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Landlord affordable housing renovation grants

We currently make funds available to give grants to private sector landlords to provide homes for affordable rent. 

The priorities are to provide accommodation for local people at affordable rents and to encourage town centre development.

Enquiries will be considered from developers with properties in the town centres of:    

  • Kendal
  • Ulverston
  • Ambleside
  • Grange over Sands
  • Kirkby Lonsdale
  • Milnthorpe
  • Sedbergh
  • Windermere/Bowness. 

The homes must be let or be available for letting:

  • on an assured shorthold tenancy (not as a holiday let or second home)
  • at an affordable rent
  • for a minimum period of five years after the works have been completed 

The affordable rent will be set at either 80% of market value or at the rate of the Local Housing Allowance, whichever is lower.

The valuation of market rent will be in accordance with a RICS (Royal Institution of Chartered Surveyors) recognised method. 

We have the right to nominate tenants for the dwellings for five years.

This will be through the Cumbria Choice Based Letting Scheme. For further information see Cumbria Choice.

A full grant application will consist of:

  • a certificate ‘Re interest in land’ signed by a solicitor or building society
  • a completed application form verified by a solicitor or building society
  • a certificate of intended letting, for each dwelling, signed by all applicants (all those listed as owners on the “certificate of interest in land” should sign both the application form and the “certificate of intended letting”)
  • estimates (if work is over £1000, two estimates)
  • relevant reports (for example, gas, electric)
  • architects plans, planning permission, building regulation approval etc
  • specification/schedule of works (the building control submission may suffice)
  • confirmation in writing of the type of heating to be installed in the dwellings

Grant levels for affordable housing

Grant condition period five years  

 Maximum dwelling

Nominations through the Cumbria Choice Based Letting Scheme at affordable rents or the Local Housing Allowance rate, whichever is lower

 Grant = 65% of the total cost of the works

    Up to a maximum of £20,000 per unit 


Please note, these grants are discretionary and are dependent on funds being available.

Requirements and conditions when nomination rights are given to the Council in return for affordable housing grant assistance:

1.    The Council has the right to nominate tenants for the agreed period of 5 years. Nominations will be made from the Housing register, through the  Cumbria Choice Based Lettings system. Please note that landlords will be expected to take the tenants nominated unless they can provide the Council with a good reason for refusal.

2.    The management of the tenancy and maintenance of the property remains the responsibility of the landlord

3.    There will be an Assured Shorthold Tenancy agreement

4.    No deposit or a months rent in advance should be asked for

5.    No management costs or service charges should be charged to the tenant

6.    Pets allowed at the landlord’s discretion

7.    Children to be accepted where there is more than one bedroom

8.    Rents to be finalised on completion of the works

Please note that South Lakeland District Council is not liable for any costs incurred as a result of the tenancy


Schedule of general grant conditions

This is a summary only. For more detailed information, you should contact us. 


It is a condition of payment of all grant aid that the eligible works are carried out within 12 months from the date of approval of the application concerned or such further period as the Council (South Lakeland District Council) may allow.


It is a condition of payment that the eligible works are carried out in accordance with the Specification of Works issued by the Council or as detailed on the relevant Grant Approval Notice with respect to the application concerned.


The payment of grant aid or part payment of grant aid is conditional upon the eligible works or corresponding part of the works being executed to the satisfaction of the Council.


The payment of grant aid or part payment of grant aid is conditional upon the Authority being provided with an acceptable invoice or demand for payment or a receipt for the works and any preliminary or ancillary services or charges, in respect of which the grant or part of the grant is to be paid.  For this purpose an invoice, demand or receipt is acceptable if it satisfies the Authority and is not given by the applicant or a member of his family.


It is a condition of payment that the eligible works are carried out by the approved contractor whose estimate accompanied the application or, where two or more estimates were submitted, by one of those contractors, or a further contractor as the Council may allow in writing.


It is a condition of grant aid that if at any time within the grant condition period the Council serve notice on the owner of the house requiring him/her to do so, he/she will, within the period of 21 days beginning with the date on which the notice was served, furnish to the Authority a statement showing how the condition of occupancy/letting is being fulfilled.


It is a condition of grant aid that the applicant takes reasonable steps to pursue any relevant insurance or legal claim and to repay the grant aid, so far as appropriate, out of the proceeds of such a claim.

The claim to which this section applies are:




an insurance claim, or legal claim against another person, in respect of damage to the premises to which the grant aid relates, or




a legal claim for damages in which the cost of the works to premises to which the grant relates is part of the claim.


A claim is a relevant claim to the extent that the works to make good the damage mentioned in paragraph (a), or the cost of which is claimed as mentioned in paragraph (b) are works to which the grant relates.


It is a condition of the grant aid that the applicant shall forthwith notify the authority of his intention to make a relevant disposal of any dwelling or building with respect to which there is in force a grant condition, and shall furnish to the Authority any information reasonably requested by them in connection with such notification.


It is a condition of grant aid that where the applicant has an insurable interest in the grant-aided property, he shall arrange and maintain in effect adequate insurance for the property, subject to and with the benefit of the completed works, throughout the grant condition period.

This applies to grants of over £1000 only.


It is a condition of grant aid that where the applicant has a duty or power to carry out works of repair to the grant assisted property, he shall ensure that, to the extent that his duty or power allows, the property remains fit for human habitation throughout the grant condition period.


It is a condition of the grant that if the whole or any part of the dwelling or property to which the grant relates is subject to any of the following actions during the grant condition period, the grant will be repayable in full on demand or a lesser amount may be demanded:- a disposal of the whole or any part of the dwelling or property or a conveyance of the freehold or an assignment of the lease or the grant of a long lease for more than twenty one years term, other than at a rack rent.

This condition only applies to grants of over £1000.


All applications for grant aid from landlords are to be accompanied by a certificate stating that the applicant intends that the dwelling/property will be let or available for letting and not let to a member of his/her household throughout the relevant grant condition period.


It is a condition of the grant that in the case of a landlords application for grant aid the Council shall be entitled to nominate tenants if they deem appropriate to the property (or a relevant part of the property) throughout the grant condition period and that all tenancy conditions, rent levels are subject to the approval of the Council.


In the event of a breach of any of the conditions set out in paragraphs 1 to 13, the Council may demand repayment from the applicant of a sum equal to the amount of the grant paid or lesser sum.


Any grant approval does not imply the Council’s approval to any other consent which may be required (such as Planning Permission or Building Regulation consent). 


These grant conditions may only be varied or revoked by the Council with the consent of the person provided with the assistance.


All grants other than for grants of £1,000 or less will be registered as a local land charge.

“Grant Condition Period” means the period of five years beginning with the certified completion date for the eligible works.

For further information, please contact:

Heather Sykes Housing Standards Officer

Telephone: 01539 793 374