‘Welsh born’ clause for new housing development set to be rejected

Plans to turn a “financially unviable” holiday complex into housing, with a third of them affordable, are recommended for approval, but a ‘Welsh born’ clause on all properties is expected to be rejected.

Jacob Hughes, of Morgans Hotel, in an application to be considered at the meeting of Ceredigion County Council’s development management committee next week, is seeking permission for a change of use for Parc Teifi Chalets, Bridge Street, Pontrhydfendigaid to 10 semi-detached houses and five one-bed apartments, the latter being affordable units.

A supporting statement through agent JMS Planning and Development says the overall visual design of the existing holiday complex, sited near Bont’s Red Lion pub, will remain the same, other than fencing and individual parking spaces.

‘Not financially viable’

It says: “The supplementary evidence submitted with this application demonstrate that running Parc Teifi as a sole holiday complex is not financially viable. During the past four years there has only been one instance where all 10 holiday units were full and that was due to a block booking by a company who attended the National Eisteddfod in Tregaron in August 2022 –a one off event in the area.

“The site and village lacks facilities for large accommodation such as this, with lack of nighttime economy, it is usually the case that larger parties focus their search for accommodation towards the larger towns and cities or on holiday camps such as Bluestone or Centreparcs.

“The evidence demonstrates that Parc Teifi is widely advertised, nevertheless the bookings and income does not fulfil the demand for any of the units. Even though the company which owns and runs Parc Teifi is well established in the tourism industry and know their best marketing tools and approach, nothing has worked on this site and it has failed over the years to become a successful business.

“Year-upon-year there are less bookings and higher costs involved in the running of the units.”

Extensive loss

In the last three years the business has been running at an extensive loss as costs outweigh the total income, the statement says, with occupancy at its highest in 2022 out of the last three years at only 27 per cent occupancy rate.

The statement says the current open-market value of the houses is circa £170,000, and the flats at £65-£70,000, which would be discounted by some 30 per cent, selling for £49,000.

An officer report ahead of the meeting says local community council Ystrad Flur does not object to the proposed development, but is asking for a clause within a Section 106 [planning] agreement to ensure residents are Welsh-born and key workers.

The report adds: “In respect of the representations received from Ystrad Fflur Community Council a clause as proposed in respect of the open market dwellings would be inappropriate, however those looking to occupy the affordable units would need to satisfy the local authority’s housing criteria in any event, with being born locally or a key worker forming part of these criteria.”

The application is recommended for conditional approval, conditions including a S106 securing the provision of affordable housing.