Private Sector Leasing Scheme
We're a new Empty Property Team in a Local Authority and are looking at a toolkit of solutions to deal with empty properties.
As part of the range of tools, we want to consider setting up a private sector leasing scheme but don't want to re-invent the wheel.
Have other authorities done this?
What lessons/advice could you give us?
How did you approach a PSL scheme?
Any advice you could give would be greatly appreciated.
Thanks,
Steve Eaves
Hi Steve Like you - we are
Hi Steve
Like you - we are new to looking at ways of leasing empty properties - to save reinventing what you learnt last year - I would appreciate you sharing anything useful you have found out!!
Many thanks
Private Sector Leasing
Hi
if anyone is interested in speaking to an RSL who specialise in running PSL/HALS schemes & schemes for use as homelessness prevention please feel free to contact me.
Having worked for manyyears in local authority, I now manage the Business Development Team at Pathmeads Housing Association. We currently manage over 25,000 properties, 5,000 of which are properties owned by private sector landlords and used by local authorities as temporary accommodation or homelessness prevention.
My contact details are:
Nick Caprara
nick.caprara@pathmeads.org.uk
020 89004894
and would be happy to talk to anyone about either what services we could offer in your particular area or about any other work to enable organisations to set up leasing schemes.
thanks
We found that the Private
We found that the Private Leasing Scheme didn't get the best return for potential Landlords so we use our in-house Rent Deposit Scheme. Here the landlords get full market rent and we either assist them with how to be a landlord or help them find a suitable managing agent.
RSl's and Private Sector Leasing
Hello
Has any authority had success in using an RSL as a managing agent for a PSL scheme, or found a suitable private managing agent.
If so were there any hurdles to overcome, or any incentives the Council needed to provide to make it a vaible scheme.
Thank you
Private lease Schemes
Hi
We have had a private lease scheme going for just over 6 years. We are in partnership with a relatively local RSL and the scheme whilst slow to start has been successful overall. Whilst rental is lower than open market rent the rental is guaranteed for the length of the lease so it compares to having the property with a reputable management company. We use the scheme for preventing homelessness but not as temporary accommodation as such- we expect the ingoing tenants to remain until hopefully they return to the private sector in some way. On the whole we refer interested parties to the RSL so we already know whether or not we can use the property etc. I think it has been successful becuase a) we select the properties that go onto the scheme and b) we do not use it has temporay homeless accommodation with different tenants every few weeks or months.
PSL
Hi Steve,
My name is Mark Edwards, I work for Rochdale Housing Initiative we are currently in the process of instigating a PSL scheme with a local RSL.
Scheme over view: The local RSL will offer short term (3 -4 year) leases from private owners, at 60% of the LHA level. RSL then sub lease to a household on an Assured Shorthold Tenancy (at full LHA level), RSL also guarantee's to repair any damage caused by tenant. The owner remains responsible for the structure, drains and services (owners take out insurances to cover against these issues). 3578771136}-- Properties are to an pre agreed standard, and property is returned to the owner at the end of the lease in the same condition it was taken on.
Our proposal was designed in conjunction with the RSL, and we've initially agreed for 15 property leases over a three year period. The scheme works very closely with Homeless Persons Unit and we have a nominations agreement in place.
In regards to advice, some of the schemes in the past have suffered due to quality of accommodation, repairs nominations, rent arrears and expectations of owners at end of lease. To overcome these issues, we added a range of lease clauses to give more control to the RSL, and clearly defined repairs and timescale that are the owners responsibility. We would also ensure both the RSL & LA have inspected the property prior to lease, to an agree standard. At lease end, the agreement allows the RSL to extent the lease by 6 months or cancel within 6 months. This means the RSL is not exposed to unnecessary rent loss.
This is just a brief summary of what's been designed, but not currently implemented. If you would like to discuss the details of the lease in more detail, please do not hesitate to contact me or my colleague below.
Thanks
Mark Edwards
Mark Edwards - 01706 750619 - mark.rhi@zen.co.uk
Darryl Lawrence - 01706 750619 - rhimanager@zen.co.uk