Member Article

Havering Council to tackle London housing boom with private venture

A new housing company, which will build new properties in Havering moved a step closers to launch, after Havering Council’s Cabinet members signed off initial proposals.

​The arms lengths firm will be owned by the council but will create properties for market rent and some for sale, which will be aimed at those struggling to get on the housing ladder.

It is planned that that new homes will bring in extra revenue to the council and protect valuable front line services.​

It will operate in the same way as any other private sector company, and will work in a commercial manner.

Several local authorities have already ventured into the private renting and for sale housing market. These include Kings Lynn & West Norfolk, Ealing, Waltham Forest, Enfield and Newham through its Red Door Ventures.

In the two years since the launch of the Help to Buy Scheme for first time buyers, the London property market has continued to heat up, with house prices in the capital increasing 9.4% last month.

Alongside Croydon, Havering has been named on of the Help to Buy hotspots with over 300 applications seeing completion since the scheme was unveiled by David Cameron’s government in 2013.

The new company will go some way in creating a rented sector for residents boosting affordable and quality homes.

Councilor Ron Ower, cabinet member for Housing Company and oneSource Management, said: “I want tenants to be proud of where they live so I’m pleased that we are a step closer to creating high-quality homes as part of our housing company.

“This is going to be a real opportunity for us to deliver well located and well managed private rented or for sale homes for local people.

“The company will be 100 per cent owned by the Council so we’ll be able to make sure that any profits from go towards looking after our borough and not in the pockets of private investors.”

This was posted in Bdaily's Members' News section by Ellen Forster .