5. HOUSING STATEMENT NORTH SPROWSTON AND OLD CATTON OUTLINE PLANNING APPLICATION OCTOBER 2012
1. INTRODUCTION Beyond Green’s proposals for North Sprowston and Old Catton are for a residential-led mixed-use development. The proposals incorporate up to 3,520 C3 dwelling units, amounting to 337,000m2 of development (net internal area) or around 90% of total net floorspace within the scheme. If approved, the development will make a substantial contribution to meeting demand for housing people can afford in Broadland and Greater Norwich, including statutory affordable housing. This statement describes Beyond Green’s outline proposals with regard to housing mix, tenure (including affordable housing and type) and design, and the evidence and policy context on which they are based. In addition to understanding demographic changes, policy context and local housing market drivers, the proposals respond to design principles for housing established at an early stage in the project: • providing a wide choice of house types catering for a range of needs and preferences and enabling people to stay within the same community as those needs and tastes change through their lives; • increasing affordability and flexibility by providing a choice of tenures including homes for affordable rental, for market sale and range of intermediate and private-rented options; • fostering exceptional standards of design so that people’s homes enhance both their quality of life and the quality of the neighbourhood in which they reside. As a masterplanned development to be implemented over several phases, NS&OC will be subject to changing market conditions and cumulative evidence from earlier phases of development on take up of different types and sizes of housing. As such, a parametric approach has been taken to the housing mix, allowing some discretion over the exact mix as the development is built out; and the detailed architectural design of housing will be undertaken at reserved matters stage in accordance with a Design and Sustainability Code and development briefs (see Delivery and Management Statement). The Statement of Community Involvement explains how stakeholders and the public have been involved in the planning and design process for NS&OC and how feedback has been absorbed in the preparation of this planning application.
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2. EVIDENCE BASE The evidence base discussed in sections 2.1 and 2.2 is drawn from a study for Beyond Green by market experts Jones Lang LaSalle (JLL) completed in October 2011, a copy of which can be provided on request or downloaded via the Beyond Green website. Except as stated, data quoted below is taken from this study. The study looked across Greater Norwich on the basis of an appropriate housing market area and in recognition that, although the Beyond Green scheme is proposed for Broadland, its rationale and impact on the housing market cannot, given its location, realistically be understood apart from its relationship with the city. Indeed, it is highly likely that to respond most effectively to housing need development in the ‘Growth Triangle’ will need to provide a blended response to the long-term housing market conditions prevailing in both Broadland and Norwich. A Housing Market Assessment (HMA) was conducted by the Greater Norwich Housing Partnership in 200607 and updated in September 2011. This has informed adopted and emerging policy, to which Beyond Green’s proposals respond. The findings of the study by JLL for Beyond Green are broadly consistent with those of HMA, and consequently the HMA analysis is not repeated here.
2.1 Housing demand Housing demand is a function of economic development, population growth and other demographic changes, household formation and – in terms of effective demand – ability to afford. Beyond Green’s aim is to respond as fully and effectively as possible to evidence on housing demand in Broadland and Greater Norwich, ensuring that the housing provided via the scheme meets local need and is thus absorbed into the market as quickly and efficiently as possible.
2.1.1 Recent and projected population growth In recent years, Greater Norwich has seen sustained population growth. First releases from the 2011 Census show that the population of the Greater Norwich area was 381,200, having risen from an ONS-estimated 366,700 since 2005. Recent population growth has been highly polarised in terms of age. National Statistics estimates that there the numbers of over-65s in Norwich has actually fallen over the past twenty years; in contrast, Broadland has seen its over-65 population rise by a significant amount, albeit at a rate congruent with the ageing of the population in the districts over the past twenty years. According to the 2011 Census, people aged 65 and over accounted for 22% of the population of Broadland compared with 19% for Greater Norwich and 16% for England. There has been strong growth in the number of 20-44 year olds in Norwich itself over the past 5 years. This increase is not a result of rising student numbers and, as graduate retention rates have not improved, is probably related to the high levels of international migration into the city, and is therefore unlikely to be a permanent trend. The population of Greater Norwich has been projected to grow by 105,800 over the 25 years from 2008 to 2033, an increase of 28%. This represents an annual growth of 1%, a softening of the rates of population growth seen from 2005 to 2011 but still faster growth than the East of England region. Norwich’s population is projected to grow by 34% over the 25-year period, compared to more regionally-typical levels of growth in Broadland (24%). The nature of population growth varies between districts. Across the GNDP area, the population of over-65s is projected to grow far faster than younger age groups, with a 53% increase in the number of 65-84 year olds and 157% increase in the number of over-85s; this reflects national trends and the spike in the birth rate in the 1960s. In contrast, the working age population (20-65) is expected to increase by only 18.5%. Ageing is focused on the rural districts: the number of over-65s is expected to increase by 72% in Broadland, compared
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to 48% in Norwich. Meanwhile, projections suggest that the working-age population will increase by 30% in Norwich, one of the highest rates in the country. There are expected to be particularly large increases in the number of under-20s (35%). For comparison, Oxford Economics’ forecasts of population are more modest; it expects working-age population in Norwich to increase by 11.7%, not the 30% suggested by the projections. But this still means that Norwich would have one of the fastest growing labour pools in the country.
