National Housing Bank loans £14m for Middlewood Locks

Enabling works on 10 acres of brownfield land near the Manchester, Bolton, and Bury Canal could begin soon, now that developers Scarborough Group and Metro Holdings have secured funding for the second phase of the £1bn Salford neighbourhood.

The National Housing Bank has provided a £14m infrastructure loan to the project, which is lined up to deliver 909 homes across two developments between the canal and the River Irwell.

The first development, known as Brick Fields Yard, will feature a 27-storey tower and a 32-storey one. Together they would offer 659 apartments with between one and three bedrooms. These would sit on a raised podium with a garden.

The second development is Lockgate Wharf, which will host 250 apartments with between one and three bedrooms. Lockgate Wharf will also be situated on a podium and will be next to a half-acre public park as well.

Salford City Council had voted to approve this phase of Middlewood Locks in 2022. At that time, the project team consisted of Whittam Cox, Zerum, and Ares Landscape.

The tallest tower at the next phase of Middlewood Locks would be 32 storeys. Credit: via French PR & Social

Scarborough hopes to start on site early next year, with homes beginning to be delivered in 2030.

Homes England, the parent organisation of the National Housing Bank, has helped fund the Middlewood Locks before. Around £70m has been loaned, and repaid, to deliver earlier phases to the scheme. That led to the building of more than 1,300 homes, which are occupied by more than 2,600 people.

“The initial three phases of Middlewood Locks have been highly effective in delivering essential new homes, revitalising previously unused land and strengthening the connection between Salford and Manchester city centre,” said Nigel Barclay, director of loans at the National Housing Bank.

He added later: “Urban regeneration projects such as Middlewood Locks play a vital role in supporting new development in towns and cities, fostering communities where individuals are eager to live and engage socially. We continually seek collaboration with partners who share these goals and ambitions.”

Paul Kelly, managing director of Scarborough Group International, said: “We are delighted to extend our long-standing and very successful collaboration with Homes England as one of the first pilot schemes since the launch of the National Housing Bank in March.

“This funding arrangement marks a significant milestone in realising the full potential for Middlewood Locks as an important driver in creating sustainable new communities and much-needed new homes. “