We have recently permitted a site for serviced plots delivery. The permission is subject to s106 agreement that requires the applicant to market the plots to people on the local register for 12 months before selling them on an open market. The applicant has signed the agreement, but subsequently asked for removal of that restriction. The applicant is unhappy that he cannot obtain a copy of the Register and that it would be the Council contacting people on the Register with plot information.
Have any of you experience any similar problems with s106 agreement? We are keen to ensure that people on the Register are offered a first refusal right on marketed plots and would not like to loose serviced plots delivery. I would be grateful for your advice.
At one of the DCLG workshops it was explained that our duty is to provide the number of plots evidenced as demand by the number of entries on the register. We don’t have to meet specific demand from each person on the register. Entries on the register are merely ‘representative’ of demand. You therefore don’t need to restrict the sale of plots to the register to discharge your duty, merely ensure sufficient numbers of plots are permissioned. It also seems a bit unfair on the developer as many people on the register won’t be in a position to buy immediately or may have requirements that are not met by these particular plots.
To ensure those on the register get a chance to buy first surely giving them advance notice that the plots are becoming available is good enough?