‘Bloodied’ Urban Splash ready for 2010, says Bloxham
HIGH profile Manchester property group Urban Splash has been “bloodied” by the recession but is now a “stronger, leaner, better company”.
That’s according to its chairman Tom Bloxham who has given his thoughts on the state of the business, and the wider economy, in the firm’s regular newsletter.
Urban Splash, which specialises in inner city regeneration schemes, has been forced to shed around 100 of its 250 staff since last year as falling property values, waning confidence and a lack of mortgage availability contributed to a “devastating time” in the property sector.
Mr Bloxham said: “I am proud to say that in spite of the severity of the economic crisis we managed to steer the business in the right direction and have created what I now believe to be a much stronger, better, leaner company.”
In the newsletter he reports an increase in sales activity and improving property values. He also singles out the completion of the group’s schemes in Salford, Manchester, Plymouth and Leeds during the year and its work on Park Hill in Sheffield, said to be Europe’s largest listed building.
During 2009 Urban Splash has concentrated on renting, as well as selling, residential property and has increased its investment portfolio. Residential doubled from 158 to more than 340 rental homes and total rental income increased by 12% to £12m.
Mr Bloxham added: “We’ve had our nose bloodied by the crisis of the last 12 months but we’re looking forward to the challenge that the next decade will bring, and hope to not only deliver great buildings but also to help continue the sustainable regeneration of our cities.”
It has been a tough year for property businesses looking for finance but Urban Splash agreed a three-year renewal of a £101m HSBC facility earlier this year. Another facility worth £125m, provided by HSBC, the Royal Bank of Scotland and the Co-operative Bank, is up for renewal in 2013.
