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Tories Open Door For Private Landlords

Tuesday, April 14, 2015

£9.3 Billion Housing Benefits To Private Landlords As Tories Unveil Plans To Open Housing Association Property To Private Landlords

While tens of thousands of ordinary London families are unable to find a council house to rent rich farmers and the elite are scooping them up by the tractor load and the “right to buy” has turned into a rich harvest for greedy farmers says GMB.

A new GMB analysis shows that of the approx. 4.2 million households living in private rented accommodation in Great Britain the rent to landlords in 1.6m or 38% of them is paid in part or in full by taxpayers paying an annual total of £9.2 billion to these landlords in housing benefit in 2013/14. See table below for the full data by region.

This new analysis is published as the Tory Party pledge to open up housing association property to buy the let landlords as the Tory party did with over 40% of the council housing sold in the 1980s.

Of 15,874 dwellings in council blocks in Wandsworth where tenants acquired the leasehold under “right to buy” legislation some 6,180 dwellings are now owned by private landlords who rent them to private tenants. That is nearly 40% of the total sold by the council.

There are 977 private landlords who own more than one of these 6,180 dwellings. One private landlord owns 93, another owns 32, another 15 landlords each own 10 or more and a further 83 landlords each own between 5 and 9 of these dwellings. See notes to editors for details of some of these landlords.

PRIVATE RENTED HOUSEHOLDS AND HOUSING BENEFITS

 

All private rented

households

Housing benefit

recipients in the private

rented sector

%

Housing benefits to landlords

in 

Private Rental Sector -

2013/14 (£m)

         
         

Great Britain

4,195,070

1,587,669

37.8

9,296

England and Wales

3,900,178

1,492,853

38.3

8,840

 

       

North East

154,426

79,249

51.3

342

Wales

184,254

84,360

45.8

360

North West

462,899

210,226

45.4

1,024

West Midlands

321,670

131,231

40.8

646

Yorkshire and The Humber

353,448

142,734

40.4

629

South West

387,134

148,137

38.3

791

East Midlands

282,443

103,464

36.6

459

South East

578,592

201,245

34.8

1,262

East of England

356,227

123,370

34.6

701

London

819,085

268,833

32.8

2,627

Scotland

294,892

94,813

32.2

456

Paul Kenny, GMB General Secretary, said “A GMB investigation in Wandsworth laid bare the harsh reality of the exploitation of our social housing stock. Exactly the same will happen now that the Tories have opened to door to buy to let landlords on housing association properties.

In Wandsworth and elsewhere private businesses are making vast profits from the public purse while the people these homes were built for sit on waiting lists that never move. To add insult to injury many are using offshore tax havens to avoid paying tax on these profits.

These homes were built and designed to be rented by ordinary London families. The investigation exposes Mrs Thatcher’s flagship policy of “right to buy” for individuals as nothing more than a charter for the exploitation of our social housing for private profit. Her plan to create a home owning democracy has turned into a “buy to let” bonanza.

You could not make it up that the family of one of Mrs Thatcher’s aides who served as housing minister during the high tide of the right to buy ends up owning a vast swathe of London’s ex council housing.

While tens of thousands of ordinary London families are unable to find council house to rent rich farmers and the elite are scooping them up by the tractor load.  The “right to buy” has turned into a rich harvest for greedy farmers.”

End

Contact: Cath Speight 07506 711 925 or Paul Maloney GMB Regional Secretary 07901 343 839 or Paul Grafton 07714 239 093 Kamaljeet Jandu 07956 237178 or Martin Smith 07974 251 722 or GMB press office 07921 289880

Notes to editors

LANDLORDS IN WANDSWORTH

GMB used the Land Registry to investigate who are the landlords in 69 blocks of flats in Wandsworth. The search covered 1,438 leasehold properties where the council is the freehold owner. Of the 1,438 leasehold properties searched, 508 (35%) have a registered owner different from the property address.

The report contains the results of what GMB found on the public record as part of the investigation using the Land Registry and other sources. It is available on request to  GMB press office at press.office@gmb.org.uk . Below is the information GMB has established on some of the main landlords.

The Gows: Looking at a single block in Putney (Sherfield Gardens), it was found that out of the 120 properties, 90 are leasehold, with 62 having an owner with a different address (or known to live elsewhere). Of these 62 properties, Charles and Karin Gow own 40 with Charles alone owning 35 of these. He owns KCG Property (www.kcgproperty.com), a Roehampton Lettings and Management company, and both are directors of PCB (Surrey) LLP. Wandsworth says only one owner has more than 32 properties so Charles Gow may own the 93 properties mentioned.

The Smiths: The Birkett Smiths own properties across London through the Guernsey incorporated companies Chelsea Estates Ltd and Birkett Estates Ltd. They also have a number of properties registered in their own names: Alexander Birkett Smith, his wife Helena, brother Nicholas and his wife Alexandra. From our searches, Chelsea Estates Ltd own 30. With a related company, Birkett Estates and individuals of these companies, the total owned in Wandsworth is at least 66. Alexander is an ex venture capitalist having worked for Rothschild’s before setting up his residential property business, with his brother, and running two farms near Scarborough which are in receipt of European Farm subsidy payments. The brothers are directors of Daleside Estates Ltd, Smith Street Ltd, Overdale Farms Ltd and Smith Street Estates Ltd. Nicholas is also a director of the Portman Hunt, a Dorset based Hunt, and Daniel Lambert Ltd along with his wife Alexandra.

Palmyra Properties: The Palmyra Properties, CPIF group of companies own 46 leasehold properties where Wandsworth Borough own the freehold. Palmyra Properties is Jersey based, CPIF Property, incorporated in Guernsey, Affordable Property Investments incorporated in the British Virgin Islands and Skyprops is incorporated in Mauritius.

