We've finalised an £8m contract with builders Lovell to develop new homes in South Gloucestershire.
The multimillion pound contract with the nationwide construction company will result in the construction of 72 new homes in two villages. The homes will be built to replace 44 of our existing non-traditional properties which have deteriorated in recent years.
The deal is the latest in our ongoing development programme to help tackle the region’s housing crisis, and will see homes built across nine sites in Coalpit Heath and Iron Acton. Lovell has been appointed to carry out the work through our wholly owned development subsidiary Oakbrook Homes. We successfully worked together with Lovell last year to complete 39 new homes in Coalpit Heath.
This is the largest single development project that we’ve undertaken so far, as we step up our home building programme as we move towards our goal of building 300 new homes every year by 2019. And with the National Housing Federation's recent Home Truths report revealing that the average price of a home in the South West is now more than ten times annual average salaries, the need for more affordable homes has never been greater. These homes are going to make a huge difference by providing modern, energy efficient homes fit for the 21st Century.
All of the non-traditional properties being replaced were built after the Second World War as a quick solution to the housing shortage. But in recent years their condition has deteriorated, and they are expensive to heat and have issues with damp and draughts.
Earlier in the month we held a joint event with Lovell in Coalpit Heath to allow residents to learn more about the actual construction work that'll be taking place. We'll be holding a similar event in Iron Acton in April. The first of the new homes are due to be completed by the end of 2017.