Chief executive of the Retirement Villages Group Will Bax said the Covid pandemic had affected the firm’s financial performance
Later living developer Retirement Villages Group made a pre-tax loss of £6.2m in the year to 31 March 2021, according to accounts filed at Companies House.
The loss came despite the developer’s turnover rising year-on-year from £15.6m to £27.7m, which did help it stem the pre-tax loss of £8.2m seen in the previous year to the 2021 figure of £6.2m.
The firm put the rise in turnover down to additional assignment fee income, rental property income, care home income and property sales. As of 31 March last year the firm had a portfolio of 1,415 properties.
Chief executive Will Bax said in the accounts statement that the operational challenges of Covid had “undoubtedly impacted financial performance”. This was particularly due to the three periods of lockdown preventing people from moving home, he explained.
The first lockdown delayed the practical completion of the developer’s newest village Gradwell Park, the accounts said, and while that opened in March 2021, it could not complete any pre-booked sales because of lockdown regulations.
But Bax added: “It is also clear that the pandemic has catalysed a new interest in integrated retirement communities with new applicants almost doubling in the period April 2020 to 2021.” He said the firm must “now capitalise on this new wave of interest”.
He noted that Covid had “exposed the challenges of older people” and the firm would continue to support the Association of Retirement Community Operators’ call for a Housing with Care Taskforce to drive reform.
The value of the company’s property assets grew in the financial year 2020/21 and now stands at £118m, the accounts showed.
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