Bristol housing development gets £1 million help
The Essence scheme in Cheltenham Road, Montpelier, won £808,763 of funding from the Kickstart pot to set up to support the struggling construction industry in the wake of the credit crunch.
It will help work begin on 64 homes at the stalled redevelopment, on the site of a former garage and car showroom, which will be a mix of one-, two- and three-bedroom apartments.
Housing Minister John Healey said: "This Kickstart cash is a rapid response to the recession, using the power of government investment to support the country through the downturn. With this investment, we are creating jobs and helping build the homes people need.
"Kickstart funding comes with tough terms, and I expect much of this money to be repaid within five years. Some developers have failed our tough value-for-money test, but I'm also encouraged that others have withdrawn saying they no longer need help because market conditions are improving."
The project was one of 115 schemes that were given a share of £388m and bidding for £500m cash in round two of funding will now get under way.
Mr Healey added: "With over £500m Kickstart cash available in the second round, help is on hand for those who need it. And I expect all developers submitting bids to offer apprenticeship and local job opportunities for young people in our communities as part of their plans to get their stalled housing projects back on track."
Workers will start returning to the mothballed sites within weeks – building more than 11,100 homes across the country, and creating or safeguarding about 9,500 jobs.
Mr Healey said he was not giving developers handouts and about two-thirds of the money will be in the form of loans and repaid within five years.
Only developers who have accepted a realistic current market price for their land have been eligible for this investment.
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