Decision details

The Council (HRA) entered into a development agreement to purchase 65 homes on the development at New Fosseway in partnership with New Fosseway LLP in June 2024
Due to the change in the HRA financial position and Business Plan, the decision was made to terminate the contract for the purchase of these homes, subject to a suitable alternative affordable housing provider being found by the LLP, at Full Council on 25 February 2025 with the final sign off delegated to the Executive Director in consultation with the Chair of the Homes and Housing Delivery Board
A suitable alternative offer has been received which allow Bristol City Council to now terminate the contract, subject to the write off up to £110k in abortive costs and up to £365k in an undervalue.

Terminate the development agreement on the purchase of 65 homes at the New Fosseway development
Termination includes the financial write off, of up to £110k in legal and technical costs and the write off, of the undervalue of the offer from the RP to the LLP of up to £365k.

Option 1 - The only option was to continue with the development, but funding is no longer available to achieve this within the HRA Business Plan and by allowing an alternative Registered Provider (RP) to acquire means the affordable homes are not lost to the city.