Housing Infrastructure Fund Members Briefing Historic Infrastructure Deficit
Housing Infrastructure Fund Members Briefing
Historic Infrastructure Deficit • It has been a long-held aspiration of the Council to solve the problems caused by the Victoria Arch bridge. • The bridge acts as a pinch-point for traffic which leads to significant road congestion. • The inadequate road and bridge infrastructure has stifled local growth and economic development for decades. • Sub-standard cycle and pedestrian access through Victoria Arch acts as a barrier to north/south movement and represents an unacceptable environment. • Road network constraints restrict housing development opportunities; housing targets are unlikely to be met.
Deliverability Issues • Over the years many options have been assessed but have not come to fruition for a number of reasons: • The cost of replacing the bridge (estimated by Network Rail to be £ 65 m) has always been prohibitive. • WBC’s aims and timeframes have historically not aligned with Network Rail’s capacity and strategic objectives. • Private sector developers, individually or collectively, are unable to fund the necessary infrastructure improvements and achieve positive viability.
HIF Bid Process • £ 5. 5 billion Government capital grant programme designed to back a small number of strategic and highimpact infrastructure schemes. • SCC supported by WBC submitted an expression of interest in Sept 2017 which was shortlisted to progress to the next stage. • Detailed HIF business case jointly developed by SCC and WBC - submitted to Homes England in Dec 2018. • Homes England, Df. T, and a range of consultants assessed the bid over a 3 month due diligence process.
HIF Bid Outcome • The business case was formally approved by Housing Minister Kit Malthouse MP in June 2019. • £ 95 m has been awarded – the full amount requested. • The funding is in the form of a capital grant which means that it does not need to be repaid. • Conditions and Heads of Terms associated with the funding were received in Sept 2019. • SCC has agreed that WBC will be the lead authority responsible for acceptance of funding and delivery of the scheme.
Project Overview • The Business Case that was submitted to Homes England outlined a detailed project proposal. • The total cost of the project is £ 115 m – comprised of £ 95 m HIF, £ 10 m WBC, and £ 10 m Network Rail. • The project is comprised of 3 key elements: – Acquisition/demolition of the ‘Triangle’ site (£ 32. 5 m) – A 320 Highway widening and improvements (£ 17. 5 m) – The replacement of Victoria Arch Bridge (£ 65 m)
The Triangle Site • The acquisition and demolition of the Triangle is essential to enable the A 320 to be widened. • WBC has been working with all owners and tenants to try to secure voluntary acquisition. • We have currently acquired or have agreed terms with around 87% of the site. • In discussion with a further 13% of the site. • CPO might be required if any part of the site cannot be voluntarily acquired.
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The Triangle Site cont. • • Supporting Businesses The Council has been supporting businesses who wish to relocate to alternative premises. 50% of businesses have already identified alternative premises or are in direct discussion with the Council. 30% of businesses have confirmed that new premises are not required. The intention of remaining 20% of businesses is not yet clear in relation to relocation.
Highway Works North of Victoria Arch (see handout) • Widened highway on the western side of Victoria Way. • Improved pedestrian and cycle link along Victoria Way. • Left turn moved from Goldsworth Road to Church Street West. South of Victoria Arch (see handout) • Removal of the one-way gyratory system. • Enhanced pedestrian and cycle paths…
Highway Works cont. • • • South of Victoria Arch cont. Install 4 new toucan crossings for pedestrians/cyclists. Revised junction at Heathside Road to provide a left in and left out to/from Guildford Road. Improved informal pedestrian crossing near York Road to ease access to the bus stop. New access proposals for Days Aggregate Goods Yard. Improved pedestrian crossing near Constitution Hill.
Victoria Arch Bridge • Working in partnership with Network Rail since 2017 to develop the HIF Business Case. • Network Rail has undertaken a detailed appraisal of the site and is developing bridge replacement options. • Outcome will be a replacement bridge that will be widened to enable a dual carriage way and enhanced cycle and pedestrian access. • Project will support future Network Rail objectives such as Woking Station redevelopment and Woking Flyover. • An enhanced bridge and Flyover will significantly increase passenger capacity on the Wessex Region rail network which will underpin both local and regional growth.
Project Schedule Triangle Acquisition and Demolition • Summer 20: Complete acquisition of the Triangle site • April 20 to July 20: Triangle site surveys, consultations, and procurement of the demolition contractor. • August 20 to July 21: Demolition of the Triangle. . . Highway Works • February 20 to October 21: Surveys, consultations, and procurement of the highways contractor. • October 21 to January 24: Highway works undertaken.
Project Schedule cont. Victoria Arch Replacement (Network Rail) • October 19 to August 20: Surveys, bridge option selection exercise, design development. • September 20 to April 22: Solution development, detailed design, procurement, possessions. • May 22 to December 23: Bridge construction phase. The project will be completed by March 2024. Detailed project plan will be attached as an appendix to the committee report.
Housing Requirement • WBC Core Strategy identifies the need for around 5, 000 new dwellings by 2027. • The town centre has been identified as the primary focus for these developments (Policy CS 1 & CS 2). • Woking is categorised as an area of ‘High Affordability Pressure’; very challenging for first time buyers/renters. • The infrastructure provided by this project will unlock development potential at 13 town centre brownfield sites. • The sites will provide up to 3, 304 extra town centre apartments over and above existing commitments. • The sites will deliver significant numbers of affordable housing (both affordable sale and rental).
Proposed Development sites 1. Royal Mail Depot 8. Goldsworth Road 2. Ex Station Car Park 9. BHS Residential/Commercial 3. New Central Extension 10. Concorde/Griffin House 4. Police Station/Magistrates Court 11. Planets/Rat & Parrot 5. Station Plaza 12. Thameswey Poole Road 6. St. Dunstan’s Phase 3 13. Church Gate 7. The Triangle
Project Benefits • Once in a life-time opportunity to replace Victoria Arch and improve highway infrastructure. • Removes significant traffic congestion and the negative impact on residents, businesses and the environment. • Continues the regeneration of Woking town centre which benefits the wider borough. • Supports the Council’s ambition of being a regional focus of economic prosperity. • Unlocks economic growth potential of the Wessex Region. • Will help to meet Government housing targets, deliver high numbers of affordable housing, and unlock further housing developments.
HIF Bid Conditions • To receive the £ 95 m, WBC will have to accept the grant award Terms & Conditions, and enter into contract. . Key conditions include: • WBC to be responsible for cost overruns – mitigated by the sale of the Triangle site and Community Infrastructure Levy contributions (CIL). • Any underspend/surplus will need to be reinvested into local infrastructure that supports housing delivery. • WBC to commit £ 10 m forward funding financed by a loan and repaid by 2030/35 via developer contributions (CIL).
HIF Bid Conditions cont. • WBC to commit up to £ 9 m to offset any shortfall of Network Rail contributions. Funded and repaid as above. • WBC to commit to consider the use of CPO powers to acquire properties in the Triangle site, land required for the replacement of Victoria Arch, and land required for widening of the A 320. • WBC will be liable for delivering 3, 304 new homes in the town centre over the next decade – if target is missed we may have to pay back part, or all, of the grant. A full list of conditions will be attached as an appendix to the committee report.
Decisions and next steps • Committee report will go to 6 th February Executive and Council on 13 th February. • Decisions required will be clearly listed in the report. • Agreement to the HIF Bid Conditions will enable the contract with Homes England to be signed. • HIF funds will be released – initial tranche circa £ 25 m, remaining balance released in phases.
Questions?
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