Helping deliver housing through joint ventures

Building for the long-term to deliver new homes and communities, in line with local needs, continues to be a key focus for the industry.

Registered social housing providers are increasingly using their own development arms to find and progress opportunities to deliver both open market and affordable housing schemes. These, in turn, can cross-subsidise the delivery of more affordable housing.

Ros explains: “Registered providers also tend to have good working relationships with local authorities, which is helpful when trying to secure planning permission for new sites.

“Joint ventures between these providers and developers are a great way of creating a very competitive bid on potential sites on the market, with each party bringing their own strengths to the table and sharing risk. I expect to see the trend of registered provider-led development of open market and affordable housing sites continue to rise, as well as the joint ventures between registered providers and developers.

Another consideration for developers is sustainability. The Conservative Government’s election manifesto pledged to let communities decide their own design standards for new developments, while encouraging the creation of environmentally friendly homes that would result in low energy bills for their occupants. New streets are also to be lined with trees.

Ros goes on to say: “The Future Homes Standard consultation was launched in October 2019 to ensure that every new home built from 2025 will have low or zero-carbon emissions and the highest levels of energy efficiency. The move indicates a real momentum behind environmental initiatives within future development schemes.

“Building for the long-term and not just for people’s immediate needs is a central issue. Moreover, “Establishing a reputation for well-designed and well-delivered homes carries great weight when seeking the support of local communities and stakeholders for new schemes. This is particularly important for small to medium housebuilders looking to secure opportunities with landowners in a competitive market” concluded Ros.

You can read the full feature in the February 2020 edition of Insider magazine.

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