Paragon Development Finance has provided a £11.7 million development finance facility to support Wharfedale Homes’ latest residential development in Gainford, County Durham.
The facility, structured over 30 months, has enabled Wharfedale Homes to acquire a site at Spa Road, in Gainford, to deliver 79 new homes ranging from one-bedroom apartments to four-bedroom detached houses. The scheme has an anticipated gross development value of approximately £24.3 million.
Originally designed by architect Ben Pentreath, the development combines traditional design principles with modern sustainability standards. While each home will be unique in design, all will incorporate energy-efficient features throughout, including ground source heat pumps and electric vehicle charging points. The scheme is expected to qualify for Paragon Development Finance’s Green Homes Initiative, with 86% of homes anticipated to achieve an EPC A rating.
The deal was led by Nigel Jackson, Senior Relationship Director at Paragon Development Finance, with support from Senior Portfolio Manager Shannon Altimas. The transaction marks the fourth development funded by Paragon for Wharfedale Homes, all based in the North East, as the longstanding relationship between the two businesses strengthens.
Located around eight miles from Darlington, Gainford offers a village setting with access to local amenities including a post office, doctor’s surgery, cafés and a pub. The development benefits from strong transport connections, with the A67 providing direct access to Darlington, while Darlington railway station offers services to Newcastle, York, Leeds and London.
The location is also well served by schools, with primary schools available within the village and several highly rated primary and secondary schools located nearby, making the development attractive to families seeking a balance between rural living and access to employment hubs.
According to recent ONS data, County Durham’s population aged 65 and over is projected to grow steadily over the coming years, while Savills data reveals that nationally, 1.29 million owner-occupiers aged 65 and over are living in four-bedroom homes across England and Wales. With a mix of apartments, smaller family homes and larger detached properties, the development has been designed to appeal to a broad range of buyers, including local families, professional commuters and older homeowners looking to move into more manageable, energy‑efficient homes while remaining within their community.
Michael Brown, Director at Wharfedale Homes, said:
“This development represents an exciting opportunity to deliver a high-quality mix of homes in one of the most desirable villages in the area. Gainford continues to attract strong demand from families, professionals and downsizers looking for well-connected locations that offer a strong sense of community.
“Our relationship with Paragon has been built over a number of successful projects, and their continued support demonstrates both their understanding of our business and their confidence in the homes we deliver.”
Nigel Jackson, Senior Relationship Director at Paragon Development Finance, said:
“We are pleased to be supporting Wharfedale Homes once again as they bring forward this latest development in Gainford. Having worked together across a number of projects, we have developed a strong understanding of the business, its approach to placemaking and ability to deliver high-quality homes in attractive regional locations.
“The scheme is well positioned to meet demand from a broad range of buyers, while its sustainability credentials reflect the growing importance of energy efficiency within the new-build housing market.”
Paragon Development Finance works with hundreds of SME developers across the UK and has financed the delivery of more than 13,000 homes since 2018. The division continues to support experienced developers across residential, build-to-rent, student accommodation and specialist living sectors.
