Developing Temporary Housing Solutions Mark Meehan Assistant Director Housing Demand

Background Long history in Ealing of developing new types of Temporary Accommodation - Including –a temporary to permanent scheme – Safe Haven –leasing to prevent homelessness New impetus to fund emergency alternatives to B&B, boost supply and get numbers down Context of: –Increased demand –Lack of affordable housing following Welfare Benefit Reform. –An overheated London rental market –Unprecedented financial pressures facing local government –Increasing Legal Challenges and Public scrutiny - negative LGO decision on 6 weeks

A property purchase scheme Cabinet approval in September 2013 to acquire up to 83 properties on the open market within a 10 mile radius of Ealing Borrowing to fund the purchase and business case based on B&B savings. Focusing on ex-Right to Buy properties Use of independent agents for negotiations and other private sector acquisitions Benefits include – savings, available supply, quicker than new build, long term asset value, flexible and simple to exit. –Potential problems – property prices increasing rapidly! Pot

Conversion of commercial units on housing estates Converting disused commercial units on housing estates to residential use To date 7 units were refurbished and let on 16 th December HRA funded. Generates revenue for the HRA. Improves the appearance of formerly disused and boarded up buildings whilst providing low cost TA at affordable rents.

Use of empty properties on regeneration estates Saves on security costs Area feels safer for remaining residents Leasing arrangement means the refurbishment costs can be covered by lease rent. Downside – large numbers have to be moved on at the end of the life of the scheme.

Increasing the hostel portfolio Combination of leasing arrangements and a large former Social Services building comprising 28 units Building previously used as B&B taking over as addition to TA portfolio. Delivers economies of scale, reduced overhead costs and stacks up financially Affordable accommodation rents low enough to avoid capping Under our own control and no 6 week limitation. Builds capability for a Local Lettings agency

Use of decommissioned SP schemes as hostels Burlington House – RSL owned accommodation Self contained flats Leased from Catalyst Housing Association. Limited life but several other similar schemes are now in the pipeline. Further 10 unit scheme scheduled for February 2014

Modular Homes Gained Cabinet approval in October to erect 20 modular homes on a vacant site in the borough Identifying a suitable site. Opportunities to purchase existing units. Have a consultant working on pricing and supplier options in the interim. One off capital investment of £1.155m to be funded through the HRA. Break-even after 10 years based on B&B savings. Considering modular extensions to a number of council hostel sites to increase room size and self contain units where possible (Poplars)

Self-contained nightly accommodation Like other boroughs placing households in B&B annexes – is there a West London conversation to be had on annexes? BUT - The second stage of our strategy will be to move households from annexes into more cost effective alternatives. Distorts the local market and makes procuring affordable leases even more difficult. B&B proprietors are shifting to self contained nightly paid as we move people out – we are considering offering financial incentives to convert.

Housing Association purchase scheme Looking at options for an emergency TA to perm scheme. GLA funding dependent on ASTs so scheme changed to permanent. A double advantage for us - Purchase of the expensive Roselodge portfolio and a windfall of 16 units of available accommodation. Not TA could be used to take long term residents out of TA and free up supply.

What next? - Discussion Part of West London framework agreement for acquisition of property out of London but: –How easy are boroughs finding it to make placements? –Are we robust in dealing with legal challenge? –Ideally we would facilitate moves to ASTs out of London – but how can this be achieved? –West London social lettings agency?