Funding given to Arran Development Trust for the Rowarden project: FOI release

Information requested

• The total grant funding agreed and issued for the Arran development trust for the Rowarden house building project, from years 2018 to 2025, yearly payment values.
• What conditions were/are attached to any funding.
• The value for money assessment for funds and details of funds deriving from Scottish Government spending funnelled via agencies, NGO’s or other arm’s length organisations along with specific Scottish Government department spending details.
• Total Scottish Government contribution, who's accounts those funds are recorded in and what conditions apply for the funds.

Response

Could you advise the total grant funding agreed and issued for the Arran development trust for the Rowarden house building project.

The total grant funding agreed for The Arran Development Trust for the Rowarden house build project was £2,728,595. This includes an initial feasibility grant of £29,948 to explore affordable housing on three potential sites on the Isle of Arran, including the Rowarden site, and a revenue grant of £90,000 towards professional fees in 2022-23
Annual Payment Values (2018–2025):

• 2018–19: £0
• 2019–20: £29,948
• 2020–21: £0
• 2021–22: £0
• 2022–23: £1,602,000
• 2024–25: £1,096,647

What conditions were/are attached to any funding?

The primary objectives and expected outcomes of the Grant are the development of 18 new-build homes at Rowarden, Lamlash, on the Isle of Arran. These homes will comprise two one-bedroom houses, ten two-bedroom houses, and six three-bedroom houses, all designated for affordable rent. This project aims to address local housing needs by providing high-quality, affordable accommodation for the community.

The value for money assessment for funds and details of funds deriving from Scottish Government spending funnelled via agencies, NGO’s or other arm’s length organisations along with specific Scottish Government department spending details.

The assessment criteria applied to Rural and Islands Housing Fund appraisal are;

• Deliverability – this will be assessed based on whether the application demonstrates the project can realistically be delivered on time and on budget. We will consider the various key stages of the project. We will assess the applicant’s business model. This will include looking at the build phase as well as whether there are suitable arrangements for on-going management, maintenance and in terms of how the completed houses will be allocated and how buyers will be selected. The risk register and technical information provided will be considered as part of the deliverability assessment. The amount of funding (from the applicants themselves or other sources) or staff resources the applicant is providing to the project will also be considered in assessing deliverability.

• Housing Need, Demand and Strategic Fit – The local authority’s view (as set out in the application) and the basis of any discussion Scottish Government may have had with the local authority about the application will be a key element of the assessment. By applying to the RIHF, applicants are consenting for their application and associated documents to be shared with the relevant local authority. Applications must demonstrate how the project fits with the local authority’s Local Housing Strategy priorities – such as the extent to which the application meets housing need, promotes regeneration, tackles homelessness, contributes to the population growth or where it has contributed to stemming population decline and sustains communities. Applications will also need to demonstrate that there will be demand for the type of housing to be provided in the proposed location. This will involve working with the local authority to demonstrate evidence of need and demand through its Housing Need and Demand Assessment or using a separate analysis of housing need and demand at a local level that has been agreed with the local authority or a mixture of both approaches.

• Value for Money – to make an assessment of value for money for a project we will consider things like the grant cost per unit, rent/resale levels, the size and location of the houses, and the intended beneficiaries of the project.

• Community Engagement and Participation – applications will need to demonstrate strong evidence that they have engaged effectively with the local community in developing the proposal and confirmation that the community is generally supportive.

Total Scottish Government contribution, who's accounts those funds are recorded in and what conditions apply for the funds.

The total amount of grant funding provided to Arran Development Trust is £2,728,595. This funding is provided though the Rural and Island Housing Fund, which forms part of the Affordable Housing programme. Of the total grant provided £90,000 is from the Rural and Island Futures Division.

Some of the information you have requested is available from; Rural and Islands Housing Fund: Guidance note MHDGN 2021/02 - gov.scot

Under section 25(1) of FOISA, we do not have to give you information which is already reasonably accessible to you. If, however, you do not have internet access to obtain this information from the website(s) listed, then please contact me again and I will send you a paper copy.

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