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ADULT AND COMMUNITY SERVICES SELECT
COMMITTEE 16 SEPTEMBER 2004 REVIEW OF TEMPORARY ACCOMMODATION PROVISION REPORT OF THE PORTFOLIO HOLDER FOR ADULT AND COMMUNITY SERVICES |
REASON FOR SELECT
COMMITTEE CONSIDERATION
This review of Temporary Accommodation Provision looks into the range
of accommodation available for homeless households provided by Housing and
Community Support Services and makes recommendations for future service
provision.
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ACTION REQUIRED BY THE SELECT COMMITTEE 1.
To review the
options set out in this report and make recommendations where appropriate. 2.
Determine
whether further information is required from the Portfolio Holder on the
options for temporary accommodation as set out in this report. |
BACKGROUND
1. The Isle of Wight Council has a duty under the homelessness
legislation to provide temporary accommodation to households making an
application under the Acts. This
provision covers the period of time while any investigation is being conducted
and any subsequent period until permanent housing is provided, if
required.
2. The majority of households in temporary accommodation are
currently in properties leased from private landlords. These are provided to a minimum standard
required of all leased property before they are taken on. A copy of these standards is contained in
Appendix A.
3. However, in addition to these leased properties, there are
additional units of temporary accommodation, most of which the Council retained
ownership on transfer and leases to Housing Associations to manage on its
behalf. These management services are delivered in part by South Wight Housing
Association and Medina Housing Association.
4. This report covers the
following properties used for temporary accommodation:
5. It is acknowledged, that following the removal of households from bed and breakfast, the quality of our temporary provision has improved significantly. However, we are aware that the standard currently being achieved in the more traditional hostel-style temporary accommodation falls below that required of our leased properties. This is not acceptable and requires a programme of action to redress this inbalance.
6. A review has therefore been undertaken of each of these properties to judge their facilities on the basis of their current use and management, repairs needed and satisfactory provision for the clients that are housed.
7. This report deals with each of the properties in turn and
sets out the use in relation to these standards and the need for the
accommodation in the short to medium term and makes recommendations for
discussion. It then sets out the
options for future use of these premises and makes recommendations for action
to be taken by Housing and Community Support Services.
9. This property is owned and managed by South Wight Housing
Association. It was constructed as a hostel in 1994 and contains 21 rooms plus
a self contained flat (formally occupied by the site manager).
10. The property consists of 18 x one roomed accommodation with
cooking in own rooms, 2 x two roomed
accommodation and one large room. There are ten bathrooms in the property, a
communal lounge and a washing machine.
11. This property has been used as long term Temporary
Accommodation for homeless households.
12. The bed-sit units contain a combination
sink-fridge-cooker, which only works in part and therefore, in accord with
stock condition and decency standard requirements, needs replacement -
preferably, with stand-alone units.
13. Heating is by both ceiling and floor heating with a central
thermostat. This central thermostat
determines the high and low heat settings, but is not accessible by the
occupiers and as such the resident has no control in regard to turning the
heating off, or reducing it below the external setting.
14. This aside the life expectancy of this form of heating provides for a further 21 years. Generally, the property and facilities are in good order, with no physical breakdowns other than the sink-fridge-cooker units.
15. Therefore,
providing a replacement figure for the sink-fridge-cooker units as an immediate
requirement and based on an approximate cost of £800 is 22 x £800 = £17,600. In addition the cost of
an upgrade to the entire scheme electrical wiring system recommended by the
electricity supplier has been estimated at approximately £30,000.
16. The Homeless service has had initial
discussions with South Wight Housing Association about using this property as
short-term temporary accommodation.
17. A change of use to short-term
accommodation will need a review of the current terms of the management
agreement. This will involve a feasibility study into the cost implications of
staffing levels, the provision of emergency items for occupiers and a storage
area, laundry services and the costs of repairs to the property and maintaining
the units during void periods.
18. All of the above does not take into account any future
decision to reconfigure the external layout of Yarborough House in order to
provide self-contained temporary units, however this would reduce the number of
available units.
Option 1 No
change to current service provision at this hostel,
Option 2 To change the use of this hostel to short
term accommodation to meet the immediate needs of homeless households in the
area and to improve current facilities. This would need a feasibility study
undertaken into the revenue costs of alternative provision at this hostel.
