The first council-backed housing in Newcastle for more than 20 years has been unveiled today by the Homes and Communities Agency

Eight new bungalows on Kenton Road were launched this morning at a ceremony attended by the Lord Mayor of Newcastle, Cllr Michael Cookson, alongside representatives from the Homes and Communities Agency (HCA), Newcastle City Council and Your Homes Newcastle.

The bungalows, which have been specifically designed for the elderly and people with special needs, have been built as a direct result of a grant of £3.6m awarded by HCA to YHN, to fund the development of six new affordable housing schemes across the city, including the one at Kenton Road. 

This new housing provision is the first affordable housing directly funded by Newcastle City Council since 1987.

Other developments in areas of the city where demand for housing is high, such as Throckley, Walbottle and Kenton, will start on site later this year and will provide more than 60 much-needed homes for young families, people with disabilities and the elderly, ranging from 3-bedroom family houses to specifically-adapted bungalows.

As part of the partnership between the HCA, YHN and Newcastle City Council, the land used for the developments has been gifted to YHN from the council, to ensure that the building of new and updating of existing housing supply can go ahead in the current economic climate.

Charged with creating thriving communities and providing people with the opportunity to live in homes they can afford and in places they want to live, the HCA funded the grant to YHN through its National Affordable Housing Programme. This is the first funding of its kind in the region to be directly awarded to an Arms Length Management Organisation (ALMO) from the HCA.

As the first ALMO in the North East to achieve the grant status, YHN is now the first organisation of its kind to own and manage its own housing stock on behalf of Newcastle City Council. 

Executive member for regeneration and housing at Newcastle City Council, Cllr Bill Shepherd said:

"The new bungalows are a result of partnership working between Newcastle City Council, YHN and the HCA and form part of a series of new affordable homes that will be built across the six sites in Newcastle.

"There is much demand for affordable homes in Newcastle but we are pleased these properties have been greatly received by the public.

"It is an exciting time for affordable housing in the city and together we will continue to address the demand for quality properties by progressing in our desire to create sustainable and affordable homes that will withstand the test of time.”

Pat Ritchie, regional director of the HCA, commented:

“We are delighted that YHN has been successful in achieving the first direct National Affordable Housing Programme funding in the region, which has already been used to develop the first council-backed housing provision in Newcastle in more than 20 years.

“We have created a very strong partnership with YHN and Newcastle City Council, they have demonstrated, along with their construction partners, that they are able to deliver homes for families and those with more specific needs, to a very high standard.

“One of our key objectives in the region is to address the high demand for good quality housing stock, which we know exists, especially in our cities.  We now look forward to working closely with YHN and the city council as they continue to deliver these much-needed housing developments in Newcastle.”

John Lee, chief executive of Your Homes Newcastle, added:

“We are delighted to have worked with Newcastle City Council and the Homes and Communities Agency to launch these fantastic and affordable contemporary homes.

“YHN is committed to providing high-quality social housing and we are pleased to be able to offer these bungalows with priority to elderly and disabled people.

“They are built to the highest standards and we hope to further the momentum with the construction of more new homes across the city to reinforce YHN’s dedication to addressing the need for affordable housing in Newcastle.”

Through its Single Conversation strategy – the new way of working with local authorities, housing associations and key partners – the HCA provides funds for affordable housing, brings land back into productive use and improves people’s quality of life, by raising standards for the physical and social environment.  It also helps local authorities and communities to deliver their ambitions for their areas.

Issued by the Homes and Communities Agency on Friday 25 June 2009