## Housing Delivery In Bournemouth

Gary Josey Director of Housing and Communities gary.josey@bournemouth.gov.uk Lorraine Mealings Head of Housing and Customer &
Deputy Director for Housing lorraine.mealings@bournemouth.gov.uk

## Overview

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Introduction to housing issues in Bournemouth
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Our emerging wider 'enabling' role
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Different models of delivery we have used
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The way forward

## Our Housing Profile

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183,500  population, 82,374 households
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Large private rented sector
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Retained stock / HRA - 5,100 rented units
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Affordability issues - home ownership and market rent
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Regeneration areas defined
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3,000 known HMOs
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4,600 on Housing Register in Housing Need
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University Town
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730 new homes p.a. in Local Plan
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Mostly windfall development
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Greenbelt and Heathland issues

## Enabling Overall Housing Supply

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Elphicke-House Report 2015 was key
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Wider 'enabling' role across all tenures
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Landlord and *developer* and *strategic enabler* roles
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Cross party support for increasing housing supply
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Housing is key to economic growth

## Development Of Affordable Housing On Hra Land

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Registered Provider in 2009
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Housing Development Team well established
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Approximately 200 units completed or acquired since 2009/10 and more in the pipeline
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Majority are new build
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Property acquisition - ex-RTB properties
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HRA and appropriated General Fund land
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Various funding sources including HRA reserves
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Open market tendered and some built in-house
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Squeeze on HRA finances?

## General Needs Duck Lane

Specialist housing

## Hmo Conversions Town Centre Vision

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Housing supply and economic growth
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Additional 1,500-2,000 people living in Town Centre over 5-8 years
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Council owned surface car-parks
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17 sites - 20 year vision
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Bournemouth Development Company is a joint venture
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Limited Liability Partnership - Council and Morgan Sindall Investments - land 
value and profit share benefits 
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Additional income benefits - Section 106 contributions, Council Tax and New Homes Bonus
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Leyton Mount and Madiera Road schemes completed
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3 schemes in next phase

## The Citrus Building (Leyton Mount) Use Of Other Council General Fund Assets

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Gladstone Mews - Community Land Trust
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Princess Road site - 110+ units, mixed tenure
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Palmerston Road site - shared ownership, 
appropriated land
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Two sites being sold for capital receipt and to maximise density
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Managed by our Housing Development Team
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Use of both HRA and PWLB borrowing

## Companies

3 housing related companies now established :-
**BBML** - Oct 14, c100 FTEs, £6.6m annual turnover **Seascape South** - Apr 15, no staff, £522k annual turnover in year 1 **Seascape Homes and Property Limited** - Feb 16

## Background To Seascape Homes And Property Limited

Large private rented sector locally, but many barriers :-

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Bouyant rental market Unaffordable rents and non benefit-reliant customers
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Overall reluctance to house homeless households due to risks
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Welfare reforms - direct payments, Benefit Cap, Universal Credit
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Additional assurances - references, rent in advance, guarantors etc.

## Aims Of Portfolio

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To discharge the Council's statutory homeless duty
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To provide **high quality and well managed** private rented properties
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To generate a **trading surplus** for the Council
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To invest in additional **public sector assets** for the longer term

## Governance

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Wholly owned company
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Limited by shares
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Council as the sole shareholder
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All dividends back to the Council
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Board within Group Company structure

## Seascape Homes And Property Limited - Phase 1 Phase 1 - Acquisition Of Existing Homes

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Purchase 110 new existing units
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£11m Public Works Loans Board borrowing plus capital receipts plus s106
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100% referrals for homelessness duty
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Council to purchase all
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Some retained within Council - non-secure tenancies
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Some to be leased on to Seascape Homes and Property Limited - assured shorthold tenancies
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HMOs and self-contained
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Cross subsidised rent levels
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Surpluses from Year 3

## Phase 2 Business Plan

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Increase portfolio
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New build properties
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Diversifying into other customer markets (non-homeless) 
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Providing a management service to private landlords
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Convert HMOs to self-contained

## The New Housing And Finance Institute (Hfi)

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External assessment in March 2016 - 'Housing Business Ready' programme
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We passed all 18 assessment criteria !
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Particular strengths :-
political leadership
officer experience track record appetite to do more
- team@thehfi.com

## The Way Forward - Final Thoughts....

- Lots more to do
- Explore different approaches and models
- The 'will' to do more
- Continually learn from others
Gary Josey Director of Housing and Communities gary.josey@bournemouth.gov.uk Lorraine Mealings Head of Housing and Customer 
& Deputy Director for Housing lorraine.mealings@bournemouth.gov.uk