Association raise £2m in a single morning, selling off homes

Tenants are outraged that a leading housing association has put much-needed homes under the hammer.
Paddington Churches Housing Association (PCHA) made almost £2 million on Monday when eight of its properties were sold at a housing auction. Three flats in Westbourne Crescent in Paddington were sold for under £200,000 while a four-storey house in Ashmore Road, Maida Hill, went for £590,000. The auction took place at the Millennium Hotel in Mayfair attended largely by developers and property magnates.
Head of the Labour opposition Councillor Paul Dimoldenberg also attacked the sale. “It is absolutely outrageous that a housing association should be selling properties on the open market when there are such huge housing problems in that part of Paddington. It is a complete disgrace. On the one hand the government gives people millions to create social housing while at the same time they are selling them off. There needs to be a public inquiry into housing associations selling homes like this.”
The housing association is part of the Genesis Housing Group based in Edgware Road. A member of the Independent Tenants Federation Peter Rutherford accused the company of making £71,000 profit a day but failing to look after its tenants.
Mr Rutherford said: “They don’t look after the interests of their tenants. It is an area full of services where key workers must be able to afford to live. Some of these flats are next to St Mary’s Hospital and nurses are crying out for homes. There is not an ounce of intelligence involved in these sales; it’s barking mad.”
Genesis say money from the sales was needed to improve other properties.
A spokeswoman said: “PCHA’s decision to sell the three empty flats on Westbourne Crescent was made as part of a strategy to make the best use of funds, to bring more properties up to government standards. It made financial sense.”
PCHA also sold flats in Harlesden and Notting Hill.
A council spokesman said: “The council cannot stop housing associations selling properties. We did not originally approve the sale of housing and we suggested they sell properties to another housing association.
“Westminster has few enough social houses. ”