Multi-tenure developments: a solution to the housing crisis

As the UK housing crisis continues and the government’s target of 300,000 new homes per year remaining a distant reality, it’s crucial for developers, registered providers, and local authorities to explore innovative solutions to tackle the issue.

Focusing on building homes that meet the needs and wants of residents and establish a solid community is a great starting point, but to meet the targets we believe multi-tenure developments is the answer.

Multi-tenure developments offer numerous benefits for both residents and the wider community:

Reducing stigma and fostering community

By mixing different types of housing within the same development, we can reduce place and tenure-based stigma, fostering a greater sense of community and social cohesion. Research from Routledge 2012 shows that this can lead to lower levels of crime and anti-social behaviour, improved physical and mental health too!

Flexibility and homeownership aspiration

Multi-tenure developments provide residents with a range of housing options, from affordable rented accommodation to shared ownership and traditional sales. This flexibility allows residents to move between different tenures without having to leave the community they are settled and comfortable in, fostering aspirations development and creating sustainable communities.

Return on investment

For developers, registered providers and local authorities, mixed tenure sites offer several financial benefits too. By offering choice for residents there is a lower risk to your investment as the development is more financially viable with a variety of income streams and government funding grants options, such as providing units for affordable rent and/or shared ownership with a housing association, units for build-to-rent with an experienced managing agent and homes for traditional sales. Research by the National House Building Council (NHBC) Foundation and the Housing and Communities Agency has shown that mixed-tenure developments do not have a negative impact on property values and in fact are often preferred by developers for maintaining property values over the long term.

So, if you’re considering multi-tenure communities for your next development, here’s our top tips to making sure it’s a success!

Tenure blindness

While there is no one-size fits all approach to tenure ratios, it’s essential to look at supply versus demand on a site-by-site basis to avoid stigmatising social housing. One way to achieve this is by ensuring that all homes within a development look the same from the outside, while offering different internal options depending on tenure type. Including options such as a wider range of kitchens and bathrooms, open plan options and ensuite additions for properties that are to be sold, all dependent on location and demographic information. As an experienced management agent, our recommendation at Redwing is to pepper pot different tenure types instead of parcelling of different tenures. This will again avoid the stigma of social housing and further cement tenure blindness.

Partnerships

The key to success. By working with a management agent who can oversee all tenure types an ensure high standards are met across hall homes, developers can ensure that they will receive income from their investment and reassurance their tenants are happy, safe and secure in their homes.

At Redwing we strive to raise awareness of the benefits of multi-tenure developments as we believe they offer a brilliant solution to the UK’s housing crisis. With the right approach and partnerships in place, together we will build more sustainable and inclusive communities that reach our housing targets and cater to the diverse needs and want of residents, creating a place where everyone can feel at home.

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