More than 150 residents on Bermondsey's St James Estate are facing losing their homes after receiving Section 21 'no-fault' eviction notices and rent increases of up to £524 per month. They have urged Southwark Council to fund their legal battle against what they describe as a "predatory" landlord.
Eviction notices and rent hikes
The St James Estate, built in the 1990s to provide secure and affordable private rentals, has become the centre of a housing dispute. Residents were handed eviction notices and rent increases shortly after the freehold of their properties was sold by Folio London, a private rental sector arm of Notting Hill Genesis, to BMR Group. The eviction notices were reportedly issued one day before the introduction of the Renters' Rights Act, which abolished the use of Section 21 evictions. For some residents, eviction proceedings are now underway.
Residents fear their family homes could be converted into Houses in Multiple Occupation (HMOs), which would generate significantly higher profits for BMR. The council has received "several" property licensing applications for the estate, according to The i Paper. A spokesperson for the estate's managing agent Freshview previously said there were no plans to "convert the estate as a whole into HMOs", but stated a review found a "significant number" of homes were being rented at "substantially below" market rates.
Council response and residents' concerns
Southwark Council said it is "appalled" by the eviction notices and has been working with local partners such as Southwark Law Centre to ensure those affected can access advice and support. However, residents said while the council has offered "warm words" and has publicly supported them in the media, they claimed this was not "matching reality".
In a meeting of the full council on Wednesday evening (September 23), Asha Garway, secretary of the St James' Tenants Association, said residents face losing "everything that we have worked for" and are continuing to receive court letters seeking possession of their homes. Ms Garway told councillors: "We have been advised that the Section 21 eviction notice served on us is illegally invalid, it has failed to meet the legal requirements which was not properly served and should have never processed any further." Yet, [we] still receive official court letters seeking possession of our homes.
She added: "Mentally, this has been overwhelming for us, every day brings constant worries of waking up, checking the post and checking [our] doors - every single minute." Ms Garway was presenting a deputation request on behalf of St James Estate tenants, which included asking the council to fund their legal costs, provide housing security for every resident on the estate and be "fully transparent" and involve residents in every licensed decision for the estate.
Legal limitations and calls for action
Southwark Council does not have the power to prevent a property from becoming an HMO where it complies with planning requirements. But where planning permission or a licence is required, any application would be considered in line with relevant planning policies and licensing regulations. Residents also urged the council to remove Freshview as managing agents and remove BMR from operating within the borough, stating they are not fit nor appropriate housing providers for Southwark and across London.
Ms Garway told the council: "Our question tonight as a Tenants and Residents Association (TRA), we ask you what are you going to do to help us because now we have received court letters, we don't have the legal money and finance to support [ourselves]." Cllr Reginald Popoola, Southwark Council's Executive Member for Council Homes, said he found it "morally unconscionable" that BMR issued the eviction notices one day before the introduction of the Renters' Rights Act "merely for the pursuit of profit".
Cllr Popoola referred to Council Leader James McAsh's open letter to BMR and Freshview which urged them to drop all eviction proceedings and offer "realistic" rental terms. He said council officers had been "working around the clock" as much as they possibly can on the situation. Cllr Popoola questioned how Folio's sale to BMR "came about with no consultation with residents", and said it had come out of nowhere, leaving residents in a "very difficult situation with frankly a predatory landlord".
He said: "We will continue to stand by you, we are looking at various alternative means to try to assist residents. We will continue to be present on the estate, we will continue to work as closely as possible as we can but I also want to state that if there are any further concerns or issues, I am very happy to directly meet with the TRA to see what further work we can do for you as well." In response, another resident said: "They're doing rent [increases] of £524 and they're in the hundreds, they're doing that this year but what is to stop them from doing that from next year, or the year after? How can you not stop such large rent increases [of] £524 a month, how is that legal, how is that okay?"
