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26/00742/S106A Variation of Part 1 and Schedule 2 of Section 106 Agreement, dated 4 November 2024, associated with planning permission 22/01953/FUL, dated 6 November 2024, to vary obligations for delivery of affordable housing units from 51.5% to a maximum of 20% of the development on the grounds of financial viability.

22/01953/FUL Demolition of 79-81 East Street and the construction of a part 5, part 6 storey building containing 31 residential units (10 x 1-bed, 17 x 2-bed and 4 x 3-bed) (Class C3) together with car parking, landscaping and access arrangements and associated works.

Permission was granted in November 2024 for application 22/01953/FUL, largely on the basis of the significant weight given in the planning balance to the provision of the 16 affordable housing units provided in a highly suitable location. This provision was secured via a legal S106 Agreement with the developer. However the current application, 26/00742/S106A, seeks to overturn that obligation on the grounds of financial non-viability.

The Society accepts that the proposed reduction would still fall within current planning guidelines but questions whether this fatally undermines the justification for the original permission, given the harm created to a Conservation Area by a six-storey building on the site. Perhaps a smaller reduction in affordable housing provision would still be viable?

Accordingly, the Society commented on the EEBC Planning website as below:-

“The following comments are made on behalf of the Epsom Civic Society (ECS).

Policy CS9 makes it clear that developments of between 5-14 dwellings will be expected to provide at least 20% Affordable Housing (AH). Sites of 15 or more dwellings should provide at least 40% AH. The approved scheme would provide affordable housing in excess of adopted policy and the ECS would accept that provision could be reduced while still remaining consistent with adopted policy. However, whether a reduction to 20% is acceptable is a matter which the ECS would ask to be fully scrutinised by the Council before any decision is taken.

Section 2 of the applicant’s Financial Viability Assessment (Basis of Reporting) explains that the reports do not constitute a formal Red Book valuation but is a viability study carried out in line with the RICS guidance note and Planning Practice Guidance relating to viability. The RICS Professional Standards and Guidance publication “Financial Viability in Planning: conduct and reporting” has also been adhered to.

The ECS would ask that the same level of rigour is applied to any independent analysis to ensure officers have a sound basis for meaningful negotiation to deliver effectively on an important aspect of planning policy, namely the provision of affordable housing.”