Swan New Homes has received a £50m interest bearing loan facility from the GLA’s Housing Zone fund, to accelerate the delivery of nearly 1,500 new homes across its Blackwall Reach scheme, E14.
The controversial scheme on the site of the Robin Hood Gardens estate will see the demolition of the iconic Brutalist scheme designed by Alison and Peter Smithson. The funding, which comes from the Poplar Riverside Housing Zone, fund will contribute to the scheme being 50% affordable.
The Greater London Authority has confirmed the lending facility across the scheme equates to £33,852 per dwelling, therefore “making this project good value for money”. They also go on to state Swan has benefited from another loan of £30m for a scheme in Barking. “It is therefore suggested that no more lending is agreed to Swan until the Barking development is fully repaid.”
After the completion of this £50m loan to Swan, the GLA says the remaining budget for this particular Housing Zone will be £40m. The total pot was £200m.
The purpose of the Housing Zone programme is to increasing housing supply by accelerating and unlocking development to deliver more than 75,000 homes by 2026.
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