Lease and Repair structure help

Hello Empty Homes colleagues

We are currently looking at setting up a lease and repair scheme here at Plymouth City Council. We don’t maintain any housing stock and so would be looking to partner with a letting/managing agent – who would also deliver the renovations to a property before recouping the cost through letting. The cost to be recovered would be in the form of an interest free loan from ourselves, repayable over a number of years.

If any of you run a similar scheme, I wondered if you could share how it is structured, and specifically any forms/agreements you have in place.

Things like the initial EOI form, any pro forma for assessment of proposed properties etc., the lease agreement (one assumes between owner and LA) and any agreements that exist between you, the owner and the letting/management agent?

We are also looking to run an EDMO scheme along similar lines (not having been able to up to now as we have no way of managing the property). Any info on EDMOs run in a similar way to L&R would be great as well!

What seems a fairly simple prospect becomes complex when needing to consider covering all parties, and money being involved! I know every LA/HA/L&R package will be unique, but any info as a starting point would be appreciated. It seemed sensible to have some form of rough template to work from rather than inventing it all from scratch…

If anyone has any experience/documents/policies they would be willing to share, could you contact me direct on ray.white@plymouth.gov.uk

Thank you all in advance!

 

Forums: 
grants, loans, funding

Hi Ray,

We have previously run a L&R scheme with a charity housing provider with funding from Homes England. The scheme was set up to run between 2018 & 2021 leasing 25 properties over a 10 year period. The leasing agreements were between the housing provider and the owner as our legal team informed us that we were unable to provide lease agreements ourselves due to the rights and restrictions that come with Right to Buy however we had an SLA in place with the housing provider confirming that we had nomination rights. How we ran it was that the rental figure to the landlord was 20-30% below LHA dependant on how much work was required on the property.

If you want anymore information contact me on: amyforster@barnsley.gov.uk

Thanks

Amy