BIRMINGHAM — GreenSquareAccord announced in March that it would not transfer ownership of the Stirchley Cooperative Development to the community, citing a £1.16 million funding shortfall. The development was founded by local residents and businesses in 2016 with the goal of providing 39 affordable, landlord-free homes owned and operated by residents and workers by 2024.

GreenSquareAccord owns the land for the project and assumed construction responsibilities in 2024 after the previous contractor ceased operations. A spokesperson for GreenSquareAccord said projected costs rose due to interest costs, inflationary pressures, and construction challenges. The spokesperson added that the organization is committed to reaching an appropriate resolution with Stirchley residents and business owners and is seeking only to cover costs from the sale of the development, rather than generate a profit.

Sean Farmelo, a business owner involved with the development, said, "The community is being forced to pay for construction problems that [GSA] have had." Farmelo stated, "Any offer that we've given them is way above market value already, and they're still trying to get extra money for construction delays that are caused by their own mismanagement." He added, "If an organisation that relies on public money – such as a housing association – says they are going to do something and makes a major commitment around community-led housing, then they should stick that through and not just try to off-load any problems when the going gets tough."

West Midlands mayor Richard Parker said, "It's not acceptable for a large housing provider to walk away from its commitments because it failed to manage the costs and budgets of a project it was responsible for, then expect a small community organisation to carry the consequences." Parker stated regarding the effort to create a community-led development, "That is now being torn apart." Parker and Al Carns, the Labour MP for Birmingham Selly Oak, jointly wrote to GreenSquareAccord requesting immediate action and fulfillment of its obligations.

Locals are attempting to bridge the funding gap by seeking loans through non-equity and non-transferable bonds. Rachel Kershaw, co-director of the local bakery Loaf, reported reduced wages for her nine staff members since February due to delays and cost impacts. A GreenSquareAccord spokesperson said absorbing the shortfall would be irresponsible and compromise investment in homes and services for their customers. Carns said he would keep doing everything he can to get the project back on track and in the hands of the community.