Homeowners call for fairer deal over estate proposals

Plans have been drawn up to bulldoze and rebuild parts of the run-down Whitehill estate, in Pelton Fell, near Chester-le-Street, in an attempt to regenerate the area.

Nearly two-thirds of the council homes are empty and attract vandals and arsonists.

Under the proposals, about 300 homes will be demolished and replaced by a mixture of social and private housing, along with a new village hall.

But people on the estate who have bought their council homes said they were alarmed at the options they have been offered in return for having their homes flattened.

A consortium of housing groups has been appointed to oversee the work by Chester-le-Street District Council.

They are giving homeowners the chance to own 75 per cent or 50 per cent of a house and rent the rest from the developer.

Alternatively, they can buy a house on the estate once it is on the open market, or swap their home for one of the same value in a different area.

Paul Hunwick, who lives on the estate, said all 20 homeowners were unhappy with the options.

He said: "There's four couples up there who have paid off their mortgage, so they don't want just 75 per cent of a house.

"The other option is buying a house, but we have to wait until the whole estate is finished and then go to an estate agent like everyone else.

"There's people who have lived here for 30 years and none of us will get priority."

Residents are now considering employing lawyers to represent them in negotiations with the developers.

Mr Hunwick said: "We were expecting them to give us a minimum price for each home and extra for improvements, but they say they haven't come to any conclusions because all the houses are different."

Nomad Housing is consulting all residents over the plans and is staging one-to-one discussions with them.

A spokesman for Nomad said: "Negotiations are ongoing with regards to achieving a settlement with homeowners but, as yet, nothing has been finalised.''