Urban And Civic Whitworth Street
Urban & Civic will receive a £43m loan to kickstart the stalled scheme on Whitworth Street and Princess Street

Greater Manchester Housing Fund to pass £300m milestone 

Greater Manchester’s leaders are being asked to green light investment in more than 1,000 new homes across Bury, Manchester, Salford and Stockport.

This latest series of investment loans would bring the total invested by the Greater Manchester Housing Fund to £305m; £5m more than the fund’s initial value. This is possible because loans previously made by the fund are repaid, with interest, and then reinvested in to new projects.

Since its creation Greater Manchester leaders have intended to recycle the GM Housing Fund up to three times over 10 years. With the reaching of the £300m milestone after two-and-a-half years, GMCA said it is open for business and will continue to invest in more homes across the region.

Subject to approval by Greater Manchester leaders at a meeting due to be held on Friday this week, the Greater Manchester Housing Fund will provide:

  • £1.5m to Wiggett Homes for 22 houses in Brooke Street, Radcliffe, Bury
  • £36m to Select Property Group and Greater Manchester Property Venture Fund for 677 apartments on the former BBC site in central Manchester
  • £43m to Urban & Civic for 351 apartments at the junction of Princess Street and Whitworth Street in central Manchester
  • £3.9m to Hillcrest Homes for 24 houses on the site of the Brethrens Hall in Heaton Mersey, Stockport
  • £1.8m to Blue Dog Property for 33 apartments on the site of the former Police Station in Baguley, Manchester
  • £22.5m to one of Fred Done’s property companies for 380 apartments at the corner of Blackfriars Road and Trinity Road in Salford

Cllr Richard Farnell, Greater Manchester Combined Authority lead member for Planning and Housing, said: “Reaching over £300m of housing investment represents a major milestone for Greater Manchester. The Greater Manchester Housing Fund is a key part of our historic devolution deal and we are proud of the success we’ve had in supporting the creation of thousands of new homes across the city-region since 2014.

“The Housing Fund has allowed local leaders to kick-start construction and support developers in the creation of new, quality housing that our residents want and economy needs.

“I look forward to making the case for these new plans that could deliver more than 1,000 new homes for the people of Greater Manchester at this month’s Combined Authority meeting.”

Cllr Kieran Quinn, GMCA lead for investment and finance, said: “Reaching this landmark level of investment is testament to the value of taking decisions locally for the benefit of local people.

“The Combined Authority has become a vital player in the commercial finance market. More and more developers and firms are looking to us to support their growth plans and Greater Manchester’s Leaders are only too happy to assist in the creation of more homes, jobs and prosperity within our city-region.”

GMCA previously approved a loan of £17.3m to Fred Done’s FCIM development company at Blackfriars Road and Trinity Road in Salford. As a result of changes to the project, approval to increase the loan to £22.5m is being sought. The previously approved loan of £17.3m to FICM is not included in the value of loan offers approved to date.

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If developers are in capable of creating quality schemes they should not be provided with loan assistance, regardless of planning permission. With the loan fund being oversubscribed, there is no way GMCA should be subsiding Rowlinson / Peel’s shoddy Pomona scheme.

Also, what safeguards are in place to claw back funding if the scheme is sold on prior to completion?

By GMCA watch

Isn’t Fred Done a Billionaire?

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