Henry Boot firm says housing market “buoyant”
Stonebridge Homes has already hit 85% of its annual sales target in the first six months of the year, citing high demand and good mortgage availability.
The housebuilder, which is jointly owned by Henry Boot, has sold 58 homes for an average selling price of £487,000, compared to 24 homes for £368,000 the previous year. Its average price has therefore risen 32% year-on-year.
In its half year report for the six months to 30 June, Henry Boot said: “We have seen pricing levels around 5% above budget, although most of this will be offset by cost price inflation we are currently experiencing.
“All parts of the UK have seen an acceleration in house price growth in 2021, especially Yorkshire and Humberside and the North West, which were the strongest performing English regions.”
Stonebridge Homes’ total land bank remained steady at 1,125 plots compared to 1,119 the previous year.
Its plots with detailed or outline planning consents increased slightly from 657 to 700 year-on-year. Henry Boot said growth in this area “experienced delays due to the slow conversion of sites through the planning system, reducing our ability to commence work on site.”
Henry Boot’s overall pre-tax profit across all of its divisions, including land promotion, property investment and construction,increased 220.8% to £23.1m, while its revenue increased 18.7% to £129m,