Out-Law News 2 min. read
20 Sep 2012, 3:41 pm
The PDCS will be consulted on between 24 September and 2 November 2012. It sets out the borough's recommended CIL charges for residential, office, hotel, student accommodation and retail developments. Differential charges are proposed for residential and hotel developments according to location.
The proposed residential development charges are £369 per square metre in Waterloo; £265 per sq m in Vauxhall; £150 per sq m in Kennington, Oval and Clapham; and £50 per sq m in Brixton, Stockwell, Streatham, Tulse Hill, Herne Hill and West Norwood. The differential rates are based on the variation between sales values in the different areas. A zero-rate has been recommended for estate regeneration areas so the viability of existing and future schemes is not affected.
For hotel developments, the proposed charges are £250 per sq m in Waterloo and Vauxhall and £100 per sq m in Kennington & Oval, Brixton, Stockwell, Streatham, Tulse Hill, Herne Hill and West Norwood. The north of the Borough is the primary hotel development area and this justifies the higher charge, the report said.
The recommended charge for office developments in Waterloo and Vauxhall only is £125 per sq m. For student accommodation the charge is £360 per sq m and for retail development it is £115 sq m for developments greater than 2,500 sq m only. All other development will have a zero-rate charge.
The report sets out the projected CIL income against residential developments at an average of £5.3 million per year over the next five years. In comparison, the average income from s.106 obligations over the last five years was £4m per year.
The principle interest on the CIL PDCS is likely to be from developers in the borough, the report said.
"A key message going forward to developers will be that Lambeth is open to business, and that the CIL charges will not fundamentally affect development opportunities and investment in the borough in terms of viability," it said.
A second stage consultation on the Draft Charging Schedule is expected in early 2013. It will then be submitted for examination by an independent inspector.
The Cabinet also recommended the Vauxhall Area SPD for consultation. The SPD sets out the visions for growth in the Vauxhall area over the next decade, including the building of 3,500 new homes, space for new businesses and at least 8,000 job opportunities for local people. Of the 3,500 new homes sought, it is planned that up to 40% will be negotiated as affordable. This is in line with the target set out in the Core Strategy.
The SPD divides the area into six 'character areas' and sets out detailed visions for each. Visions follow the strategic ambitions set out in the Vauxhall Nine Elms and Battersea (VNEB) Opportunity Area Planning Framework (OAPF) published in March.
The SPD was originally drafted in 2008 and has been revised following new developments in the area and the adoption of the OAPF. The final draft SPD reflects the visions for the area set out by the Vauxhall Nine Elms Board and sets out a more comprehensive approach to delivery.
It is expected that the final draft SPD will be consulted on during the autumn and with a view to adoption by the Council in March 2013.
