Partial Completion Stage for Band 1 & 3

When a phase of a building contract has reached Practical Completion,an Association may submit a grant claim to the NIHE (DPG)

This facility is only available with the prior agreement of the NIHE (DPG). It can be useful in medium to large schemes where the dwellings will be completed and handed over to the Association in a number of phases. Also may be used, by exception, for ESP submissions with multiple dwellings being purchased where unavoidable and significant delay in execution of one or more of the purchase contracts has occurred and grant is required to proceed with the remaining purchases.

When a phase of a building contract has reached Practical Completion, or when part or parts of the scheme have been taken into Association possession, the Association may submit a grant claim to the NIHE (DPG). Grant must only be claimed on those dwellings/ units that have reached practical completion stage and for which the Association has taken possession. (See Table 8 for more information).

[Note: In contractual terms this is known as a ‘Sectional Completion of the Works’ or ‘Partial Possession by Employer’]

Grant must be claimed based on a ‘sub-phase’ of the approved scheme, as follows:

Grant Rate Type (Line 2 – SFN1 Form)

Number of Units Completed x Adjusted TCI per Unit/ Person x Unit Grant Rate x Scheme Cost Index x Practical Completion Tranche Percentage

Recoverable costs post practical completion

  • Where, following a final grant claim, the Association is able to recover costs as the result of a claim by or against a third party, that proportion of the costs represented by the grant rate for the scheme must be forwarded to NIHE (DPG).
  • Also, following a final grant claim, where estimated costs are significantly higher than actual out-turn costs the Association must contact NIHE (DPG) to seek advice on any requirement in respect of the repayment of HAG.
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