New social housing

THE FIRST new tenants are moving into new affordable housing at Ladies Mire, in Brae, this week as Hjaltland Housing Association completes their £1 million development.

The project, consisting of four one-bedroom flats and two three-bedroom semi-detached houses, also includes the first two houses in Shetland completed under the new build shared equity model.

The eight new units next to six houses built by the association in 2010 were financed with the help of the Scottish government and Shetland Islands Council.

Under the new innovation and investment fund, the government’s level of subsidy for social housing has been dramatically reduced from £80,000 to £40,000 per unit.

Hjaltland said that thanks to the council’s investment of around one third of the overall cost, the association was able to keep rents at an affordable level.

The association’s chairman Jeff Goddard said: “Brae is a very buoyant market at the moment due to the level of development being experienced at Sullom Voe and the gas plant.

“This has resulted in high demand for housing forcing some private rents outwith the reach of many people.

“This is why it is so important that Hjaltland continues to develop good quality housing in the area, and we are delighted with the support we have received from the council which allowed us to bring this project to fruition”.

The new build shared equity model allows the purchase of a home in partnership with the Scottish Government. The prospective purchaser normally pays between 60 and 80 per cent of the purchase price with the remaining equity being held by the government.