Price hike is unaffordable

North Bay chalets. Large increse in rental costs.'Will the recent price hike mean rows of empty chalets?'114320a. Picture Kevin Allen.'26/10/11.
North Bay chalets. Large increse in rental costs.'Will the recent price hike mean rows of empty chalets?'114320a. Picture Kevin Allen.'26/10/11.

A MASSIVE annual rent rise for chalets in North Bay is on the way – and it has sparked outrage from users.

In May tenants were told to expect a significant price rise – and it emerged this week that the increases would be between 33.33 per cent and 40.7 per cent for prime seafront locations.

The cost of renting a promenade standard for the year will rise from £995 to £1,400 and a promenade large will go up from £1,050 to £1,400. The cost of standard chalet – not directly on the seafront – will rise from £950 to £995:

The company behind the move said that the increases were unavoidable and reflected rising overheads.

Mark Moorhouse, whose family has rented a chalet for the past 10 years, said they rented a week at a time while they were on the waiting list for 13 years. He said: “It’s a lot of money for what you get. It’s going to force a lot of families out of something that they’ve enjoyed for donkey’s years and their kids have grown up with.”

“We’ve been going down here for more than 20 years. This is a kick in the teeth,” he said.

The 55-year-old from Ashville Avenue, said that there was no guarantee that people who paid a £50 deposit, as an expression of interest, would be given a chalet for 2012. He said: “It’s a lot of money for what you get. It’s going to force a lot of families out of something that they’ve enjoyed for donkey’s years and their kids have grown up with.”

Cllr John Ritchie, whose family has rented one of the chalets for a number of years, said it was unaffordable and they would look at renting a week at a time in future. He added: “People just can’t afford to pay those prices. We may look at hiring one in the summer. People who have had them for a lot of years have been told there’s no guarantee.”

The much sought after beach chalets used to be operated by Scarborough Council but they are now managed by Ryedale Estates Ltd.

During 2011 the yearly rate for promenade chalets – those with an unobstructed sea view – was between £995 and £1,050 but next year’s annual fee will rise to £1,400.

Chalets which are further back are being offered at a more modest increase – from £950 to £995 – as a more affordable alternative.

At the time of going to press no details were available for next year’s daily and weekly rates – which currently stand at up to £25 per day and up to £170 for a week.

As reported 60 chalets have been put on the market each with an asking price of up to £36,000,

Phil Hughes, from PRH Construction Services Ltd and the agent acting on behalf of Ryedale Estates Ltd, said the price rises were unavoidable because of increased costs including: a 42 per cent rise in insurance, a rise in the cost of electricity, as well as security patrols to combat antisocial behaviour.

He said: “We’ve had to put in security patrols and the addition of CCTV. Antisocial behaviour has cost us a lot of money. We had a lot of problems early on with antisocial behaviour but after April since we put the patrols in it has made a big difference. Electricity costs are rising and we provide the electricity for free. It’s all these costs that we are reflecting.”

He added that he hoped to employ a full-time attendant who would be responsible for the area.

Mr Hughes said that he sympathised with people who could not afford the higher costs. He said: “If we could’ve avoided putting the costs up we would have but our costs are escalating.

“It’s not 40 per cent across the board, we’ve held some of the prices on 39 chalets back to encourage people to relocate.”

He said there had been a lot of interest from people wanting to buy chalets and 25 had already been sold. He added: “There’s a lot of interest local people who want to own them.”