Agenda item

            The HMO Unit Manager presented the details of the application to the Committee.

            He outlined that the property had the benefit of an HMO licence issued by the Council, with a start date of 25th June, 2020, and an expiry date of 25th June, 2025, in the names of Mr. I. McKeown and Mrs. C. McKeown.  The ownership of the property had transferred to Ms. A. McKeown with an assignment date of 1st October, 2024.  He explained that, in accordance with Section 28(2) of the 2016 Act, the license granted to Mr. I. McKeown and Mrs. C. McKeown ceased to have effect on the date of transfer.

            The Committee was advised that ownership of the property had reverted back from Ms. A. McKeown to Mrs. C. McKeown on 29th November, 2024.  An application for a new HMO licence was received from Mrs. C. McKeown on 13th January, 2025.

            A temporary exemption notice (TEN) was applied for on 18th February, 2025, and subsequently granted on 27th February, 2025.

            The HMO 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 Committee was advised that, as it was a new application, the Council’s Planning Service was consulted. It had confirmed that a Certificate of Lawful Existing Use or Development (“CLEUD”) was granted on 6th December, 2018.

It was reported that the NIHMO Unit had consulted with the Environmental Protection Unit in relation to nighttime and daytimenoise; 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.  The applicant had confirmed that they had not been convicted of any relevant offences pursuant to the 2016 Act.

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) “2/17 Sandymount” as defined in the document Council’s Local Development Plan Strategy, which was formally adopted on 2nd 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, 19th March 2025, 76% of all dwelling units in policy area “HMA 2/17 Sandymount” were made up of HMOs and flats/apartments, which in turn exceeded the 20% development limit as set out in Policy HOU10.  There were 109 (64%) licensed HMOs with a capacity of 472 persons in that HMA.

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

The Committee was advised that, on 19th March, 2025, out of 223 premises available for rent within the BT9 area on PropertyNews.com there were 65 licensed HMOs which represented 302 bed spaces.

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 reported that the Ulster University Director of Campus Life, in December 2022, had advised the Council’s City Growth and Regeneration Committee that there was an “increase in competition for HMOs particularly from NIHE, Immigration Services and statutory agencies and there were increasing accommodation issues across the housing sector which required a holistic view and should include the consideration of international students, families and graduates looking for professional accommodation.”

However, the QUB Director of Student Plus had confirmed that the current trend indicated a significant move of students to purpose-built student accommodation blocks. She had advised the Members that there were 7,000 purpose built managed student accommodation (PBMSA) rooms in the city, the majority having been built since 2018, and approximately 5,000 in the city centre.

The Committee was reminded that recent monitoring information produced by the Council’s Planning Service for PBMSA indicated that 2055 bedspaces were currently under construction with an operational date of 2024, 92 bedspaces approved but where construction had not yet commenced and a further 1426 bedspaces going through the planning process.

Therefore, with the continued expansion of the PBMSA sector and students transitioning from private rentals to PBMSAs, it was too early to tell whether the increased competition from non-students for HMOs was a temporary problem which could be managed by the contraction in students residing in existing HMO accommodation within the locality, or evidence of an emerging long-term supply issue.

The Houses in Multiple Occupation Manager 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 reported that the accommodation had inspected by a technical officer from the NIHMO service, on 6th March, 2025, at which time it was found that the rear attic bedroom was below 6.5 square metres but that the accommodation otherwise complied with the physical standards set for a House in Multiple Occupation for five persons.

On 18th February, 2025, correspondence had been received from Comerton and Hill Solicitors detailing the reason behind the transfer of ownership.  On 11th March, 2025, officers had responded, stating that the current application was a new application and that overprovision would be a material consideration.

On 19th March, 2025, 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 advising that it was proposing to refuse the licence on the grounds of overprovision. 

            The HMO Unit Manager advised the Committee that the applicant had declined the invitation to attend the meeting.

            After discussion, it was

            Moved by Councillor McKay

            Seconded by Councillor McCann 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.