News from Keith Prince: Mayor’s affordable housing plans for TfL land could lead to big losses

The Mayor is being urged not to sell Transport for London land with a 50% affordable housing requirement as it could violate parliament’s GLA Act.

Following the release of a Mayoral Decision document by City Hall, Mayor Khan was told he could not sell TfL land in Kidbrooke with the 50% affordable requirement as it “will lead to less than the maximum return available” and that breaches paragraph 29 of Schedule 11 of the GLA Act.

As a result the Mayor is attempting to build a loophole by starting a “joint venture company (JVCo)” so that the land can be sold at lower values.

Keith Prince is asking the Mayor to remove this requirement and sell the TfL land for the maximum return to help reduce the £640million pound funding gap caused by the Mayor’s fares freeze.

Keith Prince, GLA Conservative Transport Spokesman, said;

“Sadiq Khan’s strategy of promising before checking if it is actually possible is causing him trouble again. His 50% affordable housing requirement is falling apart faster than his broken fares freeze.

“Selling Transport for London’s land with a massive 50% affordable housing requirement ensures it will be sold for well under market value.

“Sadiq should have checked if selling TfL land for under market value was legal before promising this requirement, as all bodies have to achieve best value when selling public property. Not only could it have legal repercussions, it is bad for an organisation that has a £640million Khan-fares-freeze sized hole to fill in their budget.

“The Mayor should face facts and ditch this affordable housing requirement before he bankrupts TfL any further.”