PENWITH DISTRICT COUNCIL - DIRECT LETS

Additional Information

BACKGROUND

For several years, Penwith District Council and Antony Richards Property Services (ARPS) have successfully run the ‘Private Sector Leasing’ scheme (PSL), where the Council leased property from private landlords in order to fulfil its needs under the Housing Act (i.e. to re-house those deemed officially homeless).  Central government has decreed that the number of temporary accommodation units available has to reduce and so no more properties are being leased on the PSL scheme.  Obviously this does not actually solve the problem and so a replacement scheme is now in force.

THE NEW SCHEME – DIRECT LETS

Once a suitable property has been identified, ARPS will contact the Temporary Accommodation Section at Penwith District Council giving details of the property, estimated timescale before becoming available and the landlord’s preferred period of occupation (up to five years, minimum one year).  Having been advised of a forthcoming property, the Council will provide a suitable nomination within seven working days.

TENANCY AGREEMENT

ARPS will then draft a tenancy agreement (Assured Shorthold) in the usual manner between landlord and tenant.  The tenant will also sign an agreement prior to taking occupation agreeing for the agent (ARPS) and Penwith District Council to discuss any matters relating to the tenant’s tenancy.

ONGOING TENANCY SUPPORT

During the tenancy, ARPS will keep in contact with the Council and report any potential breaches of the tenancy, e.g. anti-social behaviour, rent arrears, condition of the property.  A course of action will be agreed which could include writing to the tenant or a joint visit explaining the implications of not complying with the tenancy.

RENT

As in any tenancy, the rent will be due in advance and will be paid to ARPS prior to the tenant taking occupation.  Where there is a shortfall between the rent payable and any housing benefit entitlement, the tenant will be responsible for any ‘top-up’ up to a figure of £25 (per month). Thereafter, the Council will pay the remainder.  The tenant will sign to agree that all housing benefit is paid direct to ARPS.

The housing benefit system only allows rent to be paid part in advance and part in arrears.  This can cause complications when rent is due in advance and the landlord want his/her money paid to him/her on time. We have therefore negotiated with Penwith District Council to have a HOLDING ACCOUNT which ARPS can use to ensure all landlords are paid  IN FULL and ON TIME.

VOID / REPAIRS

When a property becomes vacant, ARPS will undertake an inspection to establish the condition of the property and any repairs/re-decoration necessary to re-let. (Note: ARPS interim inspections are designed to monitor how a property is being maintained in an effort to reduce any post tenancy issues.)  Any items not deemed as ‘fair wear and tear’ will become the financial responsibility of the Council.

Penwith District Council will pay the rent for a maximum of two weeks during any void period. However, please note that since the tenant needs to give a month’s notice prior to vacating and Penwith District Council will then nominate a successor, no void should be more than the two weeks.

FAIR WEAR AND TEAR

For the purposes of fair wear and tear, Penwith District Council has suggested that a newly decorated room will have a life expectancy of 6 years, a newly fitted carpet 7 –12 years, kitchen units 15 years and a bathroom suite 20 years.

Penwith District Council prefers that living rooms and bedrooms are provided with hardwood or laminate type floor coverings, with vinyl in the bathroom and kitchen.

The Council will not replace any carpets present in a property other than those agreed as being part of the hall, landing or stairway.

POSSESSION

When the landlord requires possession of his/her property, ARPS will serve the relevant notices upon the tenant and supply copies to the Council.

Should it become necessary to instigate legal proceedings, Penwith District Council will cover all of ARPS’s reasonable costs (should a landlord instruct his/her own solicitor, those fees would not be covered) to ensure that vacant possession is obtained.

SUMMARY

Direct Lets offers the same tenancy agreement as with letting in the private sector but the benefit of the following:

• ARPS has a holding account to ensure timely payment of your rent;
• Penwith District Council acts as mentor to the tenant to ensure tenancy matters are adhered to;
• Penwith District Council acts as guarantor to any damage to the property which is not fair wear and tear, and
• Penwith District Council will pay reasonable costs should it be necessary to seek possession via the courts.