Paragon Development Finance has supplied an £8.8 million facility to Oakwood Group for a new 51‑home residential project in Broughton, a suburb north of Preston.
Financing and construction details
The loan covers acquisition of the site on Garstang Road and the full construction budget. Oakwood Construction (Northern) Ltd, the building arm of the group, will carry out the work. The scheme includes 20 affordable units, bringing the total to 31 private homes and 20 subsidised residences.
According to the transaction documents, the development is expected to reach a gross development value of roughly £20 million. This follows earlier Paragon‑Oakwood collaborations in Ormskirk, Lancashire, indicating a continuing partnership in the region.
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Location and transport links
Broughton lies about four miles north of Preston and benefits from direct access to the M55 and M6 motorways. Public transport provides connections to the city centre, while rail services link to Manchester and Blackpool. The site is within walking distance of Broughton High School, which has maintained an Ofsted rating of Outstanding since 2022.
Energy efficiency standards
All 51 homes are designed to achieve an EPC A rating. Features include AAA‑rated double‑glazed windows, enhanced insulation across floors, walls and roofs, energy‑saving combi boilers, solar panels and electric‑vehicle charging points.
These specifications qualify the development for Paragon’s Green Homes Initiative, which reduces loan exit fees when at least 80 % of private homes meet EPC A standards and the remaining units achieve at least EPC C.
Jonathan Ball, managing director at Oakwood Group, said, “This scheme has taken considerable time and effort to bring forward, and we are delighted to have reached this stage. Broughton continues to be one of the most desirable locations in the Lancashire area, offering a combination of excellent connectivity, high‑performing schools and a strong community environment.”
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Nigel Jackson, senior relationship director at Paragon Development Finance, added, “We have seen first‑hand the quality of homes Oakwood delivers and their ability to create developments that respond to local housing demand.”
The ongoing viability challenges in UK housing make the inclusion of affordable units notable, as mixed‑tenure projects are increasingly required to meet planning criteria. While the market continues to grapple with affordability concerns, the blend of private and subsidised homes aligns with policy expectations for new builds.
Developers in the North West are actively targeting sites with strong transport links and community assets, a trend that this Broughton project exemplifies. The mix of private and affordable housing mirrors standard planning requirements for projects of this scale, reinforcing the role of such schemes in addressing the broader housing shortfall.
