A HOUSING association is to embark on a £12m property development programme after securing £5m in grants.

Tees Valley Housing Group is to carry out building work to provide houses for rent across Teesside and Yorkshire after winning Housing Corporation aid.

Of the £5,210,368 made available for the 2003/4 year, the largest portion is a £1,779,356 grant towards the redevelopment of Low Grange, in Stockton.

The group is in the process of buying the site of a demolished block of flats at Low Grange from Stockton Borough Council, and plans to build 38 houses and two bungalows for disabled people.

Five other schemes will also benefit from the grants during the coming year:

* The group was given £973,549 towards the £1.7m development of 20 houses in Trinity Crescent, North Ormesby.

* Also in Middlesbrough, the group has bought land in St John's Gate to build apartments and community facilities for the North-East Chinese Association, with a grant of £881,773 towards the £1.5m scheme.

* In Redcar, at The Courts development, which the group is carrying out with Redcar and Cleveland Borough Council, the group will build the first 20 of 100 homes in a £1.46m phase of the scheme. A grant of £648,439 has been allocated.

* A £342,451 scheme to build four houses at High Riding, Richmond, benefits from £175,705 from the Housing Corporation.

* The group is also working with the City of York Council to develop 12 homes in Bramham Road, York, and the grants will provide £751,547 of the £1.3m total scheme cost.