2.1.2 Household formation An increase in population numbers does not translate directly into demand or need for housing. The population can remain static, but if more people attempt to live alone, then the demand for housing will increase. On the other hand, rapid rises in population may result in relatively low levels of household formation if more people choose to live in multi-person households. The Department of Communities and Local Government publishes household projections which provide the best guide to how this theoretical demand will change over the next 25 years. The latest release is based on 2008 population estimates alongside other survey data. It estimates that there were 165,000 households in the Greater Norwich area in 2008. This broadly tallies with the latest Census data which indicates there were 166,400 households in Greater Norwich in 2011. Some 2,400 new households will attempt to form each year to 2033, or some 60,000 in total. This represents an increase of 36% over the period, or 1.25% per annum. This is higher than the rate of increase for England or the East region, and faster than the rate of population growth because at the same time the average number of people per household is projected to decline. By 2033 there are anticipated to be 32% more households in Broadland, slower growth than in Norwich (40%) and with greater emphasis on the decrease in household size – from 2.31 to 2.18 – than in Norwich where population growth will be the major factor. Increased longevity and ageing are instrumental. Across Greater Norwich, 48% of new households are projected to be headed by someone aged 65 or over; lower than is typical for England (60%). However, whilst in Norwich only just over one in five new households will be headed by someone aged 65 or over, in Broadland it will be two-thirds of all new households. This is partly a result of the ageing of the existing population, but in-migration of retirees is also important. Households headed by 25-64 year olds will increase by 18% in Broadland. Both the city and its hinterland will become older, but Norwich at a much slower rate – meaning younger and working households will become more concentrated in the city.
2.1.3 Effective demand for housing Theoretical demand for housing cannot translate into effective demand to buy if households lack the financial means to access or sustain a mortgage or pay rent. Projected housing formation can amount to many thousands per annum, but if local employment is weak and wages low, it is hard to envisage this translating into market demand – and unless sufficient levels of affordable housing are provided, these households will remain “hidden”, e.g. living with friends or family or an estranged partner. As a consequence it is necessary to understand local incomes and their potential trajectory, as well as future households’ likely ability to access the mortgage market. Greater Norwich has a low unemployment rate by national standards, standing in March 2011 at 4.4% in Norwich and 2% – close to frictional levels, which is remarkable given the severity of the on-going recession – in Broadland. However, wages in the area are not high by national standards: median full-time earnings were £24,748 in Broadland and £23,748 in Norwich; below the median for the East of England (£27,216) and England (£26,268) according to the 2010 Annual Survey of Hours and Earnings published by National Statistics. This gap exists at both lower quartile and upper quartile points and is particularly marked at the latter: the 75th percentiles of earnings are £34,424 in Broadland and £33,192 in Norwich, compared to
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£37,247 for England and £39,001 in the East region, suggesting relatively fewer high earners. This would not necessarily translate into lower than average effective housing demand if house prices are proportionately low. The ratio of house prices to incomes is an accepted form of measuring ‘affordability’ – the higher the figure, the harder for people to access market housing. The ratio of median house prices to median incomes is 5.96 in Norwich, compared to 7.01 in England and 7.49 in the East region. This suggests that, despite low wages, housing in Norwich is relatively affordable. On the other hand, the ratio of lower quartile house prices to lower quartile incomes is 7.18, higher than the English average. This suggests that there is a dearth of affordable housing aimed at more low paid residents, despite the affordability for those of more typical means. Broadland shows similar trends, albeit at a much less affordable level. The median ratio in Broadland is 7.65, higher than the regional figure of 7.49 and the England figure of 7.01. However, the gap is even larger at the lower quartile level, at 8.37, compared to 6.69 for England and 7.70 for the East. This again suggests that there are particular shortages of lower-budget housing. These patterns, however, are typical for more rural areas, particularly those more sought after by relocating retirees; the high levels of housing equity brought into the area by those in later life stages (whose earnings may be low compared to their equity) inflates prices, meaning local employees without that housing wealth are unable to access the market. On the other hand, rental affordability is very good: based on Norwich, average rents for 1- and 2-bed properties represent 23.4% and 28.8% of median earnings respectively; even at lower quartile earnings 1-bed flats appear just about affordable (34.0%) although two-bed units may be more difficult to sustain at this level (40.0%). In terms of trend changes and future prospects, wages have increased markedly over the five years from 2006 for which data is available. Over this period, median wages increased by 13.6% in Broadland, higher than the English and Eastern averages of 10.6% and 9.9% respectively. Growth in Norwich has been more restrained at 10.0%, but this is still higher than the average for the region. It is worth noting that growth in lower quartile earnings has been particularly