Decision details
Authority to enter into contract with St. George for the purchase of 115 homes from Grand Union Phase 2
Decision Maker: Strategic Director - Regeneration and Environment
Decision status: Recommendations Approved
Is Key decision?: Yes
Is subject to call in?: Yes
Purpose:
To request approval for the Council to enter
into a Developer Agreement and Lease Agreement with St. George in
relation to the purchase of 115 affordable homes from Phase 2 of
the Grand Union development.
Decision:
That the Strategic Director Regeneration and Environment, in consultation with the Lead Member for Finance, Resources and Reform:
i) Approves entry into a contract with St George Development Ltd for the purchase of a 999-year leasehold interest in 115 affordable homes for £28.74m in respect of the Site.
ii) Notes that under the contract terms, the payments terms agreed with St George Development Ltd are as follows:
a. 10% deposit payable upon exchange of contracts - £2.874m
b. 25% deposit payable upon legal completion - £7.185m
c. 65% to be payable via monthly valuations - £18.681m
Reasons for the decision:
As detailed within the accompanying report.
Alternative options considered:
As detailed within the accompanying report.
Interests and Nature of Interests Declared:
None.
Reason Key: Signficant expenditure/savings of £500k or more;
Wards Affected: Alperton;
Cabinet/Committee Decision or Scheme of Delegation: Delegated authority.
Parties Consulted: The April 2022 Cabinet paper seeking approval to acquire the 115 affordable homes was circulated to all Ward Members. Follow up consultation with the Lead Member for Finance, Resources and Reform has taken place prior to making this decision. As part of the capital delivery of the Council's development of this site, further engagement will be undertaken with Ward Members and key stakeholders to address any issues as / when necessary.
Contact: Tanveer Ghani, Director - Property and Assets Email: tanveer.ghani@brent.gov.uk Tel: 020 8937 1722.
Publication date: 06/07/2022
Date of decision: 06/07/2022
Effective from: 14/07/2022
Accompanying Documents:
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