Decision details

To purchase 13 Bonville Close, Exeter at a value in the region of £200,000. If the sale is completed before 31 March 2021 the cost of Stamp Duty will be £6,000, and £7,500 from 1st April 2021.

To purchase 13 Bonville Close, Exeter at a value in the region of £200,000. If the sale is completed before 31 March 2021 the cost of Stamp Duty will be £6,000, and £7,500 from 1st April 2021.

To reacquire a property in an area which has been earmarked for future development. Thereby reducing future purchase costs. This property is a three bedroomed end terraced house of Non Standard Construction (Cornish Unit) which has previously undergone the necessary rectification work to make it mortgagable. It is the end unit in a row of four properties, the remainder of which are still in council ownership.

The vendors have experienced difficulty in selling as it is still attached to a Cornish Unit which has not undergone the remedial works. The council has received a request by the current owners to make an appropriate offer for the property. On the advice of the Senior Estates Surveyor an offer of £200,000 has been made, and provisionally accepted.

The Council wishes to purchase the property for the following reasons:

• Our current Asset Management Strategy states that we will dispose of one off properties away from our concentration of stock and reinvest in properties that are located within our current portfolio. This will be more cost effective as these properties will be less costly to maintain operationally.

• The immediate area around the location forms part of a larger redevelopment potential in the future, and to reacquire the property at this stage will reduce possible future costs associated with Compulsory Purchase Orders

• Acquiring the property will increase the HRA portfolio and meet rising demand for three bedroomed properties

• Our staff and contractors are familiar with the archetype for the purposes of effecting repairs and planning programmed works.

This is the best option and will seek to streamline the HRA portfolio, reducing operational costs for repairs and planned works.