The UK looks set to benefit from a rise in the supply of rental homes, after £1 billion of government money was set aside for building work.
Build to Rent is a fund that aims to deliver homes specifically for private rent, and Housing Minister Kris Hopkins has suggested that it’s due to arrive in several cities in the coming months.
He has announced a shortlist of developments that will now be analysed before finance is handed out, with the projects due to go under the microscope based in areas such as London, Manchester and Liverpool.
Using the additional funding that has been allocated, more than 6,500 new rental homes will be built, helping the government to achieve its ambition of delivering 10,000 such properties by 2015.
Mr Hopkins said: “The private rented sector offers a flexible option to millions of people looking to rent good quality homes. The Build to Rent fund will give tenants far more choice over where they live and raise the standard of the properties on offer.”
He added that he is delighted that so many developers and would-be landlords have come forward to apply for a share of the money in order to complete projects all over the UK.
Build to Rent has been specifically designed to allow large-scale, high-quality rental property plans to be put into practice. It would significantly add to the supply of homes available in the private rented sector.
The government hopes that by demonstrating such building schemes are viable, it’s laying the foundations for more investment in the market over the coming years.
Some 18 developments have been told that they have made the final stage of due diligence or contracting, of which around half are said to be in London.
But that has not stopped the rest of the country being represented too, with others in Birmingham, Kirklees and Durham also making the cut.
Published on: March 10, 2014