Kensington and Chelsea adopts new Supplementary Planning Document

Following adoption of the SPD by the London Borough of Hammersmith and Fulham (LBHF) last week, it is now anticipated that the Mayor of London will publish the document as Supplementary Planning Guidance.

The document was prepared jointly by LBHF, RBKC and the Greater London Authority for the Earl’s Court and West Kensington Opportunity Area.

The Earl's Court site has already been identified as a site potentially suitable for comprehensive development, as it has been granted Opportunity Area status by the Mayor of London in the London Plan.

The Earl's Court Masterplan is being developed by Capital and Counties (Capco) and proposes a 7,500 home development, covering the Earl's Court and West Kensington Opportunity Area (ECOA). 

Capco and LBHF signed an exclusivity agreement last year, which allowed them a year to discuss the possession of land owned by the Council in the ECOA.

“We are pleased that the SPD has been adopted by LBHF. This augments the sound planning policy basis for the consideration of the Masterplan planning application,” said Gary Yardley, investment director of Capco.

Capco has now agreed with LBHF to acquire any private residential units on the West Kensington or Gibbs Green estates. This had been agreed to safeguard LBHF form Statutory Blight claims under the Town and Country Planning Act, suffered as a result of the adoption of the SPD.

A landowner can require the Local Authority to purchase their property using a Statutory Blight claim where the landowner cannot sell their interest in land because it has been devalued by public work.

Capco has now agreed with LBHF to cover any statutory blight in relation to the West Kensington or Gibbs Green estates arising from the adoption of the SPD, subject to a limit of £50 million.

Capco can give notice to terminate the agreement if a land purchase agreement for the LBHF Estates is not entered into by the end of the exclusivity period in July 2012. It is intended that costs incurred would be offset against the consideration relating to any future land purchase agreement in respect of the LBHF Estates land.

The application for judicial review in respect of the exclusivity agreement has now been withdrawn, the developer said.