marked in Norwich (15.5%) and Broadland (14.4%), compared to national and regional averages of 10.2% and 10.9% respectively (upper quartile incomes have grown roughly in line with the national averages), suggesting that the problem of a “low wage” economy is being gradually resolved, and that the effective demand for market housing could increase as these workers become more able to move into homeownership (if they are not already homeowners). A study by Ecorys on economic potential commissioned alongside the Jones Lang LaSalle project suggests that Norwich has a high concentration of the kinds of business sectors that are important for the growth of the UK economy – creative industries, leisure & tourism, environmental engineering, biotechnology and so on (see Social and Economic Development Statement). It suggests that the economy will remain resilient, given its strengths in key sectors, compared to much of the rest of the region and the wider UK. Much will clearly depend on whether local economic strategies and resources are directed to unlocking this potential, but the overall picture is of an economy which is resilient but not dynamic – although it has the capacity to move from the former to the latter given the correct conditions. This suggests that housing demand, at least in the longer term, will remain robust. Translating this into effective demand for market housing depends on the health of the mortgage market. The ability of first-time buyers (or anyone with low equity) to secure mortgages has been affected by the financial crisis, which has made lenders more conservative and has dovetailed with the withdrawal of foreign and third-party lenders which has reduced competitive pressures, and the regulations of Basel 3 which force banks to hold much larger capital and liquidity reserves for what is perceived as higher-risk lending. The result is a dearth of lending at higher loan-to-value ratios. Recently, more products at this level have become available, but at much higher interest rates than lower loan-to-value products. First-time buyers are thus unable to access the market in anything like their previous numbers, and those who can mostly have access to substantial family funds to enable them to put down a large deposit. This has
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increased demand for rental property. It has also pushed the mainstream housing market towards higher value bands as it is those with larger incomes and greater housing wealth who are more likely to access mortgage funding. This situation is unlikely to be short-term, meaning higher demand for long-term rental and the growth of alternative ownership products – equity rent and co-ownership, for example.
2.2 Housing supply 2.2.1 Existing stock The centre of Norwich is one of the best preserved medieval cityscapes in England, but much of the city’s accommodation is Victorian or ‘between the wars’ in character. The terraced house is the dominant type, accounting for 36% of housing, much of it built by the companies that once provided much of the city’s employment. Much of it is relatively small, with the exception of the grander, sometimes three-storey or semi-detached, properties to the south of the city centre in the area known as ‘The Golden Triangle’. There are also a number of post-war local authority flats and more recent housing association developments, and alongside recent market housing and conversions, accounts for much of the 31% of properties that are flats1. Further from the centre, more typically suburban typologies dominate, although as Norwich itself is tightly bounded much of this falls into surrounding districts such as Broadland. Consequently detached houses are rare in Norwich (around one in ten properties) and semi-detached houses, at 22% of the stock, are rarer than nationally (31%). This is testament to the fact that much of the city’s 1930s’ belt’ falls into Broadland where some 38% of properties are semis. Further afield, the detached house becomes the most common property type, so numerous in the rural areas (roughly half of all homes) that across the whole of Greater Norwich it accounts for 1 in 3 of all properties. This indicates a strong divergence between Norwich and its rural hinterland. Travelling out of the city there is an expectation of gradually more spacious homes and gardens, except in the centres of the market towns. Flats are almost non-existent in the area outside the city (one in twenty dwellings, approximately, in Broadland). Despite the centre’s history and architectural riches, Norwich’s housing stock is not as varied as comparable cities such as York or Canterbury. Georgian town houses are rare; larger Victorian examples are generally confined to the ‘golden triangle’. Most terraced houses appear to be small ‘worker-cottage’ types. This is likely to combine with the younger, renting profile of much of the city to produce a highly stereotypical concept of a ‘housing career’, i.e. progression from small city terrace to large detached rural abode.
2.2.2 Tenure The contrasting profiles of the city and its hinterland are mirrored in tenure. According to the 2001 Census data, owner-occupation dominates Broadland and South Norfolk, where around 80% of dwellings are owneroccupied, split roughly equally between the mortgaged and the outright owner. However, tenure changes more quickly than stock so it is necessary to uplift these by the regional average change (obtained from the English Housing Survey) to provide a more up-to-date picture. This is obviously a very rough estimate as the area may not be representative of the region as a whole. Nevertheless, some trends are unlikely not to have occurred in Norfolk. These include: • increasing levels of outright ownership as the population ages and pays off mortgages – probably accelerated by recent low interest rates; • decreasing levels of mortgaged owners as first-time buyers decline in number and mortgage debt becomes
1 This data is obtained from the 2001 census, however as stock changes very slowly they remain valid estimates for this purpose.
