Housing delivery partnerships the way forward for generating affordable supply: research
The conditions are being created for flexible joint ventures – or ‘housing delivery partnerships’ (HDPs) – to generate affordable housing supply, research by law firm Trowers & Hamlins has suggested.
A survey of more than 240 local authority, ALMO and housing association senior officers found that a majority believed a significant reshaping of organisations' operations and businesses was taking place across the whole housing sector.
“There is a strong desire to break down silos, find areas of compromise, and achieve/incentivise greater cross-sector cooperation. Cooperation, not competition, is believed to be the key to driving value in future affordable housing provision,” the report, The Future of Affordable Housing: Common ground or turf war?, found.
The law firm added that these new relationships need not be governed by rigid legal constraints, with HDPs a potentially more flexible solution.
Respondents meanwhile said that land and planning strategy were key areas where Government policy, clarity and intervention could enable the greatest progress.
Ian Doolittle, partner at Trowers & Hamlins and co-author of the report, said: "The principal players we spoke to in affordable housing – local authorities, arms-length management organisations (ALMOs), and housing associations – have moved away from their traditional, discrete positions and are now adopting similar, sometimes overlapping, roles.
“We call this phenomenon 'coalescence'. Coalescence has not been a planned development, but it is clear from our research that it is here to stay. In this context, collaboration and joined-up thinking are beginning to flourish."
Tonia Secker, also a partner at the firm, added: "HDPs would not have to have the formality of a joint venture structure, but could, we suggest, be a facilitating model, not necessarily involving a separate legal entity.
“The HDP model will enable engagement from all interested parties and has the capacity to foster greater cooperation and coordination. It will help ensure that all partners can make best use of their respective resources and expertise to deliver new housing in the area."
