Government approves £113m housing PFI deal
A council has been given the go ahead for a £113 million private finance initiative project that will see 650 homes refurbished and 500 new properties built.
Manchester Council can move ahead with appointing a partner for the regeneration of the Brunswick area after the Homes and Communities Agency approved its business case.
The 25-year regeneration project will see council homes improved beyond the decent homes standard and 500 new homes built for rent or sale. The area will also be redesigned, with new shops and a 60 bed sheltered accommodation unit.
Two consortia are in the running for the work: Fern and Solutions 4 Brunswick, and the council is expected to select its preferred bidder later in the year.
Jim Battle, deputy leader of Manchester Council, said: ‘Although we still face a number of hurdles, this is a welcome announcement that gives some light at the end of the tunnel for residents who have waited years for these plans.’
Brunswick was one of 13 housing PFI projects allowed to proceed following a government review in November 2010. Financing for the scheme was reduced from £118.2 million to £113.1 million in July last year, and the council then had to submit a further business case to the government.