Insights

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Affordable housing is central to most planning consents. Getting it right can have a significant impact on land value, project viability and the strength of an eventual exit. Yet it remains one of the most complex and often misunderstood areas of residential development.



GLPG’s dedicated affordable housing team works alongside developers, landowners and agents to review proposals, assess values and shape the affordable element of a scheme in a commercially viable way. While GLPG is not a planning consultancy, the team advises on what affordable obligations mean in real terms and how they translate into sales, funding and delivery.



The following are some of the key areas where careful consideration makes a real difference.



Thresholds and Unit Numbers



In most boroughs, affordable housing requirements are triggered once a scheme reaches a certain number of homes, often starting at ten units. Understanding when that threshold applies and how a proposed layout interacts with it is essential.



GLPG reviews early-stage proposals to identify areas where affordable housing is likely to be required and what this could mean for values and market interest. This includes advising on how unit count and density may impact deliverability and appeal to registered providers.



Tenure Mix and Market Reality



Affordable housing is rarely a single category. Depending on the borough, schemes may be expected to deliver a blend of social rent, affordable rent and intermediate housing such as shared ownership or London Living Rent. Each tenure has a different value profile and level of demand among registered providers.



GLPG works closely with clients to evaluate their proposed mix and advise on what will likely be achievable in today’s market. This includes insight into RP appetite, current pricing benchmarks and the practical delivery of different tenures across a site.



Section 106 Agreements



The Section 106 agreement sets out how and when affordable housing must be delivered, including tenure split, unit numbers, delivery timing and cascade mechanisms. These terms can have a material impact on land value and scheme viability.



GLPG supports clients by reviewing draft Section 106 agreements and advising on the commercial implications of the proposed terms. This includes highlighting potential risks, feeding in market evidence, and identifying areas where adjustments could support better outcomes.



Early RP Engagement



Registered providers are central to most affordable housing schemes, but are often brought in too late. Engaging early can improve the layout and design of units, support planning discussions and make eventual disposal much more straightforward.



GLPG introduces schemes to suitable registered providers from an early stage. The team provides feedback on layouts, access arrangements, unit sizing and tenure distribution, helping ensure the product is suitable for the target market before it is fixed in planning.



Layout and Design Considerations



Policy compliance is only one part of the equation. Registered providers will assess schemes based on practical design and management considerations. Factors such as stacking, entrance locations, external space and car parking can influence appetite and pricing.



GLPG reviews layouts and block designs with a commercial lens, offering practical advice based on extensive experience placing units with RPs. This input helps reduce rework, avoid missed opportunities and improve the marketability of the affordable element.



Full Market Coverage



GLPG advises on and manages a wide range of affordable housing transactions. This includes:



•⁠ ⁠Section 106 disposals where affordable obligations are met through onward sale to an RP
•⁠ ⁠Land-led scheme sales, where developers bring forward 100 percent affordable or mixed-tenure proposals
•⁠ ⁠Package deals where sites, build contracts and affordable obligations are combined into a single turnkey transaction



In every case, we act with a clear focus on maximising value, de-risking delivery and ensuring alignment between the planning, design and sales strategy.



Supporting Clients from Inception to Delivery



GLPG’s affordable housing team supports clients throughout the development journey. From reviewing site layouts and advising on value, to introducing registered providers and agreeing commercial terms, the team provides clarity at every stage.



This early involvement often prevents delays, avoids unnecessary redesign and helps create a clear, confident route to disposal. Whether advising on a single block or an estate-wide affordable housing strategy, GLPG brings technical insight and commercial focus to help clients achieve the best possible outcome.
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In a targeted push to expand the supply of affordable housing, the government announced (February 2025) an additional £350 million for housing construction.



This includes £300 million for the Affordable Homes Programme and £50 million for the Local Authority Housing Fund, which will support the development of more than 250 council homes. Half of the homes funded under this new investment will be for social rent, emphasising areas with high demand and limited supply.



The funding responds to urgent calls from housing sector leaders to increase provision and improve delivery capacity.



At GLPG, we work with clients to ensure their projects are ready to meet this opportunity.



That means not just identifying the right sites but also understanding how to structure proposals that reflect what funders and local authorities are prioritising. We bring a delivery mindset that helps move schemes from concept to construction while ensuring the delivered homes reflect genuine community needs.



Our involvement spans strategic advice to hands-on delivery support. We are always focused on making our clients’ ambitions achievable and impactful.
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What Developers Should Consider When Securing Planning for Affordable Housing

Affordable housing is central to most planning consents. Getting it right can have a significant impact on land value, project viability and the strength of an eventual exit. Yet it remains one of the most complex and often misunderstood areas of residential development. GLPG’s dedicated affordable housing team works alongside developers, landowners and agents to […]

Explore more

£350 Million Boost to Affordable Housing Construction

In a targeted push to expand the supply of affordable housing, the government announced (February 2025) an additional £350 million for housing construction. This includes £300 million for the Affordable Homes Programme and £50 million for the Local Authority Housing Fund, which will support the development of more than 250 council homes. Half of the […]

Explore more