Council Housing to the Rescue Phil Roberts and Russell Shortland - NKDC

Contents The NK District Background to investment Future programme Build standards Developments

356 sq miles 107,800 population 3,834 Council homes SHMA – 40,000 properties 40% affordable 100 Flourishing Communities North Kesteven

Background to investment Council house building fell in the 1980s & 90s 88,530 in in 2004 Housing finance regime discouraged building Growth of the enabling role supported by Government funding through Housing Corporation/Homes and Community Agency NK’s support for enabling roles through Section 106 agreements plus making free land available Investment in stock – achievement of decent homes standard

Background to investment Council remained committed to strong policy direction on affordable housing and sustainability Led to development of straw house programme in 2009 exemplar scheme Local Authority New Build Rounds in Strong position to bid – identified sites and straw house programme 35 properties £1.8m grant – remainder HRA code 4 standard Later under continuous market engagement programme 11 further properties

Background to investment All properties completed within deadlines Approximately within budget Factors in this success Right people on board Identified the sites – knew what would work and where Long term investment in the Council stock – funding available Ready to go – straw houses Prepared to work quickly Political will

NK’s future programme HRA self financing – March 2012 Housing Subsidy system Notional accounting practice to redistribute housing funding For NK - £4m annual net payment Self Financing Ends the subsidy approach One off payment - £57m Debt financed through repayment Plus £9.6m borrowing headroom Significantly better off under this approach – by year 30 - £7.7m per annum

Subsidy v self financing

NK’s future programme Housing needs continue to outstrip supply for affordable housing Limited HCA investment in the District currently Building Council housing is a key theme in the corporate plan Self financing opportunity Agreed priorities and a standard for existing properties with tenants Calculated required capital programme over 30 years compared with funding available (including headroom) 10 year £46m new build programme – 300 plus properties

NK’s future programme Key issues: Site availability Sites identified – 170 properties Surplus public sector land Regeneration opportunities Section 106 obligations Own land New build standards Fabric First

NK’s future programme VFM Affordable rents – funding back into affordable housing Agreed to reinvest RTB receipts as well Viability assessments – impact on HRA Procurement – finding cheaper alternatives Staffing resources Reviewed structures – new responsibilities and posts

Straw Bale Houses in NK The challenge: Building economically viable properties that reduce the need for space and water heating

Code 4 Houses Code 4 houses built on 9 sites All properties heated with Air Source Heat Pumps High specification Architecturally Imaginative Well received in the communities

Tenant and end user consultation said…… The Emerging “Fabric First” standard Occupants wanted... NO Unnecessary items …………………. INCLUDE Even better insulation ! Gas heating Triple glazing Better storage Improved layouts Over bath showers in houses (wet rooms in bungalows) Remote water service isolation External storage (Garden Sheds ?) Bigger bedrooms So………………………

We listened…. Improved Storage (+5%) Better layouts with furniture design Bigger bedrooms Light and rad in storage Over bath showers SureStop Remote water isolation

The technical bit ……………………………. Walls - U value 0.18 W/m2K (building reg 0.28) Ground Floor - U value 0.15 W/m2K (building reg.22) Roof - U Value - U value 0.11 W/m2K (building reg 0.16) Window - U value 1.40 W/m2K (building reg 1.6) Doors - U value 1.40 W/m2K (building reg 1.8) Air Permeability less than 5 m3/hr/m2 (building reg 15) To summarise, on average over a 25% improvement on current Building Regulation standards.

Our Air Test Results

Current Developments 6 flats – Hutson Drive North Hykeham – Started this week. 26 Mixed units – Mareham Lane Sleaford – Planning application submitted 1 st March Mixed units – Northfield Road Ruskington – Planning application submitted 25 th March

Mareham Lane Sleaford

Billinghay 2012/13

Completed 15 th March 2013 (four month build)

Any questions?