New council homes will be developed across Aberdeenshire following a successful bid by the local authority for £1.85 million of Scottish government funding.

Aberdeenshire Council has been given the funds towards the development of 74 new homes as part of the £24 million second round of new build housing incentive funds made available to all 32 local authorities.

Towns likely to benefit are Inverurie, Alford, Stonehaven and Laurencekirk. The council will finalise details once negotiations with the government are complete.

The successful bid follows a grant of £900,000 earlier this year and will allow the authority to invest around £12.5 million in total.

Members of Aberdeenshire Council’s Social Work and Housing Committee will hear details of the successful bid on Thursday (December 17).

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Speaking ahead of the meeting, chairman Councillor Gurudeo Saluja welcomed the award.

"Good quality housing, employment and the opportunity to address climate change requirements through cutting edge design are the planned outcomes of this essential development by Aberdeenshire Council," he said.

"While this additional housing will boost the supply of affordable houses, the council will continue to work with partners to meet demand in Aberdeenshire where we have a waiting list of over 7,000."

Aberdeenshire Council has secured a total of £2.75 million this year, bringing 110 houses to the area. These include 18 houses in Mintlaw, 6 in Johnshaven and 12 in Tarves, all due to start on site in Spring 2010.

Director of Housing and Social Work Ritchie Johnson, said: "Getting the opportunity to add to Aberdeenshire’s housing stock, after years of council house sales and reduced availability, will make a very positive impact for those people on the council's housing waiting lists.

"The new housing will be built to the highest standards of energy efficiency and will make the most of local resources in terms of materials and skills.

"This additional work will be of benefit to building contractors, many of whom are experiencing a reduction in work as a result of the current economic downturn."

The Scottish government scheme provides £25,000 towards the construction of each new home and Aberdeenshire Council will meet the additional costs through revenue from its Housing Revenue Account – the income received from council house rents.

(GK/KMcA)