Poole Community Infrastructure Levy Representations received in line with Reg 17

July 2018 Schedule of Representations Received under Regulation 17

Reference Consultee

Rep 01 Montagu Evans LLP representing Atlas Holding (Sydenham’s) Rep 02 Denton’s UKMEA LLP representing Lands Improvement Holdings S.a.r.L and Gallagher Poole Limited Rep 03 Fortitudo Ltd Rep 04 Montagu Evans LLP representing Legal and General Investment Management Rep 05 Lichfield’s for Inland Homes Rep 06 Poole Quays Forum Rep 07 Purbeck District Council Rep 08 Mr. J Mills – Resident Rep 09 Mr. J Sprackling – Resident Rep 10 Savills representing Richborough Estates Rep 11 Tetlow King representing South West Harp Planning Consortium Rep 12 Chapman Lilly Planning Ltd representing W H White Ltd Rep 01 Borough of Poole REF Poole's CIL Draft Charging Schedule Representation Form Borough of Poole (for official use only)

This form has two parts: Part A - Personal Details; and Part B - Your comment(s). PART A: Personal Details

Your Details Agents Details (where relevant) Title Ms

Name Polly Mason

Job Title Associate ( where relevant) Organisation Atlas Patners (Sydenham) Ltd Montagu Evans LLP (where relevant) Address 5 Bolton Street, London

Postcode WlJ 8BA

E-mail [email protected]

Tel. Number 020 7312 7403

Responses should be sent to:

Email: [email protected] Post: Poole Local Plan I GIL, Planning & Regeneration, Boroughof Poole, Civic Centre, Poole BH15 2RU Return to Borough of Poole by 12pm, Friday 22 September 2017

Late or anonymous representations will not be accepted. All representations received will be published on the Council's website along with your name.

If you choose to type a response it would be appreciated if you could email the Microsoft Word version, making it easier to copy the responses into an examination database.

An example of a completed form is available on the Council's website. Alternatively, if you would like help completing this formplease contact the Planning Policy Team.

For further information, visit www.poole.gov.uklcil , email or call 01202 633321 to speak to a member of the Planning Policy Team.

Poole's CIL DraftCharging Schedule - Representation form. July-Sept 2017 1

Edinburgh Glasgow Manchester

CHARTERED SURVEYORS 5 Bolton Street PD10976/PB/PM/LB London W1J 8BA email: [email protected] Tel: 020 7493 4002 Fax: 020 7312 7548 21 September 2017 www.montagu-evans.co.uk Borough of Poole Planning and Regeneration Services Growth and Infrastructure Civic Centre Poole BH15 2RU

Dear Sir or Madam

Borough of Poole Local Plan – Regulation 19 Consultation (Pre-Submission Draft) – July 2017 Borough of Poole Draft Community Infrastructure Levy (CIL) Charging Schedule – July 2017 Representations On Behalf Of Atlas Partners (Sydenham) Ltd

These representations are submitted by Montagu Evans on behalf of Atlas Partners (Sydenham) Ltd in respect of the latest round of consultation by the Borough of Poole (“BoP”) on the Local Plan Review which runs between 31 July and 22 September 2017, and on the draft CIL charging schedule which runs between the same dates.

The purpose of these representations insofar as they relate to the Pre-Submission Draft of the Local Plan is to help ensure that the policies in the emerging Local Plan are consistent with other local and national planning policies, and are sufficiently robust to promote delivery of the stated objectives and necessary development across the borough. It is recognised that at this stage, representations should relate to the soundness of the Proposed Submission Local Plan – we refer to this later within this letter.

In terms of the draft CIL charging schedule, these representations seek to ensure transparency and consistency in the application of CIL charging within the borough.

Background and Context to the Representations

By way of background to these representations, on behalf of Atlas Partners (Sydenham) Ltd, Montagu Evans have previously submitted representations to earlier rounds of consultation on the emerging Local Plan, including in November 2016 to the Regulation 18 Consultation.

In July 2017, Montagu Evans submitted an application for planning permission for the redevelopment of the site to the Borough of Poole on behalf of Atlas Partners (Sydenham) Ltd. This application seeks consent for:

“Demolition of all existing buildings. Full application for residential-led mixed use development comprising raising existing ground levels and provision of 374 residential units, 1,543 sqm GEA of flexible floorspace (Classes A1, A2, A3, A4, B2, D1 and D2) provided in eight blocks ranging from 4 to 14 storeys

Montagu Evans LLP is a limited liability partnership registered in England and Wales with registered number OC312072. Registered office 5 Bolton Street London W1J 8BA. A list of members’ names is available at the above address. above ground level in addition to undercroft car park and servicing area, 369 car parking spaces, a boat basin with capacity for circa 23 vessels, and associated soft and hard landscaped open space”.

This application has been registered under application reference APP/17/00991/F but it has not yet been determined.

Given the above, these representations focus on the delivery of residential-led mixed use development on the Sydenhams site, and housing delivery across the borough more broadly.

The Sydenhams Site

Emerging Policy PP5 of the Local Plan refers to the Twin Sails Regeneration Area and states that this area will be regenerated as a vibrant new community, with major development proposals required to provide a mix of uses appropriate to the size and location of the site and include new homes, office space and supporting commercial activities. It is also noted that development within the regeneration area should:

a. create a new attractive, vibrant and continuous public quayside along the waterfront; b. facilitate pedestrian and cycle access to Upton Country Park; c. improve access to the port; d. provide flood defences to reduce the risk of flooding; e. deliver a high standard of design; and f. provide pedestrian and cycle links to connect with existing parts of the town.

The policy also notes that development will be required to comply with other policy and guidance prepared for the area and adopted by the Council including the Town Centre SPD and development briefs.

The Sydenhams site is identified as site ‘T10’, with the following objectives:

- the delivery of approximately 300 homes, with supporting offices and commercial uses; and - the preservation and enhancement of the setting of adjacent listed buildings and the Town Centre Heritage Conservation Area.

We fully support the allocation of the Sydenhams site for residential-led development with supporting commercial uses. This reflects the representations to the Local Plan submitted on behalf of Atlas Partners (Sydenham) Ltd in November 2016, and the recognised need within the Local Plan evidence base to increase the quantum and density of residential development on key sites, whilst reviewing the amount of employment floorspace that it appropriate and deliverable.

We do however request that the wording of section T10 of emerging Policy PP5 is amended to replace reference to ‘adjacent’ listed buildings with ‘nearby’ listed buildings. This is necessary for accuracy, given that there are no listed buildings directly adjacent to the Sydenhams site, with the closest being those located at 5 – 11 and 19 Blandford Road.

On the basis of the application for the redevelopment of the site lodged with the Council in July 2017, it is clear that the site represents a specific developable site, offering a realistic prospect for the delivery of housing within the next five years (in accordance with paragraph 47 of the National Planning Policy Framework and footnote 11), and a major opportunity for the Council to seek to address the housing delivery shortfall which has been identified. Given the above, we support the identification in the emerging Local Plan that the site has capacity for ‘approximately 300 homes’. We request however, that this figure – as well as other figures for housing delivery in the Local Plan – are presented as minima. This enables a more accurate basis to be arrived at in terms of the estimated delivery of housing across the borough and plan period, as well as setting clear objectives for the best use of sites.

The above reflects the general principles for residential development as set out in the emerging Local Plan, contained within section 6 of the document, which is entitled ‘Meeting all housing need’. Therein, it is stated that: “the Poole Local Plan contains a suite of policies to maximise the reuse of brownfield land to encourage higher densities, redevelop public sector land, allocate brownfield sites and provide more locations where flats can come forward”. It is further noted that: “the Poole Local Plan allocates urban area sites, referred to as urban allocations that are available and deliverable or developable and can provide a minimum of 40 homes. These urban allocations, along with town centre allocations, make up almost a half of total housing supply required to meet the OAHN”.

We support the above and note that this gives greater weight to urban allocations that are ‘available, deliverable or developable’ – which is the case for the Sydenhams site.

We do however consider that the inclusion of approximate figures for housing delivery rather than defined minima threatens the soundness of the emerging plan.

The National Planning Policy Framework (NPPF) states at paragraph 182 that for a plan to be sound it should be:

- positively prepared – prepared based on a strategy which seeks to meet objectively assessed development and infrastructure requirements, including unmet requirements from neighbouring authorities where it is reasonable to do so and consistent with achieving sustainable development; - justified – the most appropriate strategy, when considered against the reasonable alternatives, based on proportionate evidence; - deliverable over its period and based on effective joint working on cross-boundary strategic priorities; and - consistent with national policy – should enable the delivery of sustainable development in accordance with the policies in the Framework.

In our view, the inclusion of approximate rather than minima targets for housing delivery does not enable an accurate understanding of the ability of identified sites to contribute to meeting the identified need for residential development across the borough.

Draft CIL Charging Schedule

Alongside the Pre-Submission Local Plan, the Council is also inviting comments on the draft replacement CIL Charging Schedule.

We support the identification within the above that residential development in the Twin Sails Regeneration Area will be subject to a CIL payable rate of £0. This is important in the encouragement and facilitation of development in this area. We also support the proposal that A1 retail development within the town centre (or district and local centres and neighbourhood parades) will be subject to zero rate, as will all other development throughout the borough. We would however make the following comments on the draft charging schedule and accompanying map:

- It would be helpful and more clear if the published map showing the CIL charging zones used the denominations ‘Zone Bi’ and Zone Bii’ as per the draft charging schedule; and - The published map showing the CIL charging zones includes the majority of the Sydenhams site within the Twin Sails Regeneration area of Zone B – i.e. enclosed within the red line. There does however appear to be a very small area of the southern part of the Sydenhams site which lies outside of this red line. We request that the red line is extended to include the entirety of the site to avoid a scenario wherein differing CIL rates relate to a single development site.

Concluding Remarks These representations are submitted on behalf of Atlas Partners (Sydenham) Ltd and focus upon the potential for the delivery of residential accommodation on the Sydenhams site, but also across the wider borough. However, in the interests of meeting the tests of ‘soundness’, we request that housing delivery targets are represented as minima in order that a more accurate picture of housing delivery can be provided.

Atlas Partners (Sydenham) Ltd intend to engage with the Council further in terms of the preparation of local planning policy and we therefore request that we are kept up to date with the preparation and submission of the Local Plan. As per the accompanying Representations Form, we would like to have the right to participate at the oral examination if necessary.

Please contact Paul Burley or Polly Mason at this office if you have any queries or if you would like to discuss.

Yours faithfully

MONTAGU EVANS LLP Rep 02

Borough of Poole REF Poole’s CIL Draft Charging Schedule Representation Form (for official use only)

This form has two parts: Part A – Personal Details; and Part B – Your comment(s). PART A: Personal Details

Your Details Agents Details (where relevant) Title [ ]

Name [ ]

Job Title [ ] (where relevant) Organisation Lands Improvement Holdings Poole [ ] (where relevant) S.á.r.l. and Gallagher Poole Limited Address c/o agent c/o Dentons UKMEA LLP One Fleet Place London Postcode EC4M 7WS

E-mail [email protected]

Tel. Number 0207 2467683

Responses should be sent to:

Email: [email protected] Post: Poole Local Plan / CIL, Planning & Regeneration, Borough of Poole, Civic Centre, Poole BH15 2RU Return to Borough of Poole by 12pm, Friday 22 September 2017

Late or anonymous representations will not be accepted. All representations received will be published on the Council’s website along with your name.

If you choose to type a response it would be appreciated if you could email the Microsoft Word version, making it easier to copy the responses into an examination database.

An example of a completed form is available on the Council’s website. Alternatively, if you would like help completing this form please contact the Planning Policy Team.

For further information, visit www.poole.gov.uk/cil , email or call 01202 633321 to speak to a member of the Planning Policy Team.

Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 1 As your representation will be passed to an Inspector you should cover succinctly all the information, evidence and supporting information necessary to support/justify the representation.

After this stage, further submissions will be only at the request of the independent Inspector appointed by the Secretary of State, based on the matters and issues he/she identifies for examination.

You may choose to request to appear at a public hearing to clarify your comments. Do you consider it necessary to participate at the oral part of the examination?

No, I do not wish to participate at Yes, I wish to participate at the oral examination the oral examination

If you wish to participate at the oral part of the examination, please outline why you consider this to be necessary in the space below: To confirm basis of representations and changes required.

Please note that the Inspector will determine the most appropriate procedure to adopt to hear those who have indicated that they wish to participate at the oral part of the examination.

Signature PP. R Horrocks Date 22/09/17

Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 2 PART B: YOUR COMMENTS YOUR COMMENTS – PLEASE USE A SEPARATE SHEET FOR EACH REPRESENTATION

Technical Compliance:

Q1: Do you wish to make representations regarding matters of technical compliance: (please tick as appropriate) a) With the Planning Act 2008 (as amended) or CIL Yes No No Comment Regulations 2010 (as amended)? b) With the need to have regard to the charge setting and Yes No No Comment schedule procedures as detailed in the CIL Statutory Guidance issued in 2014?

(For explanation of terms refer to guidance notes below)

Comments: Please use the space below to provide more detailed comments (expand box as necessary)

Lands Improvement Holdings Poole S.á.r.l. and Gallagher Poole Limited welcome the recognition in the June 2017 Viability Update Report that a CIL charge is not viable for redevelopment at this the Former Power Station site. The site is a strategic allocation with specific viability characteristics that reflect its special local and development history. Its deliverability is important in the emerging Local Plan. Realising the site's potential as a sustainable location for new housing close to existing town centre networks and amenities will involve substantial costs significantly exceeding the allowance for benchmark brownfield enabling works costs and strategic flood costs identified in the PBA Viability Report.

The Draft CS does not currently give effect to the intended nil rate for the site which the Charging Authority has resolved to apply nor comply with the Regulations. The Draft CS currently identifies a single Zone B, with a nil rate for residential (C3) use stated to apply in the Twin Sails Regeneration Area. Regulations 13(1)(a) and 12(2)(c)(i) require that the "location and boundary" for the zones for differential charging are shown on a OS base map contained in the charging schedule. The Draft CS and associated Charging Map does not identify location or boundaries of the Twin Sails Regeneration Area the purposes of regulation 12(2)(c)(i). We note that inset diagrams drawn from the emerging Local Plan have been published alongside the Draft CS (but do not form part of it).

The Draft CS should be corrected by: (a) the inclusion of the Twin Sails Regeneration Area as a separate zone; and (b) the inclusion of the inset map showing the Twin Sails Regeneration Area boundary in detail (c) simply describing the Twin Sails Regeneration Area as a nil charge zone.

Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 3 Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 4 YOUR COMMENTS – PLEASE USE A SEPARATE SHEET FOR EACH REPRESENTATION

Evidence:

Q.2: Do you wish to make representations regarding the: (please tick as appropriate) a) Evidence that has been used to inform Poole’s Draft Yes No No Comment Charging Schedule? Yes No No Comment b) Council’s interpretations or use of the evidence? c) Evidence provided showing that the proposed rates will Yes No No Comment not threaten delivery of the relevant plan as a whole?

(For explanation of terms refer to guidance notes below)

Comments: Please use the space below to provide more detailed comments (expand box as necessary)

The above points may require participation on the Examination of the evidence base subject to clarifications in relation to the Viability Report.

Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 5 YOUR COMMENTS – PLEASE USE A SEPARATE SHEET FOR EACH REPRESENTATION

Other Representations:

Q.3: Do you have any other representations relating to the proposed charges for Poole’s CIL? (please tick as appropriate) (For explanation of terms refer to guidance notes below)

Comments: Please use the space below to provide more detailed comments (expand box as necessary)

Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 6 Guidance Note for Completing Representation Form

The purpose of a public examination into a proposed Community Infrastructure Charging (CIL) Levy Schedule is to consider whether a CIL Draft Charging Schedule meets the following statutory tests in accordance with sections 212(4) and 212 of the Planning Act 2008, as amended: (a) That the Charging Authority has complied with the requirements of the Planning Act 2008 (as amended) and the CIL regulations 2010 (as amended); (b) That the Charging Authority has had regard to the statutory guidance, Planning Policy Guidance 2014; (c) That the Charging Authority has used appropriate available evidence to inform the draft Charging Schedule; (d) That the proposed rate(s) are informed by and consistent with, the evidence of economic viability across the charging authority’s area, and (e) That the evidence has been provided that shows that proposed rate(s) will not threaten delivery of the relevant plan as a whole. Representations must relate to these matters. Other matters may be outside of the examination and will be subject to the examiner’s judgement as to their relevance. All representations will be considered by the examiner as written representations. Any person or organisations making representations has the right to be heard in person at the examination should they choose to appear. The public examination format will take place either through written representations or a formal hearing under the direction of the examiner. Following Poole’s Draft CIL Charging Schedule consultation period, the council may decide to amend the schedule as a response to the comments received. Any modifications will be set out in a ‘Statement of Modifications’. Where the Council proposed to make amendments to Poole’s CIL Draft Charging Schedule as result of the consultation, any person or organisation may also request to be heard by the examiner in relation to those amendments. In line with the CIL regulations, such requests must be submitted to the Council in writing before the end of the period of four weeks beginning with the day on which the Draft CIL Charging Schedule is submitted to the examiner. Any person who has made a request to be heard may withdraw that request at any time before the opening of the examination by giving notice in writing to the Council. The council anticipate that the submission of the CIL Draft Charging Schedule for examination will take place in Autumn 2017. The Council will provide updates on the proposed examination on its website. If you wish to make a representation seeking a change to the CIL Draft Charging Schedule you try to support your representation with evidence showing why the CIL Draft Charging Schedule should be changed. Where there are groups who share a common view on how they wish to see the CIL Draft Charging Schedule changed, it would be very helpful for that group to send a single representation which represents the view, rather than for a large number of individuals to send in separate representations which repeat the same points. In such cases the group should indicate how many people it is representing and how the representation has been authorised.

Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 7 Rep 03

From: Richard Carr [mailto:[email protected]] Sent: 12 September 2017 11:09 To: Nick Perrins Cc: Richard Genge Subject: CIL Importance: High Sensitivity: Confidential

Nick,

Good to have a chat on various sites, Further to our meeting last week I wish to make representation on the new CIL charging rates for Poole Quay and Hamworthy. I obviously see the point that you make that there has to be a line somewhere but it seems to me, to be shooting ourselves in the foot.

In my opinion the re-gen area should be Zero, and the whole of Hamworthy should be at £60-00 my rational is simple and only learnt by the recent development of the James Steel Works, if this scheme was smaller it would become unviable, the rational is simply that you will achieve a higher £ per sq ft as you go higher which dissipates the CIL cost. This problem on low cost housing (Starter Homes) is now compounded with build costs continually escalating, pushing residual land values below their par value, this has one consequence no development. The finished property costs are broadly the same in both Zone B & C if you research Right Move which further justifies my point.

Putting all of these arguments to one side if you want to encourage more development I think “less is more”.

Best regards,

Richard Carr Development Consultant

Fortitudo Ltd. 161 Banks Road Sandbanks Poole, BH13 7QL

T: 01202 233279 M: 07831 766666 fortitudoproperty.com

This e-mail is private and confidential and may contain proprietary or legally privileged information. It is for the intended recipient only. If you have received this email in error, please notify the author by replying to it and then destroy it. If you are not the intended recipient you must not use, disclose, distribute, copy, print or rely on this e- mail or any attachment. All reasonable steps have been taken to ensure this communication is virus free by Bitdefender Inc. Subject to Contract. Rep 04

Edinburgh Glasgow Manchester

CHARTERED SURVEYORS 5 Bolton Street PD9046/JNS/PM London W1J 8BA email: [email protected] Tel: 020 7493 4002 22 September 2017 Fax: 020 7312 7548 www.montagu-evans.co.uk Borough of Poole Planning and Regeneration Services Growth and Infrastructure Civic Centre Poole BH15 2RU

Dear Sir or Madam

Borough of Poole Local Plan – Regulation 19 Consultation (Pre-Submission Draft) – July 2017 Borough of Poole Draft Community Infrastructure Levy (“CIL”) Charging Schedule – July 2017 Representations on behalf of Legal and General Investment Management (“LGIM”)

These representations are submitted by Montagu Evans on behalf of Legal and General Investment Management (hereafter “LGIM”) in respect of the latest round of consultation by the Borough of Poole (“BoP”) on the Local Plan Review which runs between 31 July and 22 September 2017, and on the draft CIL charging schedule which runs between the same dates.

The purpose of these representations insofar as they relate to the Pre-Submission Draft of the Local Plan is to help ensure that the policies in the emerging Local Plan are consistent with other local and national planning policies, and are sufficiently robust to promote delivery of the stated objectives and necessary development across the borough. It is recognised that at this stage, representations should relate to the soundness of the Proposed Submission Local Plan – we refer to this later within this letter.

In terms of the draft CIL charging schedule, these representations seek to ensure transparency and consistency in the application of CIL charging within the borough.

Background and Context to the Representations

By way of background to these representations, on behalf of LGIM, Montagu Evans have previously submitted representations to earlier rounds of consultation on the emerging Local Plan, including in August 2016 and March 2015.

LGIM are the owners of the Dolphin Shopping Centre in Poole Town Centre, which is the main purpose built shopping centre within Poole. The Centre has a total floorspace of approximately 47,000 sqm across more than 110 stores. LGIM purchased the Centre in 2013 and are therefore one of the key stakeholders in Poole Town Centre. LGIM’s decision to invest in Poole Town Centre reflects the opportunities to improve the existing Centre, both through asset management and through enhancements to the existing buildings and public realm, reinforcing the Centre’s – and Poole town centre’s – retail attraction.

Earlier proposals by previous owners of the Dolphin Centre concentrated upon a major extension of the Centre, which was reflected in the Council’s policies for the Town Centre North. LGIM’s approach is different in that it views the improvement of the existing Centre as being essential to reinforcing Poole Town Centre as a retail and leisure destination. Given the closer connections to the High Street this should ensure better spin-off benefits to the rest of the town centre. The priority is to create both modern and larger units as well as

p:\currentjobs\pd9046 dolphin centre, poole (lg)\reps\poole local plan\submission\170922 lgim representations - submission.docx

Montagu Evans LLP is a limited liability partnership registered in England and Wales with registered number OC312072. Registered office 5 Bolton Street London W1J 8BA. A list of members’ names is available at the above address. reconfigure and improve the appearance of existing stores. This will be complemented by well-integrated extensions where appropriate.

Reflective of the above are the programme of applications submitted by LGIM to the Council will seek to upgrade the existing Centre and enhance its offer. These include:

- Application ref. APP/17/00005/F – Refreshment and upgrading of three external mall entrances. Application approved February 2017; - Application ref. APP/16/01098/F – Minor roof level extension and minor shopfront extension at ground floor to Units 56 – 60 within the Dolphin Centre, and associated works. Application approved September 2016; - Application ref. APP/15/01778/C – Change of use of units 8 – 9 from retail (A1) to restaurant / café (A3) with associated internal and external works. Application approved February 2016; - Application ref. APP/13/01606/F – Demolition of units 18 – 20 (Nos. 37, 38 and 39 Dolphin Centre) and construction of a three storey replacement Class A1 retail unit. Photovoltaics to 2nd floor roof. Application approved March 2014.

In addition to the above, it is LGIM’s intention to imminently submit applications to the Council for additional retail and leisure floorspace at Kingland Crescent, and for enhancements to the public realm in this area.

At a high level we wish to state that LGIM broadly support the overarching vision and objectives within the emerging Local Plan. Given the status of the Dolphin Centre as Poole’s primary retail destination, and its location within the Town Centre, these representations predominantly focus upon parts of the emerging Local Plan that refer to these designations and associated issues. We do however comment on additional policies and justification text where relevant.

Poole Local Plan - Pre-Submission Draft (July 2017)

We set out below our comments on the document.

Part 3: Issues and Challenges

Challenge 1: Regenerating Poole town centre

Paragraph 3.7 of the emerging Local Plan states that:

“Poole town centre comprises the town’s main retail offer with the Dolphin Centre, Poole High Street and the Quay. However, traditional store-based shopping is facing new challenges with the growth of internet sales, subdued forecasts for consumer spending following the economic recession and increases in discount retailers”.

We agree with the above text but recommend an additional following sentence to state:

“Retailers and other town centre occupiers are also more selective in terms of the space they occupy and in which towns they choose to locate”.

Paragraph 3.10 of the emerging Local Plan states that:

“Significant growth coming forward in the town centre will place additional pressure on heritage assets, particularly proposals for tall buildings within the setting of conservation areas”.

We urge caution here as it is not correct to assume that tall buildings necessarily have a negative impact on heritage assets, including conservation areas. There are numerous examples of development proposals, including those involving tall buildings, which are agreed to have preserved or enhanced the character and appearance of conservation areas and other heritage assets. Part 4: Vision and Strategy

Objective 2 – Meeting all housing needs

The fourth bullet point of this objective reads “the requirement for schemes of 11 or more dwellings to provide affordable housing”.

As confirmed within emerging Policy PP11 Part (g), the delivery of affordable housing as part of schemes comprising 11 or more dwellings is a target, subject to viability, rather than a ‘requirement’. This should be reflected in the text under Objective 2.

Policy PP2 – Amount and broad location of development

Emerging Policy PP2 of the Local Plan refers to the amount and broad location of development and identifies a target for the delivery of 14,500 sqm of retail floor space across the plan period.

Part 4b of the policy refers to the broad location of employment and retail development and states that “retail and commercial leisure needs will be directed towards Poole town centre, with supporting growth in the district and local centres to meet the localised daily needs that are easily accessible for nearby residents through active and sustainable forms of travel”.

We fully support this statement.

Part 5: To transform and revitalise Poole Town Centre

Part 5 of the emerging Local Plan defines the town centre as including Town Centre North, the Twin Sails Regeneration Area, Lower High Street, Hill Street, the Quay and Old Town areas, and the rest of Poole town centre, including areas around West Quay Road, Hunger Hill, Poole Quarter and Seldown area.

Paragraph 5.3 notes that:

“these areas are defined within the town centre boundary on the Policies Map and are the focus for the Council’s town centre regeneration ambitions. The plan also recognises that there are areas, such as the Port, outside but closely related in function and location to the town centre boundary and that form part of wider town centre geography. It is important to ensure that development within the wider town centre geography supports and complements the Council’s corporate aspirations to transform and revitalise the town centre”.

While we are supportive of the principle of the above, it is important that a clear distinction is made between the actual town centre sites as identified within the proposals map, consistent with the NPPF definition, and those falling within the ‘wider town centre geography’ which under the NPPF definition comprise edge of or out of centre sites.

We recommended the inclusion of the following underlined text in paragraph 5.5:

“The town centre is the most sustainable part of Poole with its public transport links and range of shops and services within close proximity of each other. There are also significant areas of brownfield land available for development. Therefore, Poole town centre is the most appropriate location for the most intensive uses and highest densities, which means it will continue to the principal focus for and the preferred location of major development in Poole”.

Paragraph 5.9 of the emerging Local Plan states that:

“Existing vacancy rates are relatively high and the market demand for new retail space has been low in recent years”. We do not fully agree with this statement. One of the major issues that Poole has faced has been the lack of appropriately sized units to meet potential occupiers’ needs in the right location.

The paragraph goes on to state that:

“Therefore to address this the Council encourages the enhancement and better utilisation of existing vacant space within the town centre”.

Many of the vacant units in Poole are located in secondary areas, in particular the High Street. These are often not preferred locations so the challenge is to provide attractive, modern floorspace in locations that are more likely to meet occupier demand, including the Dolphin Centre. We request that this is recognised within the emerging Local Plan.

Policy PP3 sets out the town centre strategy and states that “Poole town centre, as defined on the Policies Map, will be the most suitable location for the most intensive uses and major developments which generate the highest levels of activity”.

Part 3 (d) of this policy states that the Council will work with relevant parties to “provide new retail and / or office space as part of mixed use development on major development sites, as well as, bringing back into use under- used and vacant units across the town centre”.

We request that the above is clarified – either through additional text within the policy or in further justification text - to confirm that where such sites are located outside of the designated town centre boundary for the purposes of the NPPF, in the case of office led mixed use developments, any retail / food and beverage floorspace should be complementary to the office use, which will be reflected in it being complementary in scale.

Part 6: Meeting all housing need

Policy PP8 – Type and mix of housing

Emerging Policy PP8 states that:

“As a mix of all housing types and sizes are needed in Poole and in order to provide flexibility, other than where prescribed for some of the allocations in this plan, the Council does not prescribe a particular housing mix development should follow.

However, for all schemes of 11 or more homes or 1,000 sqm floor space, housing proposals should include a type and mix of housing that has due regard to the SHMA and other relevant evidence on housing needs including self-build and custom-build housing”.

We request that recognition is given within this policy to the location of the site in question, not just the scale or quantum of proposed development. This is because sites within the town centre which are capable of accommodating a higher density of development are typically less appropriate sites to accommodate 3 bedroom or larger homes.

Policy PP11 – Affordable housing

We request that the wording of Part (b) of emerging Policy PP11 is amended (our additional text underlined for reference) to read as follows:

“On sites of 21 units and above, affordable housing should be provided on-site, unless viability evidence demonstrates that on-site affordable housing cannot be provided, in which circumstances the Council will accept affordable housing off-site or as a commuted sum payment”.

We further request that Part (d) of the policy is amended as follows: “In all cases, to help achieve good place-making and to encourage mixed and sustainable communities, the provision of on-site affordable housing must be indistinguishable from market housing”.

Part 7: Poole’s economy remains strong and continues to grow

Paragraph 7.33 confirms that Poole follows the town centre first approach, while paragraph 7.34 identifies the hierarchy of centres. We suggest that an additional paragraph is inserted after paragraph 7.34 to confirm that as a major town centre, Poole town centre will continue to be the principal location for shopping in the Borough. This is likely to be concentrated in the north of the town centre as more secondary locations along the High Street are likely to change to non-retail uses.

Paragraph 7.38 states that:

“The Poole Local Plan designates primary shopping frontages in Poole town centre and the 3 district centres. To protect these frontages the Council considers an over-concentration of uses in shopping frontages as a whole, rather than individual parade”.

We support the above. The Dolphin Shopping Centre covers a number of internal and external streets, and in order to enhance the centre, it is likely that some will accommodate concentrations of non-retail uses to complement the main retail frontages.

Policy PP21 – Retail and main town centre uses

Emerging Policy PP21 refers to retail and main town centre uses. The numbering within this policy needs to be amended as currently there are two parts to the policy identified as part (2). The part of the policy that deals with shopping frontages states that:

“To retail and enhance the mix and range of retail and other main town centre type uses, the Council has designated shopping frontages in Poole town centre and the district centres. In the:

(a) Primary Shopping Frontage, proposals for the change of use will be permitted where it will not result in the over concentration of units in the non-A1 Use Class”.

We request that the above is updated such that part (a) reads as follows:

“Primary Shopping Frontage, proposals for the change of use will be permitted where it will not result in the over-concentration of units in the non-A1 or non-D2 Use Class”.

The above recognises the value of D2 uses as complementary to standard retail uses within the Primary Shopping Frontage.

Part (3) of emerging Policy PP21 refers to proposals outside designated frontages / boundaries. We consider that the wording ‘outside of designated frontages / boundaries’ is too vague. Reference should be made here to the either town centre or primary shopping frontages, or to specific areas.

Policy PP22 – Tourism and the evening / night time economy

Part (3) of emerging Policy PP22 states that “Proposals that add vitality and viability to Poole’s main evening / night time economy centres will be permitted, provided that..”. We request that the first point or criteria following this wording should make reference to the sequential test – i.e. that sites within the town centre will be the preferred location for such uses.

Part 9: Enhancing the outstanding natural setting and built environment of Poole.

Policy PP26 – Design Emerging Policy PP26 states that “a good standard of design is required in all new developments, including extensions and external alterations to existing buildings”.

We agree with the general principle of the above, but as currently drafted we do not consider that this policy is acceptable and does not meet the tests of soundness. At present, the policy appears to simply encourage development of the same scale and type as existing and fails to provide a set of tests to accommodate higher density development – which is accepted elsewhere within the Plan to fulfil an important role in meeting identified development need – in appropriate locations and which is designed appropriately. To be effective, design related policies must acknowledge that it is not always appropriate to reflect local patterns of development where this impedes the delivery of other plan policies, for example housing delivery or enhancement of the town centre. It is also important that design policies encourage the optimisation of the potential of development sites.

The above should be noted in the context of paragraph 58 of the NPPF, which states that planning policies and decisions should aim to ensure that developments (inter alia):

- Optimise the potential of the site to accommodate development, create and sustain an appropriate mix of uses (including incorporation of green and other public space as part of developments) and support local facilities and transport networks; and - Respond to local character and history, and reflect the identity of local surroundings and materials, while not preventing or discouraging appropriate innovation.

In terms of specific parts of the policy, we also consider that reference should be made to daylight and sunlight rather than overshadowing within Part (c), and to the advantages of high quality design within Part (2).

Paragraph 9.11 states that “in Poole tall buildings are considered to be those over six storeys”. We request that this is reviewed to assess whether 6 storey really constitutes a tall building. Care should be taken not to adopt this limit as an arbitrary threshold. Testing as to whether a design is appropriate should be undertaken on the basis of key views.

Paragraph 9.13 refers to tall buildings as being an important component of boosting housing delivery and meeting needs. We support this recognition, but request that later parts of this paragraph are expanded to recognise that Poole would benefit from a consistent approach of testing proposals from an agreed list of identified views, supplemented by additional views agreed on a case by case basis as appropriate.

We also request that recognition is given to issues of daylight / sunlight in the design and development of tall buildings. It is however important that policy recognises that with clusters of higher density development, proposals may be acceptable even in scenarios wherein standards are not strictly met.

Emerging Policy PP28 – Tall buildings

Linked to earlier comments above, we recommend that wording of this policy is amended to include reference to a specific set of views that will be identified against which proposals for tall buildings will be assessed.

The Test of ‘Soundness’

We consider that without amendments to the design (PP26) and town centre related (PP3, PP21, PP22) policies and paragraphs (Paragraph 5.3) as set out above, the soundness of the emerging Plan is not ensured.

The National Planning Policy Framework (NPPF) states at paragraph 182 that for a plan to be sound it should be:

- positively prepared – prepared based on a strategy which seeks to meet objectively assessed development and infrastructure requirements, including unmet requirements from neighbouring authorities where it is reasonable to do so and consistent with achieving sustainable development; - justified – the most appropriate strategy, when considered against the reasonable alternatives, based on proportionate evidence; - deliverable over its period and based on effective joint working on cross-boundary strategic priorities; and - consistent with national policy – should enable the delivery of sustainable development in accordance with the policies in the Framework.

In our view, failure to clearly position the designated town centre as the preferred location for town centre uses, and to identify non-town centre sites as being out of centre or edge of centre sites, and the failure to set clear strategies for the assessment of the design approach to schemes, as well as the failure of design policies to refer to the optimisation of sites and the encouragement of flexible design, is not consistent with national policy.

Consultation on Newly Promoted Sites

We have no comments to make on the above.

Draft CIL Charging Schedule

Alongside the Pre-Submission Local Plan, the Council is also inviting comments on the draft replacement CIL Charging Schedule.

The Dolphin Centre falls with Zone B (Poole town centre – excluding Twin Sails Regeneration Area) for the purposes of the draft CIL Charging Schedule. Within this zone, the following CIL rates apply under the draft charging schedule:

- Residential (C3, excluding retirement housing): £60 per sqm; - All other development: £0 per sqm.

In comparison to the above, residential development in the Twin Sails Regeneration Area is proposed to be subject to a CIL rate of £0.

We request that all town centre sites are subject to a nil CIL rate for residential development to enable consistency in delivery.

