Council lends itself £5.7m to transfer 46 homes to its housing company

Salford City Council has loaned itself £5.7m in a move to transfer 46 homes to its housing company Dérive.

The homes involved are on the former Cromwell Secondary School for Girls site, comprised of 25 apartments and 21 houses.

The site is notable for its mural made by cult sculptor and muralist Alan Boyson which was retained when the school was demolished.

The homes in question will be completed gradually between November and March next year by Seddon Construction.

With the council delivering the largest affordable housing programme that the city has seen for decades 41 of the 46 homes will be managed by Dérive and available at social or affordable rent.

The homes will be accessible through the Council’s Salford Home Search system.

In order to help those in urgent housing need the five remaining homes will be made available through the Local Authority Housing Fund members.

These will be based on needs identified by the Department for Levelling Up, Housing, and Communities.

Using rental income from the homes, Dérive will have 40 years to pay back the loan to the council at a 4% interest rate.

All the homes meet the Passivhaus standards meaning energy efficient homes that retain heat better ultimately saving tenants money on bills.

Cllr John Merry, chair of the Dérive board, said to Place North West: “The transfer of these properties is another great step in our journey to provide truly affordable housing for people and families in Salford.

“The business arms of Dérive are steadily building a portfolio of homes as we expand operations.”

This is the second time Salford City Council have transferred dwellings to Dérive as the council continue to move 116 across, due to be finished in late November.