Change of senior management

Monday 4 July 2016.

This announcement contains inside information.

McCarthy & Stone plc

Change of senior management

McCarthy & Stone, the UK's leading retirement housebuilder, is today announcing that Mike Jennings, Operations Director for the South is departing the company, at the age of 69. Mike's last day will be 31 August 2016, as the Group's financial year closes.

John Tonkiss, currently the Operations Director for the North, will become the Group's National Operations Director, and all nine Regional Managing Directors will report to him with effect from 1 September 2016. John joined McCarthy & Stone in 2014 as Business Transformation Director, having previously been Chief Operating Officer at Unite Group, the UK's largest provider of purpose-built student accommodation.

Gary Day, Land & Planning Director with 28 years' experience with the Group, will assume executive responsibility for the management services businesses on the same date. The management services businesses are a central part of the Group's growth objectives and play a key role in helping to deliver great customer service.

Clive Fenton, Chief Executive Officer commented:

"I'd like to pass on my sincere thanks to Mike for everything he has helped McCarthy & Stone achieve over the past 19 years. We have been fortunate to have him with us to help guide the Group over this period during our times in both public and private ownerships and I wish him well. He leaves the Group in a very strong position as we look to deliver on our strategic objectives."

- Ends -

For more information, please contact:

McCarthy & Stone, 01202 292480

Clive Fenton, Chief Executive Officer

Nick Maddock, Chief Financial Officer

Paul Teverson, Director of Communications

Powerscourt, 020 7250 1446 / [email protected] 

Justin Griffiths

Nick Dibden

Notes to Editors

About McCarthy & Stone 

McCarthy & Stone is the UK's leading retirement housebuilder with a c.70% share of the owner-occupied market1. The Group has sold almost 51,000 properties across more than 1,100 retirement developments since 1977 and is renowned for its focus on the needs of those in later life. It re-joined the Main Market of the London Stock Exchange in November 2015 and re-entered the FTSE 250 following its quarterly review on 21 March 2016.

UK demographics remain strongly in favour of the specialist retirement housing market, with the number of people aged over 85 in the UK expected to more than double between 2014 and 2033 from 1.5m to 3.5m, and the number of over 65 year olds expected to increase by more than 50% from 11.4m to 17.2m2. According to recent research, 1 in 4 over 60s are interested in retirement living3, yet only c.141,000 units of specialist retirement housing for homeowners have been built4.

Older people are also the one group where rates of homeownership have risen in recent years. Homeownership among those aged 65 to 74 increased from 50% in 1981 to 78% in 2012 and among the over 75s it rose from 47% to 73%. However, for those aged 25 to 34, it has fallen from 62% in 1981 to 43% in 2012 and for 35 to 44 year olds it fell from 69% to 63%5.

The Group has two established product ranges - Retirement Living and Assisted Living - which provide one and two bedroom apartments across the country with varying levels of support and care for older homeowners. In late 2014, McCarthy & Stone launched its Ortus Homes product, which is exclusively for the over 55s and those in the earlier stages of retirement who are seeking to downsize for their leisure years. McCarthy & Stone is currently selling its first apartments in this new product range across eight locations, helping the Group to capture a wider share of the active retiree market. In addition, the first Ortus Homes development at Scarlet Oak in Solihull won the Best Retirement Scheme at the annual Housebuilder Awards in November 2015.

McCarthy & Stone's commitment to quality and customer service continues to be recognised by homeowners. In March 2016, the Group received the full Five Star rating for customer satisfaction from the HBF for the eleventh consecutive year - making it the only UK housebuilder, of any size or type, to achieve this accolade.

www.mccarthyandstonegroup.co.uk 

1 Based on 3,453 registrations of cross-tenure properties specifically designed for the elderly with the NHBC during calendar year 2015, of which 2,672 were registered by McCarthy and Stone

2 Office for National Statistics - National Population Projections (2012-based)

3 Demos (September 2013)

4 Independent data provided by Elderly Accommodation Counsel (April 2016)

5 Office for National Statistics - Housing and home ownership in the UK (2015)