Issue - decisions

RESOLVED:

That Cabinet:

1.     Noted the contents of the report and appendix summarising the position of Appletree Housing as at March 2025; and

2.     Endorsed the Immediate to Medium Term Objectives.

KEY DECISION:

No

PORTFOLIO:

Finance and Corporate

ALTERNATIVE OPTIONS CONSIDERED/REJECTED:

As set out in the report.

DECLARATIONS OF INTEREST:

Cllr S Davies declared a non-pecuniary interest as a Council appointed Director of Appletree Property Group.  He reported he would not participate or vote on this item.

DISCUSSION:

The Portfolio Holder for Finance and Corporate clarified that Appletree Holdings was a separate independent company, providing properties to rent and had no connection to the HRA.  An AGM had recently been held and this showed that the company was doing well with its property holdings.  Additional properties were not currently being purchased.  It was noted that rental income continued to increase.

The Assistant Director of Finance confirmed there had been no further properties purchased over the last year.  The market value of the properties had increased by £0.5 million and a loss had been made of £29,000 over the last financial year.  However, the performance against all the KPIs was positive, properties were compliant in terms of maintenance, there was a low level of rent arrears and that following a tenant survey it was noted that the responses received showed that tenants were very satisfied. 

A recommendation in the report sought to endorse the eight objectives, which were included in the appendix.  These included, for example considering the implications of LGR and reviewing rents in 2026 to maximise rental income and keep in line with market rent.

A non-Cabinet member, who had been appointed as a board member to Appletree Property Holdings reported that preference for these properties was to let to people in the district with a local connection and to be a landlord of choice.  It was highlighted that a survey had been carried out with tenants and there was nearly a 100% level of satisfaction with the tenants.

In response to a question regarding LGR and whether it would be transferred to the new authority, the Portfolio Holder for Finance and Corporate confirmed that it would be transferred across to the new unitary authority as an asset.