We also suggest that it would be helpful and more clear if the published map showing the CIL charging zones used the denominations ‘Zone Bi’ and Zone Bii’ as per the draft charging schedule.

Concluding Remarks

These representations are submitted on behalf of LGIM. In the interests of meeting the tests of ‘soundness’, we request that amendments are made in line with the above content of this letter in order to ensure consistency with national planning policy.

LGIM intend to engage with the Council further in terms of the preparation of local planning policy and we therefore request that we are kept up to date with the preparation and submission of the Local Plan. As per the accompanying Representations Form, we would like to have the right to participate at the oral examination if necessary.

Please contact Julian Stephenson or Polly Mason at this office if you have any queries or if you would like to discuss.

Yours faithfully

MONTAGU EVANS LLP Rep 05

Poole Local Plan/CIL, Planning and Regeneration, Borough of Poole, Civic Centre, Poole BH15 2RU.

Date: 22 September 2017 Our ref: 13776/SSL/JLa/14815397v1 Your ref:

Dear Sir / Madam

Borough of Poole Draft Community Infrastructure Levy Charging Schedule

We write in relation to the above consultation on behalf of our client, Inland Homes PLC. Inland Homes welcomes the proposed revisions to the Community Infrastructure (CIL) Levy and considers that the proposed nil rate within the Twin Sails Regeneration Zone will be important in realising brownfield development. Such development will be crucial in meeting Poole’s housing needs and minimising the need for Green Belt release.

Inland Homes is the only developer to have delivered new housing within the designated Regeneration Zone in recent years. The former Pilkington’s Tiles Site, now referred to as Carters Quay will deliver 165 new homes in phases 1-3 which are now nearing completion. A further 161 new homes are planned on the quayside remainder of the site and these proposals are the subject of a current planning application (ref. APP/17/01043/F). Inland Homes therefore has a strong interest in ensuring the successful regeneration of the Twin Sails / Lower Hamworthy area is achieved. Inland Homes fully supports the changes CIL charging schedule to reduce the rate for development within the Twin Sails Regeneration Area to nil. This recognises the substantially greater costs of developing land in this area which has required substantial remediation and will require the construction of a sea wall.

We support the Draft Charging Schedule and would encourage the Borough of Poole to expedite its implementation. Yours faithfully

Joe Larner Planner

Enc. Completed CIL Consultation Response Form

Registered in England No. 2778116 Regulated by the RICS Borough of Poole REF Poole’s CIL Draft Charging Schedule Representation Form (for official use only)

This form has two parts: Part A – Personal Details; and Part B – Your comment(s). PART A: Personal Details

Your Details Agents Details (where relevant) Title Mr

Name Joe Larner

Job Title Planner (where relevant) Organisation Inland Homes PLC Lichfields (where relevant) Address c/o Lichfields Lichfields, 14 Regent's Wharf, All Saints Street, London Postcode N1 9RL

E-mail [email protected]

Tel. Number 020 7837 4477

Responses should be sent to:

Email: [email protected] Post: Poole Local Plan / CIL, Planning & Regeneration, Borough of Poole, Civic Centre, Poole BH15 2RU Return to Borough of Poole by 12pm, Friday 22 September 2017

Late or anonymous representations will not be accepted. All representations received will be published on the Council’s website along with your name.

If you choose to type a response it would be appreciated if you could email the Microsoft Word version, making it easier to copy the responses into an examination database.

An example of a completed form is available on the Council’s website. Alternatively, if you would like help completing this form please contact the Planning Policy Team.

For further information, visit www.poole.gov.uk/cil , email or call 01202 633321 to speak to a member of the Planning Policy Team.

Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 1 As your representation will be passed to an Inspector you should cover succinctly all the information, evidence and supporting information necessary to support/justify the representation.

After this stage, further submissions will be only at the request of the independent Inspector appointed by the Secretary of State, based on the matters and issues he/she identifies for examination.

You may choose to request to appear at a public hearing to clarify your comments. Do you consider it necessary to participate at the oral part of the examination?

No, I do not wish to participate at Yes, I wish to participate at the oral examination the oral examination

If you wish to participate at the oral part of the examination, please outline why you consider this to be necessary in the space below: Inland Homes PLC has develivered substantial new housing in the Borough and therefore has a valuable perspective on the viability of browfield development in Poole.

Please note that the Inspector will determine the most appropriate procedure to adopt to hear those who have indicated that they wish to participate at the oral part of the examination.

Signature Joe Larner Date 22.09.2017

Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 2 PART B: YOUR COMMENTS YOUR COMMENTS – PLEASE USE A SEPARATE SHEET FOR EACH REPRESENTATION

Technical Compliance:

Q1: Do you wish to make representations regarding matters of technical compliance: (please tick as appropriate) a) With the Planning Act 2008 (as amended) or CIL Yes No No Comment Regulations 2010 (as amended)? b) With the need to have regard to the charge setting and Yes No No Comment schedule procedures as detailed in the CIL Statutory Guidance issued in 2014?

(For explanation of terms refer to guidance notes below)

Comments: Please use the space below to provide more detailed comments (expand box as necessary)

Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 3 YOUR COMMENTS – PLEASE USE A SEPARATE SHEET FOR EACH REPRESENTATION

Evidence:

Q.2: Do you wish to make representations regarding the: (please tick as appropriate) a) Evidence that has been used to inform Poole’s Draft Yes No No Comment Charging Schedule? Yes No No Comment b) Council’s interpretations or use of the evidence? c) Evidence provided showing that the proposed rates will Yes No No Comment not threaten delivery of the relevant plan as a whole?

(For explanation of terms refer to guidance notes below)

Comments: Please use the space below to provide more detailed comments (expand box as necessary)

Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 4 YOUR COMMENTS – PLEASE USE A SEPARATE SHEET FOR EACH REPRESENTATION

Other Representations:

Q.3: Do you have any other representations relating to the proposed charges for Poole’s CIL? (please tick as appropriate) (For explanation of terms refer to guidance notes below)

Comments: Please use the space below to provide more detailed comments (expand box as necessary)

Please refer to accompanying Covering Letter.

Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 5 Guidance Note for Completing Representation Form

The purpose of a public examination into a proposed Community Infrastructure Charging (CIL) Levy Schedule is to consider whether a CIL Draft Charging Schedule meets the following statutory tests in accordance with sections 212(4) and 212 of the Planning Act 2008, as amended: (a) That the Charging Authority has complied with the requirements of the Planning Act 2008 (as amended) and the CIL regulations 2010 (as amended); (b) That the Charging Authority has had regard to the statutory guidance, Planning Policy Guidance 2014; (c) That the Charging Authority has used appropriate available evidence to inform the draft Charging Schedule; (d) That the proposed rate(s) are informed by and consistent with, the evidence of economic viability across the charging authority’s area, and (e) That the evidence has been provided that shows that proposed rate(s) will not threaten delivery of the relevant plan as a whole. Representations must relate to these matters. Other matters may be outside of the examination and will be subject to the examiner’s judgement as to their relevance. All representations will be considered by the examiner as written representations. Any person or organisations making representations has the right to be heard in person at the examination should they choose to appear. The public examination format will take place either through written representations or a formal hearing under the direction of the examiner. Following Poole’s Draft CIL Charging Schedule consultation period, the council may decide to amend the schedule as a response to the comments received. Any modifications will be set out in a ‘Statement of Modifications’. Where the Council proposed to make amendments to Poole’s CIL Draft Charging Schedule as result of the consultation, any person or organisation may also request to be heard by the examiner in relation to those amendments. In line with the CIL regulations, such requests must be submitted to the Council in writing before the end of the period of four weeks beginning with the day on which the Draft CIL Charging Schedule is submitted to the examiner. Any person who has made a request to be heard may withdraw that request at any time before the opening of the examination by giving notice in writing to the Council. The council anticipate that the submission of the CIL Draft Charging Schedule for examination will take place in Autumn 2017. The Council will provide updates on the proposed examination on its website. If you wish to make a representation seeking a change to the CIL Draft Charging Schedule you try to support your representation with evidence showing why the CIL Draft Charging Schedule should be changed. Where there are groups who share a common view on how they wish to see the CIL Draft Charging Schedule changed, it would be very helpful for that group to send a single representation which represents the view, rather than for a large number of individuals to send in separate representations which repeat the same points. In such cases the group should indicate how many people it is representing and how the representation has been authorised.

Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 6 Rep 06 Borough of Poole REF Poole’s CIL Draft Charging Schedule Representation Form (for official use only)

This form has two parts: Part A – Personal Details; and Part B – Your comment(s). PART A: Personal Details

Your Details Agents Details (where relevant) Title Mr

Name Bill Constance

Job Title Chair (where relevant) Organisation Poole Quays Forum (where relevant) Address

Postcode

E-mail

Tel. Number

Responses should be sent to:

Email: [email protected] Post: Poole Local Plan / CIL, Planning & Regeneration, Borough of Poole, Civic Centre, Poole BH15 2RU Return to Borough of Poole by 12pm, Friday 22 September 2017

Late or anonymous representations will not be accepted. All representations received will be published on the Council’s website along with your name.

If you choose to type a response it would be appreciated if you could email the Microsoft Word version, making it easier to copy the responses into an examination database.

An example of a completed form is available on the Council’s website. Alternatively, if you would like help completing this form please contact the Planning Policy Team.

For further information, visit www.poole.gov.uk/cil , email or call 01202 633321 to speak to a member of the Planning Policy Team.

Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 1 As your representation will be passed to an Inspector you should cover succinctly all the information, evidence and supporting information necessary to support/justify the representation.

After this stage, further submissions will be only at the request of the independent Inspector appointed by the Secretary of State, based on the matters and issues he/she identifies for examination.

You may choose to request to appear at a public hearing to clarify your comments. Do you consider it necessary to participate at the oral part of the examination?

No, I do not wish to participate at Yes, I wish to participate at the oral examination the oral examination

If you wish to participate at the oral part of the examination, please outline why you consider this to be necessary in the space below: The Poole Quays Forum neighbourhood plan was prepared in close consultation with the community. The Forum has detailed background knowledge of these issues that affect the town centre and participating in the EiP would be a constructive way of seeing policies in the plan amended succesfully.

Please note that the Inspector will determine the most appropriate procedure to adopt to hear those who have indicated that they wish to participate at the oral part of the examination.

Signature Bill Constance Date 21.09.2017

Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 2 PART B: YOUR COMMENTS YOUR COMMENTS – PLEASE USE A SEPARATE SHEET FOR EACH REPRESENTATION

Technical Compliance:

Q1: Do you wish to make representations regarding matters of technical compliance: (please tick as appropriate) a) With the Planning Act 2008 (as amended) or CIL Yes No No Comment Regulations 2010 (as amended)? b) With the need to have regard to the charge setting and Yes No No Comment schedule procedures as detailed in the CIL Statutory Guidance issued in 2014?

(For explanation of terms refer to guidance notes below)

Comments: Please use the space below to provide more detailed comments (expand box as necessary)

Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 3 YOUR COMMENTS – PLEASE USE A SEPARATE SHEET FOR EACH REPRESENTATION

Evidence:

Q.2: Do you wish to make representations regarding the: (please tick as appropriate) a) Evidence that has been used to inform Poole’s Draft Yes No No Comment Charging Schedule? Yes No No Comment b) Council’s interpretations or use of the evidence? c) Evidence provided showing that the proposed rates will Yes No No Comment not threaten delivery of the relevant plan as a whole?

(For explanation of terms refer to guidance notes below)

Comments: Please use the space below to provide more detailed comments (expand box as necessary) a) Evidence appears to have been gleaned from the consultation Jan 2013 through to March 2015, in this period the proposed charging rates have fluctuated significantly from £1300 per sq m to Zero, this has resulted in instablility to development in Poole.

The Guidance on Development Contributions in Poole Document (No Date known as an A5 Contributions Leaflet)

Large Schemes To simplify the process the Council may waive CIL on large schemes and instead use S106 and S278. In certain circumstances the development may provide actual infrastructure instead of financial contributions, e.g. public open space.

On the reverse of this leaflet the only S278 refers to transport. Looking down the list there is an itemised list, so with zero CIL in the in the Twin Sail Regeneration Area a possible 2500 new dwellings there will be no CIL contribution for Poole Harbour – offsetting of nitrogen, no additioanal primary/secondary school places. Under Public Realm and Open Spaces – improve the quality of the public realm as encouraged by Our Streets and Spaces SPD, no Improvements to the built environment, no Improvements to public safety (i.e. CCTV), no Improvements to public open spaces Under Community Facilities - vital to the vibrancy and success of local communities, no Community and youth centres, no Cultural facilities, libraries, theatres and heritage facilities and no Sports Centres b) the Council's interpretation has now moved to desperation, we must have development at all costs. c) the evidence provided shows that now the Twin Sails Bridge has nearly been paid for by using CIL contributions, the council is giving away a revenue stream in order to compensate developers that have paid too much for their sites when they were well aware on the surounding conditions and flood protection requirements.

Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 4 Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 5 YOUR COMMENTS – PLEASE USE A SEPARATE SHEET FOR EACH REPRESENTATION

Other Representations:

Q.3: Do you have any other representations relating to the proposed charges for Poole’s CIL? (please tick as appropriate) (For explanation of terms refer to guidance notes below)

Comments: Please use the space below to provide more detailed comments (expand box as necessary)

Under the localism Act Neighbourhood forums when formed were due to have influence on the spending of 25% of the CIL contributions on neighbourhood projects. We have the largest deveopment site in Poole on our doorsteps, in excess of 2500 dwellings, the developers as part of a free for all are being offered zero CIL.

How can the newly passed Neighbourhood Plan achieve its goals?

Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 6 Guidance Note for Completing Representation Form

The purpose of a public examination into a proposed Community Infrastructure Charging (CIL) Levy Schedule is to consider whether a CIL Draft Charging Schedule meets the following statutory tests in accordance with sections 212(4) and 212 of the Planning Act 2008, as amended: (a) That the Charging Authority has complied with the requirements of the Planning Act 2008 (as amended) and the CIL regulations 2010 (as amended); (b) That the Charging Authority has had regard to the statutory guidance, Planning Policy Guidance 2014; (c) That the Charging Authority has used appropriate available evidence to inform the draft Charging Schedule; (d) That the proposed rate(s) are informed by and consistent with, the evidence of economic viability across the charging authority’s area, and (e) That the evidence has been provided that shows that proposed rate(s) will not threaten delivery of the relevant plan as a whole. Representations must relate to these matters. Other matters may be outside of the examination and will be subject to the examiner’s judgement as to their relevance. All representations will be considered by the examiner as written representations. Any person or organisations making representations has the right to be heard in person at the examination should they choose to appear. The public examination format will take place either through written representations or a formal hearing under the direction of the examiner. Following Poole’s Draft CIL Charging Schedule consultation period, the council may decide to amend the schedule as a response to the comments received. Any modifications will be set out in a ‘Statement of Modifications’. Where the Council proposed to make amendments to Poole’s CIL Draft Charging Schedule as result of the consultation, any person or organisation may also request to be heard by the examiner in relation to those amendments. In line with the CIL regulations, such requests must be submitted to the Council in writing before the end of the period of four weeks beginning with the day on which the Draft CIL Charging Schedule is submitted to the examiner. Any person who has made a request to be heard may withdraw that request at any time before the opening of the examination by giving notice in writing to the Council. The council anticipate that the submission of the CIL Draft Charging Schedule for examination will take place in Autumn 2017. The Council will provide updates on the proposed examination on its website. If you wish to make a representation seeking a change to the CIL Draft Charging Schedule you try to support your representation with evidence showing why the CIL Draft Charging Schedule should be changed. Where there are groups who share a common view on how they wish to see the CIL Draft Charging Schedule changed, it would be very helpful for that group to send a single representation which represents the view, rather than for a large number of individuals to send in separate representations which repeat the same points. In such cases the group should indicate how many people it is representing and how the representation has been authorised.

Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 7 Rep 07 Borough of Poole REF Poole’s CIL Draft Charging Schedule Representation Form (for official use only)

This form has two parts: Part A – Personal Details; and Part B – Your comment(s). PART A: Personal Details

Your Details Agents Details (where relevant) Title Mrs

Name Anna Lee

Job Title Planning Policy Manager (where relevant) Organisation Purbeck District Council (where relevant) Address Westport House, Worgret Road, Wareham Postcode BH20 4PP

E-mail [email protected]

Tel. Number 01929 556561

Responses should be sent to:

Email: [email protected] Post: Poole Local Plan / CIL, Planning & Regeneration, Borough of Poole, Civic Centre, Poole BH15 2RU Return to Borough of Poole by 12pm, Friday 22 September 2017

Late or anonymous representations will not be accepted. All representations received will be published on the Council’s website along with your name.

If you choose to type a response it would be appreciated if you could email the Microsoft Word version, making it easier to copy the responses into an examination database.

An example of a completed form is available on the Council’s website. Alternatively, if you would like help completing this form please contact the Planning Policy Team.

For further information, visit www.poole.gov.uk/cil , email or call 01202 633321 to speak to a member of the Planning Policy Team.

Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 1 As your representation will be passed to an Inspector you should cover succinctly all the information, evidence and supporting information necessary to support/justify the representation.

After this stage, further submissions will be only at the request of the independent Inspector appointed by the Secretary of State, based on the matters and issues he/she identifies for examination.

You may choose to request to appear at a public hearing to clarify your comments. Do you consider it necessary to participate at the oral part of the examination?

No, I do not wish to participate at Yes, I wish to participate at the oral examination the oral examination

If you wish to participate at the oral part of the examination, please outline why you consider this to be necessary in the space below:

Please note that the Inspector will determine the most appropriate procedure to adopt to hear those who have indicated that they wish to participate at the oral part of the examination.

Signature Date

Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 2 PART B: YOUR COMMENTS YOUR COMMENTS – PLEASE USE A SEPARATE SHEET FOR EACH REPRESENTATION

Technical Compliance:

Q1: Do you wish to make representations regarding matters of technical compliance: (please tick as appropriate) a) With the Planning Act 2008 (as amended) or CIL Yes No No Comment Regulations 2010 (as amended)? b) With the need to have regard to the charge setting and Yes No No Comment schedule procedures as detailed in the CIL Statutory Guidance issued in 2014?

