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Residential Development at properties formerly owned by the Council

Guidance Note for Consent to erect new dwelling(s) at a property formerly owned by the Council

Please note the information below only relates to self-contained new dwellings.  For consent to erect extensions to existing properties, garages, sheds etc please contact the Council's Conveyancing Manager with full details and plans of the proposal.

This guidance note is relevant where an application for planning permission has been made for residential development at an ex Council property.

If the Planning Authority grants planning permission, the consent of the Council, as the former owner will also be needed before any development can take place.  Please do not assume that if planning permission is granted this additional consent is not required. The consent of the Council as former owner is a totally separate issue from planning consent.
 
When Council property is sold typical sale documentation says that consent for any new building or structure is required. Such consent shall be at the discretion of the Council and subject to such reasonable conditions as the Council thinks fit.
 
Whilst the Council if asked for its consent will not seek to be unreasonable it will seek to impose affordable housing conditions on such consent where appropriate.  The reasons for this being
  • Affordable housing is one of the Council's top priorities.
  • The Council acts as a Housing Authority for a district that has an identified and pressing housing need.
  • The land proposed to be developed was either originally acquired from the Council as part of a major government initiative to make owner occupied housing available at affordable prices and/or is part of a Council housing estate.
  • It is therefore not considered unreasonable to ally consent to an obligation to provide affordable housing.
It is not the Council's intention in seeking to impose affordable housing conditions to remove all profit element from the proposal and during negotiations the Council will take into account the reasonable development costs and any diminution in value of the existing property
 
The process for obtaining Council consent will be as follows:-
 

Property for sale (at a discount):

  1. Applicants to produce at their expense an open market valuation of the proposed new dwelling(s) by a local Chartered Surveyor acting independently of the parties and who certifies that the Council can rely on that valuation.
  2. Agreement is reached between the Council and the applicant regarding an affordable sale price for the dwelling that will be less than open market value.
Once consent is forthcoming: -
  1. The new dwelling can be built and sold at an affordable discounted price and that same discount expressed as a percentage of the open market value will be applied to all future disposals.
  2. The purchaser to be approved by the Council's Community & Housing Manager.
The Council's aim is to provide affordable housing by means of discounted sale.  As an alternative to the above procedure the applicant may ask for the discounted sale restrictions to be applied to the existing (ex Council) property instead of the new property thereby allowing the new property to be sold free of any restrictions imposed in return for the Council's consent.
 

Property for rent (at affordable rents)

Where property for rent is to be provided the Council prefers a Registered Social Landlord (Housing Association) to be involved.  Applicants are invited to discuss their individual case with the Principal Strategy Officer, Community and Housing  Group.
 

Further information

Please contact the Property Services Manager at NPS North West Ltd  Aynam Mills, Little Aynam, Kendal LA9 7AH (Agents for South Lakeland District Council) for valuation issues and general information, the Conveyancing Manager for legal matters and the Community & Housing Manager for consent to occupy affordable housing.