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Lidl To Build Homes Costing Just £64,000


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HOLA441

http://news.scotsman.com/uk/Lidl-to-build--homes.5147220.jp

BUDGET supermarket chain Lidl has teamed up with one of the UK's largest construction firms, to build what could be Scotland's cheapest new private homes.

The German chain and Taylor Wimpey will offer homes starting at around £64,000 for a one-bedroom flat.

Buyers will have their deposits and legal fees paid as part of the deal to get first-time buyers on to the property ladder.

The companies have submitted a joint planning application to East Lothian Council and are awaiting a decision on whether they can go ahead with their proposal to build 48 homes in Prestonpans, East Lothian.

The £64,000 one-bedroom flat costs about £32,600 less than an average one-bedroom flat in East Lothian, while the two-bed flat at around £70,000 is nearly £50,000 less than the average for the area – and £95,000 less than a two-bed flat in Edinburgh.

The plan has been drawn up between Lidl – which owns the development land in the town's high street – and Taylor Wimpey's "no frills" housing brand, G2. G2 homes are studio-type dwellings. It is understood the properties would only be available to first-time buyers, with buy-to-let investors barred.

The project suffered a setback in its early stages after concerns were raised locally about the demolition of a building on the site, but a spokesman for East Lothian Council said Historic Scotland has decided that it does not need to become a listed building.

A council spokesman said: "The council would welcome housing that is affordable and allows first-time buyers especially to get on the ladder."

A spokesman for Taylor Wimpey said: "G2 is Taylor Wimpey's brand of affordable, low-cost homes designed specifically for first-time buyers."

Last night, housing experts said it was too early to say whether the Prestonpans development represented a new trend in affordable housing.

David Marshall, a business analyst at the Edinburgh Solicitors' Property Centre, said: "The number of new-builds has fallen by 80 per cent since the start of the credit crunch and builders have been looking to shift their own stock before building more.

"This Prestonpans project is a relatively new thing and is a way of filling the void. Ultimately, we will only see more of this if the supermarkets find it profitable."

Alex Hawkes, news editor of Construction News, said: "Quite a lot of supermarkets build housing alongside their stores and these types of new homes we're talking about can be copied.

"In terms of this being a new trend, the housebuilding business model is such that builders tend to make their money on land values going up rather than how, to whom, and where homes are pitched. But housebuilders are suffering badly with falling property prices and are all thinking about whether they should be building again."

:lol:

edit BTL - 'You're barred'

'just one more'

Edited by Ash4781
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HOLA442
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HOLA445

Actually, this doesn't surprise me much. The supermarket basic model is buy in bulk, sell it cheaper, make ca$h.

Look how they have moved into the markets for elecricals, books and CDs. The British, as usual, bemoan the demise of the British high street, whilst sneaking off to Tesco to save £4 on the latest Harry Potter.

Will be interesting to see.

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Pfff! £60k for a one bed flat in Scotland. That's supposed to be cheap! Huh!

:huh:

Exactly my thinking! 12k would buy a Northern terrace a while back!

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still waaaay too expensive... but a good move in the right direction... PS. how come none of these so-called 1-bed and 2-bed properties advertise clearly their actual size (in sq metre or feet?) I mean a good one bed apartment can be twice the size of a rabbit-hutch 2-bedder!

guessing the 1-bed is probably 45m2 and the two bedder about 60m2 (going by what I've seen in the UK as "standard sizes")... would still be ludicrously expensive at around £1450 per metre!!! (that's riviera prices in a dodgy part of scotland).

Edited by hayder
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HOLA449

I don't like Lidl but I do about 50% of my shopping at Aldi and the products I buy are equal to, or superior to, anything available at Waitrose or M&S, where I also shop.

Aldi stores are also normally well-architecturally-designed brick-built structures which are more pleasing to the eye than supermarket sheds.

Of course, "lower-class social-climbing snobs" would never go near Aldi but fortunately I'm not one of them.

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"In terms of this being a new trend, the housebuilding business model is such that builders tend to make their money on land values going up rather than how, to whom, and where homes are pitched. But housebuilders are suffering badly with falling property prices and are all thinking about whether they should be building again."

Which is exactly the reason why this crop of "hosebuilders" would not be missed if they nearly all went bung.

Companies more fit for the job with half an interst in what they were building would fill the gap in the market.

Same goes for banks.

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Aldi and Lidl are totally crap and aimed clearly at the working classes.

It is precisely because of this moronic lower-class social-climbing attitude that you the only HPCer included in my signature apart from Sibley.

And you are the only exception to Sibley in my signature. Well Done!

Congratulations on making a social statement according to where you shop...people like you are my victims and I have no sympathy for you whatsoever :lol::lol::lol:

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A bit of a surprise that a supermarket company can suddenly offer flats so cheap (about 35% cheaper plus incentives) when specialist builders have been claiming their margins are so very tight - and Lidl will no doubt be expecting some profit on these lower prices.

It's also a surprise that there are any new entrants at all to this market when much higher prices have builders claiming to have really really tight margins.

And builders themselves haven't been exactly shy of bulk building (to get the advantages of scale) with builders producing hundreds and hundreds of, as good as, identical flats all over the place wherever you look.

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se the other thread on building houses...

basically the UK contractors are dead-in-the-water if they can't build houses any cheaper... there'll be plenty of Spanish, Polish, Belarussian and Korean contractors who would jump at the chance to take over the UK market...

the cost of inefficient construction is something that should not simply be tolerated... this is probably the single biggest purchase that an average family make in their lifetime, cutting 50% off the cost is nothing to be sniffed at.

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Normally you make a lot of sense Harry, but you have me in stitches here!

I presume you haven't actually been to an Aldi store within the last five years or so?

If you can't actually bring yourself to shop there, then I suggest you read what the Daily Telegraph says about where middle-class people (if there is such a thing) shop these days.

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the cost of inefficient construction is something that should not simply be tolerated...

or price gouging (if there's evidently something like 35% leeway for anyone who tries) and at the same time claiming tight margins.

Edited by billybong
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still waaaay too expensive... but a good move in the right direction... PS. how come none of these so-called 1-bed and 2-bed properties advertise clearly their actual size (in sq metre or feet?) I mean a good one bed apartment can be twice the size of a rabbit-hutch 2-bedder!

guessing the 1-bed is probably 45m2 and the two bedder about 60m2 (going by what I've seen in the UK as "standard sizes")... would still be ludicrously expensive at around £1450 per metre!!! (that's riviera prices in a dodgy part of scotland).

Rea the article I am afraid q bed flats are Studio type... their words, so bed and living room together ;)

Typically these are less than 40m2 in size, would surprise me if these are smaller than that

Typical press only pick up things half right

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Actually, this doesn't surprise me much. The supermarket basic model is buy in bulk, sell it cheaper, make ca$h.

Look how they have moved into the markets for elecricals, books and CDs. The British, as usual, bemoan the demise of the British high street, whilst sneaking off to Tesco to save £4 on the latest Harry Potter.

Will be interesting to see.

Everyone seems to think that the Likes of Lidl, Aldi and suchlike are dirt cheap. Personally, I don't think they are that cheap - certainly not across the board. Some stuff they have is cheap but by no means everything.

I rather like them because they have stuff you don't get in the normal British supermarkets but if I only shopped in Lidl I wouldn't spend any less money than Morrisons, I don't think.

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