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More home being built in New Zealand, mostly apartments
The number of new home consents in New Zealand was 3.6% higher in January 2015 compared with the same month the year before, new data shows. The trend for new dwellings is rising and is at its highest level since July 2007. However, excluding apartments, it was 6.8% lower, the figures from Statistics New Zealand also show. Also, the seasonally adjusted number of new home consents decreased 3.8% in January 2015 and excluding apartments, this number fell 7.5%. Business indicators manager Neil Kelly pointed out that in unadjusted terms, nearly $1 billion of building work was consented in January, some $645 million of residential work and $351 million of non-residential work. More than $15 billion worth of building work was carried out in 2014, some $2.8 billion higher than in 2013, a 23% increase. Together, Auckland and Canterbury accounted for $9.7 billion worth of the building work in 2014, nearly two thirds of the national total. After removing price changes and seasonal variations, overall building activity volume edged up 0.3% in the final quarter of 2014. Residential building activity led with 4.3% growth, while non-residential building activity fell by 5%. ‘The trend for residential building activity has grown by two thirds since the September 2011 quarter. However the current level is 7% lower than the series peak more than 10 years ago in the June 2004 quarter,’ added Kelly. Continue reading
UK govt plans could prevent selective landlord licensing by councils
Councils in the UK could be prevented from introducing selective licensing for private sector landlords unless there are specific reasons for doing so. The Department of Local Government and Communities believes that for an area to be designated as subject to selective licensing it must contain a high proportion of properties in the private rented sector, in relation to the total housing accommodation in that area. It has announced proposals that would mean that if an area has one or more of four specific conditions, the authority may consider introducing licensing. These include hazards caused by poor housing conditions, an influx of migration and if the area is suffering from a high level of deprivation which affects a significant number of the occupiers of properties. In addition it can be granted if the area suffers from high levels of crime. If the local authority and the local police together say that licensing may contribute to controlling or reducing crime, a licensing system could be considered. The National Landlords Association (NLA) has welcomed the proposals at a time when there is unease about a number of councils introducing their own licensing schemes without providing evidence that they are needed. An example is Liverpool City council which requires landlords to pay upwards of £400, from next month for a five year licence. Applicants will be checked to see if they are ‘a fit and proper person’ to be a landlord. Landlords will also have to meet health and safety guidelines and be seen to be keeping the exterior in a good state of repair and dealing with complaints about anti-social behaviour caused by tenants. Those without a licence could be fined up to £5,000 and see their properties taken over by the council until an alternative licensed landlord is found. But the NLA believes this is heavy handed. ‘The change in the legislation is welcome as it stops local councils introducing unnecessary borough wide licensing schemes, without an evidence base,’ said NLA chief executive officer Richard Lambert. ‘Instead it pushes councils towards resolving specific issues in targeted local areas by outlining the key criteria by which schemes should be implemented and judged. We hope to see this progress before the dissolution of parliament later this month,’ he added. The borough of Redbridge in London has issued proposals to introduce a £500 five year licence for private landlords. It says it will improve the standard of living by providing tenants with the same living conditions as other households and help to maintain a landlord’s register, making it easier to notify landlords and letting agents of their responsibilities, improve their reputation, provide support, reduce anti-social behaviour and fly tipping, and build an area that would be safer and more appealing to live in. In Hastings landlords are challenging plans by the council to introduce a £400 licence and say that there is little evidence that such a scheme is needed. Last December a landlord in Enfield successfully challenged the local… Continue reading
Land reform proposals in Scotland criticised by RICS
Proposals put forward in Scotland for agricultural land reform have been heavily criticised by the Royal Institution of Chartered Surveyors which say they could increase disputes between landlords and tenants. Responding to the recently published proposals, RICS says it is concerned that the proposed measures will not lead to a revitalised tenanted sector and may also result in fewer farms made available to let in the future. It adds that this is clearly not in the public interest or in the interests of a vibrant tenanted farming sector in Scotland and could trigger unintended consequences that would serve no benefit to rural areas. ‘We are committed to building consensus across the rural sector and ridding it of poor practice. We encourage anybody operating in the rural sector to engage the services of professionally trained and regulated land management specialists,’ says the response paper from RICS. It explains that more efficient and sustainable food production must be a leading objective in any restructuring of the sector. ‘Our view is that these proposals appear to overlook this, seeking instead to focus on land tenure and the small number of land agents who may not be professionally regulated, rather than focussing on how to stimulate and assist new entrants to the tenanted farming sector,’ it explains. ‘Freedom of contract is important, and some recommendations in the Review will pave the way for more flexibility and choice crucial to revitalising the sector, but the extension of assignation could also remove opportunities for new entrants,’ it adds. ‘RICS does not tolerate bad practice. Our members are already properly and strictly regulated, and we have a robust code of conduct to which our members must adhere. RICS welcomes the proposal for a Tenant Farming Commission, as this may improve the landlord tenant relationship,’ it continues. ‘However, we have to raise the issue that land agents who are members of RICS already operate under the Institution’s strict guidelines and codes of practice. Any new code of practice from the commission would have to take note of that fact,’ it says. It also points out that any land reform policy change will impact significantly on the public and RICS members. ‘We are firmly of the view that land reform should be approached as a long term, sustainable and workable programme where all parties continue to invest human and financial capital to make land, places and communities successful,’ the response says. ‘Land reform should not be focussed purely on who owns the land but how it is effectively managed and used for the benefit of communities, the environment, and public and private interests. Best practice land management is key to ensuring sustainability,’ it points out. It also says that while legislation provides a legal framework on land reform matters, its implementation is dependent on addressing three critical elements. Firstly, defining designations and processes so that all parties understand what, why and how matters can be exercised; secondly, providing support for all parties so… Continue reading
