£25m sustainable housing cont

RNS Number : 7220A

Morgan Sindall Group PLC

07 February 2011

 



7 February 2011

Morgan Sindall Group awarded £25 million sustainable
 housing contract by Hackney Council

Morgan Sindall Group plc, the construction and regeneration group, today announces that Lovell, its affordable housing division, has been awarded a £25 million contract to build two new sustainable housing schemes for Hackney Council.

This contract further develops Lovell's relationship with Hackney Council, following its work on the borough's housing modernisation programme over the past six years.

The two developments will create 149 new homes, to be built to Level 4 of the Code for Sustainable Homes, which requires that they be 44 per cent more energy-efficient than homes built to current building regulations.

The work will take place across two sites, the former Alexandra National House site, a mixed tenure development where Lovell will build 42 homes for open market sale and 67 affordable rented properties, and a site at Shepherds Lane where 40 homes for affordable rent will be constructed. Work is expected to commence on both developments in March 2011, with the Alexandra National House site due to be completed in March 2014 and the Shepherds Lane site due to be completed in March 2012.

In what is thought to be one of the first examples of local authority cross-subsidy of site development, Hackney Council has enabled the development of the homes for sale on the Alexandra National House site in return for Lovell investing in the broader scheme by constructing 20 Council-owned homes at the Shepherds Lane site, which will have a design and build value of approximately £3 million.

Paul Smith, Chief Executive of Morgan Sindall Group plc, said:

"Housing continues to be a priority for councils across the UK and we are pleased to be able to play an important role in an innovative funding model that allows Hackney Council to unlock the value of its land portfolio.

"The mixed tenure approach the council has adopted mirrors our view of how affordable housing schemes will be delivered and we look forward to working together to deliver much-needed affordable homes in the borough."

Ends

Notes to Editors:

Morgan Sindall Group

Morgan Sindall Group plc is a leading UK construction and regeneration group operating through four divisions of fit out, construction and infrastructure, affordable housing and urban regeneration, and an investment unit.

Lovell is a leading provider of affordable housing. The company has expertise in new-build, regeneration and refurbishment while its responsive and planned maintenance business Lovell Respond provides comprehensive maintenance and estates management services. With offices in England, Scotland and Wales, Lovell offers a unique one-stop shop of services with the ability to build homes, offer a full menu of tenure options and maintenance for life.

ENQUIRIES:

Morgan Sindall Group plc                                       Tel: [phone]

Paul Smith, Chief Executive

David Mulligan, Finance Director

Blythe Weigh Communications                               Tel: [phone]

Tim Blythe                                                                   Mobile: [phone]

Paul Weigh                                                                 Mobile: [phone]

 

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