David McLean Homes sold to former directors

DAVID McLean Homes, the Deeside-based house builder that went into administration in October, has been sold to its former senior management team.

The management team is led by former group finance director John Kendrick and includes Frank Reil, Adrian Bravington and Rob Flood.

They have set up new company Elan Homes to buy the business, with equity and senior debt funding from Barclays Bank. The move will secure around 90 jobs.

“The housing industry is still facing some tough conditions, however, with the combined steps taken by the Bank of England and the government we are confident this will result in a return of some sensible levels of mortgage lending and increased consumer confidence over time,” the company said in a statement.

“We have some fantastic schemes and although we won’t see the high levels of sales we did two years ago, Elan Homes will be in the right position to maintain this level of trade until the market returns,” it added.

Bill Dawson, joint administrator at accountancy firm Deloitte, said: “This sale will preserve a significant number of jobs, and also represents best value for the creditors of the David McLean group.

“Elan Homes has a strong management team and a strong financial base, and we are confident that they will be able to take the business forward on a stable footing.”

The joint administrators were appointed on October 27, and continued to trade the business while a buyer was sought.

Elan said the David McLean developments will be re-branded by January, when the company will have its official launch.