Registered provider status granted to Legal & General’s housebuilding arm

FINANCIAL services group Legal & General’s affordable housebuilding subsidiary has been granted registered provider (RP) status by the regulator of social housing.

Legal & General Affordable Homes Ltd (LGAH) was launched in April 2018. Achieving RP status is considered a major milestone in its business plan, as it means the company can now hold and manager regulated “affordable” housing assets.

Furthermore, the business will be able to accelerate its development — as well as management — of a “blend” of affordable housing tenures where the regulated status is required. These include both social and affordable rent and shared ownership homes under grant-supported and Section 106 schemes.

Legal & General also claims LGAH’s granting of RP status is a milestone for the housing sector as it highlights the role institutional capital has come to play in the funding streams for conventional housing association social landlords.

“Affordable housing has been a classic example of where a lack of new capital has had a big impact on hampering overall provision,” said Simon Century, head of affordable housing at Legal & General Capital, the group’s investment arm.

“Over 1.3 million households are on social waiting lists and the required provision is rising year on year. This is not a sustainable position. We are therefore delighted that the Regulator of Social Housing has registered Legal & General Affordable Homes, enabling us to deliver our business plan and commitment to the sector to make a genuine contribution to increasing supply whilst advancing overall service delivery. We are very much looking forward to getting on with the job and working towards delivering our first sites soon.”

NH

 

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