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15
Feb
Second council housing company requests loan repayment extension
A council-owned housing company has requested an extension to its loan repayment amid plans to deliver more shared ownership properties.
Bracewell Homes, which is owned by North Yorkshire Council, was set up in 2019 to intervene in Harrogate’s housing market.
The company was created by the former Harrogate Borough Council, which provided the firm with a £10 million loan facility when it was created.
Since then, Bracewell has drawn down £700,000 from the facility and was due to pay the full sum by March 31 this year.
However, the company has requested to North Yorkshire Council — which took it over in April 2023 when the borough council was abolished — to extend the deadline until March 2036.
In a report due before senior councillors on February 17, it said:
The housing service is seeking to extend this agreement in order to widen the delivery of shared ownership opportunities across the county and so a recommendation is being made to extend the existing loan arrangement for a further ten years to 31 March 2036.
According to the report, the commercial interest of 5.5% on the £10 million loan facility would remain unchanged.
The council’s executive will make a decision on the proposal next week.
Since its creation, Bracewell Homes has aimed to intervene in Harrogate’s pricey property market through shared ownership schemes and social housing.
It has properties on Horsa Way, Dishforth, The Willows on Whinney Lane in Harrogate and Hughlings Close in Green Hammerton.
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