Option 3 - End use of this hostel and investigate
with South Wight Housing Association provision of additional affordable housing
on this site,
Recommendation: Option 2 To use this property as short term emergency
accommodation further to a feasibility study into the cost implications
having been undertaken. To provide funding to South Wight Housing
Association for the replacement of the sink-fridge-cooker units amounting
to £18,000.
20. This property comprises 4 self contained 2 bedroom flats and a 2 bedroom bungalow owned by the Isle of Wight Council and leased to and managed by South Wight Housing Association. In the last four years South Wight Housing Association has invested substantial sums in upgrading the accommodation. The lease on this property has been extended during 2004 until January 2006.
21. South Wight Housing Association receives a revenue payment of £64,000 annually for the running costs Hillbury and Yarborough Houses.
22. Some of the flats in Hillbury House have proved difficult to let. In 2003/04 the void rents were 21.81% of the total rent collected by South Wight Housing Association.
23. South Wight Housing Association have produced an options appraisal for medium to long term provision on this site.
Option 1 - End lease in January 2006 and make a recommendation to the Portfolio Holder for Resources that this site should be handed back to Property Services for future redevelopment.
Option 2 Renew lease in January 2006 and continue with current provision of accommodation on this site.
Option 3 - End lease in January 2006 and make a recommendation to the Portfolio Holder for Resources that this site should be sold to South Wight Housing Association for redevelopment either as alternative hostel provision, affordable housing or shared ownership accommodation.
Recommendation: Option 1 Due to the need for
self-contained temporary accommodation in the Shanklin area this property
is needed in the short term. We will review the use of
this property in the medium term to ascertain if better use can be made of
the site to provide both single and family units and report back to
Members.
25. This property provides 2 self contained flats owned by Isle of Wight Council and managed by South Wight Housing Association. The properties are currently vacant and require extensive refurbishment. The site is in ownership of the Isle of Wight Council and has two additional derelict premises situated next door that are at the rear of the Esplanade Car Park next to the Cliff Lift.
26. South Wight Housing Association have undertaken an assessment of the cost of the works needed to bring the two flats up to standard. At todays cost this amounts to an investment of £30,090 to return two properties (1 x 1bed and 1 x 2bed flats) back to active use.
27. This cost does not include all of the external works which would be required to prevent the water from the cliff from flooding across the rear of the properties, making pedestrian access difficult.
28. The entire site is not an ideal location
in its present state for social housing.
The properties are not close to facilities such as a Post Office or
convenience store and there is a steep hill to the top of the cliff leading to
Shanklin Town Centre.
29. There have been a significant number of refusals of this
accommodation from homeless applicants and both units are currently void and
classified as Hard to Let.
30. The
current Management Agreement expires at the end of December 2004.
Option 1 - Renegotiate new Management Agreement in December 2004 and invest between £30,000 and £50,000 to bring these properties back into use,
Option 2 End Management Agreement in December 2004 and hand back to Property Services for redevelopment.
Recommendation: Option 2 Extensive repairs are needed
to these properties. Even though we have a need for properties in this
area, the location and management of these properties is no longer viable,
due to the current standards we are providing elsewhere. Therefore our recommendation
is that we end our management agreement with South Wight Housing
Association and hand these properties back to the Property Services
department for future site redevelopment.
32. This property is not temporary accommodation but has been included in this report as it forms part of the portfolio of properties owned by the Isle of Wight Council and managed by a Housing Association.
33. Suffolk House is owned by the Isle of Wight Council and managed by South Wight Housing Association. The lease expires on 31 December 2004. There are 8 self-contained flats, 6 of them sharing a common access.
34. The property consists of 7 one bedroom units and one two bedroom unit.
35. The property is an old building requiring substantial investment to bring it up to an acceptable standard.
36. The site is in a desirable location and if the property were to be demolished the site could be sold at a substantial profit and the proceeds used to provide better quality accommodation elsewhere in the area.
37. However there will be a need to undertake a feasibility study into the short term additional cost of providing temporary accommodation in this area if the site was redeveloped.
Option 1 - Renegotiate a short term extension to the Management Agreement in December 2004 and undertake a feasibility study into the implications of alternative provision on this site.
Option 2 End the Management Agreement in December 2004 and return the site back to Property Services for redevelopment.
Option 3 - End the Management Agreement in December 2004 and redevelop this site for affordable housing.
