Borderlands investment to boost independent living in Kelloholm

This is the first Place Programme project in Scotland to receive approval under the Deal, marking an important milestone in the programme’s work to revitalise towns into vibrant, sustainable economic and social hubs with £20 million invested across the South of Scotland.

The development is led by Kirkconnel and Kelloholm Development Trust (KKDT) in partnership with South of Scotland Community Housing (SOSCH), Dumfries and Galloway Council and local stakeholders. It will deliver five high-quality, energy-efficient homes on Niviston Road, designed to support older residents to live independently while stimulating wider economic regeneration across Upper Nithsdale.

Built to modern accessibility standards, the homes will meet the needs of older people and those with enhanced care requirements. Construction is expected to begin in May 2026, with completion scheduled for March 2027.

Following a competitive tender process, Ashleigh has been identified as the preferred contractor, helping ensure local supply chains and tradespeople benefit from the investment. The project is further supported by match funding from the Scottish Government’s Rural Housing Fund and the Whiteside Hill Windfarm and SSE Sustainable Development Fund.

The development is expected to generate significant economic benefits for Kirkconnel and Kelloholm. By enabling older residents to downsize, it will free up larger homes for families, key workers and economically active residents.

With the area facing outward migration among younger adults and a growing older population, the project supports the Borderlands’ ambition to increase the number of people living in the region and strengthen local communities.

Matt Lammie, chair of KKDT, said: “This project is about more than building homes – it’s about securing the long-term future of our community. By giving older residents the chance to stay in the place they know and love, we also free up much-needed family housing and support the working-age population that keeps our local economy moving.

“It’s a practical, community-driven solution that strengthens our population, supports local services and creates a more resilient future for Kirkconnel and Kelloholm.”

Cllr Stephen Thompson, leader of Dumfries and Galloway Council, said: “This is an excellent example of how locally led solutions can deliver real, lasting benefits for local communities.

“With the identified needs of older residents being central to this development, the project will support independent living, help sustain village life and strengthen the wider housing market for families and working‑age people.

“The council supports Kirkconnel and Kelloholm Development Trust and its partners in bringing forward a development that reflects local priorities, boosts the local economy and contributes to the long‑term resilience and prosperity of Upper Nithsdale.”

Prof Mark Shucksmith, chair of the Borderlands Place Programme Board, said: “The people of Kirkconnel and Kelloholm have developed this initiative to help secure a thriving and prosperous future for their town. It is an exciting project which will benefit young people and stimulate the local economy, while also meeting housing needs. We are pleased to see the progress and support the town to come together to build a better future.”

Mike Staples, chief executive of South of Scotland Community Housing, said: “The team at SOSCH are delighted that the KKDT Community Led Housing project has reached the exciting point of delivery.  The project demonstrates the key role community ownership can play in delivering critical housing that meets evidenced local needs.

“We have worked in partnership with KKDT around the development of this project since 2018 and reaching this point is a testament to commitment, tenacity and determination within the community and the impact of partnership and collaboration across the community, third and public sector.  We are extremely grateful to all the funders.”

The Place Programme aims to revitalise towns into vibrant, sustainable economic and social hubs. It sits within the wider Borderlands Inclusive Growth Deal – signed in 2021 with funding from both the Scottish and UK Governments – which is bringing up to £350m of Government funding and up to £100m of match funding to the region to support a wide range of projects across the South of Scotland and North of England.