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more concentrated; • increasing numbers in the private rented sector (a trend that is less pronounced in the East of England than in many regions, particularly in recent years); and • relatively static numbers in the social rented sector (although in the East of England this sector has grown. The main effect of this adjustment is to make outright ownership the largest single tenure in Broadland, South Norfolk and, by extension, Greater Norwich. This presents a contrast with Norwich itself where, given that the growth in the private rented sector has been most marked among younger age groups and in cities, Norwich’s rental sector is probably already larger than its owner-occupied sector. Linking together observations on the demographics of the area with this information, it is possible to come to some broad conclusions about how tenure will change in the next few years: • most new households forming in Norwich are overwhelmingly likely to be in the private rented sector – as are most young households in the Greater Norwich area; • the social sector will continue growing but will only serve a minority of new households; • within a matter of years, a majority of households in Broadland and South Norfolk will be outright owners; • consequently, the main sources of tenure / household change will be (i) young households moving into the private rented sector (many of whom will be single person households) and (ii) older, often retired households moving into the area and buying outright or downsizing to extract equity. This does not imply that there will not still be households forming in the area with other needs. In fact, many households moving into new homes may move out of the existing stock without changing, and their vacated homes become occupied by new households (or this process may occur several links down the chain). Consequently it is not always possible to equate new household formation with demand for new housing. This means that alongside the two demography-related demands (from young renters and older owners), thought needs be given to those relocating from the existing stock. Given that the housing stock in Norwich is not particularly varied, this may involve families who wish to stay within the Norwich urban envelope but want something more spacious, modern or environmentally friendly.
2.2.3 The immediate locality As part of a catchment-based analysis of context – effectively, understanding the immediate vicinity of the site and its needs and opportunities – housing supply in the 18 Lower Super Output Areas (LSOAs)2 covering and surrounding the applicants’ land was undertaken using ONS Neighbourhood Statistics. These indicate that the proportion of homes in owner-occupation is markedly higher, at around 87%, and that of social rented housing lower, at less than 5%, than the average for Broadland and much lower than that for Norwich. Regarding types, the overwhelming majority of homes in the catchment are detached (38%) or semidetached (48%), with the latter figure much higher than the averages for Broadland or Norwich reflecting its status as the predominant suburban typology. Terraced homes, bungalows and flats together account for fewer than 14% of all dwellings. This suggests significant scope for diversification of both type and tenure of housing in order to widen living opportunities in the area.
2 based on Broadland LSOAs 005B, 005C, 005D, 009A, 009B, 009C, 009D, 009E, 012A, 012B, 012C, 012D, 013A, 013B, 013C, 013D and 013E
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3. POLICY CONTEXT Policy with regard to housing is described in a range of national and local policy documents, principally the NPPF at a national level and The GNDP Joint Core Strategy locally, with Broadland DC’s Affordable Housing SPD providing additional policy detail. Broadland District Council’s draft Development Management DPD provides further emerging policy context to which some weight can be afforded. Given the Government’s stated intention to abolish the East of England Plan, this is not considered as part of the applicable policy context. Moreover, the overall context set by the NPPF – in particular the status it affords up-to-date local plans – is considered in the Planning Support Statement and not repated here.
3.1 GNDP Joint Core Strategy Note: Following a legal challenge, parts of the text of the adopted GNDP Joint Core Strategy were remitted by High Court Order and reverted to the pre-submission stage of the plan process, to be treated as not having been subject to examination and adoption. Following further work to address the High Court ruling, a version of the Joint Core Strategy containing proposed submission text was published for consultation on 10th August 2012. Where pre-submission text is quoted, it is underlined. With regard to housing, the GNDP Joint Core Strategy “sets out how [the GNDP] expect[s] to meet the challenges of finding space for 37,000 homes and creating 27,000 jobs in a way that minimises the impact on the environment and maximises the quality of life, whilst making sure we have the right supporting infrastructure in the right places and at the right time”. Its aim is to “provide a range of accommodation to house our growing population available to buy, rent and be supported in, recognising the requirements of different groups in society” and one of its primary spatial planning objectives is “[t]o allocate enough land for housing, and affordable housing, in the most sustainable settlements”. The two main policies applicable to housing development within the Strategy are Policy 4 (Housing Delivery) and Policy 10 (Locations for major new or expanded communities in the Norwich Policy Area).
