London housing associations join private market to fund affordable rents

Top 15 social landlords to build 13,000 new affordable homes but also let and sell properties at market rates to fund projectsHousing associations in London are to venture into the private property market on a grand scale for the first time in an attempt to extend their social housing mission to "generation rent" – the growing number of people who can not afford to buy in the capital and are vulnerable to exploitation from unscrupulous landlords.The 15 biggest social landlords in London are working together to build 13,000 affordable homes by 2015 – but they will also provide an additional 4,000 properties for rent at market prices and at least 1,100 homes for sale at regular London prices. They will use the profits to fund further affordable housing.Housing associations have traditionally focused solely on affordable housing for low earners and key workers such as teachers and nurses. The new strategy is a widening of their scope to help those in their 20s and 30s who have become known as "generation rent" – those trapped renting at sky-high prices, at the mercy of sometimes exploitative landlords.The "G15" group of housing associations – which houses one in 10 London residents – is promising to grant more secure tenancies than those available on the private market. The intention is to allow tenants to settle down for longer with a plan to "kitemark" label these better quality homes for those who rent in an attempt to go head to head with the rest of the private ma...
Source: Guardian Unlimited Science - Category: Science Authors: Tags: The Guardian Property Housing market News Real estate Society Money Communities UK news Renting property London Business Source Type: news