A decision on the future use of a piece of surplus land at Dalmilling Primary School in Ayr has been deferred for six months.

The delay in dealing with the matter has resulted from a decision by the Council's Commercial and Business Services Committee. However, the move could result in the Council losing out on funding towards affordable rented housing.

During the meeting of the Commercial and Business Services Committee officers had recommended that the surplus land should be sold to a Registered Social Landlord for the development of affordable rented housing.

This would have resulted in a capital receipt to the General Services account and the housing development would have brought further added value through the housing allocations nominations process as the Council would have held 50% nomination rights for the development.

The Committee was also made aware that an amalgamation of a local community groups called 'Play Parks for All', had proposed that the land should be used for a community and sensory garden and a play area for children, although the Council is not aware of any confirmed funding for the project, and consideration would need to be given as to who would maintain the area in the future.

After discussion, however, the Committee decided in favour of deferring any decision on the future use of the land to enable the local community groups to formulate plans.

Consideration of the item at the Commercial and Business Services Committee followed a decision taken in June by the Council's Lifelong Learning Committee which decided to declare a piece of land at Dalmilling Primary School surplus to their requirements.

South Ayrshire Local Housing Strategy and the Pressured Areas Application to the Scottish Government shows that in South Ayrshire, and particularly in Ayr, Prestwick and Troon there is a severe shortage of affordable housing.

The surplus land at Dalmilling Primary School has been programmed into Communities Scotland and South Ayrshire Council's Strategic Investment Programme for site acquisition in 2005/06. If the site is not progressed for affordable rented housing within the identified timescale, funding might be reallocated to neighbouring local authorities.