I propose to take Questions Nos. 425 to 428, inclusive, together.
The Social Housing Current Expenditure Programme (SHCEP) supports the delivery of social housing by providing financial support to local authorities and Approved Housing Bodies (AHBs) for the leasing of houses and apartments. There properties are either privately owned or owned by AHBs. Properties made available under the programme are used to accommodate households from local authority waiting lists.
AHBs have a key role to play in the provision of high quality sustainable social housing. My Department, together with local authorities, can support AHBs to construct and purchase housing units and make them available for social housing with assistance using the Capital Advance Leasing Facility (CALF). These housing units are secured under long-term leases/ availability arrangements between local authorities and AHBs, the ongoing costs of which are recouped to local authorities by my Department under SHCEP. The CALF is a facility which is exclusively available to Approved Housing Bodies (AHBs) to assist them in accessing private or Housing Finance Agency (HFA) finance for the purchase, construction or refurbishment of units that will then be made available for social housing purposes under SHCEP. These properties will therefore be AHB owned and at the end of the Payment and Availability term it is anticipated that, given the nature of the AHB sector, the properties would remain in social housing.
The additional units funded through SHCEP in each of the years 2014 to 2016 and to date in 2017 is set out in the following table. As units are not targeted for delivery under the NTMA/ISIF delivery stream until 2018, this category is not included.
Type of lease
|
2014
|
2015
|
2016
|
2017 (up to end Q3)
|
AHB/LA Lease (Private Owner)
|
626
|
652
|
574
|
413
|
AHB Acquired
|
303
|
349
|
283
|
318
|
AHB Build
|
16
|
43
|
283
|
216
|
NAMA/SPV Leases
|
120
|
433
|
218
|
258
|
Repair & Leasing
|
-
|
-
|
-
|
0
|
Total
|
1,065
|
1,477
|
1,358
|
1,205
|
The average length of leases of properties secured for funding under the SHCEP programme is outlined in the following table.
Type
|
Average lease length
|
AHB/LA Lease (Private Owner)
|
10.5 years
|
AHB Acquired
|
27 years
|
AHB Build
|
28 years
|
NAMA/SPV Leases
|
20 years
|
The termination provisions vary depending on the type of agreement concerned but in general terms, the position is as follows:
- Where the local authority or AHB acts as the landlord to the tenant and is responsible for the management of the tenancy and the maintenance of the property, the lease term must be for a minimum of 10 years. Break clauses after 10 years may be negotiated as part of the lease agreement and the property may be sold by the property owner during the term of the lease, on the condition that the lease agreement is transferred to the new owner and the local authority or AHB are notified in advance and consent to same.
- Where the property owner acts as the landlord to the tenant and retains responsibility for the management of the tenancy and maintenance of the property, the terms of the Residential Tenancies Acts apply. Under this type of agreement, the tenant acquires the right to a Part 4 tenancy under the Residential Tenancies Act after 6 months and as such, the tenancy may not be terminated other than in accordance with section 34 of the Act.