(For explanation of terms refer to guidance notes below)

Comments: Please use the space below to provide more detailed comments (expand box as necessary)

Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 3 YOUR COMMENTS – PLEASE USE A SEPARATE SHEET FOR EACH REPRESENTATION

Evidence:

Q.2: Do you wish to make representations regarding the: (please tick as appropriate) a) Evidence that has been used to inform Poole’s Draft Yes No No Comment Charging Schedule? Yes No No Comment b) Council’s interpretations or use of the evidence? c) Evidence provided showing that the proposed rates will Yes No No Comment not threaten delivery of the relevant plan as a whole?

(For explanation of terms refer to guidance notes below)

Comments: Please use the space below to provide more detailed comments (expand box as necessary)

Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 4 YOUR COMMENTS – PLEASE USE A SEPARATE SHEET FOR EACH REPRESENTATION

Other Representations:

Q.3: Do you have any other representations relating to the proposed charges for Poole’s CIL? (please tick as appropriate) (For explanation of terms refer to guidance notes below)

Comments: Please use the space below to provide more detailed comments (expand box as necessary)

The Purbeck boundary abuts Zone C where Upton meets Turlin Moor. Here, the proposed CIL rate for residential is £100sqm. In Purbeck, however, the adopted rate for Upton is £10sqm, although the Purbeck CIL review is proposing it to be changed to £50sqm. Despite the proposed change, this is still quite a discrepancy and could warrant some explanation in the document. A possible explanation could be the size of Zone C, which covers more than half of the borough. Inevitably, there will be variations in viability across such a large area and it is reasonable to expect pockets where viability will be comparable with Upton. Furthermore, as long as development in the zone as a whole can deliver the amount of CIL required to provide the necessary infrastructure, it does not matter if viability fluctuates within that zone. As a result, Purbeck District Council does not believe it is necessary to question BoP’s evidence or object to the draft charging schedule, but it could be beneficial if BoP were to provide some commentary to help explain the apparent discrepancy between the two plan areas.

Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 5 Guidance Note for Completing Representation Form

The purpose of a public examination into a proposed Community Infrastructure Charging (CIL) Levy Schedule is to consider whether a CIL Draft Charging Schedule meets the following statutory tests in accordance with sections 212(4) and 212 of the Planning Act 2008, as amended: (a) That the Charging Authority has complied with the requirements of the Planning Act 2008 (as amended) and the CIL regulations 2010 (as amended); (b) That the Charging Authority has had regard to the statutory guidance, Planning Policy Guidance 2014; (c) That the Charging Authority has used appropriate available evidence to inform the draft Charging Schedule; (d) That the proposed rate(s) are informed by and consistent with, the evidence of economic viability across the charging authority’s area, and (e) That the evidence has been provided that shows that proposed rate(s) will not threaten delivery of the relevant plan as a whole. Representations must relate to these matters. Other matters may be outside of the examination and will be subject to the examiner’s judgement as to their relevance. All representations will be considered by the examiner as written representations. Any person or organisations making representations has the right to be heard in person at the examination should they choose to appear. The public examination format will take place either through written representations or a formal hearing under the direction of the examiner. Following Poole’s Draft CIL Charging Schedule consultation period, the council may decide to amend the schedule as a response to the comments received. Any modifications will be set out in a ‘Statement of Modifications’. Where the Council proposed to make amendments to Poole’s CIL Draft Charging Schedule as result of the consultation, any person or organisation may also request to be heard by the examiner in relation to those amendments. In line with the CIL regulations, such requests must be submitted to the Council in writing before the end of the period of four weeks beginning with the day on which the Draft CIL Charging Schedule is submitted to the examiner. Any person who has made a request to be heard may withdraw that request at any time before the opening of the examination by giving notice in writing to the Council. The council anticipate that the submission of the CIL Draft Charging Schedule for examination will take place in Autumn 2017. The Council will provide updates on the proposed examination on its website. If you wish to make a representation seeking a change to the CIL Draft Charging Schedule you try to support your representation with evidence showing why the CIL Draft Charging Schedule should be changed. Where there are groups who share a common view on how they wish to see the CIL Draft Charging Schedule changed, it would be very helpful for that group to send a single representation which represents the view, rather than for a large number of individuals to send in separate representations which repeat the same points. In such cases the group should indicate how many people it is representing and how the representation has been authorised.

Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 6 Rep 08 Borough of Poole REF Poole’s CIL Draft Charging Schedule Representation Form (for official use only)

This form has two parts: Part A – Personal Details; and Part B – Your comment(s). PART A: Personal Details

Your Details Agents Details (where relevant) Title Mr

Name James MILLS

Job Title (where relevant) Organisation (where relevant) Address

Postcode

E-mail

Tel. Number

Responses should be sent to:

Email: [email protected] Post: Poole Local Plan / CIL, Planning & Regeneration, Borough of Poole, Civic Centre, Poole BH15 2RU Return to Borough of Poole by 12pm, Friday 22 September 2017

Late or anonymous representations will not be accepted. All representations received will be published on the Council’s website along with your name.

If you choose to type a response it would be appreciated if you could email the Microsoft Word version, making it easier to copy the responses into an examination database.

An example of a completed form is available on the Council’s website. Alternatively, if you would like help completing this form please contact the Planning Policy Team.

For further information, visit www.poole.gov.uk/cil , email or call 01202 633321 to speak to a member of the Planning Policy Team.

Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 1 As your representation will be passed to an Inspector you should cover succinctly all the information, evidence and supporting information necessary to support/justify the representation.

After this stage, further submissions will be only at the request of the independent Inspector appointed by the Secretary of State, based on the matters and issues he/she identifies for examination.

You may choose to request to appear at a public hearing to clarify your comments. Do you consider it necessary to participate at the oral part of the examination?

No, I do not wish to participate at Yes, I wish to participate at the oral examination the oral examination

If you wish to participate at the oral part of the examination, please outline why you consider this to be necessary in the space below:

Please note that the Inspector will determine the most appropriate procedure to adopt to hear those who have indicated that they wish to participate at the oral part of the examination.

Signature Date

Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 2 PART B: YOUR COMMENTS YOUR COMMENTS – PLEASE USE A SEPARATE SHEET FOR EACH REPRESENTATION

Technical Compliance:

Q1: Do you wish to make representations regarding matters of technical compliance: (please tick as appropriate) a) With the Planning Act 2008 (as amended) or CIL Yes No No Comment Regulations 2010 (as amended)? b) With the need to have regard to the charge setting and Yes No No Comment schedule procedures as detailed in the CIL Statutory Guidance issued in 2014?

(For explanation of terms refer to guidance notes below)

Comments: Please use the space below to provide more detailed comments (expand box as necessary)

Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 3 YOUR COMMENTS – PLEASE USE A SEPARATE SHEET FOR EACH REPRESENTATION

Evidence:

Q.2: Do you wish to make representations regarding the: (please tick as appropriate) a) Evidence that has been used to inform Poole’s Draft Yes No No Comment Charging Schedule? Yes No No Comment b) Council’s interpretations or use of the evidence? c) Evidence provided showing that the proposed rates will Yes No No Comment not threaten delivery of the relevant plan as a whole?

(For explanation of terms refer to guidance notes below)

Comments: Please use the space below to provide more detailed comments (expand box as necessary)

With the critical shortage of affordable housing in Poole it seems unsustainable for any part of the town to be exempted from CIL contributions, especially this prime site. As most of the dwellings are likely to be high-end units, it is unlikely that the buyers will be local residents. Why allow major developments to go ahead with zero CIL when there is no discernible benefit to current residents of the borough. Can the council confirm that developers will contribute under Section 106?

Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 4 YOUR COMMENTS – PLEASE USE A SEPARATE SHEET FOR EACH REPRESENTATION

Other Representations:

Q.3: Do you have any other representations relating to the proposed charges for Poole’s CIL? (please tick as appropriate) (For explanation of terms refer to guidance notes below)

Comments: Please use the space below to provide more detailed comments (expand box as necessary)

Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 5 Guidance Note for Completing Representation Form

The purpose of a public examination into a proposed Community Infrastructure Charging (CIL) Levy Schedule is to consider whether a CIL Draft Charging Schedule meets the following statutory tests in accordance with sections 212(4) and 212 of the Planning Act 2008, as amended: (a) That the Charging Authority has complied with the requirements of the Planning Act 2008 (as amended) and the CIL regulations 2010 (as amended); (b) That the Charging Authority has had regard to the statutory guidance, Planning Policy Guidance 2014; (c) That the Charging Authority has used appropriate available evidence to inform the draft Charging Schedule; (d) That the proposed rate(s) are informed by and consistent with, the evidence of economic viability across the charging authority’s area, and (e) That the evidence has been provided that shows that proposed rate(s) will not threaten delivery of the relevant plan as a whole. Representations must relate to these matters. Other matters may be outside of the examination and will be subject to the examiner’s judgement as to their relevance. All representations will be considered by the examiner as written representations. Any person or organisations making representations has the right to be heard in person at the examination should they choose to appear. The public examination format will take place either through written representations or a formal hearing under the direction of the examiner. Following Poole’s Draft CIL Charging Schedule consultation period, the council may decide to amend the schedule as a response to the comments received. Any modifications will be set out in a ‘Statement of Modifications’. Where the Council proposed to make amendments to Poole’s CIL Draft Charging Schedule as result of the consultation, any person or organisation may also request to be heard by the examiner in relation to those amendments. In line with the CIL regulations, such requests must be submitted to the Council in writing before the end of the period of four weeks beginning with the day on which the Draft CIL Charging Schedule is submitted to the examiner. Any person who has made a request to be heard may withdraw that request at any time before the opening of the examination by giving notice in writing to the Council. The council anticipate that the submission of the CIL Draft Charging Schedule for examination will take place in Autumn 2017. The Council will provide updates on the proposed examination on its website. If you wish to make a representation seeking a change to the CIL Draft Charging Schedule you try to support your representation with evidence showing why the CIL Draft Charging Schedule should be changed. Where there are groups who share a common view on how they wish to see the CIL Draft Charging Schedule changed, it would be very helpful for that group to send a single representation which represents the view, rather than for a large number of individuals to send in separate representations which repeat the same points. In such cases the group should indicate how many people it is representing and how the representation has been authorised.

Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 6 Rep 09 Borough of Poole REF Poole’s CIL Draft Charging Schedule Representation Form (for official use only)

This form has two parts: Part A – Personal Details; and Part B – Your comment(s). PART A: Personal Details

Your Details Agents Details (where relevant) Title Mr

Name John Sprackling

Job Title (where relevant) Organisation (where relevant) Address

Postcode

E-mail

Tel. Number

Responses should be sent to:

Email: [email protected] Post: Poole Local Plan / CIL, Planning & Regeneration, Borough of Poole, Civic Centre, Poole BH15 2RU Return to Borough of Poole by 12pm, Friday 22 September 2017

Late or anonymous representations will not be accepted. All representations received will be published on the Council’s website along with your name.

If you choose to type a response it would be appreciated if you could email the Microsoft Word version, making it easier to copy the responses into an examination database.

An example of a completed form is available on the Council’s website. Alternatively, if you would like help completing this form please contact the Planning Policy Team.

For further information, visit www.poole.gov.uk/cil , email or call 01202 633321 to speak to a member of the Planning Policy Team.

Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 1 As your representation will be passed to an Inspector you should cover succinctly all the information, evidence and supporting information necessary to support/justify the representation.

After this stage, further submissions will be only at the request of the independent Inspector appointed by the Secretary of State, based on the matters and issues he/she identifies for examination.

You may choose to request to appear at a public hearing to clarify your comments. Do you consider it necessary to participate at the oral part of the examination?

No, I do not wish to participate at Yes, I wish to participate at the oral examination the oral examination

If you wish to participate at the oral part of the examination, please outline why you consider this to be necessary in the space below: To expand on my written submission, if necessary

Please note that the Inspector will determine the most appropriate procedure to adopt to hear those who have indicated that they wish to participate at the oral part of the examination.

Signature John Sprackling Date 21/09/17

Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 2 PART B: YOUR COMMENTS YOUR COMMENTS – PLEASE USE A SEPARATE SHEET FOR EACH REPRESENTATION

Technical Compliance:

Q1: Do you wish to make representations regarding matters of technical compliance: (please tick as appropriate) a) With the Planning Act 2008 (as amended) or CIL Yes No No Comment Regulations 2010 (as amended)? b) With the need to have regard to the charge setting and Yes No No Comment schedule procedures as detailed in the CIL Statutory Guidance issued in 2014?

(For explanation of terms refer to guidance notes below)

Comments: Please use the space below to provide more detailed comments (expand box as necessary)

Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 3 YOUR COMMENTS – PLEASE USE A SEPARATE SHEET FOR EACH REPRESENTATION

Evidence:

Q.2: Do you wish to make representations regarding the: (please tick as appropriate) a) Evidence that has been used to inform Poole’s Draft Yes No No Comment Charging Schedule? Yes No No Comment b) Council’s interpretations or use of the evidence? c) Evidence provided showing that the proposed rates will Yes No No Comment not threaten delivery of the relevant plan as a whole?

(For explanation of terms refer to guidance notes below)

Comments: Please use the space below to provide more detailed comments (expand box as necessary)

I quote from the summary of representations received and Officer responses to the Public Consultation on the Community Infrastructure Levy (CIL) Preliminary Draft Charging Schedule –

“The difference between sea view and non-sea viewdevelopments will be explored further by theconsultants prior to publication of a DCS.”

This does seenm to have been addressed in PBA Peter Brett's Update report dated June 2017

The report also does not make use of the Sandbanks value area data. Table 5.5 uses £4,000/sq.m for houses and £5,100/sq.m as sales values for houses and flats in Lilliput, Branksome Park, Canford Cliffs and Sandbanks. The sales data laboriously collected (Appendix B New Residential Properties) seems to have been completely ignored. I also have queries regarading this data,,,] 1. Why has Haig Ave & Canford Cliffs Roads been included under Sandbanks? I'm surprised that there was only one sale in Canford Cliffs Road between January 2014 & August 2016 2. Many of the roads in Branksome Park have been excluded from the Lilliput/Branksome list.

It is also incorrect for land values in the above area to be taken as brownfield value of £1.5m/hectare.

The charging schedule proposes lower CIL rates for Retirement/Assisted Living housing. There needs to be a definition of what constitutes Retirement housing. Developers resrict sales to 55 year-olds and upwards in an S106 agreement. (e.g. Woodlands, 1 Flaghead Road, Poole) and this means that developers do not have to meet the Council's car parking criteria as it is argued that not so much car parking is required for this age group.

Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 4 Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 5 YOUR COMMENTS – PLEASE USE A SEPARATE SHEET FOR EACH REPRESENTATION

Other Representations:

Q.3: Do you have any other representations relating to the proposed charges for Poole’s CIL? (please tick as appropriate) (For explanation of terms refer to guidance notes below)

Comments: Please use the space below to provide more detailed comments (expand box as necessary)

Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 6 Guidance Note for Completing Representation Form

The purpose of a public examination into a proposed Community Infrastructure Charging (CIL) Levy Schedule is to consider whether a CIL Draft Charging Schedule meets the following statutory tests in accordance with sections 212(4) and 212 of the Planning Act 2008, as amended: (a) That the Charging Authority has complied with the requirements of the Planning Act 2008 (as amended) and the CIL regulations 2010 (as amended); (b) That the Charging Authority has had regard to the statutory guidance, Planning Policy Guidance 2014; (c) That the Charging Authority has used appropriate available evidence to inform the draft Charging Schedule; (d) That the proposed rate(s) are informed by and consistent with, the evidence of economic viability across the charging authority’s area, and (e) That the evidence has been provided that shows that proposed rate(s) will not threaten delivery of the relevant plan as a whole. Representations must relate to these matters. Other matters may be outside of the examination and will be subject to the examiner’s judgement as to their relevance. All representations will be considered by the examiner as written representations. Any person or organisations making representations has the right to be heard in person at the examination should they choose to appear. The public examination format will take place either through written representations or a formal hearing under the direction of the examiner. Following Poole’s Draft CIL Charging Schedule consultation period, the council may decide to amend the schedule as a response to the comments received. Any modifications will be set out in a ‘Statement of Modifications’. Where the Council proposed to make amendments to Poole’s CIL Draft Charging Schedule as result of the consultation, any person or organisation may also request to be heard by the examiner in relation to those amendments. In line with the CIL regulations, such requests must be submitted to the Council in writing before the end of the period of four weeks beginning with the day on which the Draft CIL Charging Schedule is submitted to the examiner. Any person who has made a request to be heard may withdraw that request at any time before the opening of the examination by giving notice in writing to the Council. The council anticipate that the submission of the CIL Draft Charging Schedule for examination will take place in Autumn 2017. The Council will provide updates on the proposed examination on its website. If you wish to make a representation seeking a change to the CIL Draft Charging Schedule you try to support your representation with evidence showing why the CIL Draft Charging Schedule should be changed. Where there are groups who share a common view on how they wish to see the CIL Draft Charging Schedule changed, it would be very helpful for that group to send a single representation which represents the view, rather than for a large number of individuals to send in separate representations which repeat the same points. In such cases the group should indicate how many people it is representing and how the representation has been authorised.

Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 7 Rep 10 Borough of Poole REF Poole’s CIL Draft Charging Schedule Representation Form (for official use only)

This form has two parts: Part A – Personal Details; and Part B – Your comment(s). PART A: Personal Details

Your Details Agents Details (where relevant) Title MR

Name ROBERT LOFTHOUSE

Job Title (where relevant) Organisation RICHBOROUGH ESTATES SAVILLS (UK) LTD (where relevant) Address WESSEX HOUSE, PRIORS WALK, EAST BOROUGH, WIMBORNE Postcode BH21 1PB

E-mail [email protected]

Tel. Number 01202 856909

Responses should be sent to:

Email: [email protected] Post: Poole Local Plan / CIL, Planning & Regeneration, Borough of Poole, Civic Centre, Poole BH15 2RU Return to Borough of Poole by 12pm, Friday 22 September 2017

Late or anonymous representations will not be accepted. All representations received will be published on the Council’s website along with your name.

