Glebe Meadow Westleton
Glebe Meadow Westleton

Funding the scheme

The main sources of funding for the scheme will come from

 

Loans,

Community Shares,

Grants,

Sponsorship,

Donations,

and Fundraising events.

 

Loans

Glebe Meadow Westleton CIC Ltd (the CIC) will raise a variety of short term loans at different stages of the project. The initial loan will cover the costs of securing the site from the vendors (Church of England) via an Option Agreement (the CIC must pay the vendors costs), plus the costs of obtaining full planning permission to develop the site in accordance with the scheme outlined on this website. These costs include architects fees, surveys and site appraisals, as well as planning fees. Heads of terms are currently under negotiation with a lender for this high risk stage of the project, and the CIC is confident that a satisfactory outcome will be achieved.

 

Thereafter we will secure commercial and private loans for the purchase and development of the site. These will be repaid when the homes are sold at market value ie within 2 years from the grant of planning permission and the purchase of the site.  

 

However, as we also wish to provide affordable, rented homes on the site, we will seek other forms of funding to cover the cost of providing these properties, which will have the same design and features as the privately owned homes.

 

We have received several expressions of interest and agreements in principle from a range of commercial lenders, and these are all subject to receiving favourable planning permission for the development. Once planning has been obtained these offers of finance will be firmed, and the CIC will select appropriate lenders to work with.

Community Shares

Glebe Meadow Westleton CIC Ltd is keen to involve the Yoxmere community in this project as we believe this will be a key to the success of the scheme over the long term. Residents will be drawn exclusively from this community (unless there is insufficient demand for the accommodation from this area). We believe that the community is interested in supporting the scheme so we will be investigating issuing a minimum number of five shares at £10 each to subscribers from the Yoxmere benefice.

 

These proceeds will contribute to the costs of the purchase of the site and the development of the over 65s housing scheme. Clearly the more money we can raise through a share issue the less money we need to raise through higher cost commercial borrowing, and any interest costs saved can be ploughed back into the scheme in the form of a higher design spec or additional facilities.

 

However, this cost benefit has to be offset by the longer term consideration that as a non profit making entity the CIC’s net operating income will be notional and therefore dividends on these shares will also be notional.

 

Nevertheless if we are to be successful in raising funds by applying for grants, we need to demonstrate that our community is willing to invest in the project through the purchase of Community Shares.

 

Grant Funding

As the scheme will be broadly self financing through the sale of homes once developed, grants will make up a relatively small proportion of our funds. However, as we are keen to offer affordable rented housing for over 65 year olds living in the local community, we will require some grant funding to fund them.  

The risk is that grant funding will not be achieved and the CIC will face a funding shortfall overall; however, given the overwhelming need for this type of accommodation and the paucity of supply, the CIC is confident that grant funding will be available for this portion of the development.

The CIC has carried out research on potential sources of grant funding in order to determine the availability of sufficient funds to make the proposed project viable. The research was carried out using several methods, including on-line funding databases, such as the Funding 4 Suffolk resource provided by Community Action Suffolk and through consultation with advisors such as CAS, the Plunkett Foundation, Homes England and other grant providers.

 

Grants already received

The CIC has already received a number of grants and assistance to help set up the Company and fund initial costs (mainly architects fees). We are grateful to

 

Linda Ginn’s Parish Care Fund

 

The Plunkett Foundation

 

The Dunwich Town Trust

 

If you are a grant-funding body with an interest in community housing or social enterprise projects and want to learn more about our scheme please contact us

 

Sponsorship

During the development of the site we will be actively seeking sponsorship from commercial organisations or individuals who recognise the benefits of the scheme.

If you would like to discuss sponsorship opportunities (direct funding or sponsorship ‘in kind’) then please contact us

 

Fundraising Activities

When planning permission has been obtained, the CIC will launch a programme of  Community Fundraising Activities.

 

Finance and Fundraising Group

In order to adequately prepare itself for the fundraising process, the CIC is in the process of establishing a sub-group of its Management Committee whose responsibility will be to investigate and initiate fundraising activities on its behalf. If considered necessary professional fund-raising consultants may be engaged to further enhance our capacity to achieve the required level of funding. Obviously there is a cost associated with using consultants but we will try to ensure as much as possible that this is success related.

Welcome

Glebe Meadow is a  Community Interest Company established to buy the former Vicarage  in the heart of Westleton and convert it into the social hub for a new development of 20 modern, age appropriate homes for locals aged at least 65.  

 

 

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© Sarah Quinlan