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(1)Where a local authority are satisfied—
(a)that the houses, or the greater part of the houses, in any area in their district do not meet the tolerable standard, and
(b)that the most effective way of dealing with the area is to apply to the area the provisions of subsection (2),
they may cause the area to be denned on a map and pass a draft resolution declaring the area so defined to be a housing action area for demolition, that is to say, an area which is to be dealt with in accordance with the provisions of subsection (2).
(2)A resolution passed under this section shall provide that a housing action area for demolition shall be dealt with by securing the demolition of all the buildings in the area but—
(a)such an area shall not include the site of a building unless at least part of the building consists of a house which does not meet the tolerable standard;
(b)there may be excluded from demolition any part of a building which is used for commercial purposes.
(3)For the purposes of this section and the following two sections, a house in respect of which a closing order has been made and not determined shall be deemed to be a house which does not meet the tolerable standard.
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