3.1.1 Policy 4: Housing delivery The key provisions of this policy applicable the scheme proposals are as follows: • Overall provision: “[a]llocations will be made to ensure at least 36,820 new homes can be delivered between 2008 and 2026, of which approximately 33,000 will be within the Norwich Policy Area”. • Housing mix: “[p]roposals for housing will be required to contribute to the mix of housing required to provide balanced communities and meet the needs of the area”. • Affordable Housing: “[a] proportion of affordable housing, including an appropriate tenure mix, will be sought on all sites for 5 or more dwellings... on sites for 16 dwellings or more (or over 0.6 ha) 33% with approximate 85% social rented and 15% intermediate tenures (numbers rounded, upwards from 0.5)”. The policy further states that “[t]he proportion of affordable housing sought may be reduced and the balance of tenures amended where it can be demonstrated that site characteristics, including infrastructure provision, together with the requirement for affordable housing would render the site unviable in prevailing market conditions, taking account of the availability of public subsidy to support affordable housing”. • Housing with care: “[m]ixed tenure housing with care will be required as part of overall provision in highly accessible locations. In particular provision will be required in... Old Catton, Sprowston, Rackheath and Thorpe St Andrew growth triangle”. • Gypsies and Travellers: “sites will be provided in locations which have good access to services and in locations where local research demonstrates they would meet the needs of the Gypsy and Traveller communities. Some of the allowance to be provided after 2011 is expected to be provided in association
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with large-scale strategic housing growth”.
3.1.2 Policy 10: Locations for major new or expanded communities in the Norwich Policy Area The policy states that, for all growth locations, “[d]evelopment will... provide for a wide range of housing need including giving serious consideration to the provision of sites for Gypsies and Travellers”. Specifically with regard to the Old Catton, Sprowston and Thorpe St. Andrew ‘growth triangle’, the policy requires, with regard to housing, “at least 7,000 dwellings (rising to a total of at least 10,000 dwellings after 2026)”.
3.2 Broadland Affordable Housing SPD This SPD, adopted December 2008, sets out detailed policy guidance on affordable housing delivery, including on how affordable housing will be secured by developer obligations and the use of commuted sums in lieu of provision on site. Some aspects of the SPD, notably on amount and tenure mix of affordable housing provision, have been superseded by the adopted Joint Core Strategy. Provisions of continuing relevance to the proposed scheme proposals include: • use of an ‘open book’ approach to substantiate any departure from adopted standards of affordable housing provision (paragraph 6.2); • use of a planning obligation to secure affordable housing provision at outline and detailed planning stages (paragraph 8.2); and • need for design of affordable housing to comply with the Housing Corporation (now Homes and Communities Agency) Design and Quality Standards (now Housing Quality Indicators) and achieve the ‘Lifetime Homes’ standard.
3.3 Emerging Broadland Development Management DPD The draft Development Management SPD (Issues and Options) published for consultation in September 2011 contains several draft policies related to housing. The majority of these policies concern matters relating to the management of existing stock and/or detailed design matters. Draft policy H5 deals with the location of residential institutions, requiring that they be accessible to and by public transport, close to community facilities, and on an adequately-scaled site.
3.4 Local homes policy On 14th August 2012, Broadland Council announced a new policy aimed at ensuring that a proportion of new affordable homes in developments in Broadland are offered to local people, so that more can stay in or close to the communities they grew up. The proportion of homes to be allocated in this way in developments over 20 units is to be calculated based on a local needs assessment.
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4. SCHEME PROPOSALS This section describes the scheme proposals for housing and how they respond to the evidence base and policy requirements. It is split into the following subsections: housing quantum and mix; tenure mix; housing types and design; and phasing.
4.1 Housing quantum and mix The scheme proposals are for up to 3,520 dwellings (use class C3), to be delivered in phases over 15-20 years as market conditions allow. Table 1 below shows the approximate overall mix, based on the parameter plans. A parametric approach will allow for the precise mix of unit sizes and types to be adjusted to reflect housing need, market conditions, the precise requirements of partners such as Registered Providers, and experience from earlier phases as the development is implemented. Tenure/Type Market Social Rented Intermediate Total
All
Flats
Houses
Total
1
2
3
1
2
3
4+
67.0%
3%
7%
2%
0%
20%
37.0%
31%
100%
28.05%
21%
10%
0%
0%
33%
33%
3%
100%
4.95%
20%
13%
0.0%
0%
50%
17%
0%
100%
8%
9%
2%
0%
25%
35%
21%
100.0%
100% 19%
81%
Table 1: NS&OC proposed housing mix (by type and bedroom size)
