Henry Boot completes sale of two residential sites

Henry Boot has completed the sale of two sites to housebuilders after securing planning consent for 365 homes.

The deals by the group’s land promotion and planning business, Hallam Land, are with Mulberry Homes for a 75-plot site in Ambrosden, Oxfordshire and with Taylor Wimpey for a 290-plot scheme in Sittingbourne, Kent.

Tim Roberts

Tim Roberts, chief executive at Henry Boot, said: “Our latest residential plot sales to Mulberry Homes & Taylor Wimpey reaffirm the continued success of our land promotion business, benefitting from the government’s commitment to planning reform, as well as the ongoing appetite from national and regional housebuilders for well located, permitted land.

“The delivery of much needed new homes across these regions, as well as the planning consent gained for significant green infrastructure and spaces, will transform the local area and community.”

Mulberry Homes have paid £6.8m for the freehold – an ungeared internal rate of return for Henry Boot of 19% per annum.

Hallam acquired the site in 2014 and secured outline planning consent in December 2023 for the homes as well as a 12-acre community woodland, local highway improvements and a children’s play area. The business still owns a neighbouring 20.6 acre site.

The value of the deal with Taylor Wimpey has not been disclosed, but Henry Boot said it has resulted in an ungeared internal rate of return of 40% per annum.

Planning on the site was secured last July, successfully appealing a planning refusal by Swale Borough Council made 18 months before.

Henry Boot will publish a trading update for 2024 next Tuesday.