A landlord’s properties are his or her investment, so if anything
happens to that investment, it isn’t a good thing. So imagine how you
would feel if you went to visit one of your rental properties and
discovered there was nothing left but a vacant plot of land and a
pile of rubble? Well that’s exactly what happened to one landlord!
Council Bulldozers Moved In
The property in question was one of three located in the middle of a
regeneration scheme. The council had issued a compulsory purchase
order on the property, but although the council and landlord had been
in negotiation prior to the demolition, the landlord had not yet
accepted a final offer. So you can imagine the landlord’s surprise
when he belatedly discovered the council had sent bulldozers in and
reduced his house to dust.
A Danger to the Public
The council’s excuse for demolishing the house was that it had been
in a dangerous condition. They allege that the properties had
deteriorated badly and were a danger to the public, therefore they
had to come down. The landlord does not believe this explanation: he
claims he received zero documentation and was not given a chance to
accept any offer of financial recompense for his loss. He added:
“I have been treated with utter contempt. I will be taking this to
the local authority ombudsman.”
How Do Compulsory Purchase Orders Work?
According to Newcastle Council: “For landlords, offers of
compensation are based on the current value of the property, together
with certain statutory expenses to help them buy a replacement
property and, in some cases, an additional loss payment. Valuations
may change if the condition of the house deteriorates.”