Government cash unlocks 600 home development
The Scottish Government has handed over £11 million to a scheme to build 600 new homes in North and South Lanarkshire.
Clyde Valley Housing Association has been working with property company Savills and local councils to develop a funding model that will also access private equity and loan finance.
The 600 homes will be built over four years and almost half will be affordable homes for rent.
Scotland’s cabinet secretary for infrastructure and capital investment Alex Neil announced the government’s cash pledge yesterday: ‘With the public purse under huge financial strain we need radical and innovative approaches to increase housing supply at maximum value for taxpayers’ money,’ he said.
‘It brings together public and private finance in a novel way to secure over 280 affordable homes across North and South Lanarkshire over the next four years.’
The project is also expected to create 150 job or training opportunities through a mix of apprenticeships and work placements.
Mr Neil said: ‘This uses Scottish Government resources to leverage substantial private finance into the project, including equity. In return the local communities not only get new homes, but also employment and training opportunities – a real boost for the local economy.’
Clyde Valley chief executive Tom Barclay said: ‘[This] announcement by the cabinet secretary of this substantial support for the Clyde Valley Housing Network is validation of the tremendous amount of work and innovative thinking by Clyde Valley Group, our advisers Savills, our partner local authorities and the Scottish Government team responsible.’
South and North Lanarkshire councils both welcomed the move for ‘much needed investment in new housing’ in their areas.