Agenda item

To approve the use of the Council’s Compulsory Purchase powers to acquire land and property required for the Grove Lane Towns Fund project at Cranford Street, Smethwick.

Agreed:-

(1.1)  that Cabinet authorised The Director – Monitoring Officer:

(a)     to make a Compulsory Purchase Order under Section 226 (1) of the Town and Country Planning Act 1990 as amended by Section 99 of the Planning and Compulsory Purchase Act 2004, Acquisition of Land Act 1981, and Section 13 of the Local Government (Miscellaneous Provisions) Act 1976 to be known as The Borough Council of Sandwell (Cranford Street, Smethwick) Compulsory Purchase Order, in respect of approximately 1.67 hectares of land bounded by land to the south of Cranford Street as shown edged red on the attached Drawing SAM/12980/005 or such lesser land as may be deemed necessary and also including the air space above an area lying to the north and south of the development during the construction as shown on Drawing SAM/12980/005.

(b)     to use the Council’s Compulsory Purchase powers to acquire land and property required for the Grove Lane Towns Fund project at Cranford Street, Smethwick.

(c) to take all necessary action to secure the making, confirmation and implementation of the Compulsory Purchase Order; and, if objections are received to the Compulsory Purchase Order, to make arrangements for public inquiries, including instructing external Counsel and Consultants to assist in the preparing of evidence and the presentation of the Council’s case at any public Inquiry.

(d) in the event of the Compulsory Purchase Order being unopposed, and the Council thereby being granted powers to do so by the Secretary of State for Levelling Up, Housing & Communities, to confirm the above order and serve all necessary notices to implement the Compulsory Purchase Order, including the issuing of sheriff warrants.

(e) to prepare and seal the necessary documents in connection with the CPO and submit the CPO to the Secretary of State for Levelling Up, Housing & Communities to confirm.

(f) to enter into any licences, undertakings or other agreements to facilitate the Compulsory Purchase Order, on terms to be agreed by the Director of Regeneration & Growth.

(g) in the event of the Compulsory Purchase Order being confirmed by the Secretary of State for Levelling Up, Housing & Communities, to serve all necessary notices to implement the powers of compulsory acquisition, including the making of General Vesting Declarations; notices to treat; notices of entry; and to take all other requisite steps to obtain possession of the properties; and, where possession has not been given, to obtain a Sheriff’s Warrant for possession of any lands.

(h) to acquire the necessary interests in the land and property included in the confirmed Compulsory Purchase Order, on terms to be agreed by the Director of Regeneration & Growth, or as ordered by the Lands Tribunal.

(i) to enter into, or execute under seal, any documentation in relation to award of the contract and/or development/partnership agreement, licence, undertaking, framework joining agreement and any other agreements with the procured contractor/s as may be deemed necessary to facilitate development of the site, on terms and conditions to be agreed by the Director of Regeneration and Growth.

(j) in the event of the council being successful with the submission to the Levelling Up Fund, or securing other appropriate funding source(s), to prepare a Compulsory Purchase Order for the area around Grove Street, Halberton Street and land north of Cranford Street, as set out on plans SAM/12980/004 & SAM/21160/001 attached to this report, and the Director of Regeneration & Growth present a more detailed report to Cabinet at a later date.

(1.2)  The Director of Regeneration & Growth to make minor amendments to the (Cranford Street, Smethwick) Compulsory Purchase Order and, more particularly, marked "Map referred to in Borough Council of Sandwell (Cranford Street, Smethwick) Compulsory Purchase Order" prior to it being made and submitted for confirmation.

(1.3)  The Service Manager – Strategic Assets & Land to enter into negotiations and to acquire land and property within the proposed Order lands, on terms to be agreed by the Director of Regeneration & Growth, in advance of confirmation of the Compulsory Purchase Order by the Secretary of State, and subject to the availability of finances.

(1.4)  1.4 The Director – Finance:

(a) to allocate adequate investment from the Smethwick Towns Fund to fund acquisition of site, demolition of buildings and remediation of land, in order to facilitate a clear site for redevelopment, which is approximately 1.67 hectares of land off Cranford Street, and to cover the CPO administration and execution costs.

(b) (subject to 1.4(a) above) to grant funding (when secured) from the Town Fund Grove Lane Programme (administered by Sandwell Council), and to allocate adequate resources to fund the first phase of the development.

Approval was sought to authorise the Director of Law and Governance and Monitoring Officer to make a Compulsory Purchase Order under Section 226 (1) of the Town and Country Planning Act.

The Land at Grove Lane, Smethwick had been identified for regeneration as part of the Smethwick Town Deal project. A total of £4.35m had been allocated to the project from Government funding. The Council had little success in acquiring the land through purchase agreements and therefore, a compulsory purchase order was the only option left in order to obtain the site for development.

