North-East Derbyshire council has launched an unusual project to build 30 homes using its own finance.
More than 10 years after councils were stopped from building homes, the council has persuaded the government that the scheme offers good value for money. It admitted the Office of the Deputy Prime Minister was reluctant to grant permission, preferring councils to offer grants to housing associations for new build. But the council argued in nine months of negotiation that the scheme made financial sense in the present economic conditions.

The £1.3m scheme will be built by Lovell. Work will start on four sites in the Dronfield and Clay Cross areas next month and finish in June 2003.

The bungalows, which are not replacement housing, will add to the council’s existing 9200 units. Community services director Paul Bradshaw said: “They could be worth £60,000 to £80,000 each, which is a very high value for this area.”

Source

Housing Today