The London Borough of Barking and Dagenham is looking for private backers for a scheme to build 600 new homes without breaching the authority's Treasury-imposed borrowing limit.
Barking is looking to build on its current programme to construct 447 homes financed by institutional investor Long Harbour, trade journal Inside Housing reported.
It said five potential backers had already submitted bids to take part in the funding model, drawn up by legal specialists K&L Gates, that would allow additional development capital of up to £100 million to be brought into the council’s housing revenue account while keeping within government borrowing limits.
The City of London Corporation is about to buy Barking Power Station site in east London for around £125 million, according to Property Week.
A £25 million grant for Barking and Dagenham Council will help it support new housebuilding over the next four years.
Councillor Darren Rodwell, the leader of Barking and Dagenham Council, has welcomed the decision to approve the proposed Beam Park…