Catford homeowner forced out of property threatens to sue council

Lorraine Pearmain, 62, lived in her two-bedroom bungalow with partner Lou, 64, for more than 30 years before she was forced out last summer.

She was one of the Excalibur Estate residents who bought a 1940s bungalow from Lewisham Council through a Rent to Buy scheme in the 1990s.

But the council told the 186 residents that the estate will be demolished to make way for a new housing development.

They were given two options - move into a new build or sell their home.

But the 62-year-old refused to accept one of the "rabbit hutch" new builds and said the council agreed to buy her home for £235,000 - despite an independent valuer pricing it at £400,000.

The new homes went on sale last January and cost between £320,000 for a one-bedroom apartment to £385,000 for a two-bedroom house.

Lorraine Pearmain's former bungalow during demolition

Lorraine said: "I was there since 1988 as tenant then I was given the option to have a Rent to Buy in the 1990s.

"It was tricky to get a mortgage but we managed and we bought it for £57,000.

"After a while we applied for planning permission to make it into a three bedroom bungalow which would be good for the future because my dad who is unwell could move in with us.

"That was absolutely fine and full planning permission was granted.

"My aunt was one of the first to move onto the estate so we have roots going back for years.

"It was a really lovely place, we couldn't have asked for anything more."

The new property development that now stands where Lorraine's former bungalow was

Nine years ago Lorraine and her partner Lou were told their home - along with more than 180 others - could be demolished to make way for a new housing development.

Lewisham Council put the plan to a vote in 2010 and despite strong opposition, 56 per cent of estate residents gave the development the go ahead..

The couple refused to move into the one-bedroom new build and instead chose to relocate to another property in the borough.

But the couple's nine year long battle didn't come to a close when they finally moved out of their home of 30 years to another property in the borough.

Lorraine's new bungalow after being forced from her home and offered half of its value

Lorraine has now threatened to take Lewisham Council to court after she claimed they offered her only half of the bungalow's estimated price.

She said: "We contacted a valuer who sized the house up, took photographs and said bungalows were popular so we could easily get £400,000 for it.

"He added that if we went through with out plan to extend it then it could potentially be worth up £600,000.

"But the council said we could only get £235,000 which was just terrifying to hear.

"Over the years we have easily spent £35,000 on refurbishing it - we had decking, a fish pond, fig trees, banana trees and oak floors.

"We worked hard to make it our home."

A Lewisham Council spokesman said: "The council is replacing prefabricated properties built in the 1940s with 95 new properties, 39 of which will be for social rent.

"The council only uses Compulsory Purchase powers as a last resort.

"All but one of the freeholder buybacks to date have been agreed by negotiation and every freeholder had the opportunity to instruct their own surveyor, paid for by the council, to negotiate for and advise them.

"In addition to an agreed market value, freeholders are paid an additional 7.5 to 10 percent in compensation plus all their fees relating to the purchase and move.

"None of the freeholders have challenged the CPOs.

"To date, of the 12 former resident freeholders, six have been rehoused by the council.

"The remaining six have made their own arrangements, but all had the opportunity to be rehoused if they wished.

"There are six freeholders remaining, five are resident and one is moving into a new build shortly.

"The council has dedicated officers to assist with moves for elderly residents.

"They work across council departments and with family or friends to make the transition as easy as possible.

"Officers will also continue to work with all households to agree the market valuation for their properties and assist them with their moves."