The loan facility will be used to lend funds to local housing associations and their subsidiaries, which will then develop sites and the completed homes at affordable mid-market rents.
Elsewhere, the award-winning National Housing Trust initiative, which was the first guarantee-based model for housing in the UK, has been labelled as a success for the city.
-- Advertisement --
Councillor Cammy Day, housing leader for the City of Edinburgh Council, said: "Housing associations make a major contribution to building new affordable homes in the city. Recognising this the Council has made up to £21 million available to provide additional funding for them through the On Lending initiative."
Mr Day added that he would encourage every housing association to consider how they could use this funding to build more affordable homes.
He said: "The Council has also made £55 million available through the National Housing Trust which has led to commitments to build 422 new affordable homes. These new investment initiatives have been developed in partnership with the Scottish Government, housing associations, developers and house builders. They show the strength of the Council's commitment to working jointly with all our partners."
(JP)