If you choose to type a response it would be appreciated if you could email the Microsoft Word version, making it easier to copy the responses into an examination database.

An example of a completed form is available on the Council’s website. Alternatively, if you would like help completing this form please contact the Planning Policy Team.

For further information, visit www.poole.gov.uk/cil , email or call 01202 633321 to speak to a member of the Planning Policy Team.

Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 1 As your representation will be passed to an Inspector you should cover succinctly all the information, evidence and supporting information necessary to support/justify the representation.

After this stage, further submissions will be only at the request of the independent Inspector appointed by the Secretary of State, based on the matters and issues he/she identifies for examination.

You may choose to request to appear at a public hearing to clarify your comments. Do you consider it necessary to participate at the oral part of the examination?

No, I do not wish to participate at Yes, I wish to participate at the oral examination the oral examination

If you wish to participate at the oral part of the examination, please outline why you consider this to be necessary in the space below: To address and explain the representations submitted.

Please note that the Inspector will determine the most appropriate procedure to adopt to hear those who have indicated that they wish to participate at the oral part of the examination.

Signature RL Date 20/09/2017

Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 2 PART B: YOUR COMMENTS YOUR COMMENTS – PLEASE USE A SEPARATE SHEET FOR EACH REPRESENTATION

Technical Compliance:

Q1: Do you wish to make representations regarding matters of technical compliance: (please tick as appropriate) a) With the Planning Act 2008 (as amended) or CIL Yes No No Comment Regulations 2010 (as amended)? b) With the need to have regard to the charge setting and Yes No No Comment schedule procedures as detailed in the CIL Statutory Guidance issued in 2014?

(For explanation of terms refer to guidance notes below)

Comments: Please use the space below to provide more detailed comments (expand box as necessary)

Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 3 YOUR COMMENTS – PLEASE USE A SEPARATE SHEET FOR EACH REPRESENTATION

Evidence:

Q.2: Do you wish to make representations regarding the: (please tick as appropriate) a) Evidence that has been used to inform Poole’s Draft Yes No No Comment Charging Schedule? Yes No No Comment b) Council’s interpretations or use of the evidence? c) Evidence provided showing that the proposed rates will Yes No No Comment not threaten delivery of the relevant plan as a whole?

(For explanation of terms refer to guidance notes below)

Comments: Please use the space below to provide more detailed comments (expand box as necessary)

Please refer to the accompanying 'Consultation Response on Behalf of Richbourgh Estates' report (Savills September 2017).

Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 4 YOUR COMMENTS – PLEASE USE A SEPARATE SHEET FOR EACH REPRESENTATION

Other Representations:

Q.3: Do you have any other representations relating to the proposed charges for Poole’s CIL? (please tick as appropriate) (For explanation of terms refer to guidance notes below)

Comments: Please use the space below to provide more detailed comments (expand box as necessary)

Please refer to the accompanying 'Consultation Response on Behalf of Richbourgh Estates' report (Savills September 2017).

Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 5 Guidance Note for Completing Representation Form

The purpose of a public examination into a proposed Community Infrastructure Charging (CIL) Levy Schedule is to consider whether a CIL Draft Charging Schedule meets the following statutory tests in accordance with sections 212(4) and 212 of the Planning Act 2008, as amended: (a) That the Charging Authority has complied with the requirements of the Planning Act 2008 (as amended) and the CIL regulations 2010 (as amended); (b) That the Charging Authority has had regard to the statutory guidance, Planning Policy Guidance 2014; (c) That the Charging Authority has used appropriate available evidence to inform the draft Charging Schedule; (d) That the proposed rate(s) are informed by and consistent with, the evidence of economic viability across the charging authority’s area, and (e) That the evidence has been provided that shows that proposed rate(s) will not threaten delivery of the relevant plan as a whole. Representations must relate to these matters. Other matters may be outside of the examination and will be subject to the examiner’s judgement as to their relevance. All representations will be considered by the examiner as written representations. Any person or organisations making representations has the right to be heard in person at the examination should they choose to appear. The public examination format will take place either through written representations or a formal hearing under the direction of the examiner. Following Poole’s Draft CIL Charging Schedule consultation period, the council may decide to amend the schedule as a response to the comments received. Any modifications will be set out in a ‘Statement of Modifications’. Where the Council proposed to make amendments to Poole’s CIL Draft Charging Schedule as result of the consultation, any person or organisation may also request to be heard by the examiner in relation to those amendments. In line with the CIL regulations, such requests must be submitted to the Council in writing before the end of the period of four weeks beginning with the day on which the Draft CIL Charging Schedule is submitted to the examiner. Any person who has made a request to be heard may withdraw that request at any time before the opening of the examination by giving notice in writing to the Council. The council anticipate that the submission of the CIL Draft Charging Schedule for examination will take place in Autumn 2017. The Council will provide updates on the proposed examination on its website. If you wish to make a representation seeking a change to the CIL Draft Charging Schedule you try to support your representation with evidence showing why the CIL Draft Charging Schedule should be changed. Where there are groups who share a common view on how they wish to see the CIL Draft Charging Schedule changed, it would be very helpful for that group to send a single representation which represents the view, rather than for a large number of individuals to send in separate representations which repeat the same points. In such cases the group should indicate how many people it is representing and how the representation has been authorised.

Poole’s CIL Draft Charging Schedule - Representation form. July-Sept 2017 6 September 2017

Borough of Poole – Revised Draft Charging Schedule June 2017

Consultation response on behalf of Richborough Estates Ltd

savills.co.uk Borough of Poole

Consultation response on behalf of Richborough Estates Ltd Borough of Poole Consultation response on behalf of Richborough Estates Ltd

Contents

Executive Summary 1 1. Introduction 2 2. Strategic Urban Extension Site UE1 (North of Merley) 3 3. Viability 4 4. Conclusion 14

Appendices

Appendix 1: Indexed Sales Evidence – Water’s Edge, Wimborne Appendix 2: BCIS Average Cost Price Data Appendix 3: Developer Profit – Competitive Return to a Willing Developer, Savills 2017

Richborough Estates September 2017 Borough of Poole

Consultation response on behalf of Richborough Estates Ltd Borough of Poole

Consultation response on behalf of Richborough Estates Ltd

Executive Summary

This representation is made on behalf of Richborough Estates Ltd. Notwithstanding the Borough wide impact, with regard to Richborough Estates’ specific interest, this representation focuses on the impact the proposed Revised Draft Charging Schedule levy (RDCS June 2017) will have to strategic sites and particularly Site (UE1) Land North of Merley at Cruxton Farm (500 homes).

In accordance with the RDCS June 2017, Strategic Urban Extension Site North of Merley would be subject to the Zone A CIL charge of £200 per sq m. Richborough Estates is concerned that this amount of CIL would have adverse impacts on the viability of their land interest. This could jeopardise this important strategic site in coming forward and harm the delivery of the planned growth set out in the Draft Local Plan to 2033.

This representation explores the viability assumptions and evidence base relied upon by the Council within the viability studies prepared by Peter Brett Associates. This representation identifies a number of key concerns within the evidence base relevant to strategic sites, namely reliance upon Threshold Land Values and sales values that are not supported with evidence. Of key concern is the proposed changes to geographical zones which would include merging North Poole with wider Charging Zone A (£200 per sq m) which represents an increase of 166% on its position within the current adopted schedule in Zone C (£75 per sq m). This is a significant uplift and should this be implemented, we would expect there to be a robust evidence base supporting this decision. Of key concern is that the evidence provided within this representation demonstrates that there is a significant amount of further work required and that a number of areas require further thought and clarification before the RDCS can be considered for adoption.

The conclusion of this review is that the deliverability of strategic sites and thus a significant number of dwellings across the plan period will be fundamentally undermined should the proposed level of CIL not be reconsidered.

Richborough Estates therefore proposes that strategic sites including UE1 be zero rated for CIL such that all appropriate contributions for infrastructure of all types are provided through Section 106. Aside from avoiding intended and undesirable over-loading of the strategic sites with financial burdens that may jeopardise delivery of the Local Plan strategy for housing delivery, Section 106 also has the benefit of creating a direct link between contributions paid and infrastructure delivered. This enables greater control over infrastructure and development. Richborough Estates concludes in this case that a CIL approach, whilst potentially highly effective for smaller and less complex sites is not an appropriate approach for the Strategic Sites proposed in the Local Plan Review.

Richborough Estates September 2017 1 Borough of Poole

Consultation response on behalf of Richborough Estates Ltd

1.Introduction

1.1. The purpose of this representation is to respond to Borough of Poole’s Revised Draft CIL Charging Schedule (RDCS) June 2017. This representation will critically examine the assumptions relied upon by the Council to determine if the Council has sufficiently met the requirements of Section 211 (7a) of the Planning Act (as amended) in preparing their rates.

1.2. This representation is made in the context of the Community Infrastructure Levy Regulations 2010 (as amended) (“the Regulations”) and relevant statutory guidance. The RDCS will therefore be subject to the requirement of this latest set of Regulation and Guidance.

1.1. Notwithstanding the Borough wide impact, with regard to Richborough Estates’ specific interest, this representation focuses on the impact that the proposed levy for Charging Zone A will have to strategic sites within the Borough and particularly Site (UE1) Land North of Merley at Cruxton Farm (500 homes).

1.2. This site would be subject to a levy of £200 per sq m in the event the RDCS was adopted.

1.3. Savills welcomes the amendments made by Borough of Poole since the publication of the Draft Charging Schedule dated February 2015, specifically the reduction in the levy applied across Charging Zones for Sandbanks, Lilliput and Branksome Park.

1.4. However, the introduction of the new zoned areas represents an indiscriminate approach, merging North Poole with the aforementioned areas. The inclusion of North Poole and in particular Site UE1 within Zone A fails to recognise the acute affect of onerous CIL requirements on the viability of strategic sites in the Borough. This will negatively impact on securing the planned housing delivery for the District and thus the targets for growth set out in the Draft Local Plan to 2033 will be at risk.

Richborough Estates September 2017 2 Borough of Poole

Consultation response on behalf of Richborough Estates Ltd

2. Strategic Urban Extension Site UE1 (North of Merley)

2.1. This representation relates to strategic sites and with particular regard to Strategic Urban Extension Site UE1 (North of Merley) contained under Policy PP10 in the Pre-submission Draft Poole Local Plan to 2033.

2.2. By way of context, Policy PP10 sets out that planning permission will only be granted at Strategic Urban Extension sites where the scheme:

§ Delivers a minimum of 40% affordable housing on-site; § Provides a mix of housing types; § Demonstrates that the grant of planning permission would not result in significant adverse impacts to the delivery of the town centre’s major Brownfield allocations; § Would implement mitigation measures to ensure no adverse impact upon internationally protected wildlife; § Provides a SANG that connects with other parts of the Stour Valley Park; § Prioritises sustainable transport measures to facilitate cycling and walking for short trips within the new community and linking with infrastructure to Poole, Bournemouth and Wimborne centres; § Ensure the design of the scheme is capable of forming part of a sustainable transport corridor in terms of bus, cycling and walking access; § Makes a contribution towards one additional form of entry across all age groups at local schools; § Provides space for business start-ups / incubator units; § Provides a contribution to upgrading a local doctor’s surgery; § Provides a children’s play area on-sire and other facilities in accordance with Poole’s Open Space Needs Assessment; § Incorporates structural landscaping to create a strong permanent and defensible Green Belt boundary; § Has been prepared through a master planning exercise with the local community to inform a design code to be agreed by the Council.

2.3. Policy PP10 places further specific requirements on UE1 North of Merley as follows:

§ A minimum of 500 homes and a minimum of a 60 bed care home; § Small scale incubator / business start ups in and around the farm buildings that preserves and enhances the Oakley Lane Conservation Area; § Preserves and enhances the setting of the Canford Magna and Oakley Lane conservation areas including enhancement of the Carriage Drive and its heritage assets; § Make a contribution towards the implementation of a sustainable transport between the site and Poole and Wimborne; § Highway improvements to Oakley Lane, including the junction with the B3073 at the Willett Arms Public House and the junction with Magna Road; § A public car park to service local community facilities at Canford Magna and the SANG.

Richborough Estates September 2017 3 Borough of Poole

Consultation response on behalf of Richborough Estates Ltd

2.4. Strategic Urban Extension Site UE1 (North of Merley) falls within Zone A of the RDCS and would therefore be liable for a charge of £200 per sq m. This is a concern as this does not reflect the site’s strategic status set out in Policy PP10, nor the additional requirements placed upon the site.

2.5. We set out our key concerns and provide more detail under headed paragraphs below.

3. Viability

Introduction

3.1. Section 211 (7a) of the Planning Act (as amended), requires Councils to use “appropriate available evidence” to inform their Charging Schedules.

3.2. Peter Brett Associates (PBA) were commissioned by the Council to produce a CIL Viability Update Study, dated June 2017, herein termed ‘the PBA Updated Viability Study’ to update their previous 2014 study, with a key focus on the affordable housing target, tenure mix and to recommend a CIL Charge.

3.3. The previous PBA 2014 work provides greater detail on the methodology and assumptions made to inform the PBA Updated Viability Study. We have assumed that the previous and current work undertaken by PBA was relied upon by the Council when proposing the CIL rate within the RDCS.

3.4. We refer to the previous studies as appropriate; however, this representation focuses on the conclusions within the PBA Updated Viability Study 2017 which incorporates a number of significant changes to key inputs including sales values and baseline construction costs which will have a detrimental impact to the surplus afforded to CIL.

3.5. We summarise the rates proposed for residential development within the RDCS 2017 below:

Table 3.1: Draft Charging Schedule: Residential

CIL Charging Rate Development Type Zones Areas £ per sq m North Poole, Lilliput / A £200 Branksome (inc. Sandbanks) Poole town centre – excl. Twin B £60 Residential (C3 Use excluding Sails Regeneration Area retirement housing) Poole town centre – Twin Sails B £0 Regeneration Area

C £100 Central Poole

Retirement / Assisted Living North Poole, Lilliput / A £0 housing Branksome (inc. Sandbanks) All Other Development £0

Richborough Estates September 2017 4 Borough of Poole

Consultation response on behalf of Richborough Estates Ltd

Areas of Concern

3.6. There are a number of assumptions made by PBA within the Updated Viability Study that are inadequately supported and not representative of the market.

3.7. The key areas of concern include:

§ Geographical Boundaries; § Threshold Land Values; § Sales Revenues; § Promotion Costs; § Build Costs; § Site Costs; § Abnormal Costs; § Developer’s Profit.

Geographical Boundaries

3.8. For good record, we summarise the key changes proposed by the RDCS to the currently adopted CIL Charging Schedule (2013):

§ The adopted CIL Charging Schedule incorporates three different residential Charging Zones A - C. The RDCS has retained the concept of three zones, however, it has sought to include North Poole within Zone A (£200 per sq m) which represents an increase of 166% on its position within the currently adopted schedule, being Zone C (£75 per sq m);

§ The study identifies viability challenges for town centre sites and has reduced the CIL rate for Zone B in recognition of this. It has reduced from £100 per sq m to a rate of £60 per sq m (with the Twin Sails Regeneration Area zero rated);

§ The CIL rates within the RDCS are markedly higher than those currently adopted with the exception of Zone B;

§ The RDCS has introduced a new CIL category to include retirement / assisted living housing within Zone A. The proposed charge for this is £100 per sq m;

§ The RDCS has introduced a new charge for retail out-of-centre, superstores and retail warehouses of £200 per sq m.

Richborough Estates September 2017 5 Borough of Poole

Consultation response on behalf of Richborough Estates Ltd

3.9. Whilst we welcome a number of the changes that have been made, of key concern is the inclusion of North Poole within Zone A. There is an evident gap in achievable values between North Poole and those other areas classified within Zone A, namely Lilliput, Branksome and Sandbanks. It is therefore an indiscriminate and unsustainable approach to include North Poole within the Zone A rate, and would effectively result in North Poole subsidising those other areas within Zone A.

3.10. Further to this, the inclusion of strategic sites within the boundary of Zone A fails to recognise the acute affect of onerous CIL requirements on the viability of strategic sites in the Borough.

3.11. On the basis of the above and other concerns outlined within this representation, we would urge the Council to revise their geographical boundaries to ensure that the viability of strategic sites in the North of Borough has been adequately addressed.

Threshold Land Values (TLV’s):

3.12. PBA establish TLV’s for Greenfield sites by assuming an average agricultural land value and by adding an uplift to represent the premium above Existing Use Value which would need to be achieved to enable development. They have had regard to the DCLG guidance Land Value estimates for policy appraisal (2015), and have adopted an existing use value of £21,000 per hectare (£8,498 per acre) and then multiplied this by 20. This equates to a TLV of £420,000 per net ha for strategic sites and £66,000 per gross acre on the basis of PBA’s own net to gross land take assumptions.

3.13. No evidence has been provided to support the TLV’s adopted, nor the EUV’s used to arrive at the TLV’s.

3.14. Whilst we acknowledge some development assumptions will be based on professional judgement, TLV’s are a fundamental variable within modelling and will have a significant impact on overall viability modelling across the Borough. We are therefore concerned that PBA have not adopted an evidence based approach in their calculation of TLV’s.

