600 new rentable homes in Preston is 'fantastic news' for the city

Community Gateway Association, which took over the city’s stock of council houses 15 years ago, has announced it will build the extra “high-quality modern homes” over the next three-and-a-half years to meet an ever-growing demand in the affordable rental market.

The housing association already manages around 6,600 properties across Preston and its surroundings.

It says the new funding will allow it to pay off some loans and expand its development programme which has already seen new homes being built in different parts of the city.

“This is a significant milestone for us,” said Craig Garner, Community Gateway’s executive director of resources.

“We are delighted to have secured this investment, which will enable us to drive forward our ambitious development programme to build a range of high-quality, modern homes that meet the needs of local residents.

“We would like to thank our partners who have supported us over recent months to achieve this outcome.”

Community Gateway is currently nearing completion of its unique Courtyards extra care scheme at Ingol. Its next major development will see around 90 homes built on a site at Lightfoot Lane, Fulwood, with further projects in the pipeline.

Gateway originally sought £65m in investment, but managed to bag £30m more than that. The association said the deal, which was brokered virtually with support from Savills Financial Consultants, Barclays and legal advisers Trowers and Hamlins, drew strong investor interest “due to CGA’s robust operating track record.”

“As a result, the organisation was able to achieve £30m more than it had originally planned due to the very favourable interest rates offered from two private investors,” said a spokesperson.

Plans for the new homes have been welcomed by the city council. Deputy leader Coun Peter Moss, who is cabinet member for planning and regulation, said: “This is fantastic news for Community Gateway and for Preston.

“Affordable homes are needed across the city for people and families, so 600 over the next four years will be a very welcome boost.

“This will add significantly to the increasing number of affordable homes that are being built across the city.

“We share and support Gateway’s ambitious plans and already work together on the Making Homes from Houses project, transforming empty and run down properties back into homes for local families, so have no doubt these plans will benefit communities for many years to come.”

David Yates, chair of the CGA board, revealed the vision was for many more homes to come.

“We’re delighted to achieve this fantastic outcome from our first foray into the private investment market," he said. “It will lay the foundation for our long-term funding needs for many years to come.

“We have an ambitious corporate plan which includes a clear objective to provide many more affordable rented homes for local people.

“We plan to continue demonstrating this commitment with much needed quality, affordable homes for rent over the coming years.”

Gateway says its latest homes in Steeple View, Preston, were built to its own “exacting” specification.

The properties are designed to Lifetime Homes criteria and boast above average space standards, which CGA hope will lead to more sustainable tenancies. Each house has private parking, gardens and integrated cooking facilities.