committee - Lewisham
Council - 9th June 1999. Part 1 Agenda, Supplementary Agenda, Item 5
- Pepys Estate Action Update Part 1 - Contributors Director of Housing,
Head of Law.
In June 1992 Housing ( Development ) Sub Committee approved the submission of Pepys Estate Action bid, including a Community Refurbishment Scheme ( C.R.S ) to the Department of Environment ( D.O.E ). Phase One of scheme was approved by the D.O.E in December 1992. Subsequent approval for Phase Two was granted in September 1994. The estimated total cost of the scheme is 28.658m plus 1.85m for CRS. Including partnerships with Family Housing Association and Deptford City Challenge, the overall scheme resources total 39m. The Government Office for London has extended the Estate Action Programme for two additional years without any alterations to the funding. The Pepys scheme now runs from 1992 to 2001.
There are two areas which have to be considered :-
Releasing money for further work through disposal of Aragon Tower
There are three possible options for Aragon Tower :-
1 - Carry out refurbishment as planned. No additional funds would be
generated through this option.
Option 2 and 3 above would release over 3m for much needed repairs and
security work.
We would need to start talking to GOL and to look further at the details.
The current occupants of Aragon Tower were fully consulted and in agreement.
Officers recommend that the residents of Aragon Tower are now fully consulted
about disposal, that the possibility of disposal is now investigated in detail and that GOL is approached about the possibility of changes to the programme.
In terms of redevelopment and new build by a Housing Association, several options were considered. These involved two mian areas where there might be aesthetic and environmental benefit for demolition of the existing buildings, and the possibility of increasing the provision of 4/5 bed family housing with gardens.
The most ambitious of these schemes would involve the demolition of 128 flats and the provision of 67 four-bedroom houses.
The approximate total costs of such a scheme would be 7.3m. On the assumption that these new homes would be social housing, approximately 50% of this could be met by Approved Development Programme grant. Members wouls need
to prioritise ADP resources for the relevant financial year.
There are clear limitations and reservations in respect of these development
options :-
Demolition and relocation costs would be substantial.
The residents group were not in favour of any of the redevelopment options,
however, officers recommend that consultation now takes place with residents
as a whole to establish their views on the proposal.
10. Government approval
Any substantial changes to the current Estate Action Programme would require
the submission of a new Form B to the Government Office for London.
13. Consultation
This review was conducted in association with a small group of residents
specifically elected from the Pepys Regeneration Forum. The findings of the review have been reported back to the PRF. There has, as yet, been no estate wide consultation on any of the options contained in this report. On 28th May 1998, the PRF recommended that the Estate Action works to Pepys Estate should proceed without alteration. Any further progress on the review will be taken in full consultation with residents of the estate.
Housing ( Investment and Property ) Sub Committee - Pepys Estate Action Review - Contributions Director of Housing - 28th October 1998.
It is recommended that :-
3.1 Members agree that officers prepare a new Form B for submission to the Government Office for London.
3.2 Members agree that officers explore further the possibilities for the disposal of Aragon Tower with both Housing Associations and private developers, and continue to consult with the residents about its future.
3.3 Members agree that officers consult residents about the future of their blocks, and possible further redevelopment options.
In June 1992 Housing ( Development ) Sub Committee approved the submission of Pepys Estate Action bid, including a Community Refurbishment Scheme( C.R.S ) to the Department of Environment ( D.O.E ). Phase One of scheme was approved by the D.O.E in December 1992. Subsequent approval for Phase Two was granted in September 1994. The estimated total cost of the scheme is 28.658m plus 1.85m for CRS. Including partnerships with Family Housing Association and Deptford City Challenge, the overall scheme resources total 39m. THe Government Office for London has extended the Estate Action Programme for two additional years without any alterations to the funding. The Pepys scheme now runs from 1992 to 2001.
a) Housing Associations
Following members instructions from 4th June 1998 ( HIP Sub Committee ) officers have started initial investigations into a possible transfer to Housing Associations. The response has been positive. In terms of a transfer to HA, initial investigations indicate that, assuming a transfer at a nil value, it would be possible for a HA to refurbish the block to a high standard and charge affordable rents without the use of any ADP Grant. This would allow affordable rents without the use of any ADP Grant. This would allow affordable rents and assumes 20% of existing tenants remaining and 80% new HA assured tenancies. This would also release the 3.2m allocated for Aragon to be spent elsewhere on the estate.
A number of private developers have expressed interest in purchasing Aragon
Tower as a vacant premise. The estimated sale price is between 1m & 2m.
This could result in a usable Capital Receipt of up to 0.5m ( only 25%
of Capital Receipt may be used by the Council with 75% going towards dept
redemption ). There would be no nomination rights and once again the
3.2m budget for Aragon could be reallocated to other parts of the Estate
Action Scheme.
