Habiko announces sites for first 590 low carbon, low energy affordable homes

Habiko, our affordable homes partnership between Pension Insurance Corporation (PIC) and Homes England, has announced its first two development sites for 590 new homes in Chester and Warrington. Together, the opportunities aim to deliver new affordable homes for rent, as Habiko moves forward with plans to develop its target of 3,000 low carbon, low energy affordable homes across England.

– Charterhall Drive, Chester: Habiko has identified a site adjacent to the city’s train station. The partnership is developing design options with architect shedkm to deliver around 350 homes within the existing proposals, in preparation for planning submission later this year. Working closely with the local community, the plans aim to contribute to the 15-year strategy for economic regeneration of Chester and its historic town centre.

– Warrington: Habiko has identified a site, adjacent to the Times Square district in the heart of Warrington, that sits close to a range of amenities that will support the future residents. The partnership is developing designs with AHR Architects to deliver around 240 homes.

Both sites have been selected by Habiko as strategic locations for growth, where new affordable homes for rent will be well-served by public transport, pedestrian routes, and vibrant town centres.

Habiko is setting a minimum of 75% affordable homes for rent, with an overall target of up to 100%, for those whose needs are not met by the market. The partnership aims to deliver 3,000 affordable and sustainable homes over the next 12 years, equating to around £1bn in terms of completed value. The new homes brought forward by the 12-year joint venture will be forward funded by PIC.

Affordable housing tenures will be set in conjunction with the local authorities and according to local housing demand, with Discounted Market Rents set at a minimum of 20% below the local market rate at both sites to help people access quality, energy efficient homes with low carbon emissions.

In line with Habiko’s mission to create greener, healthier and friendlier homes, the partnership will work to engage with local stakeholders in shaping the proposals. This will continue throughout the development cycle to ensure sustainable homes are delivered that meet the needs of the community.

Lisa Gledhill, Managing Director – National Partnerships at Muse said:

Hayley Rees, Managing Director of PIC Capital said:

“Following a successful launch of Habiko, announcing these first two projects emphasises the focus on our purpose: to deliver low carbon, low energy affordable homes for rent at pace. This exemplifies the power of public-private partnerships to help meet the UK’s affordable housing needs through innovative collaboration.”

Jennifer Murray Director, Product, Equity and Partnerships at Homes England said:

“The Habiko partnership brings together the market insight, capability and expertise of its partners. The early identification of these sites for the partnership is testament to Muse’s experience in delivering and PIC’s commitment to investing in affordable housing at scale. The UK needs more affordable homes built to higher sustainability standards. Progressing these sites in Chester and Warrington demonstrates that this can be achieved, with the right driving forces behind it.”