News

Council wins landmark case on affordable housing

Islington Council has won a landmark case after the Planning Inspectorate upheld the council’s refusal of planning permission for a development on the former Territorial Army (TA) Centre on Parkhurst Road.

The developer bought the land at an inflated price and then claimed affordable housing was not financially viable.

The Holloway prison site is very close to the TA Centre. The judgement could serve as a warning to any potential buyer against buying high and expecting to recoup this by cutting back on affordable homes.

Cllr Diarmaid Ward, Islington Council’s Executive Member for Housing & Development, said:

“Islington, like all boroughs in London, faces a significant shortage of affordable homes.

“This decision will ensure the maximum reasonable amount of affordable housing is provided, and strongly discourage developers and landowners from manipulating the development viability process to deliver fewer affordable homes.”

The council’s guidance on Development Viability specifically cautions developers against overpaying for land and using the purchase price as a justification for providing little or no affordable housing.

Visit the council’s website to read the story in full.