Stalled housing schemes get £450m kickstart

Work will restart on more than 150 stalled housing developments after the Homes and Communities Agency granted funding for a swathe of schemes under its Kickstart programme today.

The agency looked at 270 sites where work had stopped and 91 have been approved for funding, with another 63 approved subject to conditions being met or requiring further consideration.  

The decision means £207m will now be allocated to directly fund 6,618 new and affordable homes.  A further £241m could be allocated for 5,144 homes, to those schemes which have been approved subject to conditions.

Eighty-one schemes were either withdrawn by the developer because of the need to complete homes by March 2011, or because they no longer felt the need for public sector support.

Of those which were withdrawn, over half have been resubmitted for funding under Kickstart Round 2, where the timescale for the completion of homes is longer.
 
Thirty-five schemes were not approved for funding as they did not meet the HCA’s criteria for the Programme, particularly on design and value for money grounds.

Chief executive of the HCA, Sir Bob Kerslake said: "I am delighted that the HCA has been able to play such a major role in unlocking key housing schemes across the country.

"The due diligence process has been a thorough and challenging one for all involved but I am pleased that so many good schemes have been confirmed. We now look forward to completing the contracts and getting starts on site."

Funding has been allocated to schemes in every English region, including 22 in the West Midlands and 16 in the South West; and 77 of the approved schemes will offer apprenticeships or local labour initiatives.  In total an employment dividend of around 1,300 apprenticeships or local labour initiatives could potentially be achieved through the Kickstart Programme as a whole.

The HCA has also confirmed that it has received over 660 bids for funding under Kickstart Round 2. These schemes, which could unlock up to 55,000 homes, will now be subject to the same level of scrutiny as the successful schemes under Round 1. 

The successful schemes announced today bring the total to 91, and include:

North East

Kvaener, Stockton-on-Tees

Bellway Homes Plc: £2,063,580

The £2m scheme will deliver 50 homes for social rent and market sale on a former industrial site on the edge of Stockton-on-Tees town centre.

 

West Lane, Phase 2, Middlesbrough

C M Yuill: £2,286,500

Kickstart funding will unlock a total of 69 homes for market sale, HomeBuy Direct, social rent and low cost homeownership to be built on the former site of unfit terraced properties. 

North West

Ice Plant Ancoats, Manchester

Northern Group Developments: £1,761,000

The Ice Plant project sits within Ancoats Urban Village and Kickstart funding will unlock 82 market rent apartments to address the emerging demand for high quality rented accommodation in the growing regional centre.
 

Tower Wharf, Chester

Morris Homes: £2,457,500

Tower Wharf is one mile north east of Chester City Centre on the side of the Shropshire Union Canal. Kickstart investment will unlock 86 homes for market sale, HomeBuy Direct and social rent, and Morris Homes have indicated their intention to provide an apprentice scheme onsite.

 

Yorkshire and the Humber

Innovations, Brough

Barratt Developments: £962,000

Kickstart funding will unlock the delivery of 60 much needed homes on this stalled site on the north bank of the river Humber, a popular commuting area. 
 

Verve, Hull

Galliford Try: £3,624,00

This distinctive scheme of 2, 3 and 4 bedroom semi-detached and detached homes will provide greater choice and quality of housing for local residents in an area consisting of a majority of converted Victorian town houses. The Kickstart investment will unlock 82 HomeBuy Direct and social rented homes, addressing the need for more social rented housing in the area. 

 

West Midlands

George Road, Birmingham

Miller Homes Ltd: £1,842,900

Kickstart investment in this brownfield site in Erdington surrounded on 3 sides by Brookvale Park & Lake will deliver 50 homes for mix of market sale, HomeBuy Direct and social rent, and will unlock further development in the area.
 

Waterfront South, Walsall

Accord Housing Ltd / Jessup Brothers Ltd: £8,468,750

Located in Walsall town centre, Kickstart investment in the Waterfront South development will unlock the first phase in development of a total 158 homes and will include construction training for local people.  This first phase will deliver a mix of market sale, HomeBuy Direct, and social rent homes, with 119 low cost home ownership homes for local healthcare workers, working with the PCT.

 

East Midlands

Nene Road, Lincoln

Miller Homes: £1,745,290

Nene Road 1 is a site to the North of Lincoln and is well connected into the City Centre. Kickstart Funding will unlock 55 homes, and will open the door to Nene Road 2, which encompasses the remainder of the development and delivers another 79 homes.

 

St Johns, Enderby, Blaby

Miller Homes: £1,088,403

Kickstart funding will help deliver 54 homes in Blaby, including HomeBuy Direct, social rent and low cost homeownership homes, which will provide much needed affordable housing for the area. The developer will also have apprentices on site.

 

East of England

Kings Reach Phase 3, Kings Lynn

Taylor Wimpey: £533,000

Kickstart funding will unlock a total of 51 homes in Kings Reach which will be split between market sale, affordable rent and Low Cost Home Ownership.
 

Port Lane, Colchester

Bellway plc: £729,000

This investment will deliver a total of 109 homes, for market sale, HomeBuy Direct and social rent, providing much needed affordable and larger housing in this area.  The developer has stated that it will provide apprenticeships on this site.  The investment will unlock 32 market sale, 30 HomeBuy Direct and 47 social rented homes.

 

London

Lymington Fields Phase 1a, London

Countryside Properties: £4,790,000

The £4.7m project will help in the regeneration of the area, which is currently a mixture of light industrial use and open land.  The Kickstart funding will directly deliver 70 homes and unlock a further 31.

 

Stonegrove, Barnet, London

Barratt Development Limited: £2,566,495

Stonegrove is a stalled section of a major estate renewal programme and will unlock 98 homes for market sale social rent and low cost home ownership. Barratt has also stated its commitment to providing apprenticeships onsite.

 

South East

Cannon Street, Deal

Statelane Ltd and Mildvalley Ltd Joint Venture: £2,000,000

Kickstart funding will deliver 50 homes for market sale along with much needed community services including a doctor's surgery and a community centre.

 

St Mary’s Island, Chatham, Kent

Countryside Maritime Ltd and Moat Housing Society: £6,932,000

Kickstart investment for St Mary’s Island will unlock 67 eco-friendly homes homes for market sale as well as 15 homes for social rent and 21 for low cost home ownership.

 

South West

Essence, Bristol

Galliford Try: £808,763

Kickstart investment will unlock 64 homes for market sale and HomeBuy Direct at this stalled redevelopment of a former garage and car show room on Cheltenham Road, a key gateway into Bristol. 

 

Ker Street Phases 1 & 2, Plymouth

Midas Homes & Westco JV: Combined total of £2,050,000

Phases 1 and 2 of Ker Street in Plymouth are to receive over £2 million Kickstart funding to deliver a total of 123 units for a combination of market sale, affordable rent and Low Cost Home Ownership.