Housing developers behind two major schemes on the outskirts of Hartlepool have agreed to pay more than £5 million towards a new Elwick bypass.
Story Homes Ltd and Tunstall Homes who are to put up 208 new homes on land south of Elwick Road are due to pay £2,496,000 to Hartlepool Borough Council towards the £18m bypass.
And Villiers Street Agriculture behind phase two of a Quarry Farm development for up to 220 new homes between Elwick Road and Worset Lane have agreed to give the council £2.64m to the bypass on the A19.
The money would be paid in instalments according to when batches of the new homes are built and occupied.
Councillors are due to receive updates on the issue and other developer contributions at a meeting of the Planning Committee on Wednesday.
The committee was minded to approve planning permission for both developments in the High Tunstall area of town on January 31 this year.
A report to the committee on Wednesday states: “Members asked that an additional report be brought back to committee on the planning obligations and how they would be delivered, and a schedule of planning conditions for final approval.”
Council officers say discussions with the developers on legal agreements, including developer contributions, have progressed.
For phase two of Quarry Farm, the report states the first quarter of the £2.64m will paid in four separate instalments on the occupation of the 25th, 50th, 100th and 150th home.
For the Story Homes and Tunstall Homes scheme the report adds: “The Developer(s) has agreed to make pro-rata contribution £2,496,000 relating to the Elwick bypass and Grade Separated Junction (overall estimated cost £18m), which equates to £12,000 per dwelling.”
Details of contributions from the developer of plans to build 1,200 homes, also in the High Tunstall area, are due to go before councillors at a later date.
The council is trying to secure the full £18m funding for the bypass from outside sources.
It has put in a bid for £10m to the National Productivity Investment Fund while another £8m application has been made to the Government’s Housing Infrastructure Programme.
If successful, the money due from the developers will be used for other things such as affordable housing.