Trading update

RNS Number : 2715F

Inland Homes PLC

22 May 2013

 

For release at 7.00am on 22 May 2013

Inland Homes PLC ("Inland" or the "Group")

Trading update

The Board of Inland Homes plc is pleased to announce the granting of a significant planning permission, strong current trading and the purchase of new sites.

Planning permission has been granted for 101 homes on the southern part of St John's Hospital, Chelmsford.  The scheme which includes 12 substantial detached houses backing on to Chelmsford Golf Course has an estimated gross development value ("GDV") of £34 million.

The Group is also pleased to announce the acquisition on deferred terms of a site for 40 units in Markyate, near St Albans, Hertfordshire.  The development will commence immediately as part of Inland's drive to expand its housebuilding division and has an estimated GDV of £10.2 million.

Including Markyate, Inland has four housebuilding outlets and one under management for Drayton Garden Village Ltd ("DGVL") with a further two planned by the end of the calendar year.

Inland is also pleased to announce the acquisition of a one acre brownfield site in Woolwich, London Borough of Greenwich on deferred terms.  The site previously had a resolution to grant consent for 177 apartments.  Inland expects to apply for a new scheme of approximately 155 units and some commercial space.  The expected GDV for this development will be circa £32 million.  

Whilst Inland's core land acquisition strategy will continue to revolve around brownfield land, focus is now being given to securing "strategic land" options on selected greenfield sites where potential exists for the land to be allocated for development. 

The Group has recently secured such an agreement on a suitable site in Buckinghamshire which has potential for 20 units and two others, also in Buckinghamshire, which have potential for up to 200 units where terms have been agreed.  There is a healthy pipeline of new opportunities being evaluated for both brownfield and greenfield sites.

Current trading from our growing housebuilding activities is robust and since 1 January 2013, the Group has achieved £9.1 million of sales reserved, contracted or completed.

We continue to receive strong interest in the purchase of undeveloped plots with planning consent from major housebuilders.  Inland is currently awaiting offers on 76 plots for sale on one of its sites and 76 plots owned by DGVL are now reserved with solicitors engaged.

Stephen Wicks, CEO commented: "Our acquisition strategy, which includes potential portfolio purchases as well as individual sites, has a significant pipeline of both brownfield and greenfield opportunities.  Our acquisition programme is supported by strong cash flows from sales and financing including the issue of £9.3 million of Zero Dividend Preference Shares that were placed a few months ago. 

The granting of the planning consent on the southern section of St. John's Hospital, Chelmsford is the result of a year's work by Inland's in-house planning team supported by external consultants".

Enquiries:

Inland Homes plc	Tel: [phone]
Stephen Wicks, Chief Executive
Nishith Malde, Finance Director
Paul Brett, Land Director
finnCap, Nominated Adviser & Broker	Tel: [phone]
Matthew Robinson/Rose Herbert - Corporate Finance
Simon Starr/Brian Patient - Corporate Broking
Tooley Street Communications
Fiona Tooley, Director	Tel: [phone]
Graeme Cull, Consultant	Tel: [phone]

 

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