Cala pledges £20m investment to grow Midland landbank
THE Midland-based arm of housing developer Cala Homes has said it plans to invest more than £20m purchasing new development sites in the region.
The ambitious expansion plan, scheduled for the next 12 months, follows a strong performance for builder, which saw full-year pre-tax profits of £11.4m, up nearly six fold on 2011, and total new home completions up by 35%.
Darren Humphreys, regional managing director for CALA Homes Midlands, said: “We had a strong year as a group and that is very much reflected in the Midlands region. We currently have a land bank of 1,700 plots on sites ranging from 650 homes in Rugby to a select development of just five properties in Malvern.
“This represents a significant investment in the region over the next decade both through the New Homes Bonus, which will generate over £17m of additional funds to local authorities, and through direct community contributions towards infrastructure, education and healthcare.”
He said the firm was now looking to build on this over the next 12 months and would be actively looking for land in Warwickshire, Worcestershire and the Cotswolds, with a particular focus on the M40 and M5 corridors.
“These sites could be as small as half an acre or larger strategic sites of 100 acres or more, with or without planning permission. Our vision is to build a five-year contracted land bank and a two-year bank of land with implementable planning consent in prime locations throughout the region,” he said.
Cala, whose Midlands office is based in Henley-in-Arden, targets the premium market with average selling prices of around £340,000 – the highest of any major housebuilder.
Mr Humphreys added: “We have an experienced in-house land and planning team that work closely with landowners to maximise land values by creating the optimum scheme. We also work in close consultation with local councils and local communities to ensure that they have their say on development in their area. We listen to their views and incorporate them into our plans wherever possible.
“In many case, new development brings with it local investment that would simply not be available otherwise, as well as local jobs.”
The firm is currently developing sites in Eastcombe, Rugby, Shrewsbury, Malvern and Moreton-in-Marsh.
