CAF Bank: Development of new homes for social rent with Castlehill Housing Association
Support from CAF Bank helped Castlehill Housing Association to meet local need for affordable energy efficient homes.
Founded in 1970, Castlehill Housing Association was established to provide high quality, affordable homes in Aberdeen City, Aberdeenshire and Moray. Its stock of nearly 2,000 properties ranges from general needs and amenity housing, to sheltered and very sheltered homes for older people.
Through its subsidiary, Castlehill Housing Trust, the association also provides specially designed housing for people with complex needs.
In 2019, the association invited a number of lenders to tender for the provision of a £3.8 million loan facility, to build a total of 63 affordable, energy-efficient homes within three social housing developments.
David Lappin, Chief Executive, explained Castlehill’s choice of preferred lender: “We felt that CAF Bank was an organisation with an ethos and outlook that was similar to our own and was invested in what we’re aiming to do”.
"Rates and terms offered were favourable, and the longer-term loans allowed us to ensure rent affordability by spreading our repayments".
Golden Knowes is the first of the three developments to be completed, providing 29 new affordable homes in Banff. Plans are underway for the other two schemes, to build 24 flats in Kintore and 10 family houses in Insch.
David said: “A suitable, affordable home in the right location can change someone’s life completely by impacting positively on their health and wellbeing”
“These properties will help people who were previously homeless or paying excessive rents, as well as those in overcrowded accommodation or where it’s unsuitable for them, perhaps due to their medical condition”.