Paragon Development Finance has provided £11.7 million in development finance to Wharfedale Homes for a 79-unit residential scheme in Gainford, County Durham. The 30-month facility supports a development with an anticipated gross development value of £24.3 million.
The transaction marks the fourth development Paragon has funded for Wharfedale Homes in the North East region. Nigel Jackson, senior relationship director at Paragon Development Finance, led the deal, with support from Shannon Altimas, senior portfolio manager.
Development specifications
The Spa Road site will comprise homes ranging from one-bedroom apartments to four-bedroom detached houses. Architect Ben Pentreath designed the original scheme, which incorporates traditional design principles with modern sustainability standards.
All units will feature ground source heat pumps and electric vehicle charging points. Paragon anticipates 86% of the homes will achieve an EPC A rating, qualifying the development for its Green Homes Initiative.
Location and connectivity
Gainford is located approximately eight miles from Darlington, with access via the A67. Darlington railway station provides connections to Newcastle, York, Leeds and London. Local amenities include a post office, doctor’s surgery, cafés, a pub, and primary schools, with additional educational facilities in surrounding areas.
The development’s unit mix reflects demographic trends in the region. ONS projections indicate County Durham’s population aged 65 and over is forecast to grow in coming years. Savills data shows 1.29 million owner-occupiers aged 65 and over currently live in four-bedroom homes across England and Wales.
The scheme targets multiple buyer segments, including families, professional commuters, and older homeowners seeking smaller, energy-efficient properties. This approach aligns with broader market patterns, as UK property sales remain above pre-Covid levels despite pricing pressures.
Michael Brown, director at Wharfedale Homes, said: “This development represents an exciting opportunity to deliver a high-quality mix of homes in one of the most desirable villages in the area. Gainford continues to attract strong demand from families, professionals and downsizers looking for well-connected locations that offer a strong sense of community.”
Jackson stated: “We are pleased to be supporting Wharfedale Homes once again as they bring forward this latest development in Gainford. Having worked together across a number of projects, we have developed a strong understanding of the business, its approach to placemaking and ability to deliver high-quality homes in attractive regional locations.”
Sustainability focus
The emphasis on energy efficiency reflects growing buyer priorities in the new-build market. With damp and structural issues deterring 35% of property buyers, developers are increasingly prioritising build quality and energy performance.
The development is scheduled for completion within the 30-month financing period, with construction expected to commence shortly.
