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£12 million investment

Contractor information

DAMHA is to spend over £12 million on one of the largest housebuilding programmes in its 119-year history.

The Association will be building 106 new affordable homes across County Durham between now and 2022.

Work on 31 two-bedroom bungalows in Ushaw Moor, Coxhoe and Philadelphia will get underway this year and be completed in stages in 2018. The investment in these properties amounts to just over £3.5 million.

A further 75 new homes will then be built between 2018 and 2022 after DAMHA received grant funding of £1.9 million from the Homes and Communities Agency (HCA) – the Government body that funds new homes in England.

This funding has come from the HCA’s Shared Ownership and Affordable Homes Programme, which is aimed at kick-starting the building of homes that people can afford in the UK.

DAMHA will invest a further £6.6m of its own money to build these homes across County Durham. The locations of the new homes will be determined over the next two to three years.

Paul Mullis, Chief Executive of DAMHA, said: “There is a real shortage of high quality, two-bedroom bungalows for rent in County Durham so the homes we will be building will go some way to meeting the need that exists for properties like this.

“This represents one of the largest housebuilding programmes in our long history and we are excited about getting started.

“All of the homes will be allocated to older people in housing need across County Durham.”

The funding DAMHA has received from the HCA forms part of a £7 billion Government programme aimed at meeting the diverse housing needs of the country.

In total, over 200,000 new homes will be built during the life the programme. It comes just months after the Government admitted in its new White Paper that the housing market is “broken” and that the solution is more housebuilding.

Homes and Communities Agency (HCA) Chairman Sir Ed Lister said: “The expanded affordable housing programme will help us continue to work with both housing associations and developers new to this area of the housing market to increase the availability of affordable homes.

“It will allow providers the flexibility and agility to respond to local needs and markets. This will boost housebuilding by encouraging providers to deliver a mix of homes for both affordable rent and low-cost ownership that is most suited to each place.”