Of the other companies searched, Drumree Asset Holdings (1 property) and Entreprises Generalles (Investissements) (1 property) are both incorporated in the British Virgin Islands.

Cherwell Investments Ltd (cherwellinvestments.com): Cherwell Investments own 11 leasehold properties where Wandsworth Borough own the freehold. Directors are Alexander Thompson and Thomas Holroyd, both directors of several other property investment companies. The website states that they own ‘a large number of properties in a small area of London (SW4, SW11, SW12 and SW18) We have focused on this for the past 20 years……We are constantly adding to and upgrading our portfolio in the Battersea, Balham, Clapham and Wandsworth area.

The Lockes: Marcus and Susan Locke own at least 11 leasehold properties where Wandsworth Borough own the freehold. Marcus is an LLP member of High Holborn LLP, director of 373 New Kings Road Freehold Ltd (letting of property) and juststjohn.com ltd.

The summary table below shows all individuals with 2 or more properties and all companies searched:

 

Wandsworth leaseholds

Total Leaseholds ALL AREAS**

     
     

CHELSEA ESTATES LIMITED

30

51

BIRKETT ESTATES LIMITED

9

19

Alexander James Birkett Smith*

10

 

Alexandra Clara Smith*

2

 

Helena Catherine Smith*

6

 

Nicholas Joseph Birkett Smith*

9

 

TOTAL

66

 

     

PALMYRA PROPERTIES LIMITED

20

23

CPIF PROPERTY LIMITED

13

20

THE FERRYVIEW PARTNERSHIP LLP

2

3

AFFORDABLE PROPERTY INVESTMENTS LIMITED

6

 

SKYPROPS LIMITED

3

6

Richard James Verdin and Christopher Neil Kemsley*

2

 

TOTAL

46

 

     

Charles Edward Gow*

35

 

Karin Gow*

5

 

TOTAL

40

 

     

CHERWELL INVESTMENTS LIMITED

11

21

Marcus Julian Locke*

11

 

Anna & Khrysztof Sanczuk*

10

 

     

ALLIANCE AND MUTUAL INVESTMENT COMPANY (2002) LIMITED

3

63

LAKEVIEW ESTATES (UK) LIMITED

3

19

LAKEVIEW PROPERTIES (UK) LIMITED

1

9

TOTAL

7

 

     
     

DESIMAN LIMITED

6

74

Narayanamoorthy Sriganesh

6

 

Amery Scott*

6

 

Lady Blomefield*

5

 

SIMON PROPERTY LIMITED

4

12

Shailesh Gandhi*

4

 

Timothy Michael Charles Kirk and Michelle Galea Kirk*

4

 

Nigel William Pittam And Jill Pittam*

4

 

SALIENT INVESTMENTS LIMITED

3

15

P J PROPERTIES & CONSULTANCY LIMITED

3

5

V K PROPERTIES LIMITED

3

5

WONTLE OTTMAW PROPERTIES LIMITED

3

4

Valeriy Bogoslovskyy And Nicolai Adelman*

3

 

David Chapman And Jennifer Anne Chapman*

3

 

Thomas William Wright*

3

 

CHEROKEE PROJECTS LIMITED

2

3

GREEN PASTURES (SOUTH) LIMITED

2

2

PEGASUS NETWORKS LIMITED

2

2

WESTMINSTER MEAT MARKET LIMITED

2

2

Mouaffaq Alassad and Margaret Alassad*

2

 

Gergana Stoimenova Bozukova*

2

 

Bruce Howard Burkitt*

2

 

Giles Edward Chapman and Anna-Karin Chapman*

2

 

John Richard Corner*

2

 

Gordon Patrick D'Silva*

2

 

Akil Nurali Esmail*

2

 

Ade Ibrahim Fabunmi-Stone and Pauline Jennifer Fabunmi-Stone*

2

 

Nina Giani*

2

 

Genia Goldman*

2

 

Zahid Pervez Hanif*

2

 

Eloise Mary-Rose Howard*

2

 

Milutin Jevtovic*

2

 

Garvin Alfred Manamperi Karunaratne and Dahanayake Liyanage Bimba Karunaratne*

2

 

Simon Kinzley*

2

 

Zack Laurence*

2

 

Jonathan Paul Marshall*

2

 

Carole Antwi Nuamah*

2

 

Patricia Margaret Lilian Pledger*

2

 

Yvonne Lorraine Tulloch*

2

 

Andrew Daniel Wallis*

2

 

 

 

Parameswaran Ramesh and Jegatheeswary Ramesh*

2

 

 

 

 

AC BATTERSEA LIMITED

1

1

DRUMREE ASSET HOLDINGS INC

1

1

EAGLETON PROPERTIES LIMITED

1

5

ENTREPRISES GENERALES (INVESTISSEMENTS) LIMITED

1

4

HERECROFT ESTATES LIMITED

1

4

J.V. PROPERTIES (UK) LIMITED

1

5

M. A. GARMENTS (LONDON) LTD

1

 

MIGHTY Y LTD

1

 

 

OAKLEY 31 LIMITED

1

 

PROPERTY NETWORK (KA) LIMITED

1

21

RINGDALE LIMITED

1

5

T. BRO INVESTMENT LIMITED

1

30

THAXTED BUILDERS LIMITED

1

8

 

 

 

 

* The individuals ownerships of the leaseholds only includes those that we have located and searched. The company ownerships are total figures as the Land Registry allows searching on companies

 

** Total Leaseholds all areas - outside of Wandsworth these are all leasehold owned properties but the respective councils are not necessarily the freehold owner

 

 

 

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