Fewer than half of homes in prestigious Mansfield council-linked housing development have been sold
Fewer than half the properties in Mansfield’s prestigious Wildflower Rise development have been purchased – with just four of the luxury homes now occupied, a council report has revealed.
Mansfield Homes Ltd was formed in 2014 by the district council with the aim of building around 220 two to five-bedroom homes to sell on the open market to help meet housing demands as identified in the draft Local Plan and generate income to pay for council services.
But in 2019, Mansfield mayor Andy Abrahams took the decision to park the company on the completion of Wildflower Rise – located close to Carr Bank Park and Brunts Academy – a 23-home development of exclusive four and five-bed homes.
The report, which was noted by Mr Abrahams at a meeting today (Monday, April 19), revealed that just four of the homes – with prices ranging from £415,000 to £540,000 – are now occupied, with a further six properties reserved.
A report delivered to the mayor last November revealed that, at that time, four properties had been sold and a further three reserved.
The net profit the council is now set to make from the development has also dropped – down to £550,000 from £850,000 in August last year.
The total loan borrowed by the company from the council was £8,603,235.71.
It made a repayment of £1,250,000 in March leaving a balance of £7,353,236, the report states, and Mansfield Homes will continue to make repayments as and when properties are sold.
The interest on the loan currently stands at £660,000, the report states.
Separately, to the end of March, the company had also generated more than £450,000 in income for the council, including development management fees of almost £264,000 and almost £26,000 in council tax.
However, the report states that interest in the development has been high, with 18 initial and four second viewings between March 20 and April 2 this year, and around 4,000 virtual views on the internet.
Once all the properties have been sold and the loan to the council repaid and all profits from the company shared back to the council, the company will cease trading.
It will remain listed with Companies House as a dormant company.