Star date: 24th October 2017

MIDDLEWOOD LOCKS GETS £34.7MILLION PUBLIC LOAN FOR UNAFFORDABLE PROPERTIES

Middlewood Locks, in which fifty per cent of investment comes from the Far East, has bagged a £34.7million 'funding facility' from the Government's Homes and Communities Agency.

In the latest phase of the 24.5 acre development at the back of the Islington estate, a two bed flat costs up to £260,000 and a three bed up to £350,000. Meanwhile, Fairbriar Developments (Salford) Ltd, the company behind Middlewood Locks, has so far avoided £6million in Section 106 payments.

Full details here...

Back in the days before the Tory/ConDem Government, the Homes and Communities Agency (HCA) specialised in financially aiding developments of affordable housing. That now seems long gone, as, this week, the HCA handed a £34.7million 'funding facility' for Middlewood Locks to Fairbriar Developments (Salford) Ltd, fifty per cent owned by investors from China and Singapore.

Middlewood Locks is the huge 24.5 acre development of 2,215 flats, townhouses and commercial units at the back of the Islington estate, centred around the Manchester, Bolton, Bury Canal which had £4million of public money sunk into it (see here).

When the site first came up for planning permission four years ago, the developer avoided over £6million in planning fees and Section 106 payments due to 'viability' (see here). Last December the second phase also avoided planning payments on the grounds of 'viability' (see here and see here).

Last month, the second phase of apartments were released for sale at Middlewood Locks, with a two bed flat costing up to £260,000 and a three bed up to £350,000, completely unaffordable for local people, even with Help To Buy shovelling more public cash into the scheme to help developer sales.

Meanwhile, yesterday, it was announced that FairBriar International – the joint venture company of Scarborough International Properties (50%), Metro Holdings of Singapore (25%) and Hualing Group of China (25%) – has received a £34.7million funding facility from the Homes and Communities Agency to part-finance the scheme over the next three years...

£25.5million is 'residential development finance' for 546 properties, while £9.2million will 'help fund infrastructure and enabling works across the development'.

"We are very appreciative of the HCA's support" says Simon Marshall, joint chief executive of Scarborough International Properties "which will enable us to accelerate the delivery of much-needed homes for local people..."

Er, local people?

* Middlewood Locks is also giving its address as in 'Manchester'...