Tomorrow, Salford City Council's planning panel of councillors is due to consider three applications from developers which will see the city miss out on yet more affordable housing and possibly planning fees.
At the former site of British Vita Salford on Seaford Road in Charlestown, developers First Names (Jersey) Ltd and First Names Corporate Services are applying to build 136 units - 72 houses and 64 apartments.*
Salford Council rates the land as in a Mid to High value area, and, as such the developers should be paying for "affordable housing, open space and education" states the Council panning officers report.
However, because the site is judged to have not been vacated for redevelopment and its floorspace is less than the former building, "there will be no requirement for affordable dwellings on the site", the officers add.
The developers are still liable for the open space, transport and education payments, and the officers state "It is our conclusion that when adopting our values into a development appraisal that the development could afford to contribute £1.415million...However, the policy ask is less than this at £807,887.60..."
The developers, who insist their profit rates should be calculated at 11%, despite normal rates of between 8% and 10%, are offering to pay just £150,000. And, for once, the Council is not having it, recommending rejection of the application...
"The reduced sum of £150,000 as put forward by the applicant, without sufficient evidence to support their case that the obligations can be reduced or waived, is therefore considered to be contrary to DEV5 and H8 of the UDP, the Planning Obligation SPD and the NPPF" the report states.
"...the introduction of the dwellings will increase pressure on local amenities and services" it adds "There is a clear and robust policy basis for requiring contributions
which are appropriate in scale and kind to mitigate those impacts. Although viability evidence has been presented by the applicant, and this has been the basis of extensive discussions over several months, the Council's Estates team do not accept some of the figures proposed.
"The applicant's offer falls £657,887.60 short of what is considered necessary and achievable to allow the site to come forward for development" it concludes "This
shortfall would result in significant harm to the provision of local amenity and services and, therefore, the benefits of the scheme are not considered to outweigh this harm, particularly as the evidence is not considered to support a reduced contribution..."
Meanwhile, over in Eccles New Road, developer West One Residence Ltd is proposing to erect a nine storey apartment block with 140 flats, plus a six storey office block, and will contribute no affordable housing as it is located in what the Council deems a Low Value area.
However, contributions for open space and public realm are required. Nowhere in the officer report does it state how much should be paid, only that "The applicant has explained that, for reasons of scheme viability, the development cannot support the level of contribution considered by the City Council as appropriate to mitigate its impacts.
"The applicant has submitted a viability appraisal in support of their position" it adds "Following a review of the appraisal by the Council's Estates team, it has been accepted that any contribution would undermine the delivery of the development and so no contribution is being sought"...other than the £9,000 for a parking review once the development is occupied.
The Council is also including a 'clawback' clause whereby further contributions will be made "should the viability of the development improve in the future..."
And, off Trinity Way, English Cities Fund, or ECf – the Muse Developments, Legal and General, and Homes England triumvirate – is proposing to build a huge 23-storey block with 211 apartments.
As usual for ECf developments in Salford, all Section 106 payments have been suspended, with "all profits realised over a certain percentage" paid into a secret Development Trust Account (DTA)...
"This account is managed by the Council and is used to subsidise the redevelopment of less profitable plots within the master plan area" the planning officers report explains "Typically, profits are put towards the provision of public realm works and/or affordable housing..."
...Except that in all ECf developments in the area there has been no affordable housing whatsoever, with details of profits and payments not disclosed to the public...
* See also previous Salford Star article - Huge Development On Seaford Road Proposes No Affordable Housing - click here
Main graphic shows ECF Trinity Way development
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