Where’s the s106 money and the affordable housing Mr Pownceby?

On the 3 May 2016, Y15/1154/SH came before the planning committee. The applicant was David Pownceby, of Development House Limited. At the time he was the secretary of the company, his wife was the sole shareholder, and the only company director was Terry Marsh (pictured), according to Companies House.

The application was for 36 flats, 3 blocks of 12, on the former Encombe House site in Sandgate. Which later became known as Sandgate Pavillions.

Sandgate Pavillions – Encombe – Google My Maps

Y15/1154/SH – Applicant: Development House Ltd a company owned by Sunningdale House Developments Ltd

There is a time lapse video of the Pavillions being built. The prices for the flats started at £675,000 and reached a whooping £1,750,000. As such there was no desire for “affordable housing” within this development.

In the Committee Report which went before the Cllrs on 3 May 2016, “affordable housing” is discussed at 8.90 to 8.99, on pages 38 and 39 of the committee report. At 8.93 it states:

Under current policy the proposal would still require the provision of 30% affordable housing on the site but policy and supplementary planning guidance does give an opening for the developer to provide an alternative off-site provision if the Council is agreeable to this and a betterment of the affordable housing obligation would result.

The report goes onto says:

In this case the applicant has had some discussion with officers with respect to a site that they have acquired in Tram Road, Folkestone. This site has planning permission for the construction of 14 flats. [Y13/0858/SH – Outline application (with all matters reserved) for the redevelopment of the site for 14 residential units, with associated parking, following demolition of existing building – Approved with conditions and $106 agreement 11 March 2014.]

8.95 The applicant is minded that they would like to bring forward this Folkestone site for 14 flats, build the development and transfer it to a Housing Association in lieu of the 11 affordable housing unit obligation for the Sandgate development under consideration, together with the Tram Road development’s own requirement for the delivery of 2 affordable housing units. This scenario would provide the Council with an increase of one additional affordable housing unit over the number of units that would be delivered if affordable housing units were built on the application site.

8.96 Whilst officers are minded that the Tram Road development would be acceptable in lieu of an on-site affordable housing provision, that development cannot be tied at this time within the $106 obligation for the Sandgate development. (The reserved matters planning permission needs to be granted but has been submitted and is currently under consideration.) Furthermore the legal agreement would also always need to cover a situation where the Tram Road development does not come forward for whatever, as yet unknown and unexpected, eventuality. Therefore a monetary obligation for affordable housing, based on a broadly equivalent value to the units on the Encombe site, needs also to be secured in accordance with planning policy.

8.97 The outcome of this matter is that officers have requested that an obligation of £1,716,000 be agreed in the S106, in lieu of onsite affordable, but are minded that the $106 agreement include a caveat to allow for an alternative provision to be agreed later subject to a further Deed of Variation.

8.98: On this basis therefore the applicant has agreed to the payment of the financial figure [£1,716,000] above subject to the amount being paid in three amounts tied to triggers of 50% occupation of each of the three blocks. [at Sandgate Pavillions]

On the 2 Feb 2016, David Pownceby (above) of Sunningdale House Ltd submitted a planning application for 14 “affordable homes” at Stoneleigh House, Tram Rd Folkestone – Y16/0333/SH.

Stoneleigh House – the white building

Y16/0333/SH was validated on the 31 March 2016, one month prior to Y15/1154/SH, being approved by the planning committee.

The Y16/0333/SH application was for:

Erection of an apartment building of 14 no. affordable housing residential units with associated parking (following the demolition of Stoneleigh House [Tram Rd]) and parking provision for George Stone House.

When one looks at this application for affordable housing, the first thing which strikes you is, the company making the application – Sunningdale House Ltd did not exist at the time of the application, according to Companies House.

The company was incorporated on 28 July 2020, according to Companies House. How could a company which didn’t exist at the time of the validation of the application on the 31 March 2016, for 14 affordable homes at Stoneleigh House Tram Rd, Folkestone, be valid? Especially as the application form states:

How could anyone say that the “facts stated” were “true and accurate” when the company making the application did not exist, according to Companies House?

Furthermore, the release of the s106 money, in three parts relating to 50% occupancy of each pavillion, (£572,000, times three equals  £1,716,000), should have happened in 2022, as that’s when 50% occupancy occurred in each of the Sandgate Pavillion’s.

Now it’s possible to see what s106 money the Council received from what developments, as these can be found in the Infrastructure Funding Statements produced by Folkestone & Hythe District Council. Below are the three statements for 2020, 2021 and 2022.

FHDC_Infrastructure_Funding_Statement_2020_Adopted

FHDC Infrastructure_Funding_Statement_2021_Adopted

FHDC Infrastructure_Funding_Statement_2022  Adopted

Now as the 50% occupancy rate only happened in 2022, it’s possible that Development House Ltd, who built out Sandgate Pavillions, might show up in the FHDC Infrastructure Funding Statement for 2023. That said, if Development House Ltd & Sunningdale House Developments Ltd go into administration, on or around the 17 August as has been made clear by the creditors, then it’s likely the Council may not get paid any s106 money at all, for the “affordable housing“, if it hasn’t been paid.

It’s self evident Sunningdale House Ltd have not fulfilled their obligations to build 14 “affordable homes” at Stoneleigh House, Tram Rd, Folkestone; which sits in the most deprived ward in Folkestone.

David Pownceby, the applicant for both applications – Sandgate Pavillions and Stoneleigh House, via two different companies, might escape paying the s106 money of £1,716,000, and not building 14 needed “affordable homes“. 

          

Given the ward where Stoneleigh House, Tram Rd Folkestone sits, is controlled by two Labour Cllrs, Cllr Nicola Keen (above left) and Cllr Bridget Chapman (above right), we’d urge them most strenuously to intervene and ask questions urgently, otherwise David Pownceby, who we’ve written about quite a lot of late, might just escape his legal responsibilities and screw over our Council.

Let’s hope that doesn’t happen and the said Cllrs get onto the case, sooner rather than later.

If you have any information about Development House or Sunningdale House Developments Ltd or any other company which David Pownceby has been involved in, please feel free to share it with us. We never divulge our sources

shepwayvox@riseup.net

The Shepway Vox Team

Journalism for the People NOT the Powerful