Recommendation:
Option 1 In order to consider the
implications of redevelopment of this site, including the possible
additional costs associated with decanting residents more time is needed. Undertake a feasibility study
into this site in conjunction with Property Services and report back to
Members on the likely short term additional costs of decanting residents if
redevelopment is considered.
39. Wrafton House is owned by the Isle of Wight Council. It is
leased to and managed by Medina Housing Association. The lease expires June
2006. The property comprises 7 one bedroom properties and 2 two bedroom
properties.
40. The Isle of Wight Council pays a management fee of £4410 per annum to Medina Housing Association for this property and Medina Housing Association collect the rent for this property.
41. An appraisal has been carried out by Medina Housing
Association to indicate the need for investment by the Isle of Wight Council to
retain this stock as Temporary Accommodation over the next 30 years. This
amounts to a capital investment of £404,850 by the Isle of Wight Council.
42. Wrafton House is a Grade II listed building within the Ryde
Conservation area and has generated significant management issues over a period
of many years. The property needs alterations to the internal facilities to
provide a better layout for residents.
43. Discussions have been held with Medina Housing Association,
who are prepared to re-provide Temporary Accommodation on a nearby site in its
own ownership.
Option 1 - Continue with lease under current
arrangements and make Capital provision for the costs of bringing this property
up to standard for long term use. Due
to the Grade II listing and costs involved the Isle of Wight Council does not
have significant capital resources for works of this nature.
Option 2 End the lease in June 2006 and hand back to Property Services for redevelopment. Alternative provision for temporary accommodation in this area would have to be found.
Option 3 - End the lease in June 2006 and make a recommendation to the Portfolio Holder for Resources that this site be disposed of and the capital receipts be used for providing affordable housing in Ryde in conjunction with Medina Housing Association.
Recommendation: Option 3 Medina Housing Association
are in the process of drawing up plans for using a site in Riboleau Street,
Ryde, in their ownership, for temporary accommodation for our use. This
site was to be used to provide affordable housing and as such Capital
Provision had been set aside for the build costs. Medina Housing Association
will therefore require Social Housing Grant for the replacement of this
site and the affordable housing units it would have provided.
45. The property currently provides 6 one bedroom properties and 1
two bedroom property. The property is a Grade II Listed Building within the
Ryde Conservation Area.
46. The property is owned by the Isle of Wight Council and is
leased to and managed by Medina Housing Association. The lease is due for
renewal September 2006.
47. The Isle of Wight Council pays a management fee of £3,430 per
annum to Medina Housing Association for this property and Medina Housing
Association collect the rent for this property.
48. The Isle of Wight Council needs to maintain a stock of one
bedroom properties in order to reach the PSA target of removing all households
from Bed and Breakfast accommodation by 2006.
49. An appraisal has been carried out by Medina Housing
Association to indicate the need for investment by the Isle of Wight Council to
retain this stock as Temporary Accommodation over the next 30 years. This
amounts to a capital investment of £323,975 by the Isle of Wight Council.
Option 1 - End the lease in September 2006, find
alterative accommodation for the residents and hand back to Property Services
for redevelopment.
Option 2 Redevelop the site as family accommodation. This may be impossible as discussions with the Conservation Officer have highlighted the fact that as this property is in the Conservation area and the costs associated with any redevelopment will be high.
Option 3 - Enter into a new lease in September 2006 and make capital provision for the immediate cost of repairs needed to bring this property up to current standards. This lease would be renegotiated to include a clause ensuring that Medina Housing Association undertake the maintenance at this property.
Recommendation: Option 3 The Housing Department would propose that
investment of £117,000 in upgrading facilities be made. The Housing
Department would also wish to renegotiate the lease on expiry and enter into a
self repairing lease. An allocation of £117,000 has been set aside in the Housing Capital
programme for works of this nature.
51. The property currently provides 1 one bedroom property, 6 two
bedroom properties and 2 three bedroom properties.
52. The property is owned by the Isle of Wight Council and is
leased to and managed by Medina Housing Association. The lease is due for
renewal December 2006.
53. The Isle of Wight Council needs to maintain a stock of
temporary accommodation in Cowes to meet the needs of homeless households in
this area.
54. Due to the high cost of development land in this area the site
is thought to be the best solution to the current need for temporary
accommodation in this area.
