Reigate and Banstead to build starter homes

Reigate & Banstead Borough Council is investing £10m to build 57 new homes to help first-time buyers get on the housing ladder.

The two developments, at Pitwood Park in Tadworth and Cromwell Road in Redhill, Surrey, will also help to regenerate these areas.

Twenty-five new homes – a mix of two and three bedroomed houses and one and two bedroomed flats – will replace a long-vacant industrial building at Pitwood Park.

All 25 homes will be sold as shared equity homes, giving a 25% discount on the purchase price.

In addition, the purchase price is discounted by 20% from the market value or capped at £250,000, whichever is lower.

At Cromwell Road, outdated flats and shops will be redeveloped to create 32 one and two bedroomed flats above new shops.

Half the flats will be sold as shared-equity housing, like those in Tadworth.

The retail unit will be retained by the council to provide ongoing rental income.

‘Reigate & Banstead is a great place to live and work but we are conscious that its popularity means house prices are out of reach of many of our residents,’ said the council’s deputy leader, Cllr Graham Knight.

‘These discounted price homes are designed for residents on lower to middle incomes who want to buy their first home and remain living locally, but otherwise would not be able to afford to do so,’ added Cllr Knight.

‘To ensure these homes go to those residents that they are intended for, there will be strict eligibility tests based on national guidelines.”

According to the council, the construction costs of both projects covered by sale proceeds.

Construction tenders for both projects are expected to be let in the autumn, with work starting on site in early 2019 and completion of both schemes due in early 2020.

The council will appoint an agent to market the homes once construction is underway.

The council’s executive member for property and acquisitions, Cllr Natalie Bramhall, added: ‘It’s important that our residents can afford to live and work in the locality and that our services and businesses can attract and retain good local staff.

‘These developments will enable the much-needed regeneration of these two council owned sites, whilst creating new homes that are more affordable for our residents.

‘The Cromwell Road redevelopment in particular will improve a run-down part of the town centre, provide a valuable contribution to affordable housing and increase the value of, and income from, one of the council’s long-held retail assets. Once completed, the development will prove complementary to the recently completed neighbouring Queensgate scheme.’