THE developers of a former Swanage school site are asking to be released from a commitment to provide 11 affordable homes.
Bracken Developments say the £5.6million 30-home project at the former St Mary’s School site in Manor Road will not be financially viable if they have to provide the homes which were agreed at the time the original consent was granted in 2018.
Ten of the homes will be created by converting former school buildings – the remaining 20 as new builds.
Dorset Council planning committee members will be told that the 1.3 acre terraced site, with five different levels, slopes downwards in a northerly direction towards the High Street.
Swanage town council has objected to the proposed change in the agreement arguing that the circumstances have not materially change since the application was submitted.
Ward councillor Bill Trite has also objected claiming that the removal of the condition is not justified.
Despite these claims and the objections of five residents the developers have produced a report which says that, on the information provided, the scheme would no longer be viable if affordable housing continued to be included.
It says that even with the removal of the affordable housing the developers would have to bear a reduced profit margin, down to 10.5 per cent, lower than the industry standard, because of abnormal works costs which cannot be reduced and the impact of the community infrastructure levy, which is will also have to pay, amounting to £738,000.
The company says that it will have to find £346,700 in abnormal costs to develop the site – these include £25,000 for the demolition of a water tower, clearance of concrete slabs and other structures at £50,000; off site heritage conservation at £45,000; retaining walls at £168,000; water measures to improve drainage at £20,000 and underbuild costs of £38,700.
Council officers had questioned whether the developers ought to have been aware of the additional costs at the outset but a report to the area planning committee on January 5th says the assessment of viability by the District Valuer Service, an independent body, considers that the items are justifiable as abnormal costs and should be taken into account.
Councillors are being recommended to accept that the company be allowed to develop the site without the 11 affordable homes, offering all the properties on the open market.
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