Hexagon has a corporate objective to develop new homes and this strategy will allow us to achieve this objective in the most efficient and sustainable way.
Despite the pressure on grant levels and the contractual burden grant funding brings, we will continue to rely on grant from the GLA as this helps us to keep rent levels low and affordable, and reduces financial risk.
With grant levels at fixed rates, alongside ‘fixed’ rent levels we have to rely on a larger, outright sale programme to ‘fund’ an affordable rented housing programme. This will be delivered in a measured way, proportional to our business objectives and within an effective risk management framework.
Where do we want to be by March 2026?
- All outstanding 2018/22 schemes started on site by March 2023 and completed
by March 2024 (69 homes)
- Homes for Londoners 2021/26 – Sites secured to deliver 180 homes.
- All shared ownership homes sold within an average of 9 months after handover
and achieving sales income of at least £26m and generating subsidy of £11.8m1
- £12.5m facility for outright sale maximised generating remaining £2.7m cross
subsidy to support 2018/22 affordable rented homes.
- Established alternative heat and hot water systems to replace gas boilers in
new homes to meet the Future Homes Standard
- Established new ways of working to meet the new Building Safety legislation
- Delivered the Island Yard estate infill innovation project using Modern Methods
of Construction (MMC)
- Acquired sites using a land led approach, in line with our land investment
- Secured s106 opportunities to control risk and maximise VFM
- Increased resident satisfaction with the defects repairs service.
- Successfully completed cladding remediation projects for 18m+ buildings.