OFFICERS’ REPORTS TO PLANNING POLICY & BUILT HERITAGE WORKING PARTY – 14 JANUARY 2013 PUBLIC BUSINESS – ITEM FOR DECISION 1. Local Development Framework – Mixed Use Allocation At Holt This report informs Members of progress on a Development Brief for the allocation at Holt - land at Heath Farm/Hempstead Road and suggests a process for public consultation prior to considering its approval. 1. INTRODUCTION The Site Allocations Development Plan makes proposals for a mixed use development on land at Heath Farm/Hempstead Road, Holt. In common with a number of allocations it will be necessary to agree a Development Brief before any development can occur. Policy H09 of the Allocations Document requires the prior approval of such a Brief and states that it should address; access (to be from the A148) and sustainable transport, layout, phasing, including the phased provision of serviced employment land and conceptual appearance. The Council will need to formally approve the Brief as a basis for the determination of future planning applications on the site. 2. THE BRIEF Development Briefs are prepared as a way of establishing key requirements which should be complied with when sites are developed. They are particularly useful for large mixed use development sites where it is important to establish broad distribution of land uses and where development may come forward in phases. Their content can vary widely but commonly they will incorporate an overarching vision for the development, broad development principles of development layout, design codes and phasing. Briefs should be subject to public consultation and formal approval by the Council and once approved are material to the determination of future planning applications. A Draft Brief has been prepared by planning consultants on behalf Brown Brothers and Bullen Investment Ltd, two of the major landowners of the site. The Brief has been informed by a ‘Vision Statement’ for the site, which was formulated by the Council’s Major Development Team in consultation with Holt Town Council. In addition, at this early planning stage the Major Development Team has provided technical advice on aspects of the site’s development. The Draft Brief responds to this and sets out key development principles as to how the site will be developed in order to deliver the Vision. The Brief also includes a Master Plan, indicating primary points of access and where on site the different land uses are proposed. The content of the Draft Brief has been the subject of considerable discussion between officers and the acting planning consultants. Subject to a number of minor changes which have been agreed between the two parties, it is now considered to be in an acceptable form for public consultation. Planning Policy & Built Heritage Working Party 1 14 January 2013 3. ARRANGEMENTS FOR CONSULTATION It is proposed that the document is published for a 28 day period of public/stakeholder consultation. The consultation will be publicised in the local press and will include a staffed exhibition during the early part of the consultation period. Site notices will be displayed around the site. Officers will attend a meeting of Holt Town Council to outline the proposals and explain the process prior to commencement of the consultation. Officers will outline the content of the draft brief at the meeting. RECOMMENDATION That the Draft Brief be subject to a 28 day period of public/stakeholder consultation. (Source: Tracy Armitage, Senior Planning Officer, ext 6304) PUBLIC BUSINESS – ITEM FOR DECISION 2. Housing Land Supply – Publication of Statement of Five Year Supply of Residential Development Land This report provides an overview of the amount of land which is available for housing development in the District, identifies how much of this land might reasonably be expected to be developed over the next five years and seeks authority to publish a statement of the Council’s position. 1. INTRODUCTION Each year the Council is required to publish a document which identifies the quantity of land in the District which is likely to be available for housing development over the next five years (Document attached as Appendix A). The amount of land available is then compared with the housing targets for the District in the adopted Core Strategy. Authorities should aim to retain a rolling five year supply of land, plus a contingency of between 5% and 20%, which is available and suitable for development so that housing targets can be met. The expectation is that through the preparation of development plans and the processing of planning applications the Authority should take a proactive role to ensure that an adequate supply of housing land is available at all times. 2. WHAT IS A FIVE YEAR SUPPLY OF HOUSING LAND IN NORTH NORFOLK? Housing land supply is expressed as a number of dwellings likely to be built rather than a quantity of land that is available. It is a comparison of the number of dwellings likely to be built with the annual target for dwellings which will need to be built if overall Development Plan targets are to be met. In North Norfolk the adopted Core Strategy requires that a minimum of 8,000 dwellings are built over the 20 year period from 2001 to 2021. The Authority should therefore plan, on average, to ensure that at least 400 dwellings can be built in each year. In the first eleven years of the plan period the rate of new dwelling completions fell behind this annual average mainly as Planning Policy & Built Heritage Working Party 2 14 January 2013 a result of there being few larger development sites available and, more recently, the slowdown in the national and local housing market. Consequently, in the remaining years of the plan period the Council should plan to make up the deficit. As of April 2012 the annual average target for new dwellings in the District had risen from 400 to 491 (inclusive of a 5% buffer) resulting in a five year land supply requirement of sites suitable for 2,455 dwellings (491 dwellings x 5 years = 2,455 dwellings). 3. CURRENT HOUSING LAND SUPPLY IN NORTH NORFOLK Each year the Council produces a Statement of Housing Land Supply. This presents information on the various anticipated sites suitable for housing development in the District. This is compiled from a number of sources of information including rates of development over previous years, planning permission records, records of dwellings under construction, and the expected delivery rates on allocated sites in the Site Allocations Development Plan. Identification of sites that can deliver housing is relatively straightforward, but estimating how much of this capacity might actually be delivered over a five year period is much more difficult and inevitably requires some assumptions to be made. Guidance requires that to ‘count’ towards the five year land supply sites must comply with a number of criteria: In the main they must be specific identifiable sites although some allowance can be made for ‘windfall’ developments (sites which are not identifiable until such time as planning applications are made) - provided