3.15. We have undertaken research of the sale of agricultural land in relative proximity. We set out the evidence below:

Table 3.2: Savills EUV Evidence

County Description Acres Date Value / Ac Value / Ha Land at Pimperne 18.25 U/O £11,506 £28,432 Dorset Land at Hazelbury Bryan 20.20 Jul-17 £12,376 £30,582 Dorset Land at Edmondsham 2.20 Apr-17 £21,363 £52,789 Dorset Land at Tarrant Gunville 28 Oct-16 £11,429 £28,241 Dorset Land at Stalbridge 7.90 Oct-16 £10,886 £26,899 Dorset Land at Charlton Horethorne 53 Apr-16 £12,453 £30,771 Dorset Land at Charminster 3.00 Mar-16 £17,000 £42,007 Average £13,859 £34,246

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3.16. Adopting the average value of £13,859 per acre (£34,246 per ha) and utilising the DCLG methodology, the TLV for agricultural Greenfield sites for the Borough would equate to £277,180 per gross acre (£684,912 per gross ha). This is some £211,000 per gross acre in excess of the assumptions made by PBA. Given the scale of strategic sites, the impact to the surplus afforded to CIL is significant. It is therefore fundamental this this point is addressed by the Council.

3.17. This is broadly supported by comparable evidence derived from Option Agreements and minimum price provision clauses within the local area and across the south coast. An Option Agreement is a contract that gives a party the right to buy land during a specific period of time. Within the timeframe the prospective purchaser usually has a positive obligation to promote the site through the planning process to try and obtain planning permission. Option Agreements typically contain minimum price provisions which are effectively the minimum price the landowner would expect for their parcel of land taking into account the prospect of development. Minimum price provisions therefore in theory provide evidence of existing use values. This evidence sets a relevant benchmark because it indicates the minimum amount for which agricultural land owners are prepared to release their land for residential development.

3.18. We set out details below. Given that it is commercially sensitive information, the site addresses are confidential.

Table 3.3: Savills Minimum Price Evidence

Site Location Units Min. £ / gross acre Min. £ / gross ha Option A 200 £250,000 £617,750 Option B Southern England 200 £300,000 £741,300 Option C Southern England 120 £250,000 £617,750 Option D Southern England 150 £300,000 £741,300 Option E Southern England 630 £205,000 £506,600 Average £261,000 £645,000

3.19. This illustrates a range of £205,000 to £300,000 per gross acre (£506,600 to £741,300 per gross ha). For comparison purposes, we have undertaken an exercise to ‘net’ these figures down so as they are comparable with the TLV figures adopted by PBA.

3.20. PBA have undertaken their own assessment of net developable area which is stated to have been informed by the Council and their previous knowledge of scheme densities within the Borough. This is set out in Table 5.3 of their Updated Viability Study and we summarise the relevant parts below:

Table 3.4: PBA Net to Gross Land Take

Site Typology Gross area ha Net area ha Net to gross % Density dwph 50 units North Poole 1.71 1.25 73% 40 100 units North Poole 3.61 2.50 69% 40 250 units North Poole 9.72 6.25 64% 40 450 units North Poole 18.34 11.25 61% 40 500 units Greenfield 20.55 12.50 60% 40 800 units Greenfield 34.14 20.00 59% 40

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3.21. These gross to net assumptions appear to be generally reasonable and for the purposes of comparison we have adopted them in the analysis of our own gross evidence. We set out the adjusted net evidence in the table below:

Table 3.3: Savills Adjusted Net Evidence

Site Min. £ / gross acre Min. £ / gross ha Net to Gross Min. £ / net acre Min. £ / net ha Option A £250,000 £617,750 65% £714,000 £1,765,000 Option B £300,000 £741,300 65% £857,000 £2,118,000 Option C £250,000 £617,750 69% £806,000 £1,993,000 Option D £300,000 £741,300 67% £909,000 £2,246,000 Option E £205,000 £506,600 60% £513,000 £1,266,500 Average £261,000 £644,931 Average £759,894 £1,877,699

3.22. The evidence we have provided demonstrates a TLV considerably in excess of that proposed by PBA.

3.23. The EUV+ method indicates a TLV of £270,000 per gross acre. The minimum price evidence duly supports this assessment with an average of £261,000 per gross acre. In light of the above evidence, we strongly suggest that PBA reconsider their TLV’s. Upon revision, we also ask that supporting evidence is provided including evidence of agricultural Existing Use Values.

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Sales Revenues:

3.24. PBA establish sales values using predominantly online research. PBA have arrived at their opinion of sales values for the separate charging areas by setting Land Registry sold price data against Energy Performance Certificate (EPC) floor space data to derive a value per sq m.

3.25. Through this method, PBA have arrived at an average value per residential sq m for houses in North Poole of £4,018 / sq m (£373 per sq ft). This vastly overestimates the level of achievable values in the North Poole area. It also suggests that North Poole is a higher value area than Lilliput / Branksome. On intuition alone, this is clearly not representative of the Poole market. It also contradicts the theme of evidence set out within PBA’s own average sale price heat maps in section 4.3 of the Updated Viability Study.

3.26. PBA state that they have analysed a sample of 440 no. new build transactions in Poole since January 2014 and they provide the corresponding list within Appendix B of the Updated Viability Study. The sample for North Poole consists of only 9 no. properties (representing 2% of their evidence base), and comprises 4 no. apartments and 5 no. detached houses. We are of the opinion that this is an inadequate level of data on which to base an opinion of value for an area as large as North Poole. In addition, to propose a revised levy that is 166% higher than the previous position on the basis of these nine sales appears to be an oversight.

3.27. Of the 5 no. detached houses within the North Poole evidence base, we are familiar with the three sales on Merley Lane. They comprise a development of 3 no. detached bungalows situated off a private driveway on land to the rear of No. 44 Merley Lane. They are small in terms of GIA and efficient in their layout; they predominantly appealed to the downsizer market and achieve a premium sales value commensurate with that part of the market. This is clearly not representative of the wider North Poole market nor that for completed units at strategic sites.

3.28. PBA have used this evidence base to inform their opinion of achievable values at the strategic sites within the Borough. Notwithstanding the fact that the sample of 9 no. properties does not represent the area, it is widely-accepted that sales values for strategic sites do not achieve the same level as smaller, lower density new build schemes which are subject to a lower quantity of affordable housing and present a more bespoke offer to purchasers. The diluted sales market, teamed with the perceived inferior quality of larger scale estate housing in turn means than a both a lower sales value and lower sales rate should be applied within strategic sites modelling.

3.29. We consider a relevant new build development for North Poole and for strategic sites within this area to be the Charles Church scheme, Waters Edge, which is located to the south of Wimborne less than 500m to the north west of Strategic Site UE1. Sales at the site took place throughout 2013, 2014 and 2015. We set out at Appendix 1 sales data from the scheme which we have indexed according to the Land Registry House Price Index. The sum of our indexed data equates to an average value of £362 per sq ft. We do however consider the location and situation of Waters Edge to be better, being close to Wimborne town centre and fronting the River Stour.

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Development Costs

Promotion Costs

3.30. The cost of promoting a site through the planning process can be considerable, especially for larger strategic sites. We note that PBA have made no allowance for promotion costs on Greenfield sites within their Updated Viability Study. It is vital that the promotion costs accurately reflect the actual costs incurred associated with promoting a site through the planning process through to delivery. This will include professional planning consultancy fees, application fees and Appeal costs.

3.31. The impact is amplified when this is applied to larger sites. On this basis, we would ask PBA to claify why such costs have not been accounted for and to consider the figure recommended by the Harman Report (2012) which states professional fees can rise to 20% for more complex multi – phase sites.

Baseline Construction Costs

3.32. The BCIS average building prices are the results of analysis of tender prices of over 18,500 buildings. The aim of the study is to show the variations in prices between buildings of different function and the range of prices which occurs for buildings of each functional type. The figures used are contract sums excluding external works and contingencies, professional fees, VAT, finance charges and the like with preliminaries apportioned by value. They are expressed in price per sq m of the gross internal floor area.

3.33. The prices are adjusted to a notional UK average price using the BCIS County location factors and then adjusted to constant current prices using the latest estimates for indices.

3.34. PBA have adopted BCIS build cost data from Q2 2016 within their assessment. They have rebased the data to represent local (Poole) costs and have adopted the median figures for different build types. However, we would highlight that BCIS recommends the use of mean data, rather than median, to determine an average build cost, i.e. the sum of the figures divided by the number of figures. This is likely to be more representative for all potential projects than the median. We would therefore ask that this approach is adopted.

3.35. More recent BCIS data has been released since publication of the PBA study and we would strongly recommend that this data is adopted in a revised round of viability modelling. We set out below the most recently published mean build costs rebased to Poole, which represents a significant cost increase of 3.3% on the previous PBA figures for Estate Housing. A full set of BCIS figures are attached at Appendix 2.

Table 3.4: BCIS Mean Build Cost Data

Build Cost Type Cost per sq m Flats / Apartments £1,302 Housing detached (3 units or less) £1,833 Estate Housing £1,094 Care homes £1,525

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Site Opening up Costs

3.36. It is necessary to first consider the difference between infrastructure and external costs in order to appropriately quantify a cost allowance for each.

3.37. On site infrastructure costs cover the provision of drainage, services and utilities, in essence, the infrastructure required to deliver a serviced housing parcel. The Harman Report suggests a range of £17,000 - £23,000 per dwelling is appropriate for large sites. Considering the Harman Report was produced in 2012, we have increased the figures (using the BCIS All in Tender Price Index). Having allowed for indexation, the recommendations within the Harman Report, equate to £22,184 to £30,013 per dwelling.

3.38. PBA acknowledge that an allowance needs to be made for a range of site costs including roads, drainage and services within the site, parking, and footpaths. They have allowed for ‘opening up’ costs of £18,000 per unit for sites over 500 units. No evidence has been provided to support this assumption.

3.39. On this basis of the Harman recommendation alone, we consider the figure adopted by PBA is too low.

3.40. In order to provide further justification for an increase in site works, we have sought to obtain information on site works / infrastructure costs from a number of development sites across the Country. Our evidence is for sites of 200 units or more and shows a range in infrastructure costs from £3,232 to £39,979 per plot, providing an overall average of £20,746 per plot. What is of interest is how significantly the infrastructure requirement varies, which is due to site specifics. Due to this variation, it is crucial that the assumption on infrastructure costs is not underestimated as this will have a significant impact on site viability, and if underestimated across the District, housing supply will be severely compromised.

3.41. We include below our nationwide evidence for infrastructure costs:

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Table 3.5: Savills Evidence on Infrastructure / Site Works

Region Local Authority £ per unit

Scheme Enabling & Scheme Mitigation Total Site Works Abnormals (S. 106)

200 - 500 units

NE North Tyneside £8,765 £8,888 £17,653

NW Tameside £3,616 £1,500 £5,116

YH Wakefield £13,827 £7,657 £21,484

WM Wychavon £25,823 £3,288 £29,111

NE Redcar and Cleveland £6,170 £4,021 £10,191

NW Cheshire East £3,232 £2,210 £5,442

NW Telford & Wrekin £18,264 £7,289 £25,553

SE Basingstoke & Deane £17,571 £18,606 £36,177

NW Preston City Council £21,269 £2,398 £23,667

EE Babergh District Council £30,743 £11,337 £42,080

WM Stafford Borough Council £7,000 £7,190 £14,190

SE Cherwell District Council £22,500 £14,400 £40,000

SE Cherwell District Council £33,885 £14,500 £48,300

AVERAGE £16,359 £7,945 £24,536

501 - 1000 units

SE Hart District Council £17,630 £10,213 £27,843

SE Cherwell District Council £15,455 £18,100 £33,600

SE Horsham District Council £30,145 £18,127 £48,272

AVERAGE £21,077 £15,480 £36,572

1001 units +

SW Taunton Deane Borough Council £39,879 £2,715 £42,594

EE Cambridge City Council £10,104 £17,741 £27,845

SE Cherwell District Council £14,628 £16,679 £31,307

EE Chelmsford City Council £16,645 £28,594 £45,239

SE Winchester City Council £22,476 £18,844 £41,320

AVERAGE £20,746 £16,915 £37,661

AVERAGE (ALL) £19,394 £13,447 £32,923 Source: Savills, using data provided by the HBF

Richborough Estates September 2017 12 Borough of Poole

Consultation response on behalf of Richborough Estates Ltd

3.42. Given our evidence was collected in Q4 2015 – Q2 2016 and is now somewhat historic, we have taken the mid point and have indexed the costs using the BCIS all in tender price index. This provides for an indexed range of £3,408 - £42,046 per dwelling and an average of £24,431 per dwelling.

3.43. On the basis of the evidence provided and the recommendations contained within the Harman Report, we strongly recommend that the viability modelling for larger sites is revisited, with a revised allowance for infrastructure that is supported with evidence being made.

Abnormal Costs

3.44. Abnormal development costs are those that are in addition to the usual development costs to bring the site forward for development. PBA recognise an allowance should be made for demolition of substantial existing structures and remediation of any land contamination. They have therefore allowed a cost of £300,000 per net hectare for Brownfield sites. No allowance has been made within the strategic modelling for Greenfield sites.

3.45. Abnormal costs capture the impact of additional development costs such as archaeological investigation, water diversion, ground remodelling, unusual ground conditions, ‘extra over’ development costs and stabilisation and pumping stations, which may be required on both Brown and Greenfield sites.

3.46. In addition to inflating other development costs such as finance, ‘abnormals’ add to the timeframe for the delivery of a scheme. It is therefore appropriate that an allowance for such abnormal costs is made within modelling.

3.47. The actual abnormal costs will vary on a site by site basis, for the purposes of viability testing a broad assumption should be made to ensure that unknown development costs do not halt the delivery of strategic sites within the Borough. Typically we would expect this assumption to be in order of 5 – 10% for large strategic Greenfield sites.

Profit

3.48. PBA state that a blended profit allowance of 20% has been made. Of key concern is that the appraisals relevant to strategic sites has been omitted from consultation documents. We are therefore unable to satisfy our Clients as to the level of profit assumed within strategic modelling. Section 211 (7a) of the Planning Act (as amended), requires Councils to use “appropriate available evidence”, we therefore see no reason why full copies of all appraisals have been omitted from the consultation documentation. This approach is uncommon and does not offer stakeholders the transparency required to robustly assess the evidence. We therefore ask that full copies of all appraisals are provided.

3.49. As regards to the level of profit, we would refer to the briefing note publication attached at Appendix 3, entitled ‘Developer Profit – Competitive Return to a Willing Developer’ which was produced in March 2017 by Savills, in conjunction with the Home Builders’ Federation.

Richborough Estates September 2017 13 Borough of Poole

Consultation response on behalf of Richborough Estates Ltd

3.50. The evidence in the publication indicates that the minimum profit level used within viability testing should be a the minimum KPIs used within viability testing (the hurdle rates) should be a Site Level Net Margin of 20% - 25% on GDV, blended across all tenures, subject to also achieving a minimum site level hurdle rate of 25% Return on Capital Employed (ROCE).

3.51. As a consequence of the above, we would advocate that a gross developers profit in excess of 20% of Gross Development Value is applied to across all strategic modelling.

4. Conclusion

4.1. There are a number of points within the PBA Updated Viability Study work that cause concern. As a result, the Revised Draft Charging Schedule 2017, if adopted, will deem strategic sites within the Borough unviable. We would advocate that the following points are addressed by the Council before the review to the existing CIL is proceeded:

§ Adequate supporting evidence for Existing Use Values and Threshold Land Values;

§ Adequate supporting evidence for sales values in the North Poole area and strategic site areas;

§ Appropriate allowances for development costs including planning promotion cost, ‘opening up’ costs and abnormal costs, to ensure that the costs adopted reflect current market conditions and likely infrastructure requirements for larger Greenfield sites.

4.2. This representation has highlighted the practical implications relating to the delivery of strategic sites and the need to adopt a flexible approach when securing infrastructure. The rigidity of CIL means it can result in complications to the delivery of the Strategic Sites, particularly where amendments are required following the grant of planning permission. Section 106 Agreements remain the most practical solution to protect the delivery of infrastructure required to support strategic sites. It is notable that the (draft) Policy PP10 and particular for Site UE1 includes a requirement for the development to:

§ Make a contribution towards the implementation of a sustainable transport between the site and Poole and Wimborne;

§ Highway improvements to Oakley Lane, including the junction with the B3073 at the Willett Arms Public House and the junction with Magna Road.

Richborough Estates September 2017 14 Borough of Poole

Consultation response on behalf of Richborough Estates Ltd

4.3. At this stage the nature of such infrastructure works are simply not known, nor their delivery mechanism. In light of the areas of concerns raised in these representations, we do not consider that the evidence base soundly supports the suggested CIL rate of £200 and that, in order to realise the delivery of strategic sites (which are intended to make a significant contribution to the housing needs of the Borough and with a particular emphasis on the delivery of family homes and affordable homes) the infrastructure associated with strategic sites should be delivered through site-specific mitigation secured by S106 obligations.

4.4. Further, the proposed levy is based on assumptions that are unclear and which have not been substantiated with evidence. The evidence in this report pooled from two separate sources and adopting two different approaches provides a TLV that is some £204,000 - £211,000 per gross acre in excess of the TLV’s adopted by PBA for Greenfield sites. Given the scale of strategic sites, this underestimation will have a fundamental impact on the surplus afforded to CIL for these sites.

4.5. In addition, appraisals outlining cash flow assumptions and key appraisal inputs have been omitted from consultation documents. We would strongly advocate that any viability modelling is supported with publically available appraisals detailing full cash flow and profit assumptions.

4.6. Savills subsequently consider that the proposed Revised Charging Schedule 2017 does not accord with NPPF paragraphs 173 – 177. We therefore urge that the matters raised in this representation are addressed by the Council and that further viability testing is undertaken across all strategic modelling.

4.7. Please note that the advice provided on values is informal and given purely as guidance. Our views on price are not intended as a formal valuation and should not be relied upon as such. They are given in the course of our estate agency role. Any advice in this or the attached documents is not in accordance with RICS Valuation - Global Standards 2017, or any subsequent edition and neither Savills nor the author can accept any responsibility to any third party who may seek to rely upon it, as a whole or any part as such.

