Decision details

Heathrow Residential Property Leases

Decision status: Recommendations Approved

Is Key decision?: No

Is subject to call in?: Yes

Decisions:

RESOLVED:

 

That the Cabinet:

 

1) Agrees to enter into leases up to 10-year + one day with Heathrow Airport Limited for the use of up to an initial 13 self-contained homes for temporary accommodation for homeless households, as set out in the report.

 

2) Notes that the Council will be responsible for the housing management, repairs and remedial works for wear and tear and full insurance of the properties. Within the leases, the Council will be liable for the costs of exceptional damages and the full rental costs for the period that any unit is void.

 

3) Notes that the proposal to enter into leases for the homes of temporary accommodation with Heathrow Airport Limited will be subject to an annual increase applied in line with the annual social rent increase applied by LBH per annum, for the period. To note that the annual rent for each property has been negotiated to be at net lower cost to the General Fund when compared to current spot-purchased nightly charged temporary accommodation.

 

4) Agree to delegate authority to the Corporate Director of Place, in consultation with the Cabinet Member for Corporate Services & Property, to make all necessary property and operational decisions to implement this and to also agree new leases, and any ancillary decisions, for further homes from Heathrow Airport Limited should the opportunity arise.

 

Reasons for decision

 

The Cabinet Member for Corporate Services & Property introduced the report and recommendations, which Cabinet agreed, to enter into commercial leases with Heathrow Airport Ltd. to secure a number of family-sized units of self-contained accommodation for use as temporary housing for homeless households. This would provide lower-cost, higher-quality temporary housing options compared to spot-purchased, nightly charged accommodation.

 

Alternative options considered and rejected

 

Cabinet considered the alternative options set out in the report, noting that to do nothing would lead to a sharp increase in levels of homelessness.

 

Relevant Select Committee

Residents’ Services

Expiry date for any scrutiny call-in / date decision can be implemented (if no call-in)

Cabinet’s decisions on this matter can be called in by a majority of the select committee by 5pm, Tuesday 22 April 2025. If not called-in, Cabinet’s decisions can then be implemented.

Officer(s) to action

Craig Spence

Directorate

Place

Classification

Private - Whilst the Cabinet's decisions above are always made public, the officer report relating to this matter is not because it was considered in the private part of the meeting and contained information relating to the financial or business affairs of any particular person (including the Authority holding that information) and the public interest in withholding the information outweighed the public interest in disclosing it in accordance with Section 100(A) and paragraph 3 of Part 1 of Schedule 12 (A) to the Local Government Act 1972 (as amended).

 

Publication date: 11/04/2025

Date of decision: 10/04/2025

Decided at meeting: 10/04/2025 - CABINET

Effective from: 23/04/2025

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