there is a strong likelihood that such sites will actually be developed within the period. the identified sites must be available for development now, and they must be suitable for development, and development must be achievable; there should be a reasonable prospect of a site actually being developed. It is not sufficient to include sites merely because they have planning permission or are allocated for development in a Development Plan. It is important to show that houses will actually be provided within the applicable five year period. Hence, whilst the Council is currently able to point to a large land supply in the adopted Site Allocations Development Plan which includes land for around 3,400 dwellings it is not able to demonstrate that all of these sites are immediately available or have a reasonable prospect of being developed within the next five years. Indeed the Core Strategy and Site Allocation Development Plans are 15 -20 year Plans which anticipate that some sites will be slower to deliver housing than others. The latest statement covering the five year period commencing next April (2013) concludes that through a combination of sites with planning permission, sites that are under construction, and those that are likely to provide dwellings over the next five years, the District can provide approximately 2,442 dwellings - equating to 4.97 years supply inclusive of a 5% buffer. Planning Policy & Built Heritage Working Party 3 14 January 2013 Table 1 – Five Year Land Requirement compared with Supply. TOTAL 5 YEAR SUPPLY TOTAL DWELLINGS EXPECTED FROM ALL SOURCES (large sites, pending applications, other potential sources, site allocations and small sites) 2,442 REQUIRED FIVE YEAR SUPPLY INCLUDING 5% BUFFER 2,455 CURRENT NUMBER OF YEARS SUPPLY 4.97 Total number of dwellings expected to be built within the next 5 years from all sources. Total number of dwellings required in the next 5 years to ensure targets are met including a 5% buffer Supply divided by the annual average requirement (491). 4. LAND SUPPLY AND TRAJECTORY – WHAT’S IN THE PIPELINE? The pipeline of future housing supply is drawn from four main sources: Permitted - Dwellings on sites which already have planning permission but where development is yet to start but where there is a reasonable prospect of completed units within the next 5 years. Under Construction - Dwellings which are under construction but are not yet complete. Dwellings where development has started but are not likely to be finished (long term dormant) are not counted. Allocated - Dwellings on identified sites (allocations) which do not yet have planning permission but nevertheless are likely to provide completed houses within five years. Windfall – Allowance for dwellings on unidentified sites. The Permitted Supply On the 12th of November 2012 there were a total of 1,469 dwellings in the District which had planning permission that were not yet built. Of these 1,307 had a full or reserved matters planning approval. The remaining 162 only had outline planning permission and consequently development is unable to commence until such time as reserved matters approval is granted. This permitted supply comprises all sources of new dwellings with planning permission and includes new builds, sub divisions, and rural building conversions. The permitted supply figure can vary widely both within a year and between years and is influenced by both new permissions granted and dwellings completed. Over the last decade there has typically been between 800 and 1,300 dwellings at any given time where full planning permission has been granted but development has not been completed. Commencements Of the 1,307 dwellings with full planning permission which could be built some 394 (30%) are recorded as commencements, that is, sufficient works have taken place on the site to constitute a legal start of the development. They are on a mixture of sites Planning Policy & Built Heritage Working Party 4 14 January 2013 (254 different sites in total) where development can either be described as continuous (Cromer - Railway Triangle), intermittent, or dormant. Of the 394 commenced dwellings, a small proportion (around 59 dwellings) secured planning permission more than ten years ago. Permitted but not started Of the 1,307 dwellings which could be built some 913 homes (66%), on 171 different sites, have yet to be started. Over 600 of these are on sites where planning permissions have only recently been granted but a further 239 were first granted planning permission more than 10 years ago. Dormant or stalled sites - that is sites where development started more than 10 years ago (including some partly built dwellings) and has not continued or continues very slowly, account for approximately one third of the permitted supply. Types of site Around half of the permitted supply is currently on small sites with consent for less than 10 dwellings. However, for the first time in some years there are larger sites where planning permissions have been granted and development has commenced. Housing delivery in the coming years will be increasing dependant on the development of larger sites. Whilst some of the Site Allocations have been granted permission or are likely to be subject to applications in the next few months it remains the case that these are unlikely to deliver significant numbers of dwellings until 2014 and beyond. Conclusion Given the current situation the position in relation to land supply will need to be kept under regular review. Although there is a deficiency in the five year supply, this is very slight (less than 25 dwellings). There remains a large supply of sites with planning permission which in the event of an upturn in the housing market could, at least theoretically, deliver the annual average dwelling requirement for the next few years. Furthermore the Council is in a strong position in terms of allocated sites, a significant proportion of which are anticipated to secure planning permissions over the next 12 -18 months. The single greatest impact on delivery figures is the slowdown in the housing market, which both nationally and locally has seen a 4050% reduction in completion rates, and until this recovers it should be expected that development rates will be below both historical rates and required averages. Given this the Council will need to carefully consider any planning applications which do not comprise part of the existing housing land supply, including those where the grant of planning permission would represent a departure from adopted policies and consider carefully the deliverability of such proposals. Any proposals should continue to be considered in accordance with adopted Development Plans having regard to the land supply situation at the time of application and other material considerations. RECOMMENDATION That the attached Land Supply Statement is published, and This report is presented to the Development Committee as an item for information. (Source: Mark Ashwell, Planning Policy Manager ext. 6325) Planning Policy & Built Heritage Working Party 5 14 January 2013