Strata are building a record profit
STRONG FOUNDATIONS: Andrew Weaver, of Strata, a Hull housebuilder,rnwhich has seen record profits.
By Hull Daily Mail | Posted: 6 Nov 2017
A HOUSEBUILDER with three Hull sites has reported record profits, achieving double- digit growth for a second consecutive year as it delivered a total revenue of £128m.
Sales for Strata in the year ending July 1, 2017, helped the firm reach record profits, with turnover rising by 30 per cent compared to the previous full financial year.
Compared with the full financial year ended December 31, profit before tax on residential property sales took a substantial leap forward from £11.1m to £20m in the same period.
The business has completed 605 homes across 20 sites in the past 12 months, with an average selling price of £212,000, up by 22 per cent on the 12-month period ending December 31, 2015.
The company has two completed sites in Hull – Amber in Boothferry Park and Emotion in Maybury Road – where it secured planning permission to build a total of 296 homes. During the last financial year, it sold 46 properties with an average selling price of £149,000.
SITE: Strata homes in Boothferry Road.
The company also recently started work on the latest development in Kingswood, Hull, called Attraction, and is currently in negotiations over further plans for the region.
Strata’s chief executive, Andrew Weaver, said: “Despite wider political and economic uncertainty, we are exceptionally pleased by the resilience of the housing market in Yorkshire and East Midlands.
“As well as improving our operational margin, we have used the favourable conditions to widen our geographical reach, diversified our house type range and fortified our position as a forerunner in design and customer service.”
The company says growth has been driven by acquiring new sites for development throughout Yorkshire and the East Midlands. It says it has seen a higher average selling price this year after developing schemes with homes suited to families and people wanting to move up the housing ladder.
Mr Weaver said: “2016-17 saw the highest demand since the launch of Help to Buy in 2013. This has been coupled with high affordability pass rates and record low cancellation rates.
“Furthermore, our focus on customer experience has seen us named as one of only 15 housebuilders nationally to secure five-star status from the Home Builders Federation.”
With a strong and sustainable land pipeline and sites negotiated or contracted, future growth for the company is reinforced by a record forward selling position going into 2017-18, with 65 per cent of sales committed for the 700 plots forecast.
Employing 178 people, Strata was recently named in the Sunday Times BDO Profit Track 100, where it was ranked 20th in the league table. It had been identified in the ten companies included in the Ones to Recognise category in the Top Track 250 in the previous year.