Albyn Housing Society is set to embark on an ambitious plan to deliver up to 750 new affordable homes in the region by 2021, with the potential for even more.

Last year the Highland housing association set a target of building 500 homes over a five-year period, but has now committed to creating 750 new homes and will aim to increase that number by a further 250.

The Scottish Government has set a national target of building 35,000 social rented homes throughout the life of the current parliament, and Albyn Housing Society said it has taken up the challenge.

Albyn will build 750 social rented homes and will also look to add further mid-market rent and LIFT shared equity homes while continuing to deliver Help to Buy on behalf of the Scottish Government.

Minister for local government and housing, Kevin Stewart, said: “Albyn Housing Society’s commitment to deliver 750 new affordable homes for social rent by 2021 is welcome news for people in the Highlands.

“Making sure everyone in Scotland has access to good quality housing is a vital part of the Scottish Government’s drive to boost economic growth and tackle inequalities in our communities.

“The work of housing associations like Albyn will help us meet our ambitions of delivering 50,000 more affordable homes across Scotland over the next five years, which is backed by an investment of more than £3 billion.”

By 2021, Albyn hopes to have an estate of over 3,750 social rented homes stretching from Newtonmore to Thurso and Dyke to Applecross, an increase of almost 30 per cent.

Douglas Russell, chairman, Albyn Housing Society, said: “We know the major housing pressures that exist in so many Highland communities and we are keen to do our part in helping them over the coming years.

“We are confident that we will be able to deliver this ambitious programme with the support of our major partners, including the Scottish Government, Highland Council as well as lenders. All of this will be done while protecting the interests of our current and future tenants, which is of the utmost importance to us.”

Albyn is working with key partners to identify the communities in which the homes will be built. They are likely to include projects in Inverness, Nairn, Dingwall, Alness, Drumnadrochit and Inverdruie.

The announcement has been welcomed by Highland Council.

Cllr Audrey Sinclair, chair of planning, development and infrastructure committee, said: “I welcome the important contribution that Albyn is making to the delivery of more affordable housing across the Highlands. Having more housing, particularly for young families, is an important factor in keeping communities sustainable and viable.”