Reasons for recommendations

The site, which is currently derelict former industrial land, lies between Cranford Street and the canal arm adjacent to the new Midland Metropolitan University Hospital. The site of 1.67 ha has been identified for potential residential use since 2008 when it was included in the Smethwick Area Action Plan, now incorporated into the Site Allocations and Delivery DPD. The Smethwick to Birmingham Corridor Framework and Grove Lane Masterplan were prepared during 2021 and concentrated on identifying sites and opportunities for development within the regeneration corridor between Smethwick and Birmingham City Hospital. Following public consultation, both documents, were approved at Cabinet in February 2022. Their approval further emphasised the vision for comprehensive redevelopment in this area for housing purposes.

Alternative options considered

Option 1: Not progress with the CPO and not deliver the Towns Fund project leading to clawback of £4.35m to DLUHC. Reputation of the council at risk.

Option 2: Identify another site that could achieve the Town Fund project and submit another change request. There are no other sites in the area that could be considered at this stage given the timescales for the funding to be spent.

Agreed:-

(1)     that the Director – Law and Governance and Monitoring Officer be authorised to:

(a)  make a Compulsory Purchase Order under Section 226 (1) of the Town and Country Planning Act 1990 as amended by Section 99 of the Planning and Compulsory Purchase Act 2004, Acquisition of Land Act 1981, and Section 13 of the Local Government (Miscellaneous Provisions) Act 1976 to be known as The Borough Council of Sandwell (Cranford Street, Smethwick) Compulsory Purchase Order, in respect of approximately 1.67 hectares of land bounded by land to the south of Cranford Street as shown edged red on the attached Drawing SAM/12980/005 or such lesser land as may be deemed necessary and also including the air space above an area lying to the north and south of the development during the construction as shown on Drawing SAM/12980/005;

(b)  to use the Council’s Compulsory Purchase powers to acquire land and property required for the Grove Lane Towns Fund project at Cranford Street, Smethwick;

(c) to take all necessary action to secure the making, confirmation and implementation of the Compulsory Purchase Order; and, if objections are received to the Compulsory Purchase Order, to make arrangements for public inquiries, including instructing external Counsel and Consultants to assist in the preparing of evidence and the presentation of the Council’s case at any public Inquiry;

(d) in the event of the Compulsory Purchase Order being unopposed, and the Council thereby being granted powers to do so by the Secretary of State for Levelling Up, Housing & Communities, to confirm the above order and serve all necessary notices to implement the Compulsory Purchase Order, including the issuing of sheriff warrants;

(e) to prepare and seal the necessary documents in connection with the CPO and submit the CPO to the Secretary of State for Levelling Up, Housing & Communities to confirm;

(f) to enter into any licences, undertakings or other agreements to facilitate the Compulsory Purchase Order, on terms to be agreed by the Director of Regeneration & Growth;

(g) in the event of the Compulsory Purchase Order being confirmed by the Secretary of State for Levelling Up, Housing & Communities, to serve all necessary notices to implement the powers of compulsory acquisition, including the making of General Vesting Declarations; notices to treat; notices of entry; and to take all other requisite steps to obtain possession of the properties; and, where possession has not been given, to obtain a Sheriff’s Warrant for possession of any lands;

(h) to acquire the necessary interests in the land and property included in the confirmed Compulsory Purchase Order, on terms to be agreed by the Director of Regeneration & Growth, or as ordered by the Lands Tribunal;

(i) to enter into, or execute under seal, any documentation in relation to award of the contract and/or development/partnership agreement, licence, undertaking, framework joining agreement and any other agreements with the procured contractor/s as may be deemed necessary to facilitate development of the site, on terms and conditions to be agreed by the Director of Regeneration and Growth;

(j) in the event of the council being successful with the submission to the Levelling Up Fund, or securing other appropriate funding source(s), to prepare a Compulsory Purchase Order for the area around Grove Street, Halberton Street and land north of Cranford Street, as set out on plans SAM/12980/004 & SAM/21160/001 attached to this report, and the Director of Regeneration & Growth present a more detailed report to Cabinet at a later date;

(2)     that the Director of Regeneration & Growth be authorised to make minor amendments to the (Cranford Street, Smethwick) Compulsory Purchase Order and, more particularly, marked "Map referred to in Borough Council of Sandwell (Cranford Street, Smethwick) Compulsory Purchase Order" prior to it being made and submitted for confirmation;

(3)     that the Service Manager – Strategic Assets & Land be authorised to enter into negotiations and to acquire land and property within the proposed Order lands, on terms to be agreed by the Director of Regeneration & Growth, in advance of confirmation of the Compulsory Purchase Order by the Secretary of State, and subject to the availability of finances;

(4)     that the Director – Finance be authorised:

(a) to allocate adequate investment from the Smethwick Towns Fund to fund acquisition of site, demolition of buildings and remediation of land, in order to facilitate a clear site for redevelopment, which is approximately 1.67 hectares of land off Cranford Street, and to cover the CPO administration and execution costs.

(b) (subject to 4(a) above) to grant funding (when secured) from the Town Fund Grove Lane Programme (administered by Sandwell Council), and to allocate adequate resources to fund the first phase of the development.