Occupancy Conditions for New Dwellings.

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A decision made (02/12/2008) regarding: Occupancy Conditions for New Dwellings.

Decision Reference: MD-H-2008-0115
Decision Summary Title :	Occupancy Conditions for New Dwellings		Date of Decision Summary:	25 November 2008
Decision Summary Author:	Paul Bradbury, Director – Population Office		Decision Summary: Public or Exempt? (State clauses from Code of Practice booklet)	Public
Type of Report: Oral or Written?	Written		Person Giving Oral Report:
Written Report Title :	Occupancy Conditions for New Dwellings		Date of Written Report:	14 October 2008
Written Report Author:	Peter Connew, Policy Advisor - Population Office		Written Report : Public or Exempt? (State clauses from Code of Practice booklet)	Exemption 3.2 (a)(i)
Subject: Following a review of occupancy conditions imposed on the creation of new dwelling units on development sites, the Housing Minister has decided that the current policy which requires all new units to be classified for only a-h occupation be amended.
Decision(s): The Minister decided that all sites will in future be restricted to 50% of all new units to be occupied by a-h residents only, the remaining 50% available to persons approved as qualifying under Regulation 1 (all classes) All sites designated as affordable housing will remain only available for occupation by persons for whom such sites are identified (first time buyers, shared equity, etc) Any variation of the above will be considered on individual application, taking into account prevailing market conditions, and the need to ensure balanced supply and demand in such a manner as not to distort the market. Where one or more developments have common ownership a variation of the above can be applied as long as still reflecting the overall percentages. This policy is to be applied to all future development sites in order to maintain consistent application, but as required by the Law individual requests will be considered on their merits. Clearly all States rezoned sites for affordable housing will remain as such in perpetuity. The new policy will apply to new applications with immediate effect, and can also be applied retrospectively only in respect of all existing unsold new properties. Existing new a-h properties that have already been purchased remain under existing policy.
Reason(s) for Decision: The Minister agreed that whilst current policy restricts virtually all new units to a-h occupation, this does distort the market and causes an imbalance in availability whereby a j cat employee can purchase virtually any existing property having a value above £250,000, but is excluded from purchasing a higher value new build property. In particular, it should be noted that many, or most, new developments of apartments would be highly suitable for 1(1) (j) living. Development of the Migration policy as approved by the States in 2005 clearly envisages simplification of the housing market, and sets the scene whereby all residential property in the Island will be classed as available for either controlled or uncontrolled occupation, save for specifically identified affordable housing. This decision represents a gradual and prudent approach to those principles already approved by the States.
Resource Implications: None
Action required:
Signature: Senator Terry Le Main		Position: Housing Minister
Date Signed:		Date of Decision (If different from Date Signed):