A call for Pembrokeshire Council to buy a home owned by a member of its Cabinet for £80,000 has been given the go-ahead.
At its October 5 meeting, Pembrokeshire Council’s Cabinet backed the purchase of a three-bedroom maisonette at 22 Waterloo Square, Hakin, Milford Haven, from Pembroke-based cabinet member Aaron Carey.
The council owns the freehold of the three-bedroom property, which was independently valued at £85,000.
A report presented by housing cabinet member Michelle Bateman said an inspection found about £5,000 of work was needed to meet current Welsh Quality Housing Standards; the recommending surveyor said the property “is in a fair and reasonable condition only requiring [those] improvements”, a standard “unlikely to be required by private purchasers”.
The report said: “The property represents a particularly attractive acquisition opportunity for the council, as Pembrokeshire County Council already owns a number of apartments within the block and is the freeholder of the building.
“Acquiring the property would therefore support the council’s strategic objective of increasing its housing stock while also strengthening its management and control of the wider asset.”
Explaining why the Cabinet had to decide, the report said: “Whilst the value of the proposed acquisition would ordinarily fall within the delegated authority of the relevant Director, the seller is a serving elected member of the Council and Cabinet Member, Councillor Aaron Carey. In the interests of transparency, accountability and good governance, it is considered appropriate that the proposed acquisition is referred to Cabinet for consideration and determination.”
The property was valued above the council’s offer, but the report said: “We have agreed the sale to Cllr Carey at £80,000”.
It added: “Often PCC gain HRA properties below market value as the vendors acknowledge that they will save Estate Agency fees and benefit from a ‘no chain’ sale, often reducing the risk of sale fall-through etc respectively.”
The report said the purchase would help meet demand for social housing in Pembrokeshire and “regain ownership and control of a property that was previously within its housing portfolio,” while the existing tenant remained in the home.
The seven members present unanimously backed the purchase. Cllr Carey had declared an interest and left before the item was discussed.
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