£15m funding for a BoKlok development

Apr 4 2008 by Chris Knox, The Journal

GATESHEAD’s innovative BoKlok housing development has received £15m worth of funding as it prepares to open the doors to its first residents.

The loan has been handed to developers Live Smart @ Home by Lloyds TSB Corporate Markets and will fund 93 BoKlok homes in Felling, including 36 one and two-bedroom flats and 57 two and three-bedroom houses. The houses, based at St James Village, have been designed by Swedish construction firm Skanska and Scandinavian furniture giant Ikea and are aimed at households earning between £12,500 and £30,000 a year.

The timber-framed units, which will welcome their first batch later this month, start from £99,500 for a flat and £132,500 for a house, with a range of options open to potential residents including buying a home outright, shared ownership, or renting.

John Williams, relationship director at Lloyds TSB Corporate Markets, said: “Live Smart @ Home has an important part to play in offering affordable, stylish housing where cheaper property is limited. BoKlok is a great concept that has enabled Live Smart @ Home to make a really significant advance in the development of affordable housing.”

There are expected to be over 150 units on the site when it is completed, which are expected to cut energy costs by up to 50% due to their environmentally friendly design.

Alan Prole, managing director of Live Smart @ Home, said: “The funding provided by Lloyds TSB has enabled Live Smart @ Home to develop this project to its full potential, so we’re genuinely delighted by the support we’ve had from the financial experts at the Bank. I’m confident that BoKlok will offer a new and viable solution to the affordable homes problem.”