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There is a recognised shortage of affordable housing in this country; recent governments have therefore put in place planning policies requiring that a percentage of affordable homes must be provided as part of most new housing developments. Alternatively a financial contribution known as a ‘commuted sum’ can sometimes be paid in lieu of an affordable housing provision.
Section 106 Agreements (Section 106 of the Town and Country Planning Act 1990) allows a local planning authority (LPA) to enter into a legally-binding agreement or planning obligation with a landowner in association with the granting of planning permission. The obligation is termed a Section 106 Agreement.
These agreements are a way of delivering or addressing matters that are necessary to make a development acceptable in planning terms. They are increasingly used to support the provision of services and infrastructure, such as highways, recreational facilities, education, health and affordable housing.
Land Planning can offer prospective developers advice on how best to manage the issues and implications surrounding affordable housing provisions and Section 106 Agreements.
In the past we have been able to put forward strong arguments for the level of affordability to be reduced down to a level which is viable to our clients, so that developments are still economically feasible, whilst still complying with local and national Planning policies relating to affordable housing.
Please contact us should you wish to discuss a planning situation relating to affordable housing or Section 106 Agreements, as we may be able to help!