5.3 Officers feel that the positive response from residents, Housing Associations & Private Developers indicate that we should review the remaining Estate Action Programme looking at all remaining areas of the Estate and progressing with the investigation of the disposal of Aragon Tower.
GOL has agreed to a reprofiling of the Estate Action Programme for the
current financial year and has agreed to a review of the scheme on the
understanding that we keep within the original budget. Any substantial
changes to the current Estate Action Programme would require the submission
of a new Form B.
7.1 Tenants and residents will be consulted with from now until January over a range of possible options for the Estate. Shaw Sprunt, the Estate Action consultants, will take a role in this and will produce a number of proposals in line with tenants and residents choices. Officers will report back to the Committee in January or February 1999 with options for a new Form B submission.
Targeting resources to the Pepys Estate has significantly benefited a large number of residents, many of whom are from sections of the community which may suffer disadvantage.
8.1 There are no specific legal implications at this stage of the report.
However, legal implications may arise upon any decision to proceed with the disposal of Aragon Tower.
8.2 Members are reminded of the need to have regard to Wednesbury principles
of reasonableness and take into account all relevant considerations and
disregrad all irrelevant considerations in reaching their decisions.
Aragon Tower - a new deal for Aragon Tenants - August 1998 ? A leaflet to Aragon residents from Pepys Neighbourhood Office, 1A Eddystone Tower, Oxestalls Road, Deptford, London SE8 3QU.
Many homes on Pepys Estate have been transformed by Estate Action works in the last few years. Now its time to look at Aragon Tower to see how we can get the best possible deal for the tenants there. The Council have produced this newsletter to tell you what the options are and how you can benefit.
More Money for Better Housing
As part of the Estate Action scheme we have agreed 3.2 million to refurbish Aragon. However, when we recently carried out a review on Pepys Estate we realised that there may be better ways of using the money, so that more homes can be improved, and tenants can have more choice about the kind of homes they live in.
The Option to Sell
One option is to sell Aragon Tower and use the Estate Action money to refurbish the parts of Pepys Estate that still need work done to them. This could make an enormous difference to the estate, and give greater benefit to more people.
.....
How would Aragon Tenants Benefit ?
If Aragon Tower was sold, tenants would then be rehoused. They would remian Council tenants and could choose to live :
in another part of the estate
Many tenants would prefer to live in a hous or in a low rise block, and might be glad to leave Aragon Tower. Those who like living in a high rise block would be able to move to another similar tower on Pepys Estate if they wanted. Some tenants might choose to join a home ownership or joint ownership scheme.
Aragon Tower Newsletter - Aragon Tower Proposal - October 1998
128 responses were received from a total of 144 units.
The results of the questionnaire indicate that a majority of residents are in favour of investigating the proposals put forward in the last newsletter.
Why review the programme now ?
We are currently reviewing the Estate Action Programme in order to ensure that the remaining Estate Action works best meet the needs of the estate and its residents. The current Estate Action scheme was developed 7-8 years ago. Since then, both residents' priorities and opportunities and policies in social housing have changed markedly.
Other major Estate Action schemes ( Evelyn and Milton Court ) have been
reviewed and altered in the light of experience, and demolition and rebuilding
has often proved more cost effective than refurbishing existing buildings.
Redevelopment also gives some local residents the opportunity to move to new houses with gardens, built by a Housing Association.
Through the review, residents will have a chance to have a say in what sort of housing they would like to have on the estate in the next millennium.
What are the options ?
Option 1 - The estate action programme continues unchanged.
Option 2 - Aragon Tower is sold to a Housing Association and refurbished
to release 3.2m for expenditure elsewhere on the estate.
Option 3 - As option 2, with Limberg, Dolben, Barfleur and Albemarle Houses
demolished and redeveloped to create around 120 new homes.
Option 4 - As option 3, with Marlowe and Millard also demolished and redeveloped to create around 180 new homes.
No decisions have yet been made about any of these options. Following the consultation, Housing Committee will decide which Option is chosen, based on local residents views.
Rehousing - If Option 2, 3, or 4 is chosen tenants who have to be moved will be rehoused. The Council would buy back leasehold property and rehouse the leaseholders if they so wish.
Informatiom for Pepys Estate Residents - prepared by tenants opposed to the Councils proposals
In Aragon ... the Council's Questionaire asked if tenants wnated to move, yet the Council are uisng the results to argue that tenants are committed to the slae of the block. The Questionaire was misleading and flawed. Officers conducting the survey could not answer even the most basic questions from tenants. People had a very limited time to consider questions that could influence the rest of their lives.
The Council failed to make clear ...
1 - Any transfers could take years rather than months.
Two of the blocks that are to be knocked down have had money spent on
refurbishments. There is 3.2m waiting to be spent on Aragon and more for Barfleur and Albemarle. This would greatly improve the properties and their residents' quality of life. It has elsewhere.
The Neighbourhood Committee voted to stop the current consultation process and make the Council start again on an honest basis.
Who makes the final decision ?
