The Homes and Communities Agency (HCA) has confirmed that it is to invest more than £15m in delivering more than 180 new homes.
As well as investing in new homes through its National Affordable Housing Programme, the HCA has established the first Private Rental Fund with the Berkeley Group. Under the terms of the innovative agreement, approximately 555 new homes constructed by the Berkeley Group over the next two years will be purchased by the Fund, which is a wholly owned subsidiary of the Berkeley Group, and which will retain the properties for rent on the open market. The deal represents the first private rental initiative to be completed with the HCA.
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The HCA is providing Kickstart equity funding in return for a 20% interest in the value of the fund nationally. This combined investment from the HCA will enable The Berkeley Group to bring forward further phases on 10 of its developments, delivering a proposed further 922 homes for private sale along with 299 affordable homes, in addition to the properties being retained in the Fund.
Three sites have benefited from this innovative investment in the South East.
At Holborough Lakes, in Snodland, the HCA is providing £1.5m through its Kickstrart programme which will see 30 new homes built for private rent. This investment is being bolstered with more than £6m from the National Affordable Housing Programme to provide 85 new homes available for social rent.
In Gillingham, on the banks of the River Medway, the HCA is providing £1.7m through its Kickstart programme to the Victory Pier development to support 50 new homes for private rent. This investment is being boosted with £5.8m of funding from the National Affordable Housing Programme to support the construction of 43 homes available to buy under the shared ownership scheme, HomeBuy. This funding is also enabling 60 new extra care homes, which are designed to meet the needs of an ageing population, to be made available for an affordable rent.
(CD)
