Public sector fills housing breach
July 29 2008It has been revealed that house builders are approaching social landlords in an attempt to offload surplus stock. This comes amidst news that monthly mortgage approvals have sunk to a new low against privately held fears that residential construction could halve this year.
So far Glasgow City Council alone have been asked to fund 36 such deals, representing 1,000 homes. This follows similar moves down south where half a billion pounds has been made available by central government to purchase unsold flats.
Despite big discounts being offered sources tell Architecture Scotland that some housing associations are knocking them back as the properties don't meet their minimum space standards. In particular a glut of 1 & 2 bed flats are ill suited to the needs of housing associations for family accommodation.
Construction firms are hoping for a lifeline from the public sector to maintain growth. But the Scottish Government has publically declared that it is solely interested in protecting the public purse, not a shortfall in profits from the private sector.
Back to July 2008
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