In a column for Property Week, Metropolitan Thames Valley chief executive Geeta Nanda OBE talks about the housing crisis and the increased need for housing associations to be more creative to unlock funding.
While the Mayor of London’s recent £200m injection to fund affordable housing is welcome,
the problem is national. Geeta comments on the desperate need to see similar investment replicated across the country so that housing associations can keep delivering to narrow the 60,000 shortfall in affordable homes each year.
The prospect of more grants coming from the government any time soon seems uncertain, although Geeta remains hopeful. She points out that this should not stop housing associations increasing output if they get more creative with other sources of funding. One solution is to seek new strategic partnerships and more joint ventures to diversify income and share risks.
In a good example, MTVH recently exchanged contracts with ReSI for the sale of 132 new-build apartments in Clapham Park, Lambeth, at a value of £60m. What makes this notable is that as part of the deal, MTVH will retain management of the properties and ownership of the freehold. It will also act as agent for anyone wishing to sell their property.
It is a true partnership approach and a creative model Geeta hopes to see repeated.
Read Geeta’s Property Week column here.