A new shared ownership initiative is coming to the north-east, providing much-needed jobs and homes in the area.

Newcastle-based Isos Group has got the go-ahead for £25 million of bank funding to build up to 500 homes this year.

The development will provide jobs in the construction sector as well as bring about more shared ownership and rented accommodation in the area.

Keith Loraine, chief executive of Isos Group, said it is more important than ever that new homes continue to be built as construction firms suffering in the recession cut back on projects.

Kevan Carrick, a partner in JK Property Consulting and policy spokesman for the Royal Institution of Chartered Surveyors in the north-east, told nebusiness.co.uk: "Social housing companies were still building homes last year at a time when the private companies were withdrawing from the market.

"They find it easier to get the cash as they have good asset bases and have a steady supply of income from their rents."

In the past year, Isos – which has 350 staff – has built more than 200 properties and already has more than 11,000 in the north-east.

The new initiative comes under the section of NomadE5, part of Isos, which received an excellent report in the Audit Commission's inspection in February.

Source: Direct News 17/5/09