Third sector partnership for empty homes: Leeds City Council

Using close working relationships with community led and third sector organisations to renovate empty homes, increasing the delivery of affordable housing.


Overview

The Leeds Affordable Housing Framework

Leeds City Council (LCC) has established close working relationships with Registered Providers (RPs) and third sector organisations throughout the city region. The Leeds Affordable Housing Framework has been developed allowing Registered Providers and delivery partners who wish to support ongoing provision and delivery of affordable housing in the City to have direct access to support from Leeds City Council’s Regeneration team. Through this framework, partners have a dedicated Key Account Manager (KAM) and can have open and honest discussions about delivery opportunities, access to local market knowledge, problem solving and to discuss planning and funding concerns at early stages.  

Partners on the framework benefit from regular engagement through RP forums such as the Affordable Housing Delivery Group, enabling knowledge sharing and identification of barriers to delivery and solution focused discussions with wider RP partners, and representatives from LCC Regeneration and planning policy services with representatives from WYCA and Homes England often in attendance.  

The framework also allows the circulation of development/auction opportunities for any sites that come for sale through LCC direct, or via other RPs who may be disposing of their own stock. Affordable Housing providers who sit within the framework, also commit to adhering to the LCC nomination process, whereby for any new stock delivered, 100 per cent allocations will be made to those on the LCC housing waiting list, reducing to 60 per cent allocations after three years (or the first let, whichever comes later) to the LCC housing waiting list. This agreement demonstrates the commitment of partners to work closely with LCC to provide affordable housing for those in need. 

In addition to the Framework, partners have signed up to the Leeds Affordable Housing Growth Partnership Action Plan (LAHGPAP), to demonstrate their commitment to working together to influence policy, drive forward positive change and promote innovation within the sector to scale up delivery across the city.  

Within this context, LCC provide guidance and financial support through grant funding in the form of Commuted Sums and Right to Buy grants, to plug viability gaps and support delivery.  

The delivery of new supply Affordable Housing in Leeds underpins the Leeds Best City Ambition to tackle poverty and inequality and improve quality of life for everyone who calls Leeds home. LCC has close working relationships with several community led and third sector organisations that have ambitions to or who are delivering affordable housing in Leeds. These organisations provide a pivotal role in delivering a variety of housing tenures across different areas of the city to meet some very specific housing needs for their client groups. There is a strong collaborative approach to identifying opportunities for land and funding as well as sharing of best practice across the sector, to support smaller organisations work through the challenges of affordable housing delivery in a high market value city. Below details some of the collaborations and challenges faced.  

Leeds Action to Create Homes (Latch)

Latch is a community-based organisation in Leeds working predominately in the priority inner urban neighbourhoods of LS7, LS8 and LS9. Latch refurbishes derelict homes with the help of local communities and volunteers alongside contractors, to provide affordable housing for people who are homeless or in housing need. As of Q2 2024/25 there were 28,677 applicants on the Leeds Housing Register, with 19 per cent were in urgent housing need (Band A & A+). 

As well as providing a home, Latch provides tenants with housing related support to ensure the tenancies are successful and they are supported to move to independent living. Tenants can access ‘life coaching’ services through Latch which promote improved health and wellbeing for tenants.

LCC have been Latch’s principle and key partner, not only through the granting of Commuted Sums and Right to Buy (RtB) grant funding but by supporting with seed money to attract wider investment into schemes.  LCC have lease arrangements with Latch on 13 properties with 99 year leases at peppercorn rent to act as an asset to secure loans against and generate income for the community group. Loans have been provided on favourable terms, with fixed rate low fees over 30 years that can be combined with grant funding. These financial benefits and securities allow for Latch to develop schemes with access to wider government funding, due to being able to demonstrate good financial acumen. 

Generally, LCC provides further support and commitment to Latch through Key Account Management access to LCC colleagues, establishing professional relationships and unblocking planning barriers and supported through CPO processes of properties that Latch have been able to purchase and refurb into affordable accommodation whilst also building local skills; a project that has been highly valued by Latch.

Importantly, Latch share values and aspirations to LCC which has allowed them to be responsive to strategic directions set by the local authority for the delivery of homes across Leeds. 

Refurbishment of empty properties

In 2024 Latch secured £865,860 of Commuted Sums and Right to Buy grant funding from Leeds City Council to acquire and refurbish 12 properties over 36 months. Right to Buy Replacement Programme and Affordable Housing Commuted Sums (commuted sums) are funds managed by the council and can be deployed in a blended way through grants to eligible third-party organisations to support the delivery of affordable housing. Latch is a member of the Leeds Affordable Housing Framework and prior to this successful application completed a similar successful programme of acquisition and refurbishment of 6 properties. As part of the RtB Grant funding agreement to these projects, the Council secured nomination rights on 100 per cent first home lettings and 60 per cent of subsequent lettings.

Latch established the project by confirming the levels of housing need and identifying long-term empty homes in the areas of Leeds within the previously identified priority locations, by engaging with property owners, local communities, estate agents and key stakeholders, including LCC. They combined the grant funding from LCC with several other grant funders and through the generation of investment funds. The delivery of the project has also used a partnership approach, engaging with the community and working with local contractors and suppliers to bring the properties back into use.

A key challenge was engaging with reluctant property owners. Latch tackled this through linking with LLC, direct outreach and highlighting the benefits of bringing homes back into use. Additionally, navigating legal and planning processes required close collaboration with LCC to streamline approvals and remove barriers. 

The key stages were:

  • Identifying and prioritising properties: Finding the empty homes at the right price with works requirements they could undertake and that were in suitable areas.
  • Funding and partnerships: Securing the required funds was a challenge. This came from several sources and co-ordinating this was a challenge but was ultimately successful.
  • Refurbishment and compliance: Overseeing renovations to meet required building standards and budget requirements.

The difference

Not only does Latch create new homes for those in need, but it has also revitalised long term empty properties and neglected areas and provided volunteering and training opportunities to young people. It has increased housing availability for those in need and boosted local economies by employing contractors and suppliers. 

The new homes created are a foundation from which we can support people to address both their housing and support needs and assist them to move on to independent living.  It has also enhanced community cohesion and reduced antisocial behaviour linked to empty properties. 

The project has been very effective with regards the key outcomes of new homes, people completing training activities, and people housed.

Challenges faced and lessons learned

Like many schemes, Latch have been faced with increasing contractor and materials costs, alongside other construction related challenges refurbishing long term empty property brings such as unforeseen costs. 

Having in place better intelligence on property availability to find, and secure properties quickly would benefit Latch.  

Securing longer term funding certainty and long-term rent settlements would be very beneficial for smaller partners such as Latch. Other than the right to buy grant small organisations such as Latch are often left searching for funds and this can slow down projects. The presence of secured long-term funding would enable Latch to scale up their work and thereby have an even bigger impact. Given its success, Latch are looking to continue the program.

Contact

Author: Róisín Daly-Mannion

Contact: Adam Brannen, Head of Regeneration, [email protected]