What properties are suitable?
There are a number of requirements in relation to the scheme:
the property has to be vacant for at least 12 months prior to submission: proof of vacancy will be required
there has to be a social housing demand for the property
the property has to be assessed as being viable to provide social housing
If the property meets these requirements it will be inspected by local authority or AHB staff who will identify the works that are required to bring the house up to the required standard.
If the owner wishes to enter into a lease arrangement to make the property available for social housing with the local authority or AHB the following conditions will apply -
the minimum lease term is 10 years, 15 years or 20 years depending on the cost of the upgrade works;
the lease payments will based on:
the general terms of social leasing which is set at 80% (85% for apartments) of the current market rental rates in the property location
a further adjustment to the lease payment to off-set the cost of the repair/upgrade work until the cost of the work has been repaid;
the scope and cost of the works required to meet the standards, and the recoupment of the works cost through the lease payments, will be agreed between the owner and the local authority/AHB.
