The Kent and Medway investment fund has been established in a bid to promote joint ventures between local authorities and private developers to boost housebuilding on public sector land.
Proposals are being put forward by the Kent Housing Group, which acts as the voice of housing for the county. It said that risk for construction firms would be lowered which will enable them to build more homes.
By entering into a partnership with councils, developers would avoid the need to acquire land, thereby reducing the upfront and additional borrowing costs.
"Kent CC's bold example should be welcomed by developers and other local authorities. With Regional Development Agencies' pump-priming investment falling away, co-investment by local authorities may help release land for development which otherwise would not be available or viable," said Marcus Bate, a planning expert at Pinsent Masons, the law firm behind Out-Law.com.
The Council plans to release a number of capital assets to allow for the provision of new homes through the public/private joint venture partnerships. The new proposals will also allow the tax payers to benefit from the profits generated, the Council said.
The council is also planning to use the benefits of the Government's new £500m "Growing Places" scheme. It hopes to forward fund critical infrastructure such as road and utility improvements to kickstart development.
"This is a potential win-win scenario, reducing development and finance costs for developers whilst helping local authorities secure best value for surplus public land," Bate said.
