MORE than 500 affordable homes are to be built in the region as part of a £9m investment programme.

Over the next 12 months, Three Rivers Housing Group will begin the first phase of a three-year housing development programme in the North.

The scheme will be partly funded by a record Government grant of £5m, and £4m borrowed by the group, which will go towards projects in Gainford, near Darlington; Pelton, near Chester-le-Street; Wolsingham, in County Durham; Thornley, in east Durham; and Sunderland. The group has also received a £10m loan package to build on its housing and regeneration projects.

As well as building homes, the housing association also plans to help residents in regenerating their communities.

A spokeswoman for the group said: "There is a lot of community work going on with these regeneration projects. We need to do a lot of consultation with residents because it affects their neighbourhood.

"We can help them apply for grants for their community and with business plans and show them how to get more residents involved in the community."