Policy 13c: Build to Rent

Object

Representation ID: 55650

Received: 05/10/2020

Respondent: Cambridgeshire & Peterborough Sustainability & Transformation Partnership

Agent: No. 6 Developments

The provision within Policy 13c that 20% of the build to rent properties should be targeted at local
workers (through discounted private rental accommodation) is welcomed as it recognises the
challenge that many working people have in affording market rents in Cambridge let alone buying
their own home close to where they work. Such provision for local workers will help to reduce
commuting by non-sustainable means and reduce congestion across the city, improving air
quality etc.
CUH wishes to make the case that the definition of local workers should be extended to pick up
other major employment locations which could be accessed by sustainable modes of travel,
including Addenbrooke’s Hospital and the Cambridge Biomedical Campus.
Given the potential role Build to Rent schemes could play in delivering high quality rental
accommodation, CUH also wish to question the rationale of artificially limiting the amount of Build
to Rent accommodation as set in Policy 13c. This should be market driven, and has the potential
to provide a significant amount of housing, including discount private rent suitable for working
people.

Support

Representation ID: 55684

Received: 02/10/2020

Respondent: St John's College

Agent: Savills

The expectation in Policy 13d that developments including affordable private rent as part of their affordable housing allocation demonstrate how these homes will be targeted to meet local worker need is welcomed.

Object

Representation ID: 55739

Received: 05/10/2020

Respondent: Brookgate

Agent: Bidwells

Policy 13c states that Build to Rent (BtR) should be provided in a balanced way
across North East Cambridge without being the dominant typology of homes in any
location to ensure that specific areas contain mixed housing types and tenures. To
achieve this, it is proposed that no more than 10% of the total housing across the
Area Action Plan should be Build to Rent, i.e a maximum of 800 homes across
North East Cambridge. This approach is fundamentally flawed. The 10% cap is an
arbitrary number and is not supported by evidence.
Brookgate support the aims of Policy 13c and the recognition that BtR
developments can play an important role in providing overall housing choice within
North East Cambridge. However, the restriction on the quantum of BtR units and
that they should not be a dominant typology in any location is not supported.
The AAP instead needs to remain flexible in order to be able to respond to change
and take a positive approach to housing development.
BtR housing responds to a particular local housing need and provides a means of
widening housing choice for tenants, particularly those who may be renting long
term, and also to deliver much needed housing within a faster timescale.
Contrary to popular opinion, the private rented sector is not dominated by allstudent
households, which account for only 7.5% of private rented households, as
most students live in dedicated communal establishments. Rather, the Cambridge
private rented sector is quite unique with a population profile characterised by
young adults and many are in professional or other senior occupations, despite the
young age profile.
These young professional households make-up a considerable proportion of the
population and are people who often do not meet the criteria for social rented
housing but cannot afford to buy their own home. The private rented sector can
provide such accommodation.
The redevelopment of Land at Cambridge North offers an opportunity to provide a
significant amount of rented accommodation in a highly sustainable location,
making the best possible use of a brownfield site that is already allocated for
residential development.
The Homes for Londoners Affordable Housing and Viability SPG (2017) confirms
the significant benefits that BtR developments can secure in terms of their
particular contribution to increasing housing supply, as outlined below:
● attract investment into housing market that otherwise would not be there,
particularly since Build to Rent is attractive to institutional investors seeking longterm,
inflation-tracking returns;
● accelerate delivery on individual sites as they are less prone to ‘absorption
constraints’ that affect the build-out rates for market sale properties;
● more easily deliver across the housing market cycle as they are less
impacted by house price downturns;
● provide a more consistent and at-scale demand for off-site manufacture;
● offer longer-term tenancies and more certainty over long-term availability;
● ensure a commitment to, and investment in, place making through single
ownership; and
● provide better management standards and higher quality homes than other
parts of the private rented sector.
Of particular relevance here is the reference to development at scale. In order to be
attractive to investors and in turn ensure the development is commercially viable,
BtR needs to be of sufficient scale and size. This critical mass is also important not
just in terms of the nature of BtR but also in terms of management. Therefore,
pepper potting as proposed in the Draft NEC AAP is the wrong approach. The
approach others are taking, such as the Greater London Authority, demonstrates a
greater understanding of the economics of BtR. More research needs to be
undertaken by the Councils to inform the NEC AAP and to recognise the
contribution that BtR can make in this location.
The Cambridge North site is the optimal location for BtR within the NEC AAP site
given its proximity to the Cambridge North station and transport interchange. This
is a prime requirement for BtR operators.

Comment

Representation ID: 56149

Received: 05/10/2020

Respondent: U+I PLC.

Agent: We are Town

Welcome distribution of BTR across developments.
However, BTR cap is too low across NEC – need to recognise appealing to an international / global audience that want to rent.
Proposals on breaks in tenancies – unsure if commercially acceptable to BTR operators.