They hope to take up any spare government cash if one of the nine pathfinders drops out or the government launches a second funding round.
The National Housing Federation is working closely with the groups. Jim Battle, head of north regions, said: "Pathfinder status has never guaranteed a share of the capital funding. If one area's strategy proves impossible we must ensure funds aren't lost, by having others ready.
" Market renewal should be in everyone's blood because the problems don't go away."
The Tees bid includes five councils and all the local housing associations, led by Tees Valley and Endeavour. It is likely to be submitted to government early next year.
The group believes it has a strong case because the Tees Valley was identified by Birmingham University as suffering the second-worst housing problems in the North-east. The worst area, on the Tyne, already has pathfinder status.
Endeavour chief executive Charlie Hughes said: "[Market renewal] issues are central to us and it is crucial the work is handled well – but we will have to sort out our housing market problems whether or not we gain special funds."
Leeds council principal strategy officer Huw Jones said the West Yorkshire group was trying to tackle the extremes of high and low demand, and the particular difficulties black and minority ethnic communities face.
He said: "We are a fledgling now but in 12 months our research and joint working will start to gel. We have to be ready if there is any expansion of the scheme."
Source
Housing Today
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