Kingston Council’s new development company is set to develop 289 affordable homes in the borough following approval of the business plan at Treasury Committee on Thursday 5 October.
In total 385 new homes will be built, 289 of which will be owned by the council and let mostly to key workers, including those in the NHS, fire and rescue services and education, at 50-60 per cent of market rent rate. The remaining 96 flats will be owned by Kingston’s development partners.
Cllr David Cunningham, Cabinet Member with responsibility for Regeneration at Kingston Council, said:
“This is a great decision for Kingston and the exactly the type of housing we should be building – affordable homes for local people. Our aspiration is to have at least 1,000 new homes on our books within five to 10 years and I am pleased to see projects being moved forward and delivering results for our residents.”
Launched in February 2017, the commercial company plans to take on a range of activities, including property development and management, following in the footsteps of councils such as Sutton, Croydon and Newham.
The business plan highlights that there is no cost to the council of setting up and financing the company. The company will help the council meet its budget and service requirements.
The company, formally named RBK Property Company, adheres to all legal requirements which apply to standard development companies, including Right to Buy and the Housing Act.