Decision details

a)    that the necessary authority be delegated to the Director of Housing and Assets and Director of Legal and Governance to take the necessary steps to incorporate a company limited by shares for the purposes of housing delivery within Ashfield and surrounding area.

a)    that authority be delegated to the Leader of the Council in conjunction with the Chief Executive to name the limited company.

b)    that authority be delegated to the Director of Legal and Governance, in consultation with the relevant Portfolio Holder, to produce the Memorandum and Articles for the Housing Company and the Shareholder Agreement.

c)    that any officer or Member appointed as Directors of the Company be indemnified.

d)    that the Company obtains suitable insurance cover for its Directors.

REASON FOR DECISIONS

To enable the further work that is required to finalise the company structure and its constitution before the Company is established. The company shall not be named until such time as registration/incorporation is imminent.

ALTERNATIVE OPTIONS CONSIDERED AND REASONS FOR REJECTION

The alternative option of not forming a Housing Company was not recommended as while the Council does not need to form a Housing Company at this juncture the decision to progress with the formation of the company at this point in time is to capitalise on investigative work already undertaken in this area and the relative low cost of incorporating a shell company for potential future use. It also means the company is already set up should the need for urgent company intervention, action or opportunity is required e.g. the rescue of a stalled building development and/or a commercial opportunity to buy a medium to large rental portfolio within the District.