Issue - meetings
Viability Assessment of Proposals from Owners of Properties with RAAC - F&C/25/124 - to follow
Meeting: 27/05/2025 - Communities, Housing and Public Protection Committee (Item 2)
2 Viability Assessment of Proposals from Owners of Properties with RAAC - F&C/25/124
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Additional documents:
Decision:
The Committee resolved:-
(i) to note that the Chief Officer – Corporate Landlord, would issue a Service Update to members with details on offers accepted from homeowners;
(ii) to thank the Torry RAAC Campaign Group Management Committee (TRCG) and UK RAAC Campaign Group for their positive engagement in the process of identifying alternative options for owners and for granting permission to share the note of engagement via Appendix A with the Committee;
(iii) to note the contents of the Viability Assessment contained in Appendix B and that the purpose of the review was to determine if there are additional options which would meet the Council’s overall objectives;
(iv) to note that Options 2, 3 and 4 in the Report are all identified by officers as being viable and worth investigating further with all owners;
(v) to note that TRCG have expressed a view that any option which involves owners contributing to costs or sharing equity in their property will not be acceptable to them;
(vi) to note that if Option 3 is pursued there will require to be a commitment from all owners within any identified terraces of properties and that there will be a requirement to vacate properties timeously as part of the overall agreement in order to mitigate the health and safety risks;
(vii) to note the previous decisions that Voluntary Acquisition will be at Market Value (with additional supporting payments as previously agreed) and agree that all options should be equitable in so far as no single option will be more financially beneficial than any other to owners;
(viii) to instruct the Chief Officer - Corporate Landlord to write to all homeowners to advise them of the alternative options presented, in keeping with the officer modelling within Appendix B, and ask homeowners, having considered the information, to formally identify by the end of June 2025 which option they would be willing to consider; and:
In relation to the roof on roof off proposal (Option 3):
a) to instruct the Chief Officer - Corporate Landlord, in consultation with the Chief Officers of Finance, Housing and Capital, to thereafter review terraces on the site which would best lend themselves to meeting demand for the roof on roof off option as indicated by owners;
b) to instruct the Chief Officer – Corporate Landlord to progress negotiations with owners to deliver the option as identified in the Viability Assessment and enter into legal agreements as required if there is sufficient interest to undertake this option in relation to at least one full terrace where all owners are in agreement;
c) to approve the necessary spend, using the funding solution identified for voluntary acquisition, to undertake works as identified in the Viability Assessment including procuring works, supplies and services as required in accordance with the Council’s Procurement Regulations;
d) to instruct the Chief Officer – Finance to explore the options in relation to loan, standard securities and shared equity mechanisms to support owners to meet a share of costs as outlined in ... view the full decision text for item 2
Minutes:
With reference to article 3 of the minute of Council of 17 February 2025, the Committee had before it a report by the Chief Officers - Corporate Landlord, Finance and Housing, which advised that the Council had noted the alternative options proposed by the Torry RAAC Campaign Group Management Committee and instructed officers to explore the feasibility, benefits and risks associated with each option, alongside any other identified opportunities to support owners and report the findings to this Committee. The report shared the outcomes of a Viability Assessment undertaken and made recommendations for consideration.
The report also took account of the instruction to consider the landscaping options outlined in a previous report, more fully when reporting back to Committee on the viability of the alternative options presented by the Torry RAAC Campaign Group Management Committee (TRCG).
The report recommended:-
that the Committee –
(a) thank the Torry RAAC Campaign Group Management Committee (TRCG) and UK RAAC Campaign Group for their positive engagement in the process of identifying alternative options for owners and for granting permission to share the note of engagement via Appendix A with the Committee;
(b) note the contents of the Viability Assessment contained in Appendix B and that the purpose of the review was to determine if there are additional options which would meet the Council’s overall objectives;
(c) note that Options 2, 3 and 4 in the Report are all identified by officers as being viable and worth investigating further with all owners;
(d) note that TRCG have expressed a view that any option which involves owners contributing to costs or sharing equity in their property will not be acceptable to them;
(e) note that if Option 3 is pursued there will require to be a commitment from all owners within any identified terraces of properties and that there will be a requirement to vacate properties timeously as part of the overall agreement in order to mitigate the health and safety risks;
(f) note the previous decisions that Voluntary Acquisition will be at Market Value (with additional supporting payments as previously agreed) and agree that all options should be equitable in so far as no single option will be more financially beneficial than any other to owners;
(g) instruct the Chief Officer - Corporate Landlord to write to all homeowners to advise them of the alternative options presented, in keeping with the officer modelling within Appendix B, and ask homeowners, having considered the information, to formally identify by the end of June 2025 which option they would be willing to consider; and:
In relation to the roof on roof off proposal (Option 3):
1. instruct the Chief Officer - Corporate Landlord, in consultation with the Chief Officers of Finance, Housing and Capital, to thereafter review terraces on the site which would best lend themselves to meeting demand for the roof on roof off option as indicated by owners;
2. instruct the Chief Officer – Corporate Landlord to progress negotiations with owners to deliver the option as ... view the full minutes text for item 2