Building society Nationwide turns housebuilder with plans for 200 new homesThursday 30 November
Having started out funding mortgages, Nationwide is taking its role as the world's largest building society one step further by developing its own homes.
The company, which is the UK's second-biggest mortgage provider, has plans to construct 200 properties on five acres of brownfield land it owns near its head office in Swindon.
It is planning to pour £50m into the development, and build a mixture of market price and affordable homes both for rent and sale. The development will be shaped by the views and needs of the local community, and building is expected to start in 2019.
Nationwide said it hoped to break even through selling the properties and would reinvest any profit into other community projects. There are no plans so far to start on any other developments.
The company is building on the the Oakfield campus of the University of Bath which has been allocated for housing use since 2013 but has been sitting unused for the last seven years.
The building society said it had embarked on the plan due to feedback from members that it should "support new practical approaches to housing", and is investing £20m by 2022 in helping communities tackle housing issues across the country.
Joe Garner, Nationwide’s chief executive, said: “Building on our housing heritage, our mutual purpose, and our founding principle that people can achieve more together than they can alone, we aim to show that it’s possible to develop quality homes at fair prices.
There is huge demand for new homes in Swindon, where 22,000 properties need to be built by 2026 to meet demand. House prices have increased by 31pc since 2007, and the average property there is now worth £212,196 according to the Land Registry.
Source: The Telegraph
Image credit: Simon Dawnson/Bloomberg
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