Aberdeenshire contractors are expected to share almost £35million of work under plans to complete a long-unfinished housing development in Portlethen.
Cala Homes is proposing to invest more than £49million in the wider development in the Schoolhill area, with 70% of construction expenditure expected to be spent with local contractors and suppliers, according to modelling from BiGGAR Economics.
The plans will mark Cala’s first development in Portlethen and would see the housebuilder take forward a site which has remained unfinished since construction ceased under the previous developer.
The next two phases comprise 41 private homes and 46 affordable homes, with further phases to follow as the wider site is completed.
Members of Aberdeenshire Council’s Kincardine and Mearns Area Committee will consider the plans at a meeting on Tuesday next week, with officials recommending approval.
Cala has worked closely with Aberdeenshire Council officials and the local community to shape the mix and composition of the affordable housing around local needs. This includes bungalows, wheelchair-accessible homes and cottage flats.
The development would also make a significant contribution to local infrastructure and services, generating around £680,000 in developer contributions, more than a third of which are earmarked for healthcare.
Once all phases are completed and occupied, the development is also expected to generate almost £400,000 every year in additional Council Tax revenue.
Residential development at the site has long been established, with planning permission granted following an appeal in November 2024.
Cala’s proposals closely follow that existing approval, with roads, paths and areas of open space broadly mirroring the consented layout.
A new playpark would also be created for the wider community, designed particularly for older children and including play equipment and football goals.
The development has already been factored into Aberdeenshire Council’s school roll forecasts, including for Portlethen Academy.
Ross Maclennan, Land Director at Cala Homes (North), said: “This is an exciting opportunity for Cala to make our first investment in Portlethen and, importantly, to complete a development which has been left unfinished for far too long.
“Our ambition is to create something the community can be proud of, with high-quality private homes, affordable housing, new open space and a playpark for the wider community.
“There will also be a substantial economic benefit. Almost £35million is expected to be spent with local contractors and suppliers, putting that investment directly into Aberdeenshire businesses and supporting jobs throughout the local supply chain.
“We have worked extensively with Aberdeenshire Council officers to develop proposals which respond to local needs, including the mix of affordable homes, roads and parking and the provision of open space.
“Schoolhill has been earmarked for housing for many years and already has planning permission for residential development. We now have an opportunity to finish what was started and create a properly completed neighbourhood at Hillside.
“We look forward to becoming part of the Portlethen community and investing in the town for the years ahead.”