The proposed mix reflects the applicants’ intention to meet adopted policy with regard to the provision of affordable housing (see section 5.2). In terms of the overall split between houses and flats, it broadly aligns with the summary of evidence of housing need (as established by the 2007 Housing Market Assessment) presented in the GNDP Infrastructure Needs Study (2009) for Broadland, which is set out in Table 2 below. Tenure/Type Market Social Rented Intermediate Total
All
Flats
Houses
Total
1
2
3
1
2
3
4+
2.5%
5.8%
0.0%
1.0%
18.0%
35.0%
37.7%
100.0%
28.05%
25.0%
10.7%
0.0%
17.5%
8.2%
35.0%
3.6%
100.0%
4.95%
20.0%
12.5%
0.0%
5.0%
32.5%
30.0%
0.0%
100.0%
9.7%
7.5%
0.0%
5.8%
16.0%
34.8%
26.3%
67.0%
100.0%
100.0% 17.2%
82.8%
Table 2: Broadland housing mix, GNDP Infrastructure Needs Study (2009), Table 3.4
The proposed housing mix differs from that suggested by the HMA principally in providing a greater overall proportion of two-bed properties (34% rather than 24%) anticipating a significant weight of demand for smaller properties from younger people starting out and older people downsizing. It also excludes one-bed houses from the mix on the basis that, in design terms, they entail relatively inefficient land use and are thus likely to be commercially unattractive (i.e. a second bedroom can be provided at low marginal cost). Beyond Green believes the proposed mix responds effectively to evidence of the nature of the existing Broadland and Norwich housing markets, changing demography and effective demand, and the likelihood that long-term rental will grow significantly as a mainstream tenure, bolstering effective demand principally for smaller family homes. Overall, around 71%, or just over two-thirds, of the housing mix consists of two-
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and three-bed homes forming a core of housing types which bridges a large number of potential household types and structures and affordability ranges with the flexibility to work as market sale, market rental, intermediate or affordable typologies; and with many units being adaptable to allow them to be extended or sub-divided as need and taste dictates (see section 5.3). The balance of smaller one-bed flats (8%) and large four-or-more-bed family homes (21%) will ensure the scheme contributes substantially to meeting demand from these ends of the market.
4.2 Tenure mix Beyond Green intends to provide a balanced mix of tenures which ensures commercial viability, enables steady implementation of the scheme and complies with adopted policy on the provision of affordable housing.
4.2.1 Affordable housing GNDP Joint Core Strategy Policy 4 requires on sites of 16 dwellings or more (and subject to viability) 33% Affordable Housing with a 85:15 ratio of social rented to intermediate tenures (equating to roughly 28% social rented and 5% intermediate across the scheme). Given the uncertain medium-term market outlook, uncertainty over the adoption of the Community Infrastructure Levy and future grant availability, the deliverability of this level of affordable housing on a commercial basis is also uncertain. It is likely, in particular, that achieving 33% affordable housing in early phases will be challenged by the upfront costs of infrastructure and non-residential development. However, Beyond Green will aim to comply with policy and any departure from it in a given phase of development will be justified on the basis of viability and on an ‘open book’ appraisal basis, subject to the provisions of a Section 106 Agreement (see Delivery and Management Statement). It is proposed that the S106 Agreement contain a ‘cascade’ mechanism to allow affordable tenures other than Social Rent or Affordable Rent to be deployed should circumstances so favour. Beyond Green will work with reputable Registered Providers of housing to deliver and manage the statutory affordable element. Appropriate partners will be considered once the scheme is granted outline planning consent. The approximate mix of housing ascribed to affordable provision is set out in Table 1 above; this will be refined and confirmed on a phased basis in consultation with the chosen partner(s) and the Local Planning Authority. Beyond Green intend that affordable housing will be designed and provided on a ‘tenure blind’ basis, meaning that affordable homes should be indistinguishable in external appearance from those of similar typology for open market sale or rental. This is important both to the quality of the affordable housing offer and to the integrity and coherence of the overall scheme and, ultimately, the cohesion of the community. ‘Pepperpotting’ – the scattering of affordable homes among market housing to reduce physical concentrations of tenure – will be considered at detailed design stage and favoured in principle, provided that the typically higher management costs associated with pepperpotting are acceptable to the Registered Provider. As Beyond Green’s build costs will likely be higher than the industry/market average for the area, it is likely that a quality-quantity trade-off in the provision of affordable housing could be posed. Beyond Green will generally resist the sacrifice of design quality in affordable housing or the loss of ‘tenure blind’ design principles purely in order to bolster quantity. Beyond Green welcome Broadland Council’s new local homes policy and will be pleased to assist in ensuring that a proportion of affordable housing is made available to people from the immediate vicinity. The scale of the development and the amount of affordable housing provided should enable most local residents to find something at NS&OC that suits their needs.
