Decision details

The Council has received a request from Surrey County Council (SCC) to vary the terms of an existing Deed of Grant and Release dated 31 March 2021 relating to SCC’s property and made between (1) the Council and (2) SCC, and to agree to a new Deed setting out the variations in line with the following terms and conditions:

1. The new Deed will vary the permitted user to allow SCC to use SCC’s property and any building or buildings to be erected thereon as (a) an extra care hospital or residential/nursing home for the provision of residential accommodation and care to people in need of care and/or support within Use Class C2 under the Use Class Order or (b) as Extra Care Affordable Housing in accordance with the Planning Permission.

2. The Planning Permission is the planning permission granted for the proposed erection of a three storey building comprising an extra care facility (Class C2) and associated access, drop off, car and cycle parking, landscape, refuse facilities and substation dated 9 October 2023 under planning application reference 22/P/01636.

3. In addition, the new Deed provides that an overage payment is to become due from SCC to the Council for a change of use from C2 to C3 on each occasion that a ‘Trigger Date’ occurs during the period when the overage provisions apply. A ‘Trigger Date’ relates to each New Planning Permission granted during the ‘Overage Period’. The ‘Overage Period’ is the period of 30 years from the date of the new Deed.

The Council and SCC have agreed that a nil premium is payable for the variation in the permitted user under 1. above, plus our costs, which in accordance with the Council’s General Disposal Consent powers, provides the ‘best consideration reasonably obtainable’ where the proposed term exceeds seven (7) years.

If you have any queries, then please contact Fiona Williams who will be happy to provide further information.

To agree to (1) vary the existing Deed of Grant and Release dated 31 March 2021 to allow SCC’s tenant to carry out the development permitted by Planning Permission 22/P/01636, and (2) in accordance with a New Planning Permission to change the permitted use from C2 to C3, subject to SCC making payment(s) of overage to the Council over a period of 30 years.

SCC wanted a blanket variation in the permitted use to C3, which was rejected because the Planning Permission is for C2. The negotiated agreement is based on a narrowly defined permitted use within C2, with a subsequent change to C3 use being covered in the overage provisions.

Scheme of Delegation to Officers 28th October 2024
Assistant Director – Assets and Property
Para. 3.8.8
To agree terms for the variation of restrictive covenants on land formerly owned by the Council.
In consultation with the Portfolio Holder