Housebuilder Larkfleet has signed a five-year deal with private affordable housing provider Heylo Housing to deliver affordable shared ownership homes for Section 106 obligations. The deal is based on Heylo’s Home Reach suite of development and sale agreements, which allow developers to build and sell new shared ownership homes and simultaneously sell the landlord’s position to Heylo.
Heylo is a joint venture between the Lancashire County Pension Fund, an investment manager and a team of affordable housing specialists. It has acquired more than 500 homes in 25 local authorities since it launched in September 2014 and this is its second long term agreement in four weeks.
Nicholas McAlpine-Lee, chief executive of Heylo, said “Home Reach is a new developer-led model for the delivery of new build shared ownership homes. It will support the much-needed supply of affordable housing across Larkfleet’s key operational areas of Lincolnshire, Cambridgeshire and Rutland – as well as having the potential to support Larkfleet’s recently announced plans to expand across the rest of the UK.
“Home Reach provides Larkfleet with full control over construction, specification, delivery and sales of shared ownership affordable housing properties with the contractual certainty of satisfaction of Section 106 obligations by an approved alternative affordable housing provider unaffected by the recent changes to the housing association sector model.”