Richborough Estates September 2017 15 Appendices Appendix 1 Indexed Sales Evidence – Water’s Edge, Wimborne Indexed Sales Evidence - Water's Edge

2 2 2 2 2 2 2 2 2 2 1 1 1 1 1 1 1 1 Appendix 2 BCIS Average Cost Price Data

Appendix 3 Developer Profit – Competitive Return to a Willing Developer, Savills 2017 March 2017

Executive Summary

Residential Development Margin

Competitive Return to a Willing Developer

savills.co.uk Residential Development Margin

Competitive Return to a Willing Developer

Executive Summary

The level of return required by a willing developer needs to have regard to the scale and complexity of the project in question, its cash efficiency, the scale of investment required and the embedded sales risk. Returns need to be set at a level which supports existing business models, stimulates new entrants into the housing market and which do not act as a barrier to entry to smaller less efficient companies. With no new entrants of scale into the housing market over t returns are not adequate for the risks involved.

In all cases developer margin is essentially split into three components with Net Operating Margin, overheads and finance needing to be considered in order to derive a gross hurdle rate. This is more easily explained as follows:

Figure 1 Understanding Gross Margins

Operating Margin

Overheads

Site Level Net Margin

Finance

Gross Margin

Source: Savills

Establishing the correct Site Level Net Margin for incorporation into residual land value calculations used during development viability discussions is key to ensuring the continuation of a robust and sustainable residential development industry.

Our analysis indicates that Operating Margin targets for housebuilders across the economic cycle are 15-20% on Gross Development Value (GDV). Overheads vary significantly (5% - 12%) depending on the scale and type of developer. For the purpose of our analysis we have used an average of 8% on GDV and, after adjusting for site specific finance the resultant suggests a Site Level Net Margin target of 20 25% of GDV. It should be noted that this does not take account of any exceptional items or planning costs associated with the promotion of strategic sites. Similarly it does not take in to account the cost of securing and promoting unsuccessful sites, which developers have to cover centrally. This figure could subsequently be higher for certain types and scale of development, such as high capital projects in London and provincial City Centres.

March 2017 2 Residential Development Margin

Competitive Return to a Willing Developer

Also, in most cases, Return on Capital Employed (ROCE) is considered to be an equally important indicator, particularly on large capital intensive schemes. A target ROCE needs to be achieved alongside the Site Level Net Margin of 20-25% on GDV. This means that the minimum KPIs used within viability testing (the hurdle rates) should be a Site Level Net Margin of 20% - 25% on GDV, blended across all tenures, subject to also achieving a minimum site level hurdle rate of 25% Return on Capital Employed (ROCE).

March 2017 3 Residential Development Margin

Competitive Return to a Willing Developer

Introduction

The Savills Community Infrastructure Levy (CIL) team has a national mandate from the Home Builders Federation (HBF) to prepare CIL representations, attend Examination Hearings and offer CIL consultancy advice across the country. Savills is the only consultancy firm to have a team of this scale solely focused on CIL advice; making the CIL team a market leader.

The CIL team has been involved with all stages of the CIL process (both pre- and post-implementation) offering advice to landowners, housebuilders, developers and local authorities. Since its inception, the CIL team has submitted over 250 separate representations and formed over 100 local housebuilder and developer consortiums.

We are therefore well placed to observe trends in the emerging viability work and subsequent CIL examinations.

Purpose

The purpose of this Briefing Note is to present evidence of what represents a competitive return to a willing developer, t policy priority to stimulate new entrants into the housing market, support the SME sector and to build one million homes during the course of this Parliament.

Please note that this report is based on research and publically available data compiled in the period January 2016 - February 2017.

Jim Ward

Director

Residential Research

Lizzie Cullum

Associate Director

Residential Capital Markets

March 2017 4 Residential Development Margin

Competitive Return to a Willing Developer

Definitions

The following definitions will be referred to throughout the report:

Description Calculation Target Percentages

Gross Development Value (GDV) = Total Development Receipts (Turnover) n/a

Operating Profit (£) = Turnover less All Development Costs (Excl. Cost of n/a Debt) - Overheads

Operating Margin = Operating Profit (as a % of GDV) 15% to 20%

Gross Profit (£) = Operating Profit + Overheads n/a

Gross Margin = Gross Profit (as a % of GDV) 23% to 28%

Site Level Net Margin (% of GDV) = Minimum profit margin, or hurdle rate, required to 20% to 25% allow the development to commence1

Return on Capital Employed = Site Level Net Margin divided by annualised Min. 25% (ROCE) cumulative funds employed (including overheads)

Overhead (%) The level of overhead required by a home builder (of 5% to 12% any size) to undertake residential development (NB: In addition to normal overheads many housing developers include the cost of directly employing design managers, buyers and surveyors within their cost of overheads).

1 It should be noted that this figure excludes finance costs. For the purpose of CIL and viability testing, industry practice is to use ARGUS Developer or similar modelling tools that include a developer margin separately to the finance rate. For the purpose of our analysis, we therefore make recommendations in relation to the net site margins as finance will be charged in addition.

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Competitive Return to a Willing Developer

Development Margin

Policy Background

1.1 The NPPF states that to ensure viability developments should provide competitive returns to a willing land owner and willing developer2.

1.2 A competitive return to a developer is one that provides a sufficient return for the developer to continue a successful and resilient business through the economic cycle; taking account of the risk profile of the business and its development programme, within the current policy environment.

1.3 The Government has a strong housebuilding agenda. It started with the aspiration to deliver 1 million homes over the course of the Parliament. In the first year of Parliament the 189,000 new homes delivered fell just short of the 200,000 homes per year average required (Figure 2). Subsequently, Government ministers have stated that delivery of 225,000 to 275,000 homes per year is needed. To achieve this, continued expansion of the housebuilding sector is required. Expansion of output by Small and Medium- sized Enterprises (SMEs), including new entrants, is an essential part of the route to building more homes. The steep decline in output from SMEs since the 2008-09 downturn is still holding back housebuilding, as shown in Figure 4.

Figure 2 Housebuilding and planning permissions in England

Permissions Net additional dwellings EPCs for new dwellings

350,000

300,000

250,000

200,000

150,000

100,000

Numberof homes per annum 50,000

0

Dec-06 Dec-07 Dec-08 Dec-09 Dec-10 Dec-11 Dec-12 Dec-13 Dec-14 Dec-15 Dec-16 Source: DCLG, Glenigan (Please note that the total planning permissions figure includes those applications submitted by non-housebuilders (i.e. land promoters, Local Authority).

2 NPPF, Communities and Local Government. Para 173. March 2012

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Competitive Return to a Willing Developer

1.4 Expansion will require additional financial investment. A necessary condition of the financial investment required across both new entrants and existing developers is that developer margins and the return on capital employed are seen by those in the capital markets as being sufficiently robust and sustainable to justify that investment. In the case of quoted national housebuilders their finance is secured at a corporate level via capital markets. This enables them to secure competitive rates, as the majority of their business is undertaken by way of equity rather than debt. In contrast, SMEs secure finance on a project-by-project basis from third parties lenders at much higher rates (8-14%).

1.5 The most readily available market evidence of a competitive return is the return achieved for the shareholders of the quoted Plc housebuilders, noting that the Top 17 House Builders accounted for 66% of new home starts in Great Britain in 20163. The Operating Margins (based on Earnings or Profit before Interest and Tax) of the Plc housebuilders are shown in Figure 3 below.

Figure 3 Operating Margins of major housebuilders 1993 2016

40

30

20

10

0

-10 Barratt -20 Bellway Berkeley -30 Bovis Persimmon -40 Redrow Taylor Wimpey -50 Crest Nicholson Operatingmargin net of exceptional items, % Average -60

Source: Thomson Reuters

1.6 It should be noted that the analysis above refers to blended margins across the business, including:

All types, size and risk profile of site; All tenures of housing, including market sale, market rent and affordable; The costs of securing and promoting unsuccessful sites; and Overheads.

3 NHBC registrations as published in Housing Market Report, January 2017

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Competitive Return to a Willing Developer

1.7 A number of viability consultants argue that a different developer margin should be applied to private and affordable housing. However, it is increasingly common for developers to purchase land prior to securing an offer from Registered Providers who are subject to more market risk from the current affordable housing regime than in previous systems of funding. It should also be highlighted that even when a Registered Provider has been secured on a site, the developer is open to risk from planning, ground conditions, delays and abnormals. Developers will therefore review a site as a whole, adopting a blended development margin to reflect the risk of the project in its totality.

1.8 Since the economic downturn, the average level of Operating Margin achieved has been building back to 15% to 20% which was achieved during the 2000 to 2007 period, when sector output was approaching and then exceeding 200,000 additional homes per annum (Figure 4 and Figure 2). Only if margins are maintained at these percentages will the required levels of investment in housebuilding be made, enabling significant investment in new entrants and reinvestment amongst existing developers. The margin needs to be sufficiently high to protect, or at least cushion, investors from such downturn risks as evidenced during the 2008-2009 downturn.

Figure 4 Registrations by size of housebuilder compared to margin levels

Large housebuilders (500+ homes) Medium housebuilders (101-500 homes) Small housebuilders (1-100 homes) Average operating margin 200,000 30

180,000 25

160,000 20

140,000 15

120,000 10

100,000 5

80,000 0

60,000 -5 Operatingmargin (%)

Numberof new homes registered 40,000 -10

20,000 -15

0 -20

Source: Thomson Reuters and NHBC (NB: These reported figures are after the cost of Overheads has been deducted)

March 2017 8 Residential Development Margin

Competitive Return to a Willing Developer

1.9 With the number of new entrants and SMEs in serious decline (as highlighted in Figure 4), this analysis highlights that existing and historic margins have been insufficient to stimulate a broader range of operators into the market. operators to be realised, the level of competitive returns secured needs to be reflective of the risk and lending requirements of this key part of the sector.

Providers of Finance & Capital

1.10 Shareholders in the quoted housebuilders are principally institutional investors - pension funds, insurance companies and private equity funds. They have a wide range of companies and sectors to choose from, including retail, house building, mining, transport, energy and telecommunications, all with different risk

reducing the development capacity of the house building sector.

1.11 In the case of SMEs the profile of their finance providers is different. Given the varying covenant strength of these companies (compared to national housebuilders) the requirements of lenders for development funding are much stricter. SMEs will therefore be required to demonstrate sufficient site level margins to cover the additional risk implied by their respective covenant strength. Acknowledgment of the additional overheads and finance costs incurred by SMEs needs, therefore, to be recognised.

Market Trends

1.12 The key measures are Site Level Net Margin and ROCE associated with a cashflow that is deliverable . For a development to be viable, all of these measures need to meet acceptable target levels.

Gross vs. Net Margins

1.13 As illustrated in Figure 1, it is important to distinguish between site level margins and the Operating Margin reported in house builder accounts. This is discussed in the Harman Report, which suggests that:

Overheads for house-building typically lie in the range of 5% - 10% of gross development value, with only 4 (emphasis added)

1.14 JP Morgan analysis5 of Plc housebuilder performance for the financial years 2012 and 2013 indicates that the average overheads of the quoted housebuilders (the difference between Gross Margin and Earnings Before Interest and Tax) were 6.4% and 6.0% of revenue respectively, averaging 6.2%. However, it should be highlighted that SMEs are subject to higher overheads, within the range of 5-12% of GDV. This suggests that an average of 8% for overheads is more appropriate, which when applied to a target Operating Margin range of 15% to 20% of revenue derives, at a corporate level, a Gross Margin of 23% to 28% of GDV.

4 Viability Testing Local Plans, Chaired by Sir John Harman, June 2012 5 UK Housebuilding, Europe Equity Research. J.P. Morgan. September 2013

March 2017 9 Residential Development Margin

Competitive Return to a Willing Developer

1.15 In viability testing, if delivery is not to be constrained, operating margins should be set at a level which facilitates developers of all shapes and sizes; as opposed to a level which relies upon the efficiencies of scale achieved solely by the larger developers.

1.16 Both Operating Margin and Gross Margin are quoted before deduction of the cost of paying interest on debt, which at a corporate level has averaged 3-5% of GDV in recent years. Therefore the hurdle rate for Site Level Net Margin for larger housebuilders is 20-25% of GDV. For SMEs the hurdle rate will be higher (in the region of 25-30%) to reflect their higher project finance costs.

1.17 This is the basis of the developer margin hurdle rate that is applicable to site level development appraisals calculating the Residual Land Value (RLV), in which the cost of debt is included separately6.

1.18 Around this average, there will be a range of site specific development risks and therefore a range of site level hurdle rates for developer margin. For example:

Smaller, lower density, less constrained sites are inherently less capital intensive and represent a lower delivery risk than costlier larger sites and higher density sites. It therefore follows that smaller, lower density site s hurdle rate will be below the corporate average. Although it should be noted that sales risk and delivery risk are inherently different. For example, a small site with low delivery risk can still represent a higher risk to the developer if in a high value location above the Help to Buy thresholds. In this case the site will require a higher hurdle rate to reflect the increased sales risk.

In contrast, larger complex sites requiring up-front infrastructure delivery and protracted timescales will be above the corporate level average. This is particularly relevant for brownfield sites where the extent of abnormal costs (ground conditions and remediation) is largely unknown at the outset. Furthermore, on large sites there is significantly more sales risk, as there is greater uncertainty about the strength of market conditions over the life of the development, which is likely to include a market downturn. Such uncertainty both in terms of cost and timings increases the risk profile and therefore the hurdle rate required.

The variance in sales rate also needs to be considered, with the relative strength of the market reflected in the risk profile of a site. It therefore follows that larger sites in weaker or over-supplied markets reflect a greater risk and subsequently require a higher hurdle rate than similar sites in stronger markets. Similarly, larger projects pose a greater sales risk as they are likely to be developed across a property cycle introducing more uncertainty.

1.19 The above is particularly relevant for large-scale development and regeneration areas, where large up- front costs hamper the ability to achieve the required ROCE, such that a higher margin is necessary to reflect the additional risk. In these instances, ROCE becomes the primary hurdle rate as highlighted by the Harman Report:

6 Refer to footnote 1

March 2017 10 Residential Development Margin

Competitive Return to a Willing Developer

will demand significantly higher levels of profit to achieve an acceptable ROCE than developments of a more standard, less cash intensive nature on virgin ground. Likewise, projects with significant up-front 7

1.20 The requirements for those investing in the sector will subsequently be a minimum hurdle rate of 25%. Although it is worth highlighting that our analysis is based on typical hurdle rates on sites across the Country. It does not therefore reflect the additional cost and risk associated with delivering sites in London. In this instance, different investment requirements may be sought, reflecting significantly higher minimum hurdle rates.

Appeal Precedent

1.21 For the reasons outlined above, development margin is a key point in viability discussions and will vary depending on a number of factors. This point has been acknowledged by a number of Inspectors at appeals, including the following:

Land at The Manor, Shinfield, Reading8

housebuilders who set out their net profit margin targets for residential developments. The figures ranged from a minimum of 17% to 28%, with the usual target being in the range 20-25%. Those that differentiated between market and affordable housing in their correspondence did not set different profit margins. Due to the level and nature of the supporting evidence, I give it great weight. I conclude that the national

the range, is reasonab 9

Land at Lowfield Road, Rotherham10

17.5% is reasonable for a

evidence to support this view, based on a range of sites identified only in general terms. The return to a developer is inevitably going to vary considerably between one development and another, and will properly reflect the risk of a specific project. Reference has been made to a number of appeal decisions where varying levels of developer profit have been accepted. However these other decisions are of limited value, as much will depend on the individual circumstances of the particular site and development.

profit, and these generally vary between 15% and 25%. However, in general, it is reasonable to assume that on more marginal sites,

7 Ibid. p46 8 Ref: APP/X0360/A/12/2179141 dated 8th January 2013 9 Paragraph 44 10 Ref: APP/R4408/Q/14/2216976 dated 9th September 2014

March 2017 11 Residential Development Margin

Competitive Return to a Willing Developer

profit expectations would be higher. In this case, the developer has been very clear about the slow sales and the reasons why the site has not been mothballed, as it otherwise might have been. This background tends to support a figure in the

In this case, recognising the approach of this appellant to the use of in-house professional expertise, the in the viability appraisal (22% - i.e. 15% profit and 7% overheads) is reasonable. 11

Land between Lydney Bypass and Highfield Road12

The Council considered that due to the improving market a profit level of 17.5% would be reasonable. The Appellant on the other hand considered that 20% would be the minimum on which finance could be obtained. The amount required by a developer to undertake the development is a reflection of the anticipated risk. In this case the evidence indicates that the market is not an easy one within this part of the country. Although the Council considered that work had started on the site with the installation of the pumping station, I am not convinced that this would greatly reduce the risk element of the project. Whilst the greenfield site has an attractive position with enviable views it is not within a prime location on the edge of one of the major towns such as Gloucester or Cheltenham. Furthermore the scheme would be carried out over a relatively long time period and this would add to uncertainty in terms of future economic conditions.

Taking all of the above circumstances into account I consider that it is figure of 20% of gross development value 13

Land to the North and East of Lisvane, Lisvane, Cardiff14

A blended developer profit of 20% is appropriate in this case, noting that two appeal decisions29 (at Pinn Court Farm and Shinfield) where the blended rate of 18.8% and 20% on gross development value (GDV) were found to be acceptable. The attractiveness of the site to the market is acknowledged, but this is reflected in the high GDV which has been used, which in itself introduces an increased risk if that assumption proves to be overly optimistic. The DVS has assumed that site purchase would take place in staged payments - this is a crude approach that fails to establish the appropriate value at the time that the appraisal is undertaken. The rate suggested by the DVS is the same as that adopted in relation to the adjacent, recently approved Cefn Mably Road scheme. There are significant differences between that scheme and the appeal which is at outline stage and is much larger. These differences represent an appreciably greater risk for a developer. 15

11 Paragraphs 31 - 34 12 Ref: APP/P1615/Q/14/2215840 dated 18th June 2014 13 Paragraphs 24 - 25 14 Ref: APP/Z6815/A/14/2224216 dated 28th August 2015 15 Paragraph 51 (v), Pinn Court Farm ref: PP/U1105/A/13/2208393

March 2017 12 Residential Development Margin

Competitive Return to a Willing Developer

Summary

The evidence in this paper indicates that the minimum margin used within viability testing for development sites should be a Site Level Net Margin16 of 20-25% on GDV, blended across all tenures, subject to achieving a minimum site ROCE of 25%, subject to consideration of the risk profile of the scheme. Those sites with a higher risk profile (i.e. longer term projects with significant upfront infrastructure costs and abnormals) will be at the upper end of this range, shorter term projects with less capital intensive infrastructure are likely to fall at the lower end.

