Decision Maker: Cabinet
Decision status: Recommendations Approved
Is Key decision?: Yes
Is subject to call in?: No
The Council is seeking to acquire 73 units at Zodiac Court, London Road in West Croydon. The residential units will be used for Temporary Accommodation and will be held in the HRA.
The report will seek approval to acquire the freehold of the building subject to completion of all necessary legal and property due diligence.
The Executive Mayor and Cabinet RESOLVED;
2.1 To approve that the Council acquire Zodiac House, which consists of 73 residential units, at the value stated the Part B report; and enters into an agreement for lease and a 999-year lease with the developer (Zodiac II Limited).
2.2 To approve that the Council acquire the associated public garden space and Community building, at the value stated in the Part B report, once all works related to the site are completed by the developer and the developer has found a suitable community group tenant for the community building; and enter into an agreement for lease and a lease for 999 Years with the developer (Zodiac II Limited), which will be subject to an underlease assigned to a community group tenant.
2.3 To approve that the Council enter into any other associated and ancillary agreements or documents to give effect to the recommendations set out in this report and to comply with the terms of the leases, including as follows: • Deed of covenant regarding the adjacent party wall rights; • Third party rights letters regarding the construction contracts; and • Capital Allowance Election regarding tax election to HMRC.
2.4 To approve that the Council draws down up to £5.1m from the Local Authority Housing Fund Round 3 (LAHFR3) to help fund this acquisition.
2.5 To approve the use of Right to Buy monies for acquisition of Zodiac House as detailed within this report.
Report author: Beatrice Cingtho-Taylor
Publication date: 23/01/2025
Date of decision: 22/01/2025
Decided at meeting: 22/01/2025 - Cabinet
Accompanying Documents: