Site Finance and Funding
Overview
There are a number of different methods and areas that funding can be raised for the site. This can include Government Grants, the Lottery Heritage Fund, Private Investment amongst others. Choosing the right method is important to ensure the successful implementation of our vision and objectives for the site.
Large scale redevelopment projects draw on a number of businesses and agencies for financial investment and expertise.
Image Taken from Google Images
Key Stakeholders
There are a number of key stakeholders who have an interest within the site and its development, these are outlined below:
Newham Council
Newham council are a major stakeholder for the site. They will have an invested interest with any community initiatives or services that will be provided on the site. As well as policies such as affordable housing provision.
The Royal Docks Trust
The Royal Docks Trust is a charitable organisation that focuses on ensuring opportunities for locals and that local voices are heard in the area.
Community Land Trust
The CLT is a nonprofit that works with local communities. It acts as a long term steward for community assets, such as community gardens and affordable housing.
LEAP (London Economic Action Partnership)
LEAP helps to bring entrepreneurs and business together. Whilst also working with Local Councils and the Mayor to help support and lead economic growth across the capital.
Mayor for London
Can provide grants to help with affordable housing provision. As well as helping to support communities. With planning powers being undertaken on strategic developments, e.g. developments over 150 dwellings.
Greater London Authority
The GLA has a strong invested interest in the development, as they own the Millennium Mills site. Works closely with Mayor for London. They ensure that developments fit within the London Plan.
Silvertown Partnership
The partnership currently holds the development rights for a major urban renewal project in the East End. With this development focusing around the Mills site.
Private Investors
Although not currently stakeholders. Private investors will ultimately have an invested interest in the site, due to injecting large sums of capital in. As seen with the ABP Development in the Docks.
Methods of Financing
Royal Docks Good Growth Fund
This is a £13 million programme, that looks to support a broad range of projects. Which look to help redevelop and transform the docks. Grants of up to £3 million can be provided. On the proviso that projects result in tangible improvements to the area and quality of life for residents and locals.
Community Land Trust
A Community Land Trust can be set up by the local community as a not for profit organisation. They are then able to apply for funding and grants which are designed for not for profit organisations. These trusts can focus more on community led housing and aiding development of non-housing assets, such as businesses or other forms of development.
Mayor for London
The Mayor for London office provides funding to help with regeneration, such as that at the Mills site. The Good Growth Fund is a £70 million regeneration fund. Which seeks to involve the local community with the decisions being made. The London Co-Investment fund looks to help draw technology, science and digital SME's into the area.
Potential Impact on the Design
Affordable Housing
Higher numbers of affordable dwellings can affect the design so that developers can offset the cost of these, through higher value properties being utilised
Commercial Space
WIth no set amount of commercial space required it is hard to judge how much will be required, as such making it hard to calculate the cost. Average cost per square foot will generally drop with size
Public Amenities
The introduction of public amenities can add new costs into the mix and also alter the layout of the site. Which in turn can impact the costing for other areas of the development
Predetermined Materials
If certain materials are stipulated by the planners or Local Authority, this can effect the design and its subsequent cost. With materials and labor for heritage projects costing more than new build
Implementation of the Vision and Objectives
Community Land Trust
The community land trust will help to get the existing and new community involved with the amenities that will be provided for them to use, such as the art gallery and other public open spaces. Further helping to develop high quality public spaces and aiding public integration It can also help with housing, as was seen in London Community Land Trust, that has a number of successes.
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We envisage that the CLT will support the following areas across the site:
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Residential open spaces
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Public open spaces e.g. by Silo D
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Community Exhibition Centre
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The Amphitheatre and surrounding open space
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Community hubs
Mayor for London
The grants and funding available through the Mayor for London, will help to encourage businesses into the commercial area. This will also help small and medium businesses in the area looking to upscale as well. Helping to boost employment opportunities in the area.
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We have allocated space for SMEs within the Millennium Mills itself. As smaller office spaces aimed at startups and smaller business will be located here. With space for larger medium sized businesses being provided within the commercial area.
Risks
Vicinity
With Canary Wharf and the ABP development so close to Millennium Mills. This could result in fewer business being drawn into the area. Subsequently impacting potential business investment in the development
Affordable Housing
Uncertainty over the required number of affordable units that will be required could deter potential investors. In turn impacting the funding for the development as a whole
Applications
The loans and grants that are on offer all require applications. If these applications are unsuccessful this could impact the viability of certain aspects of the development
Heritage Projects
The regeneration costs of heritage buildings can increase incredibly quickly. It is hard to establish how much funding may be required to bring them back to their former glory, without putting the rest of the development at risk