The final decision ... will be made by councillors at Hosuing Committee in the Spring. It will be based on residents' views. If the majority view is that residents do no want to move, the the scheme is likely to continue as orginally planned.
If there is a shortaged of housing, why is the Council suggesting demolition or disposal of some of the blocks on the Estate ?
It would be more accurate to say that there is a shortage of some types of housing - particularlay low rise family housing with gardens. Demand for homes in the Pepys Neighbourhood is the lowest for any Neighbourhood in Lewisham, whilst supply is greater than any other.
Why is the disposal of Aragon Tower being considered ?
High rise accomodation is generally the least popular choice for housing
applicants. The disposal of Aragon would release over 3m which could be spent on further improving the rest of the Estate.
Why are Albemarle, Barfleur, Limberg, Dolben, Millard and Marlowe being
considered for demolition ?
... demolition of Albemarle, Limberg, Barfleur and Dolben ... would enable all the unused underground garages on the Estate which are untouched by the current Estate Action scheme to be demolished also and a large site created for low rise housing with gardens. Millard and Marloew have not yet had Estate Action carried out to them, and their demolition would create a further housing site.
We would be happy to stay in our block as long as the improvement works were carried out and it was regularly maintained and repaired.
Money is available to finish the Estate Action Programme, and if it is the view of the majority of residents taht ehy do not want their blocks demolished, it is likely that councillors will decide to continue with the existing programme.
Will we have a right/guarantee to return to the estate once any redevelopment
has been completed ?
For anyone who wants to stay on Pepys Estate, there is a high probability that a suitable home could be found ... If tenants wish to return to a new home on the Estate then the Council will endeavour to enable as many people who want to do so as possible.
Will we have gardens ?
Not all new properties will have gardens as some will be flats. However,
residents will be involved in the design of the new homes.
What type of new homes will be available ?
Any re-development would include one, two, three and four bedroom properties,
some with gardens.
Page 1 - 4. Background
Page 4 - 9. Options for review
Further demolition and rebuilding.
9.1 Aragon Tower
2 - Investigate the possibility of disposal to a private developer.
3 - Investigate the possibility of transferring the block to a social landlord.
Option 2 would involve decanting/leasehold acquisition costs which would reduce the budget available.
The Review Group established by the Pepys Regeneration Forum was not in favour of option 2 but felt that option 3 was worthy of consideration with the following provisos :-
There was no compulsory rehousing.
Similar tenancy conditions were agreed with the new social landlord.
9.2 Further demolition and rebuilding
Albemarle, Barfleur, Dolben and Limberg.
Marlowe and Millard.
Estate Action works have already been carried out to some of the blocks
concerned.
Some of the blocks have a reasonable environment and are not badly sited.
The funds released by not carrying out the works would not be substantial.
Funding for the new build would need to be obtained.
This report sets out the results of the review of the future of Aragon Tower as part of a review of the whole Pepys Estate Action Programme and the options available for the remainder of the scheme.
3.0 Recommendations
4.0 Background
5.2 Options for Aragon Tower Disposal
b) Private Developers
6.0 Government approval
7.0 Timetable for New Form B Appraisal
11.0 Equality Implications
Housing ( Investment and Property ) Sub Committee - Pepys Estate Action Review - Legal Implications. Contributor - Director of Housing, Principal
Housing Lawyer - 28th October 1988.
8 Legal Implications
in another part of the neighbourhood
anywhere in the borough
alternatively they colud choose to be moved by a Housing Association
Majority Say Yes
91 residents were in favour of the proposals.
34 residents were not in favour of the proposals.
3 residents were undecided about the proposals.
95 residents want to move.
30 residents do not want to move.
3 residents are undecided about moving.
63 residents were interested in being housed by a Housing Association.
56 residents were not interested in being housed by a Housing Association.
9 residents were undecided about being housed by a Housing Association.
Pepys Estate Action - Update - leaflet February 1999
2 - Any money received may be set against rent arrears.
3 - ... Not easy ... to move where people want to go, there is a shortage
of houses with gardens.
4 - HA rents are higher and rising faster - in 1996 the average rent of
3-bed property in Lewisham was 55.56 whereas the equivalent HA rent was
71.12. Also Council rents increased 4% between 1995 /1996 while equivalent increase in HA rent was 17%.
5 - HA properties are lees secure - it is easier to be evicted.
6 - Your succession rights may differ.
7 - HA's are not accountable to tenants - but to the people who fund them. HA's are more vulnerable to market conditions.
The Council has said ... HA's will have more money for repairs. The truth is that the future for housing funding is very unclear and funding of HA's had gone through more fundemental changes over the last twenty years. HA's and Councils have the same responsibility to carry out repairs regardless of funding issues. Neither HA's or Councils currently have vast sums for housing improvement. Repairs are paid for out of rents, the less that comes in the less there will be to spread around.
Pepys Estate Action Review - Questions and Answers