The reference to ROCE is particularly important on large, capital intensive schemes. This needs to be achieved in addition to the Site Level Net Margin of 20-25% on GDV. Typically, the assessment of viability is undertaken using ARGUS Developer or a bespoke residual land value model. These include a developer margin and normally report on IRR not ROCE. In these cases the relevant hurdle rate for site specific appraisals is an Internal Rate of Return of at least 25%.

A number of viability consultants argue that a different developer margin should be applied to private and affordable housing. If this is the case, then the blended margin across all tenures should equate to the hurdle rate referred to above.

It is increasingly common for developers to purchase land prior to securing an offer from Registered Providers who themselves are subject to more market risk from the current affordable housing regime than in previous systems of funding. There is, therefore, a heightened risk associated with the affordable housing in addition to increased holding and finance costs. We would also highlight that the potential for the introduction of Starter Homes results in an additional level of risk for developers (these units being retained by the housebuilder as opposed to being sold to a Registered Provider). Receipts from cashflow and, to reflect this increased risk, developers will subsequently require a higher return on these units compared to affordable housing.

16 Please note that this excludes finance, which will be included separately in viability appraisals.

March 2017 13 Rep 11

Unit 2 Eclipse Office Park High Street Staple Hill BS16 5EL

T: 0117 956 1916 E: [email protected] F: 0117 970 1293 W: www.tetlow-king.co.uk

Planning & Regeneration Services Date: 22 September 2017 Civic Centre Poole Our Ref: AG M4/1010-25 BH15 2RU Your Ref:

By email only: [email protected]

Dear Sir or Madam

RE: COMMUNITY INFRASTRUCTURE LEVY DRAFT CHARGING SCHEDULE

We represent the South West HARP Planning Consortium which includes all the leading Housing Association Registered Providers (HARPs) across the South West. Our clients’ principal concern is to optimise the provision of affordable housing through the preparation of consistent policies that help deliver the wider economic and social outcomes needed throughout the South West region.

Overarching Comments

It is extremely important that the Council properly considers the overall impact of the CIL on the delivery of affordable housing, ensuring that this is not squeezed by setting inappropriate rates. This was emphasised by Greg Clark MP, the former Minister for Decentralisation and Cities:

“A key point of the viability test for CIL [rate setting] is that it doesn’t make socially important development unviable, including social housing. I would expect that to be at the forefront of examiners’ minds”. (Inside Housing, 20 April 2012)

The CIL Section of the Planning Practice Guidance (PPG) reinforces this view. Paragraph 21 establishes that “differences in rates need to be justified by reference to the economic viability of development” and adds that “a charging authority that plans to set differential rates should not have a disproportionate impact on particular sectors or specialist forms of development” (Reference ID: 25- 021-20140612).

The emerging Local Plan identifies a minimum target of 3,000 affordable homes. If Poole Borough Council wishes to encourage these schemes to come forward, and meet its affordable housing target up to 2033, then it needs to be pragmatic in setting a CIL rate that encourages development.

Evidence Base

We consider that the Council has published insufficient evidence upon which to set a proposed rate of £100/m² for C2 care homes / extra care accommodation in Zone A (assuming this is what is implied by ‘assisted living’ – see below).

The PPG states:

‘A charging authority should directly sample an appropriate range of types of sites across its area, in order to supplement existing data.’ [Paragraph: 019 Reference ID: 25-019-20140612]

Table 5.1 indicates that only one extra care development has been included in the ‘residential’ typologies to be tested. It is unusual that C2 extra care has been included in this table as they are not categorised as a ‘residential’ use under in the Town and Country Planning (Use Classes) Order 1987. Furthermore only two actual extra care scheme values have been added to the assumptions; namely Melton Court, Banksome and St Joseph Court.

Chairman Directors R S J Tetlow MSc Dip Surv FRTPI FRICS FCIH FRSA S Hinsley BA (Hons) MRTPI J M Adams BA (Hons) BTP MRTPI Tetlow King Planning Limited J Sneddon BSc (Hons) MRTPI Registered Office Unit 2 Eclipse Office Park High Street Staple Hill Bristol BS16 5EL Registered in England No. 2165802 J Stacey BA (Hons) Dip TP MRTPI Government Approved Constructionline Registered No. 8559 I Warner BSc (Hons) Dip TP MRTPI On this basis, we believe that there is an absence of any conclusive evidence in the 2017 Viability study to support a policy compliant rate for care homes and extra care accommodation falling within the C2 Use Class.

Charging Schedule

We are concerned with the lack of clarification regarding Use Classes in the Draft Charging Schedule. It is unclear whether the Council consider all ‘retirement housing’ to fall under Use Class C3 as it has been included in the same category as ‘assisted living housing’, which falls under Use Class C2. It is also unclear whether ‘assisted living’ homes is intended to mean all C2 developments.

In order for the Charging Schedule to operate as intended we recommend the following amendments:

Use Class Zone Charge Areas Residential (C3 Use excluding retirement A £200 North Poole, Lilliput / housing) Branksome Park, C3 Use - Residential Sandbanks, Canford Cliffs (excluding retirement housing) B (i) £60 Poole town centre – excluding Twin Sails Regeneration Area B (ii) £0 Poole town centre – Twin Sails Regeneration Area C £100 Central Poole Retirement/assisted Living housing A £100 North Poole, Lilliput / C2 Use - Extra Care & C3 Use - Retirement Branksome Park, housing Sandbanks, Canford Cliffs Retail (A1 Use) £200 - Retail development outside the boundaries A1 Use - Retail of Poole town centre, District Centres, Local Centres and neighbourhood parades, as set out in the Poole Local Plan – Pre-Submission Draft Policies Map (2017). All other development £0

CIL Rates

Residential Development

We note that the proposed CIL Rate for Zone A, Use C3 Residential (excluding retirement housing) is among the highest across the South West Region. Our research, as shown at Figure 1, shows that the £200 rates for Poole Borough Council are second only to those proposed by Cornwall Council.

Figure 1: Highest CIL rates across the South West of England

Emerging/Adopted Local Planning Comments CIL Rate Authority £400 Cornwall Zone 1, not required to provide AH Poole Zone A, Use C3 Residential (excluding retirement homes) Cheltenham Cheltenham Retirement Homes £200 Tewkesbury Teignbridge Zone 1, required to provide AH / Zone 2, not required to Cornwall provide AH £180 Purbeck

We are concerned that compliance with development rates of this degree will have a detrimental impact on planning obligations towards affordable housing and other essential infrastructure in Cornwall. We are also apprehensive about how robustly the Council will be able to defend its position when faced with developers who argue that a policy compliant development is unviable. The HARP’s

2 members are well acquainted with recent permissions where the affordable housing provision has been reduced below the Local Plan requirement on viability grounds, even without the proposed CIL payments.

C2 Development

Further to our comments above, we cannot support a proposed CIL rate for care homes and other types of development falling within Use Class C2. It is important to note that care and extra care schemes falling within Use Class C2 are significantly different to general needs housing in terms of their structure and funding. This was appropriately summarised by the Planning Inspector’s Report into the North Council CIL. The Report noted that in C2 extra care schemes, “the provision of care pervades the whole of the development” (Paragraph 66).

Statistics show that whilst 28% of Poole’s population is 60 years or over, 49% of the borough is over 45 years old. It is therefore inevitable that there will become an increasing need for sheltered and extra care accommodation in Poole. In our experience developers of retirement properties, including Housing Associations, are likely to avoid areas with a high CIL charge due to the significant impact on scheme costs. If the Council wishes to encourage specialist retirement schemes to come forward in the area then it needs to be pragmatic in setting a CIL rate that encourages development. Furthermore, in order to comply with charging rates of this magnitude, planning obligations towards other critical infrastructure, are likely to be impacted.

Discretionary Relief

We strongly advise the Council implement a discretionary relief policy as this will give the Council the ability to enable financially challenging schemes to come forward. That said it is critical that the affordable housing targets of emerging Local Plan Policy PP11 take precedence.

Instalments Policy

We strongly urge the Council to allow the phasing of CIL payments via an Instalments Policy. We do not recall any other CIL charging authority in the South West that does not allow developers to pay CIL via instalments. An instalments policy will give developers flexibility to develop without the additional significant burden of upfront CIL payment. However, it is important to highlight that the delivery of affordable housing through S106 should take precedence before CIL monies are collected.

The SW HARP’s members have experienced numerous examples where developers are granted permission with a reduction in affordable housing, primarily due to viability issues. In addition, CIL payments may be more preferable than providing on-site affordable housing due to the general perceptions of how affordable housing can affect property values.

Review of CIL

In order to comply with the proposed residential charging rates of this magnitude, planning obligations towards other critical infrastructure, including affordable housing, are likely to be impacted. We therefore recommend the Council specifies when a review of the CIL will be undertaken.

We are of the view that a review of CIL ensures Local Planning Authorities (LPAs) are reactive to an industry that is constantly changing, and represents good practice. Recent examples of other LPAs in the South West that have committed to a review of CIL include Stroud District and Plymouth City Councils. This should be over consistent intervals of time; we suggest either (a) every three years or (b) if there has been a 10% change in house prices or (c) in light of any significant change to national planning policy or guidance. This should include a caveat stating that the review will be done ‘whichever is sooner’. This would provide clarity for local developers, landowners and others who have an interest in the District’s construction and property industries.

3 We would like to be consulted on further stages of the Community Infrastructure Levy and other Local Plan publications by the Council, by email only to [email protected]. Please ensure that the South West HARP Planning Consortium is retained on the planning policy database, with Tetlow King Planning listed as their agents.

Yours faithfully

ANNIE GINGELL BSc (Hons) Assistant Planner For and On Behalf Of TETLOW KING PLANNING

CC: Aster Group Guinness Partnership Sovereign Housing Assoc Stonewater Ltd

Kerry-Marie Ruff - Housing Development

4 Rep 12

Planning Policy and Implementation Chapman Lily Planning Ltd Planning and Regeneration Services Unit 5 Designer House Civic Centre Sandford Lane Poole Wareham BH15 2RU BH20 4DY

By email: [email protected]

Date: 20th September 2017 M: 07894 801761 Our Reference: 500-BS T: 01929 553818 E: [email protected] W: www.CLPlanning.co.uk

Dear Sir / Madam

CONSULTATION RESPONSE IN RESPECT OF THE POOLE DRAFT CIL CHARGING SCHEDULE Thank you for the opportunity to comment on the Draft CIL Charging Schedule, dated July 2017.

I herein respond on behalf of W H White Ltd [“WHW”] an established local company and land owner. WHW lead a consortium of land owners who control in excess of 300ha of land in north Poole encompasses the consented Riverside Suitable Alternative Natural Greenspace [“SANG”] and the proposed allocations U2: West of Bearwood; E2: Magna Business Park; and the mainstay of UE2: North of Bearwood as identified in the Pre-submission Plan.

WHW has proactively engaged in the progression of the Draft CIL Charging Schedule and has previously submitted a detailed consultation response to the draft CIL Charging Schedule dated February 2015 (WHW response dated 31th March 2015). It is noteworthy that Borough of Poole responded to WHW’s previous consultation as follows:

“This has been translated into a CIL rate, but in practice it is likely that any strategic site would be subject to S106 rather than CIL. This would enable the scheme to deliver site specific infrastructure befitting a new community, e.g. SANGs and enable assessment/negotiation of scheme viability.

Paragraph 5.3.32 states that on greenfield sites an allowance has been made for opening up works such as utilities, land preparation, SUDS and spine roads. The opening up costs used were £5k per unit for less than 200 units, £10k per unit for 201-500 units, and £18k per unit for over 500 units, based on evidence provided at the viability workshop of a large urban extension in South East Dorset.

The value of SANGs should be based upon the existing use value, i.e. agricultural land, on the assumption that it will be in the same landholding that the housing would be built. The size of SANGs and maintenance costs will be bespoke to any development and are therefore difficult to estimate at

Registered company number: 9402101 Registered in England & Wales Registered office: Unit 5 Designer House, Sandford Lane, BH20 4DY

this stage. Further information would be needed on the quantum of development and land use change to create a SANG, which can only be done alongside allocating a site in the Local Plan.

The possibility of accepting payments in kind through on-site provision will be made clear through the publication of the DCS.

The proposed CIL zones are based on post code boundaries from which average sales prices were generated.

The boundaries of all relevant zones shall be made clear through the publication of the DCS.

Irrespective on the CIL rate set, where applicable, self-build relief will still be sought.

Town Centre rates are set at a level that is viable for development to be delivered.

Welcome relief for exceptional circumstances under paragraph 55 of the Community Infrastructure Levy (England and Wales 2010) Regulations 2010”

The Council’s response provides tacit acknowledgement that the strategic sites will attract significant infrastructure costs and that obligations are most appropriately dealt with by means of S106 rather than CIL.

As acknowledged at paragraph 2.1.29 of the updated PBA Local Plan and Viability Update, the CIL guidance encourages local planning authorities to have particular regard to Strategic Sites. In this instance WHW consider this imperative given the fact that the Council will be highly reliant of the Strategic Sites delivering affordable housing – a critical issue and challenge for the Borough. In formulating this representation, WHW has been cognisant of the guidance set out in paragraphs 173-177 of the NPPF as well as the ministerial statement by Greg Clark MP (20 April 2012):

“A key point of the viability test for CIL [charge setting] is that it doesn’t make socially important development unviable, including social housing. I would expect that to be at the forefront of examiners’ minds”.

Whilst detailed modelling has been undertaken for the brownfield Twin Sails regeneration area sites, the same cannot be said for the strategic greenfield sites. Whilst many of the underpinning assumptions set out in PBA’s updated viability assessment of greenfield typology 35 (800 homes) can be commended, the assessment ignores infrastructure obligations imposed through the provisions of Policy PP10 – which are not insignificant.

As acknowledged at paragraph 2.1.37 of the Update the guidance would allow for strategic sites to be regarded as a separate charging zone. It is therefore very surprising to see the Council seek to rigidly apply CIL to the strategic sites, albeit with the ‘get out’ of exemptional circumstances under paragraph 55 of the CIL Regulations 2010, as amended.

Page 2 of 4 WHW would point out that relief for exceptional circumstances is discretionary and that paragraph 57 establishes a very convoluted approach. Given that disqualifying events include the lapse of a 12- month period from the determination of a claim for relief, there is likely to be some discord in terms of trying to advance an outline planning application for a viable scheme and reserved matters (CIL applying only at the latter stage, which given the inherent scale and complexity is likely to take in excess of 12 months).

CIL is a very blunt instrument and not well suited to strategic sites. Indeed, in responding to the Community Infrastructure Levy Review Questionnaire: 13 January 2016, the Royal Town Planning Institute noted that the veritable dearth of evidence of impacts upon the Strategic Sites owing to the fact that the vast majority are zero rated.

WHW contend that the viability assessment underpinning the CIL level of £200 per sqm for C3 residential development, £100 per sqm for retirement and assisted living accommodation and £200 for retail development in north Poole fails to take into consideration the considerable abnormal costs imposed through Planning Policy PP10. Despite WHW’s best efforts, the Policy Team has been unable to provide a steer of SANG capacity and despite earlier reassurances, the Draft Charging Schedule has failed to set out how ‘in-kind contributions’ can be offset. Indeed, given that WHW do not contend to relinquish ownership of the SANG, but rather more manage it via a not for profit company, the CIL regulations would not appear to allow for the costs associated with provision to be offset. It is noteworthy that this situation is common to neighbouring authorities, including Christchurch Borough Council, East Dorset District Council and Purbeck District Council, all of whom elected to zero rate strategic sites.

The requirement for off-site infrastructure in Policy PP10 includes local education and health facilities, as well as the creation of sustainable transport corridor along Magna Road. The cost of delivering the latter will undoubtedly be high (with a need to extend existing bus services and increase their frequency) and as it stands this would fall solely upon site UE2: North of Bearwood (as set out in WHW’s response to the submission draft).

It is evident that the infrastructure set out within Poole’s adopted Regulation 123 list would do little to assist the Strategic Greenfield Sites UE1 and UE2. Whilst the Local Planning Authority has indicated that the Regulation 123 list will be subject to review in due course, at the current time WHW has no certainty as to what it might cover. Thus, with respect to site UE2, WHW assumes that all of the relevant provisions set out in Policy PP10 must be borne by the Strategic Sites. Despite maintaining a regular dialogue with the Policy Team and continual probing over the past two years the Policy Team has yet to enlighten WHW as to the scope of works required under the obligations or the associated costs. Indeed, it is evident from appendix A of the Poole Infrastructure Plan, dated July 2017 and accompanying the Pre-submission Draft, that many of the strategic mitigation measures have yet to be costed.

Page 3 of 4

WHW note that no provision for phased payments are set out in the draft Charging Schedule. The phasing of obligations and CIL payments will be critical to the delivery of the Strategic Sites as the opening up costs will be front loaded – for instance WHW has already secured a second access at full residential land value + premium. Whilst WHW note that the amended CIL Regulations introduced in 2014 make allowance for phasing alongside Reserved Matters, this is not the same as phased payments.

For the reasons set out above, WHW respectfully request that the strategic sites UE1 and UE2 be identified as a distinct charging zone and be zero rated.

I trust that the matters set out above will be duly considered and reflected in progressing the Draft CIL Charging Schedule through Examination.

Yours sincerely

Brett Spiller MRTPI MCIWM BTP BA (hons)

Director

Chapman Lily Planning Limited

Page 4 of 4

Poole Community Infrastructure Levy

Poole Community Infrastructure Levy – XXXXXXX. July 2018 4