The July 2011 assessment shows a £14.5m loss prepared and submitted at a time when L&Q was trying to negotiate no S106 contributions and hence they were showing the scheme is not viable and that therefore no S106 contributions could be made. You will note that, at that point, the land cost of £18m was included within costs.
The July 2012 assessment, when instead L&Q was trying to show that the scheme was viable (when it clearly wasn’t), shows a £576K loss. But, in order to achieve this, THE LAND COST HAS BEEN REDUCED TO £0 and other figures drastically altered. For example, the residential build costs have been reduced from £32.9m to £28.6m and private build sales increased from £51.9m to £54.5m.
How can the Mayor of London state on TV that the scheme ‘breaks-even’ given these circumstances? It is equally appalling that he stated that there is no viable alternative when L&Q was offered £16m for a site valued by L&Q at anywhere between £0 and £7m and the Mayor has figures that show the track would make millions per annum and provide hundreds of local jobs paid in accordance with the London Living Wage.
We will let you draw your own conclusions but Waltham Forest Council, Mayor Johnson and the GLA should hang their heads in shame.