Soaring inflation brought stricken £100m housing scheme to a standstill

A deadly cocktail of the Covid pandemic, supply chain disruption and soaring building materials prices brought about the collapse of a major north Nottinghamshire housing scheme, according to documents seen by TheBusinessDesk.com.

As we exclusively revealed last month, Sherwood Oak Homes and Sherwood Oak Holdings were placed into administrators on October 3.

The companies were behind the £100m Oaks scheme in Forest Town, near Mansfield. Just 30 out of the planned 313 homes were completed by contractor Henry Boot on the site when Moorfields were called in.

OakNorth Bank, which holds a charge over the companies, applied for them to be put into administration.

The Oaks is a development of 313 2- 3- 4- and 5-bedrooms houses. Prices range from £225,000 to £480,950. Pygott & Crone was marketing the homes.

Nearby residents said on the scheme’s official Facebook page that the site has been closed “for ages”.

Chartered Surveyors Heb have been instructed to market the site. OakNorth have agreed to finance the administration process until a buyer can be found.

Moorfields estimates that as much as £35.5m will be available for creditors if the completed housing stock and residual land is sold. OakNorth Bank is owed £14.2m, while Rubicon Capital is owed £6.2m.