How Greater Manchester inspired the £54m HABIKO
Homes England, Muse, and Pension Insurance Corporation’s new joint venture, which is focussed on delivering at least 3,000 low-carbon affordable rental homes, has its roots in the city region.
“It spun out of Salford,” said Peter Denton, chief executive of Homes England, regarding HABIKO.
Speaking with Place North at the Homes England Investment Symposium on Monday, Denton elaborated on HABIKO’s future plans and how it came about.
Denton puts the credit for HABIKO on the shoulders of the Eden office block in Salford. Delivered by ECF – another Homes England and Muse venture with Legal & General – Eden was a “proof of concept” that sustainable buildings could be delivered in a way that made financial sense, Denton said.
This was because Eden not only boasts low-carbon credentials, but was built for roughly the same amount as a less energy-efficient building. Denton said that could easily be the case for housing as well.
“What we’re seeing at the moment is aspiring for truly net zero homes is starting to be not much more expensive than traditional build,” he added.
While Homes England gives the credit to Eden, Muse managing director Phil Mayall cites New Victoria in Manchester as the pivotal scheme for HABIKO’s creation. Muse worked alongside PIC on the residential element of the 520-flat New Victoria.
“The relationship really formed there,” Mayall said.
When that scheme completed, PIC “expressed an interest” in doing more work with Muse and leaning into the affordable side of build-do-rent. Enter Homes England.
Greenhaus proved that energy-efficient, low-carbon, affordable homes could be delivered at scale. Credit: via RMS
The way Mayall tells it, Greenhaus – another Salford ECF scheme – was another big influence. Sitting off Chapel Street it offers 96 Passivhaus-certified flats. This includes 11 social rent apartments and 13 affordable ones.
Marrying sustainability and affordability is the name of the game for HABIKO.
Homes England’s Denton said he thinks the 12-year partnership has legs. The £54m announced, he pointed out, is just the working capital for the building period.
“The actual potential for this is far greater than the £54m,” he said.
As for where the promised 3,000 HABIKO homes will be built – Greater Manchester looks well-placed to receive a fair few. Denton has already spoken with Metro Mayor Andy Burnham about the matter.
“I do think you’ll see a lot in the North West,” Denton said. That is, in part, due to Burnham’s well-publicised goal to build 10,000 truly affordable, net zero homes.
“With Mayor Burnham’s very clear ambition on this, it’s an obvious place for HABIKO to focus – but not exclusively,” Denton said.
Some of this needs to be seen in Liverpool as well, over to you LCC to bring forward sites conducive to such developments.
By Anonymous