Lancaster City Council to sell housing blocks as part of major estate renovation scheme

The council had originally planned to refurbish and retain Lune House and Derby House, but the rising cost of the project has prompted them to change tack, Place North West has reported.

“The increase in costs resulting from changes to the wider economy and the lack of financial contributions/subsidy available from the government mean that the city council is no longer in a position to deliver the refurbishment of Lune and Derby House as originally planned," the council said.

As a result, the authority is now looking to sell the blocks off to a developer.

Last year, the city council announced it was working with Place Capital Group to redevelop the 257-home estate.

It followed a council report published in February 2022 which said that most of the houses on Mainway would not be habitable in three to five years’ time because of maintenance problems.

Place Capital is working with architect Grounded on the scheme, with AG Building + Consultancy acting as the employer’s agent for Lancaster City Council.

As part of the Mainway project, the city council is close to finalising the purchase of the former Skerton High School building to incorporate it into the wider masterplan.

City councillors have already approved plans to move ahead with the detailed work and the funding required to put in a planning application for new homes on the Owen Road site.