Agenda item

The Board received a presentation from Victoria Hills, Chief Executive of the Old Oak Common Development Corporation (OPDC) and Michelle Reeves, Head of Socio-economic Regeneration at OPDC on the regeneration of Old Oak and Park Royal. 

The Board were advised that the 135 ha Old Oak and Park Royal site was earmarked for major regeneration around the High Speed 2 and Crossrail interchange.  The land included in the development site was primarily in public ownership with 97 ha being owned by the Department for Transport, Department for Communities and Local Government or Network Rail.  However, the remaining land was in private ownership and the site would need to be acquired as part of the regeneration scheme. 

The Board were advised that the project had a projected funding gap and OPDC were currently working with the new Mayor of London on addressing this.  OPDC suggested that a way of financing the gap could be to introduce Tax Increment Financing (TIF) to enable the Corporation to borrow against predicted growth in locally raised business rates.  The Board were advised that any devolution of business rates would require borough support and input.

Members were advised that the three current priorities for OPDC and the Old Oak and Park Royal were:

1.         Developing the Planning Framework – particularly relating to Compulsory Purchase Orders, Community Infrastructure Levy and Section 106;

2.         Resolve Land Ownership Issues – achieve in principle agreement to enable establishment of joint venture and early delivery of homes; and

3.         Resolve Funding / Financing Issues – discuss options with the Treasury and Mayor of London to deliver the project without TIF or additional borrowing

In relation to the regeneration scheme and priorities, the Board suggested that:

1.         The Mayor of London should be encouraged to increase housing density on the site by 5,000 – 10,000 homes;

2.         Land in private ownership should be subject to the Compulsory Purchase Order if negotiations to purchase the site were unsuccessful;

3.         Homes should be funded via an increase in business rates;

4.         Investment in physical and digital (i.e. superfast broadband) infrastructure should be a priority; and

5.         The economic plan for West London should be based around the regeneration at Old Oak and Park Royal.

The Board discussed the approach to jobs and skills and emphasised the importance of OPDC having a focus working with schools and colleges to ensure that the opportunities associated with the regeneration of the site were utilised by communities in North West London.  OPDC advised that part of the regeneration programme included the development of a skills academy in Old Oak.  Members suggested that the Local Plan should include plans for developing the skills base of the local population beyond construction related jobs and include high growth sectors such as technology, digital and environmental services.

RESOLVED that the West London Economic Prosperity Board:

1.         Requests an update to a future meeting on the detailed proposals relating to the approach to jobs, skills and engagement with schools and colleges as part of the regeneration scheme;

2.         Requests that OPDC develop links with West London boroughs and tie in to the West London economic strategy (the West London Vision for Growth) and note that there should be a particular focus on superfast high speed broadband, clean cities initiatives and healthy buildings;

3.         Recommend to the Mayor of London that housing density be increased and timings for housing development be accelerated; and

4.         Recommend that the Board and OPDC collaborate on options for Tax Increment Financing, Section 106 contributions and business rates to explore ways to address the viability gap for the regeneration scheme.