Housing association granted asset disposal consent
Source: Construction Index
Consent has been granted by the Homes & Communities Agency (HCA) through powers under the Housing and Regeneration Act 2008. This means that Genesis can now sell empty property to funding a new-build programme. Over the next three years Genesis aims to build more than 3,000 new homes, the majority of which will be affordable housing. The general consent allows the housing association to dispose of vacant assets without needing permission each time from the regulator, with the proceeds being recycled to provide a wide range of housing options and investment in the regeneration of neighbourhoods. Disposals will be monitored by the regulator, while the consent will be reviewed after a period of three years.
Genesis chief executive Neil Hadden said: “At a time when the level of new public subsidy for affordable housing is low and expected to be under further pressure, this consent will allow us to work strategically with local authority partners to deliver much needed homes by pursuing an asset management strategy which looks at the viability of existing stock and its fitness for purpose in the future. Making such decisions will enable us to invest in and deliver more new homes better suited to the needs of today and tomorrow.”
Kevin Millgate, strategic regulation manager at the HCA, said: “The HCA is focused on protecting social housing assets through robust economic regulation and this includes giving providers the space to manage their businesses responsibly, while ensuring they maintain a firm grip on risks. So where it is appropriate to grant a general consent of this nature then we will do so.”