Up to £261,734 is to be set aside to help deliver affordable housing in Aberdeen City, it has been revealed.

The boost comes following approval by the Council's Housing and Environment Committee on Tuesday.

Grampian Housing Association had submitted a grant application to the local authority asking for financial assistance to construct 16 two-bedroom flats at Hopetoun Grange in the city. It is understood the grant will be paid from Section 75 obligations – contributions from developers for affordable housing negotiated during the planning process.

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Grampian HA will now apply for a Scottish Government grant and arrange private finance for the Hopetoun Grange development, but without this additional assistance from the Council, it would not have been able to fund the project.

Housing and Environment Committee Convener Councillor Neil Cooney said: "The demand for affordable housing in Aberdeen continues to outstrip supply and we are acutely aware of the need to increase availability of properties, particularly for social rent, mid-market rent and part ownership.

"Hopetoun Grange is a fantastic opportunity to start realising our affordable housing ambitions and I am delighted we were able to help Grampian Housing Association press ahead with their plans.

"Aberdeen City Council is determined to deliver more affordable housing and our Strategic Infrastructure Plan will play a significant part in that process."

(JP/MH)