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4.2.2 Market tenures The evidence on housing demand clearly indicates that, for many people theoretically in need of a home, lack of sufficient equity or a high enough employment income is likely to make buying a property on the open market, even with a substantial mortgage, very difficult. Many of these people will not be eligible for statutory affordable housing, and even if they were the commercial provision of affordable housing through the scheme proposals would only be possible to the extent that there is demand for sufficient market housing to make the development viable. To provide not just statutory affordable housing but widely accessible housing, it will be necessary to diversify market tenures from the traditional model of open-market outright or mortgaged sale of properties to owner-occupiers. Tenures which will be considered for operation within the proposed development are as follows: • long-term rental – the developer retains or sells property to an investor which is then rented to occupiers with many of the benefits and fewer of the risks and costs of purchase; • shared equity – the developer provides a loan on a proportion of the property which bridges the gap between the buyers’ deposit and the requirements of the mortgage provider; • equity rent – the buyer has an option of buying the property at ‘day one’ prices, but will in fact rent for around three years, paying slightly more than market rent. The difference contributes to a ‘deposit fund’. By the third year, if property values have increased, the effective ‘equity’ in the product may now be enough for the buyer to purchase at the day one discounted rate, particularly if bolstered by the ‘deposit fund’; and • co-ownership – a private version of shared ownership in which the developer retains a share of the property while selling the other half to the occupier, who also pays rent on the non-owned portion. This tenure is not yet in commercial operation in the UK. Rental and part-ownership are likely to be particularly appropriate for flats and smaller ‘starter’ type homes, and where a building has significant change-of-use potential. However, the viability and merits of these tenures relative to one another and to straightforward open market sale will vary throughout the phased implementation of the scheme according to market and economic conditions. It is therefore not appropriate to set target or indicative levels for the use of these tenures within the scheme; rather, the developer through its master development and estate management companies (see Delivery and Management Statement) will operate a ‘tenure portfolio’ in which the overall balance of tenures and the retention or disposal of individual properties will be flexibly managed to maximise the rate of absorption of housing into the market and best service and repay the equity invested in the development. In addition to tenure variations, housing design will provide and opportunity to widen accessibility. This will include core adaptable housing typologies (allowing for extension to smaller properties over time) selfcommissioned and self-built housing (which will allow people to start small and get bigger), ‘shell-and-core’ housing (where the fit-out and finish is more basic allowing people to upgrade fittings and appliances as their incomes grow), and co-operative housing where a number of units might share common facilities such as visitor accommodation and larger dining spaces. Design is discussed further below.
4.3 Housing types and design The design of housing is critical to the success of NS&OC. Although Beyond Green believes that it is place qualities that are the overarching determinant of quality of life, people’s own homes perhaps loom largest in their everyday experience of where they live and judgments about their wellbeing. It is not what housing is but what it does in people’s lives that is important, and homes at NS&OC will be designed (and, where appropriate, managed) to fulfill a wider range of functions (see Figure 1).
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Figure 1: Functions of a Beyond Green house
As an outline application, the proposals do not prescribe a precise typological mix of housing types (terraces, semi-detached, and so forth) or put forward for consideration architectural designs for particular housing typologies. These will be developed at detailed design stage, in accordance with a Site-Wide Design and Sustainability Code and involving further stakeholder and community consultation, and based within the parameters laid down within this outline application. As with other aspects of the scheme, a parametric, transect-based approach is taken to the mix and distribution of housing sizes and types. For each transect type, parameters affecting housing design are established for: • • • • •
heights (maxima and minima); densities (maxima, minima and average); the mix of houses and flats and sizes thereof (within 5% variance); frontage sizes (descriptive ranges); typological mix (descriptive); and
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• parking typologies (descriptive). These transect parameters, which interact with the Transect Plan to produce a distribution of basic characters across the site, are effectively a form of preliminary design coding which provide significant guidance as to the nature of the housing and other building typologies on site and their distribution (and, in combination with the Street Hierarchy, of townscape). The parameters are set out in Appendix A to the Design and Access Statement.
4.3.1 Typology The transect provides for a number of core housing types expected to be deployed across the scheme. These are described, including the range of dwelling sizes by number of bedrooms and approximate net internal area (square metres) and the approximate proportion of units for which each will account, in Table 3 below. Sizes Typology
Description
Approx
m2
% of
NIA
housing
1-3
50-85
10-12%
1-2
55-75
3-5%
2-3
70-90
3-5%
2-4
85-120
38-42%
3-4
110-140
9-12%
3-4+
105-150
17-20%
4+
110-180
11-14%
Beds
Typically sited on corner plots close to focal places within the scheme (and Apartment
sometimes with retail on the ground floor), apartment blocks will deliver
Block
good-sized flats with balconies aimed mostly at singles and couples and offering excellent access to amenities and public transport.
Townhouse Apartment
See ‘Townhouse’ below Popular in continental Europe, apartment villas are purpose-built
Apartment Villa
apartment buildings often with substantial shared gardens which offer large floor areas usually with open-plan lounge/dining areas, sizeable balconies and smaller bedrooms. They are ideal for single people and couples, whether young or retired. The traditional way of providing compact two- and three-bedroom houses
Terrace/
including starter homes, terraces and mews houses will come in a range of
Mews
shapes and sizes but will typically be of two or three storeys on relatively narrow, deep plots yielding good room sizes and compact gardens. A proven and adaptable form, a three-or-four storey townhouse can provide a large and prestigious four- or five-bedroom family home, several flats or
Townhouse
duplexes, or a mix of flats above and retail or commercial uses at lower levels. Townhouses will be prominent on primary and secondary streets throughout the development.
