Agenda item

            The HMO Manager provided the Committee with an overview of the application, which he clarified the address was Flat 2, 32 Candahar Street and not 32b Candahar Street, which was a separate address.  However, the facts remained the same.

            He outlined that the property had had the benefit of an HMO licence issued by the Council with a start date of 11th January, 2021, with an expiry date of 11th January, 2026.

            The Committee was advised that a reminder letter had been sent to the owner on 3rd December, 2025, informing them that they were required to renew the HMO licence before the expiry of the existing licence on 11th January, 2026.  The correspondence had been sent to the registered company address on Companies House. He stated that the Council was subsequently made aware that the company’s address had changed. The Committee was advised that, within paragraph 63 of the terms of the licence, the applicant had a duty to inform the Council, within 7 days, of a change of address.

            An application for a new licence was received from Norton Cross Ltd on 23rd January 2026.

            An application for a Temporary Exemption notice (TEN) was received on 26th January and granted on 27th January, 2026, with an expiry date of 27th April, 2026.

TheHMO Manager outlined that, pursuant to the 2016 Act, the Council could only grant a licence if it was satisfied that:

a)     the occupation of the living accommodation as an HMO would not constitute a breach of planning control;

b)     the owner, and any managing agent of it, were fit and proper persons;

c)     the proposed management arrangements were satisfactory;

d)     the granting of the licence would not result in overprovision of HMOs in the locality;

e)     the living accommodation was fit for human habitation and—

                                     i.was suitable for occupation as an HMO by the number of persons to be specified in the licence, or

                                    ii.could be made so suitable by including conditions in the licence.

            The Planning Service had confirmed that a Certificate of Lawful Existing Use or Development (CLEUD) was granted on 8th April, 2025.

It was reported that the NIHMO Unit had consulted with the Environmental Protection Unit in relation to daytime noise; the Public Health and Housing Unit in relation to rubbish accumulation/filthy premises; and the Enforcement Unit in relation to litter and waste and all had confirmed that there had been no relevant enforcement action required in respect of any of the issues in the HMO in the last 5 years.  

For the purpose of Section 12(2) of the 2016 Act, the Council had determined the locality of the accommodation as being Housing Management Area (HMA) “2/03 Ballynafeigh” as defined in the document Council’s Local Development Plan Strategy, which was formally adopted in May, 2023.  It was reported that Legal Services had advised that there was a clear requirement in section 8 of the 2016 Act upon the Council to be satisfied that the granting of a licence would not result in overprovision.

The officers had had regard to:

a)     the number and capacity of licensed HMOs in the locality; and

b)     the need for housing accommodation in the locality and the extent to which HMO accommodation was required to meet that need.

To inform the Council in its consideration of the above provisions, the Council had taken account of the 2023 Strategy given that “Nurturing sustainable and balanced communities was a fundamental aim of the LDP’s housing policies.”  In particular, the Council had considered Policy HOU10, which stated:

“Within designated HMAs, planning permission will only be granted for Houses in Multiple Occupation (HMOs) and/or flats/apartments where the total number of HMOs and flats/apartments combined would not as a result exceed 20% of all dwelling units within an HMA.”

The Committee was advised that, on the date of assessment, 2nd March, 2026, 26% of all dwelling units in policy area HMA 2/03 were made up of HMOs and flats/apartments, which in turn exceeded the 20% development limit as set out in Policy HOU10.  There were 66 (4%) licensed HMOs with a capacity of 294 persons in that HMA.

It was outlined that there were a total of 1642 dwelling units in HMA 2/03.  The Members were advised that, on 2nd March, 2026, out of 422 premises available for rent within the BT7 area, there were 291 licensed HMOs which represented 1160 bed spaces.

The Committee was advised that the fact that the use of the property as an HMO was permitted for planning purposes was a relevant consideration in determining whether the granting of the licence would result in overprovision. 

The Houses in Multiple Occupation Manager reminded the Committee that there was a need for intensive forms of housing and, to meet that demand, HMOs were an important component of the housing provision. HMOs, alongside other accommodation options within the private rented sector, played an important role in meeting the housing needs of people who were single, who had temporary employment, students, low-income households and, more recently, migrant workers and asylum seekers.

He explained that, in assessing the number and capacity of licensed HMOs, as well as the need for HMO accommodation in the locality, officers could not be satisfied that the granting of the HMO licence would not result in overprovision of HMO accommodation in the locality of the accommodation for the purpose of section 8(2)(d) of the 2016 Act.

            The Committee was advised that no objections had been received in relation to the application.  It was also reported that the accommodation had been inspected by the NIHMO service, on 22nd January, 2026, at which time it complied with the physical standards for an HMO for five persons.

            On 3rd March, 2026, pursuant to Paragraph 9 of Schedule 2 of the Houses in Multiple Occupation Act (Northern Ireland) 2016, officers had issued a Notice of Proposed Decision to the applicant, stating that it proposed to refuse the licence on the grounds of over provision.

            The Chairperson welcomed Mr. R. Smyth, Macfarlane and Smyth, agent for the applicant.  He explained that he was before the Committee due to a simple typographical error, whereby the incorrect renewal date had been entered into a spreadsheet, similar, he suggested, to the officer within the HMO Unit, who had referred to the property as 32b Candahar Street, instead of Flat 2, 32 Candahar Street.  He suggested that the penalty on the applicant did not fit the crime.

            Mr. Smyth suggested that he believed the Council had some wriggle room in terms of the legislation.  He stated that while the Committee had to have regard to overprovision, he did not believe that should mean that it precluded it from granting the HMO licence for the property in question, which had been in operation for many years.

            The HMO Manager advised the Committee that it was not a matter of wriggle room and that Section 8 (2) (d) of the Act stated that “the Council may grant the licence only if it is satisfied that the granting of the licence will not result in overprovision of HMOs in the locality of which the HMO is situated”.

After discussion, it was

            Moved by Councillor McKay

            Seconded by Councillor T. Brooks and

         Resolved – that the Committee agrees to refuse the application as, in accordance with Section 12 of the Houses in Multiple Occupation Act (Northern Ireland) 2016, it could not be satisfied that the granting of the HMO licence would not result in overprovision of HMO accommodation in the locality of the accommodation, as determined under section 8(2)(d) of the Act.