Policy information sourced from the Havering Local Plan

21 Affordable workspace

The Council will support local micro and small businesses through securing affordable workspace within the boroughs network of town centres, Strategic Industrial Locations and Local Significant Industrial Sites. Major commercial and mixed-use developments should provide a minimum of 10% total gross commercial floorspace as affordable workspace for a minimum of 5 years, subject to viability.

For the purposes of this Policy, affordable workspace is defined as – A workspace provided where rent and service charges, excluding business support services, are on average at least 10% less than comparable local market rates for the duration of a lease (although it is noted that, for some sectors and locations, much reduced rents may be needed to render them affordable to target occupiers).

Redevelopment of existing low value employment floorspace that is reliant on less than market-level rent will be required to re-provide such floorspace suitable, in terms of design, rents and service charges, for existing uses, subject to scheme viability, current lease arrangements and the desire of existing businesses to remain on-site.

Affordable workspace should incorporate flexible design features to provide adaptability for a range of uses and occupants with basic fit-out provided to a level beyond shell and core.

The applicant will be required to demonstrate flexible lease terms for target sectors, and where appropriate make provision for short-term, flexible ‘all-in’ or ‘meanwhile’ leases, and/or letting space on a per-desk rather than per sq ft basis with the Workspace Provider. The commercial lease terms to be agreed with the Workspace Provider for target sectors will be secured via legal agreement.

The proportion of affordable workspace to be provided within specific schemes will be addressed on a site specific, case-by-case basis, taking into account the viability of the development.

Where on-site provision is not possible, financial contributions for equivalent off-site provision will be sought.

Financial contributions will normally only be agreed in exceptional circumstances when it has not been possible to secure appropriate on-site physical space. The amount secured will be dependent on the outcome of a viability assessment and negotiations with the Council.

For more information please see the Havering Local Plan