Semi-
On larger plots often farther away from neighbourhood centres and in
Detached/
parkland and rural ‘edge’ conditions, semi-detached, paired villa (a specific,
Paired Villa
grand form of semi-detached house) and detached homes will provide
Detached
family housing typically with generous back gardens and on-plot parking.
Table 3: Housing types
Without intending to imply a particular architectural ethos or approach, Figure 2 below provides photographic examples of the kind of housing designs that might be considered at NS&OC, subject to the governing principles and rules of design coding.
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Apartments, Copenhagen
Apartments, Malmo
Live-work studios, London
Apartments, Norwich
Terraces, Downham Market
Apartments, Norwich
Townhouses, Odense, Denmark
Mews, Cambridge
Detached house, Norfolk
Terraces, Malmo, Sweden
Detached cottage, Norfolk
Terraces, Bristol
Adapted townhouses, Norwich
Semi-detached, Dorset
Figure 2: Housing examples
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It is expected that a majority of the dwellings at NS&OC will be based on a relatively small number of robust, standardised structural designs which will allow rapid, cost-efficient procurement and construction and deliver excellent thermal performance while enabling a variety of internal configurations (the same frame could accommodate a large house or two or three apartments, for example, or a duplex above a ground-floor shop unit) and external finishes and treatments. These will be based on the principles of ‘long life loose fit’: that durability and adaptability, including the capacity to change use and subdivide where appropriate, are more important targets of initial investment than finishes, which, on a structure built to last, will often change repeatedly. However, to widen choice and add further to the character of the place, it is intended that the following will also be features of the scheme: • Self-commissioned and self-build housing. Beyond Green intends to make around 2.5% of plots (around 90 units) available for self-commissioned and/or self-built housing. Working within the terms of the outline planning consent and to the Site-Wide Design and Sustainability Code, carefully chosen serviced plots within each phase will be made available for buyers to procure their own designs (and potentially their own construction processes) and build their own home. Typically self-commission/ build plots will be for larger homes and will make use of plots which are away from the transect T1 urban centres and are less well-suited to standard solutions because of shape, context or prominence. • Homeworking units. Generally, homes will be designed to achieve maximum Code for Sustainable Homes credits for enabling homeworking, making working from home easy throughout. However, subject to a further appraisal of demand, up to 2.5% of units (around 90) will be constructed as speciallydesigned homeworking units with dedicated studio or workshop space3. These will typically be twobedroom properties in transect T1 and T2 areas. • Co-housing. Co-housing consists of homes supplemented by shared facilities, which can include guest rooms, laundry, childcare, larger dining and office space. Beyond Green is aware of background interest in co-housing from some organisations in Greater Norwich and if this can be realised practically in the future will work with interested parties to enable a co-housing scheme to come forward as part of the phased delivery of development. • Extra-care homes. To help meet growing need among and ageing population, a proportion of both affordable and market housing will be provided as ‘extra care’ housing and/or ‘housing-with-care’ subject to further discussions and by agreement with Registered Providers and specialist commercial operators. Extra-care housing will be integrated fully into the community (rather than being delivered within ‘standalone’ or gated complexes) and as far as possible will comprise clusters of properties within core typologies adapted accordingly. It will be located in areas of the scheme with high levels of accessibility to public transport, local amenities and major public open spaces. • Residential care. Residential care facilities do not form part of the outline application but will be considered at a later stage if there is effective demand from operators, and separate applications submitted. Any site for residential care facilities will be located within easy access of public transport and local amenities.
4.3.2 Other design considerations As discussed in the Energy Strategy, Beyond Green intends that all structures within the proposed scheme will be highly energy efficient, in particular with very low heating and cooling requirements made possible by thermally-efficient design and materials use. This will underpin the achievement across the scheme of a minimum rating on the Code for Sustainable Homes of Level 4 or Part L of the Building Regulations,
3 For the avoidance of doubt, any such properties will be ‘homeworking’ units classified as dwellings under the C3 planning use class, not sui generis ‘live/work’ units.
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whichever is the more stretching at the time. All homes, whether for market or affordable housing, will meet or exceed the size standards laid down in the Homes and Communities Agency’s Housing Quality Indicators. Rather than focusing purely on the achievement of the Lifetime Homes standard, Beyond Green aims to create a ‘lifetime community’ in which people’s changing needs throughout their lives are met by a common set of universal and enduring qualities such as walkability, quality of the public realm, and local accessibility to amenities and public services; accepting that people may want to move or adapt their home as their needs change but should never need to move away. To comply with policy, all affordable homes will be designed in accordance with Lifetime Homes standards and wherever possible other dwellings will also comply with the standard. Where, for good design reasons, the Lifetime Homes standard cannot be met this will be explained and justified in the relevant reserved matters submission.
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