23rd Jan 2025 12:34
(Alliance News) - Henry Boot PLC on Thursday said its subsidiary, Hallam Land Management Ltd, closed sales to homebuilders Mulberry Property Developments Ltd and Taylor Wimpey UK Ltd.
The Sheffield, England-based property development firm valued the sale to Warwickshire, England-based Mulberry Homes at GBP6.8 million, but did not provide an estimate for the deal with Taylor Wimpey.
Mulberry Homes bought a freehold site in Oxfordshire, resulting in an ungeared return rate of 75% per annum for Henry Boot.
Hallam in 2023 secured permission to build 75 residential properties on the site, and still owns an adjacent 20-acre site which it intends to submit to the planning process.
Additionally, Hallam sold 290 residential plots in Kent to High Wycombe-based property developer Taylor Wimpey, with a 40% annual return rate for Henry Boot.
Hallam was denied planning permission for the site in 2022. After reviewing Hallam's appeal, the local council granted permission for 290 homes, on the grounds that 30% be affordable, and that the development include some form of benefit to the local community, outlined in a Section 106 agreement.
Henry Boot Chief Executive Tim Roberts noted: "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."
Henry Boot shares were up 2.4% at 215.00 pence each early Thursday afternoon in London.
By Holly Munks, Alliance News reporter
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