The fate of 69 homes in Minehead, Somerset hangs in the balance as developer Stratton Land borders on bankruptcy.
In 2020 Stratton Land, a London-based development company, began work on constructing the Exmoor Gate housing development in Minehead, Somerset. The project is understood to be comprised of 69 homes.
However, according to Companies House, the developer called in administrator towards the beginning of this month. This decision means the completion of the housing estate could be significantly delayed or not achieved at all.
Before administrators were called, Stratton Land experienced viability issues and in February Somerset Council granted permission for the developer to reduce its £500,000 contribution towards a new community centre. The decision was agreed after the developer cited the unexpected cost of removing and storing topsoil from the site.
‘We are working with all concerned parties to ensure the development moves forward,’ a spokesman for Somerset council said. ‘Section 106 agreement contributions are tied to the land, so will be honoured as part of any new arrangements.’
Moving forward, if the site is sold to a new developer, they will be liable for both completing the homes and paying any financial obligations agreed to within the Section 106 agreement.
Rachel Gilmour, MP for Tiverton and Minehead, has expressed her regret over the turn of events and called on the government to make it more financially viable to provide affordable homes in rural areas.
‘Stratton Land Ltd entering administration is a disappointing outcome for many, especially those hoping for affordable housing in their area,’ she said.
‘Providing truly affordable housing should be a clear priority in this current housing climate, and anyone exiting the market who would otherwise be providing that is a shame.’
Photo by Brett Jordan via UnSplash
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