Community Asset No 4 - Initiation of a Compulsory Purchase Order (Update No1 - 17 November 2011)

The references to sections are to those in the Localism Act 2011 (November 2011).

The actions required to obtain a compulsory purchase order need to be carefully planned and executed by the "stakeholders". The initiators are likely to be a small group of local residents who want to see a threatened local asset of community value (s 88(1)(a)).

• supportive local residents who might form themselves into a community group - to contribute ideas and raise funds for the project's immediate progression - they may want to make a community nomination (see s. 109(2) (a) and (b)) that the asset goes on the list;
• the relevant local authority - to be persuaded to make a CPO for what must be a justifiable community scheme;
• the local planning authority - to be consulted and may ultimately decide on the planning merits of the proposal;
• the owner (see s.107)and any occupiers of the property - (assumed for the purposes of this post to be opposed to the project); and,
• immediate neighbours who may be opposed to the project on amenity or other grounds.

Once formed the community group will need to make the case for project - particularly to the CPO-ing body. The main pointers on this score have been outlined by ministerial advice to the local authorities. No doubt further detail will emerge. For the purposes of this post the following is an attempted "interpretation":

• the nature of the worthwhileness or value of the project to the local community - the groups or groups of residents or visitors it will serve, the extent that life in the community becomes more sustainable....;
• the perceived threat to the asset - dereliction to the fabric of the building leading to its loss, retirement of the business owner, inappropriate development...;
• the future project in terms of its purpose, usage, management, and business (perhaps including its restoration, business development plan, funding)....;
• planning issues - the sustainability of the project for the future of the community, impact on neighbours and its amelioration....; and
• financing of the acquisition - local authority financing (if any), community groups financing etc...

Community Assets No 9 CPOs for Community Assets (Update No 1 - 18 November 2011)

The Localism Act 2011 (15 November 2011)) has possibly made it more likely that more than one community group is going to be asking their local authorities (LAs) to compulsorily acquire a private (or public?) asset which the community group regard as a being a land of  community value. [Note: This post assumes that the bits and pieces of the Act are operating - that is as time lordsladies we are in the future after the regulations are approved by Parliament.]

Initial steps before the CPO is likely to be considered are:

• if the LA has not put the asset on its list, a "person"  aka  the community group nominate the land (and buildings) as an addition to the LA's list of assets of community value.
• it then requires a notification of disposal of the owner; and
• a moratorium on the disposal.

In the past such groups have sometimes been able to purchase privately a local post office, shop, pub etc which is threatened with closure and hence cease to exist. At other times they have failed - perhaps for lack of time. It might be expected that a CPO will enable due process (and delays) - if successful, it will lead to the creation of a community-owned asset


The main purpose of this post is only to identify the main steps in the practice and procedures of obtaining a compulsory purchase order in the context of the Localism Act 2011 as they might be applied to creating an asset of community value. (Later posts will examine the steps in more detail.)


In outline the steps involve the following:

1. Initiation and relevant community body in operation;
2. Community body prepares and demonstrates the "case" to the LA and other stakeholders;
3. Relevant public body and authority to obtain powers to acquire land;
4. Making and submitting (if necessary) a compulsory purchase order;
5. Confirmation of the CPO and possible action in the High Court;
6. Notice to treat and possession against the owner (and occupier if different);
7. Assessing compensation for those entitled;
8. Completion and payment of compensation; and,
9. Commissioning as an asset of community value.