Mixed Tenure Developments

If you are a housing association and planning a development that will include Co-Ownership and open market sales as well as social housing, there are a few things that may be helpful for you to consider at an early stage.

The viability of the development is an important factor.  Co-Ownership can only buy properties at their market value and establishing this is very important.

1. Planning permission and design considerations

Talk to us as early as possible about the nature of the planning permission you have applied for or obtained.

A purchaser will be interested in the site design, location and the mix of commercial and residential use (if applicable) in any development they are considering buying in.  Co-Ownership is no different and this will form part of the property valuation.

You may also want to consider the specification of the properties intended for sale on the open market and via shared ownership. Buyers will expect a full turnkey finish and possibly some extra options such as an en-suite or sunroom.

Find out more about the types of properties we can buy here.

2. Our relationship with you

We have two products that buyers may choose from if they want to find a home with the help of Co-Ownership – Co-Own and Rent to Own.  Please click the links to find out more about each.

With Co-Own, Co-Ownership buys the entirety of the property from you and grants an equity sharing lease to the co-owner.

With Rent to Own, you will be selling your homes directly to OwnCo Homes Limited (a Co-Ownership subsidiary).  Under the terms of Rent to Own we will rent the property to our tenant for a period of time and we will then sell the property on to our tenant at a later date or they might buy through Co-Own.

3. Common areas and community facilities

Any service charge on a Co-Own property in the development is paid by the co-owner directly. For Rent to Own properties, OwnCo Homes Limited will pay the service charge. In all cases, the service charges must be reasonable.

4. Legal and title considerations

As with all properties that Co-Ownership buys, we will buy at the market value of the home, as confirmed by our external valuer. The title to the property must be good and marketable and suitable for purchase. You should discuss with us if there will be any title restrictions on the development generally to ensure that there are no conditions that would potentially inhibit a Co-Ownership purchase. An example of this could be when a developer restricts re-sales of properties within a specific time period.

Remember that with Rent to Own, the home will be purchased by our subsidiary OwnCo Homes Limited which will rent the property to our customer. The customer will then aim to buy the property either outright or through Co-Own within three years and so this must be accommodated in any title requirements.

We’re working on the basis that Co-Ownership & OwnCo Homes are buying from you as a housing association, if this is different please let us know.

Next steps – get in touch

If you would like any further information on any of this content, or would like to talk to us about an upcoming development please contact businessdevelopment@co-ownership.org or call us on 028 9032 7276.

All developments differ, so there may be other aspects for you to consider.  This information does not form a contract or agreement to purchase properties in a development.