The redevelopment of Water Row near to the River Clyde is expected to start this month, with a £1.6 million grant set to cover a funding gap.
It is hoped the project, which includes 200 new homes, will play a key role in the regeneration of Govan and the waterfront.
Phase one will see 92 affordable homes and six ground-floor commercial units created — and the final piece of the funding jigsaw is set to be agreed on Thursday.
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Glasgow councillors will be asked to approve using £1.6 million of City Deal money to complete a £24.7 million package for the first phase.The contract is being tendered by Govan Housing Association and the extra money is needed before it can be awarded. Work would start this month and is scheduled to be completed by early 2024.
A council report stated: “Water Row has been identified as a City Deal investment priority and realisation of the masterplan is regarded as critical to the regeneration of central Govan which occupies a strategically important location at the centre of the emerging Glasgow Riverside Innovation District.”
So far, a package of just over £23 million has been put together, with £12.8 million from the Scottish Government’s affordable housing supply programme and £8.9 million provided by the housing association via commercial borrowing. There is also £1.3 million from the Clyde Mission Fund, a Scottish Government-led scheme aiming to “harness the opportunities” provided by the river to deliver “economic, social and environmental benefits”.
The masterplan for Water Row, approved by the council in 2019, also includes 3,500 square metres of commercial space. It will also integrate the south landing of the planned Govan to Partick bridge.
Planning consent for phase one was secured by the housing association in January 2022, with the 92 homes set to be spread over five blocks.
The council report added: “Since approval of the masterplan the focus has been on delivery of phase one, which will result in the development of 92 residential dwellings for mid-market rent and six ground floor commercial units on the eastern section of the site which was previously used as an informal car parking area.”
It revealed developing the site “involves significant abnormal development costs associated with existing ground conditions that result in the need to undertake remediation works and use non-standard foundations.”
The £1.6 million grant will contribute towards public realm works and the construction of commercial floorspace. The City Region programme management office approved the use of City Deal funding for phase one in January.
The report said: “Release of grant funding will be associated with particular contractual milestones and subject to ongoing monitoring and evaluation of outcomes to ensure that the project continues to deliver the objectives of the council.”
Funding for the Glasgow City Region City Deal comes from the UK and Scottish Governments, with £500 million from each. It is used by City Region councils, which include Glasgow City Council and seven surrounding local authorities.
There is £113.9 million of funding for the Clyde Waterfront and West End Innovation Quarter project.
