(1)Where a relevant interest in a defective dwelling has been disposed of by a public sector authority, the local authority may, before the end of the period within which a person may seek assistance under this Part in respect of the dwelling, enter into an agreement with—
(a)any person holding an interest in the dwelling, or
(b)any person who is a statutory tenant of it,
to execute at his expense any of the work required to reinstate the dwelling.
(2)For the purposes of this section a disposal by or under an enactment of an interest in a dwelling held by a public sector authority shall be treated as a disposal of the interest by the authority.