ASSET MANAGEMENT STRATEGY 2014-2017

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ASSET MANAGEMENT STRATEGY 2014-2017

EXECUTIVE SUMMARY Eight years after its creation, Stafford and Rural Homes (SARH) is at an exciting stage of its journey as a leading housing association in the Midlands. In 2010-11 SARH, having delivered the promises set out in the transfer agreement, has now moved on to on to deliver a range of exciting new initiatives. This included plans to build and acquire more new affordable homes and regenerate existing neighbourhoods. This strategy provides a blueprint for the future of the Asset Management function at SARH from 2014-2017. This strategy outlines how SARH will deliver best value for customers, continue delivering investment and regeneration initiatives, the methods of programme delivery including nonasset solutions, and what resources will be required. It outlines how SARH will manage its resources to ensure it can achieve its five aims outlined within this strategy. There are many challenges affecting the Asset Management sector including rising costs, enhanced customer expectations and the management of complex information. Only through long term planning, partnership working, investing in staff and making best use of technology can SARH successfully overcome these complex challenges. Asset Management is an important catalyst to assist the organisation in achieving its corporate goals and objectives which are set out within the SARH Corporate Plan. SARH will operate in a complex environment which seeks partner agencies to support SARH ambitions and assist in introducing mechanisms which help to grow SARH asset portfolio. The Asset Management Strategy identifies five aims which will provide a strategic roadmap that ensures SARH operates a joined-up and focused asset management function.

STRATEGIC CONTEXT SARH was created in 2006 following the stock transfer from Stafford Borough Council (SBC). SARH owns and manages approximately 6,000 properties, 2,800 which are in the Town of Stafford, 1,283 in Stone and the remainder spread across rural villages within the borough. SARH has a mixed portfolio of properties within its property stock including approximately 3,900 traditionally built homes, 900 non traditional homes and 800 homes situated in Independent Living Schemes across 19 sites. SARH also manages approximately 300 leaseholder and commercial properties and over 150 garage sites. Since 2006 SARH has invested over 81 million on improvement and regeneration programmes which have benefited SARH customers by improving homes, neighbourhoods and creating job opportunities for local people. In 2012 SARH setup Housing Worx, a trading subsidiary which delivers improvements such as Kitchen, Bathrooms and Doors for SARH. Housing Worx creates local job opportunities and any surpluses are gifted back into SARH. During the lifetime of this strategy SARH will invest over 24 million within its neighbourhoods and across its housing stock and our aim is to use Housing Worx to undertake this investment where they demonstrate value for money. Since 2006 SARH has put in place a clear strategic approach to Asset Management which has customer satisfaction, value for money and intelligence led investment at its core. This is demonstrated through the successful delivery of SARH transfer promises, investment in regenerating neighbourhoods through Total Place and delivery of the investment programme through local businesses and suppliers. Key Themes Value For Money Partnership Approach Excellent Customer Service Investment Based On Intelligence Social Value

AIM 1 Value for money Further integrate value for money approaches into all asset functions and to minimise the cost increase per year of capital and repairs function by introducing on-going efficiencies. To achieve top quartile for Asset Management key performance indicators when measured against similar social housing providers by 2017 2 To increase partnership working with Housing Worx where value for money is clearly demonstrated. 3 Benchmarking and using best practice methods when procuring, managing contracts and developing specifications. 4 Achieve top quartile in performance indicators for asset management costs, delivery and customer satisfaction. 1 To review the capital programme annually against the most appropriate investment strategy.

AIM 2 A commitment to energy efficient homes To improve the average SAP rating across all homes which will reduce carbon emissions, reduce fuel bills for customers and provide warmer homes. To improve the average SAP rating across all SARH stock to a minimum of 70 1 Be an exemplar in Stafford Borough, working with partners to promote affordable warmth and reduce fuel poverty amongst our customers. 4 All customers benefiting from energy efficiency measures receive energy saving advice to enable maximum benefit. 5 To actively pursue all external funding opportunities to maximise financial support for energy efficient measures. 6 Continue investing in renewable technologies 7 Work towards top quartile for SAP rating measured against other social housing providers 2 All traditionally constructed properties have their cavities and lofts insulated. 3 Improving heating systems installed with SARH homes.

AIM 3 Building and increasing asset base Increase current asset base through building and acquiring homes. Increase current asset base through building and acquiring 300 homes during the life of this strategy 1 Assess and measure the performance of SARH stock 2 Work with the local authority to retain right to buy capital receipts 3 Make best use of SARH assets through reconfiguring homes, redeveloping garages and commercial buildings. 4 Maximising grant and gift aid opportunities

AIM 4 Maximising asset performance To maintain 100% decent homes standard across our stock. To maintain 100% decent homes standard across SARH stock 3 Continue to maintain 100% decent homes annually 4 Managing repairs and cyclical maintenance in line with SARH 30 year business plan 1 An on-going and continuous cycle of 5% annual stock condition surveys 2 Review the suitability of the following assets: Independent Living Schemes, Commercial Premises, Garage Sites and Non Traditional

AIM 5 Regeneration To undertake area regeneration in a holistic manner. Improve at least 350 homes through the Total Place programme 1 Completion of Total Place One investment area Penkside 2 Design work undertaken on Total Place Two investment Area Stafford Central 3 Start on site at Total Place Two investment Area Stafford Central