Dudley Council to Spend £2.5m on New Homes in Coseley

Strategic Insights -

Dudley Council has agreed to purchase ten new homes in Coseley from major house builder Persimmon Homes Ltd, with a total cost of £2.5m. The new-build homes include six three-bedroom houses and four two-bedroom houses, which will be acquired at a discounted price due to a negotiated deal with the developer. This move is part of the council's plan to spend £10m on new homes in the current financial year.

Key Takeaways:

  • Dudley Council has approved a deal to purchase ten new homes in Coseley from Persimmon Homes Ltd for £2.5m.
  • The deal includes six three-bedroom houses and four two-bedroom houses, which will cost £270,500 and £230,000 per unit, respectively.
  • The council negotiated a discount of 9.8 percent on the purchase price.
  • The council is spending £10m on new homes in the current financial year, with £9.2bn in funding available through the Homes England grant.
  • Dudley Council has not been able to access the Homes England grant for two years.
  • The council faces challenges in building its own houses due to a lack of suitable land in the area.
  • The properties at Coseley New Village are located in a densely populated area and will be readily let to those in need on the waiting list.
  • The decision to purchase the homes was considered a sound business case due to the low development and delivery risk.

Statistics:

  • Total cost of purchasing ten new homes in Coseley: £2.5m
  • Discount negotiated on the purchase price: 9.8 percent
  • Number of three-bedroom houses to be purchased: 6
  • Number of two-bedroom houses to be purchased: 4
  • Cost per unit of the three-bedroom houses: £270,500
  • Cost per unit of the two-bedroom houses: £230,000
  • Total amount of funding available through the Homes England grant: £9.2bn
  • Amount of funding Dudley Council aims to spend on new homes in the current financial year: £10m

Sources:

  • Dudley Council documentation on the purchase of new homes in Coseley.