Llantarnam Comprehensive School Llantarnam Road Llantarnam Cwmbran Torfaen NP44 3XB
Modification of Section 106 of Planning Permission 16/P/00263.S106 Agreement which affects the site detailed above contains a mortgagee exclusion clause which our client's lender does not consider to be satisfactory. The existing clause will mean that the properties at the site will be restricted to their Existing Use Value - Social Housing for funding purposes. This value is typically 30-50% lower than the preferred valuation basis (Market Value - Subject to Tenancies) and has adverse consequences on the amount that Melin may borrow and consequently use for its affordable housing programmes in the area and elsewhere in Wales. We propose adding a mortgagee exclusion clause into the s106 Agreement which is in the form supported by the National Housing Federation and is accepted by both funders and many local authorities.