55. The Isle of Wight Council pays a management fee of £4410 per
annum to Medina Housing Association for this property and Medina Housing
Association collect the rent for this property.
56. An appraisal has been carried out by Medina Housing
Association to indicate the need for investment by the Isle of Wight Council to
retain this stock as Temporary Accommodation over the next 30 years. This
amounts to a capital investment of £335,550 by the Isle of Wight Council.
Option 1 - End the lease in September 2006, find
alterative accommodation for the residents and hand back to Property Services
for redevelopment.
Option 2 Redevelop the site as family accommodation for affordable housing. However there will still be a need for temporary accommodation in this area to be found.
Option 3 - Enter into a new lease in September 2006 and make capital provision for the immediate cost of repairs needed to bring this property up to current standards. This lease would be renegotiated to include a clause ensuring that Medina Housing Association undertake the maintenance at this property.
Recommendation: Option 3 The Housing Department would propose
that investment of £111,500 in upgrading facilities be made. The Housing
Department would also wish to renegotiate the lease on expiry and
enter into a self repairing lease. An allocation of £111,500 has been set aside in the Housing Capital
programme for works of this nature.
57. Local Authority Private
Sector Leased Accommodation,
58. There are currently 238 private sector leased properties which
the Local Authority has leased for temporary accommodation.
59. The Homelessness service undertakes an audit into the amount
of acceptances and is able to predict the future need for temporary accommodation.
A copy of this temporary accommodation matrix is set out at Appendix B.
60. All new properties are assessed and properties are taken on
subject to the standards for leased accommodation as set out at Appendix A.
61. Any repair matters are brought to the attention of the owner
or managing agent of the property. If the owner does not undertake repairs
through persuasion the matter is then referred to the Senior Housing Renewal
Officer for possible enforcement action.
62.
Should
enforcement action be necessary landlords are made aware that this matter can
be considered as a contractual default and termination of the lease may be
necessary.
Option 1 - Continue to map private sector leases and
make provision to replace/reduce the number of leases based upon appropriate
service need and revenue implications.
Option 2 Take No Action
Recommendation: Option 1 The Homelessness service
should continue to map the private sector leases and make provision to
replace/reduce the number of leases based on the appropriate service need
and revenue implications as necessary.
63. Housing Association
Leased Accommodation.
64. The Isle of Wight Council has entered into managing agent
agreements with the Housing Associations for 32 properties.
65. The Housing Association enters into a lease with the private
landlord, subject to standards comparable with our leasing standards being met.
66. The Isle of Wight Council makes available to the Housing
Association appropriate revenue to make the scheme viable for the landlord and
to cover the cost of management by the Housing Association.
Option 1 - End Housing Association leases as they
expire,
Option 2 Investigate whether the cost of Housing Association leases offer better value for money than private sector leases and make alterations to service as necessary.
Recommendation: Option 2 To review the effectiveness
of these schemes as an alternative to private sector leased accommodation
to see if better use of revenue funding can be made.
RELEVANT PLANS,
POLICIES, STRATEGIES AND PERFORMANCE INDICATORS
The Homelessness Strategy sets down in our Action plan that we will
investigate the use of our temporary accommodation and make recommendations for
their future use.
CONSULTATION
PROCESS
The need for a review of our temporary accommodation provision was
highlighted by the following:
In writing the report the following parties were consulted with:
FINANCIAL, LEGAL,
CRIME AND DISORDER IMPLICATIONS
The recommendations in this report do have financial and legal
implications for the Isle of Wight Council.
The cost of the immediate recommendations included in this report have
a capital investment of £246,500. The
Housing Department has set aside £250,000 Capital Finance for Temporary
Accommodation re-provision.
Where decisions need to be made by the Portfolio Holder for Resources
these will be made through the appropriate channels.
APPENDICES
ATTACHED
Appendix
A Standards for temporary
accommodation
Appendix
B Private Sector Leasing
Matrix
§
Income and Expenditure
accounts from Medina Housing Association, and estimates from Medina Housing
Association on levels of investment needed to bring properties up to current
standards,
§
Reports from South
Wight Housing Association into their provision of temporary accommodation.
Contact Point: Contact
Peter Griffiths, Housing Development and Initiatives Officer,
01983 823058, e-mail:peter.Griffiths@iow.gov.uk.