More Affordable Homes for Families in Wells Next the Sea as the Affordable Homes Rental Fund from Resonance supports another local initiative.

Resonance is leading the way in providing loan finance to community groups within the UK who are undertaking affordable housing projects. This latest project sees “Homes for Wells” (HFW), a community group which is run by volunteers in the Wells community in North Norfolk, borrow £400,000 from the Affordable Homes Rental Fund to provide much needed homes that can be rented to local families at affordable rates.

HFW was established in 2006 and currently manages six homes in the community. The group formed to address the growing problem of the lack of affordable rental housing for local families, due to the rising property prices which have been fuelled by the significant proportion of second home and holiday home ownership in the area. Many local families are being prevented from remaining in the communities in which they grew up.

John Williams, Investment Manager from Resonance who manages the Affordable Homes Rental Fund (AHRF) describes what the loan will be used for “This loan will allow Homes for Wells to convert an historic Grade II listed building in the town into eleven much needed additional homes at affordable rents. The building had previously been office space but had been empty for some time. The funds will finance the conversion of the building and then HFW will begin to repay the loan using the rental income they receive from the project. We were delighted to work with HFW on this project as they are a group managed by their community for the benefit of their community.”

Work on site officially commenced on 19th March 2014, with a commencement ceremony attended by those involved in supporting the project. The first tranche of the loan from the Affordable Homes Rental Fund was drawn down on 7th April and subsequent tranches will be drawn as the project progresses over the coming months.

John continues “The AHRF, whose investors include Big Society Capital and Esmée Fairbairn, is still taking loan applications from other community led groups. These organizations are increasingly becoming known as Community Land Trusts. Anyone believing that our funds could help make a difference in your community should contact me on 07508 910263 or email [email protected].”

Wells Next the Sea is a very attractive and sought after location on the North Norfolk coast, just over 100 miles from the outskirts of London, which is one of the reasons that it has become a destination of choice by those wishing to invest in property. Whilst that is great for those that are investing for their pensions, local families are being priced out of the location and that is where Homes for Wells recognised a demand and sought a solution. Jim Fergusson, a director of Homes for Wells, explains “We are really happy we took the decision to take on this project as a community group as opposed to handing this over to a local housing association. Resonance worked with us right from the early stages to understand our project in detail and we are thrilled that they are on board as a Social Impact Investor into our project”.