Kingdom Housing Association completes £18m construction project in Fife
The final phase of a major affordable housing development, in the Scottish town of Kincardine, Fife, has been completed after a multi-million pound construction project.
The redevelopment began nearly eight years ago on the site of three former blocks of high rise flats, and has now delivered 133 new homes providing housing for a range of affordable housing tenures, including social rent, mid market rent and private sale.
The total project cost around £18m, with the Scottish Government and Fife Council providing approximately £10m in subsidy to support the redevelopment with the balance of the funding raised by Kingdom.
Allia’s Scottish bond programme provides loans and grants to housing associations, supporting the development of affordable housing across Scotland. To date, Scottish Government has invested almost £70 million in Allia bonds, resulting in loans for nine housing associations around the country, including Kingdom Housing Association in Fife, Eildon Housing Association in Scottish Borders, and Hjaltland Housing Association in Shetland. Together these loans are expected to provide over 900 new affordable homes across Scotland. In addition, the interest that will be paid on these loans has enabled the creation of a grant fund of over £16m to support the delivery of homes for those on the lowest incomes.
Nick Pollard, Director of Corporate Support Services for Kingdom said “The funding Kingdom obtained through Allia’s charitable bond programme with Scottish Government was complementary to this significant multi tenure development at Devilla, Kincardine delivering added benefits in terms of our corporate social responsibility objectives. The 10 year funding is unsecured and the most attractive aspect is that the process for acquiring and on-going management and monitoring of the borrowing was and is both simple, effective and efficient.”
Phil Caroe, Director of Social Finance for Allia said “Allia’s charitable bond programme provides funding to help housing associations develop new affordable homes, so it’s great to see how our loan to Kingdom has supported the completion of this new housing development for the benefit of the community in Kincardine.”