Redrow reports buyers unbowed by Brexit

Aaron Morby 8 years ago
Share

House builder Redrow has reported strong interest and reservation levels from buyers in the wake of the Brexit vote.

Redrow chairman says sites remain busy post-Brexit, reservations continue to be taken
Redrow chairman says sites remain busy post-Brexit, reservations continue to be taken

In an upbeat year-end trading statement this morning chairman Steve Morgan said annual profits were expected to be at the upper level of city expectations of £240m.

His upbeat but cautious view came after Redrow saw its shares dive 30% since the vote to leave the EU.

“In the run up to the EU referendum there was no impact on house sales or visitor levels.

“Although it is too early to tell whether Brexit will have any effect on future sales, initial feedback is that sites remain busy, reservations continue to be taken.

“Indeed, we witnessed long queues and strong reservations at new sites launched last weekend.”

Morgan added: “The fact remains that there is a long term underlying demand for new homes following decades of under supply.  This chronic shortage of housing leaves market fundamentals unchanged.”

Turnover jumped 20% to reach a record £1.38bn over the year as the number of completions jumped 17% to 4,716, with private completions up by 12% to 3,882.

Redrow’s average selling price of private homes rose 10% over the year to reach £328,500.

In central London, the region expected to be worst hit by Brexit fallout he said developments at Commercial Street and Amberley Waterfront were now completed and significant progress has been made at Holland Park Avenue and Connaught Place, where just a handful of plots remain.

All other London developments, including the Croydon Joint Venture, had sold either in line with or exceeding management expectations.

Latest news

Everton stadium cladding firm files administration notice

Alucraft Systems Ltd has been on Everton job since last May
4 hours ago

Crest Nicholson hit by more build defect problems

Remediation work on four more sites could cost £15m
3 hours ago

Beard expands reach as revenue hits record £179m

Builder starts 2024 with healthy head of work
11 hours ago

Race to start for £25m Cardiff twin tower reclad job

Cardiff council to use SEWCAP to bid Butetown high rise flats revamp
14 hours ago

Gove calls up ‘super-squad’ to clear London planning log-jam

Specialist planning team first to unlock 7,000 homes in Newham and Greenwich
18 hours ago

Permasteelisa in £35m cladding win at St John’s Wood Square

Italian specialist to start work on luxury resi site by the end of this year
20 hours ago

Investor pumps another £30m into low carbon builder

House builder Greencore gets more funding as latest results reveal £4m loss
23 hours ago

800-bed Leeds student and shops scheme approved

Major three-block scheme will replace The Core shopping centre in the city
1 day ago

Modular homes specialist files administration notice

Lighthouse bosses battle to save the business
1 day ago

Go-ahead for £175m Birmingham Broad Street tower

Work to start on 47 storey build to rent tower in September
1 day ago

Erith trading rebounds after lengthy bid-rigging probe

Staff paid £1.5m bonus after year of growth and return to profit
1 day ago

Balfour and Costain win vast power and carbon capture job

Nine firms to share £4bn Teesside net zero work bonanza
4 days ago

First ‘Great Grid Upgrade’ job goes to MGroup and Murphy

Works to start this summer on £400m Yorkshire GREEN electricity pylon upgrade
4 days ago

London council can no longer police planning applications

Planing row reveals Greenwich officials no longer follow-up to check on developments
4 days ago

Surgo Construction falls into administration

46 jobs lost as historic contractor ceases trading
5 days ago

Mace fresh start date for £90m Natural History Museum hub

Reading project to build store for 28m specimens to start early next year
4 days ago

Competition watchdog probes Barratt Redrow merger

CMA opens investigation into creation of mega house builder
4 days ago

Safety chiefs act to avoid building control crisis

Three-month extension to deadline for professionals to prove their competence
4 days ago

TClarke hits £500m turnover target but profitability slips

Big work-winning year sees order book swell 70% to £943m
4 days ago

Just 10% of £10bn Levelling Up funding spent by councils

Speed of delivering 'shovel-ready' projects fails to meet expectations
4 days ago

Six win £1bn North West & Central railway works deal

Story, Murphy and Amey feature in five-year CP7 framework
4 days ago

Willmott Dixon names new finance chief

James Mackenzie joins from Willmott Dixon's Eco World development JV
4 days ago

Ilke Homes name reappears after £320m collapse

New brand Homespace now owns modular designs after Ilke failure
5 days ago

Second staircase rule costs Vistry £19m

Firm reopens East Midlands timber frame manufacturing plant
5 days ago

Clients urged to get ahead of contractor recovery cycle

T&T says investment decisions must be ‘made not delayed’ for best value
5 days ago

Fife groundworks and plant hirer goes under axing 35 jobs

James Penman (Plant Hire) falls into administration in 50th anniversary year
5 days ago

Smart Motorway Programme Alliance chief to step down

Tony Slater is moving on to take up fresh career challenge
5 days ago

Balfour M25 workers vote for strike in pay row

Maintenance crews to down tools over "meagre" pay offer
6 days ago

Andrew English returns to Skanska as infrastructure boss

Returning director replaces Jonathan Willcock who is off to Costain
6 days ago

Construction back in growth as output rises 1.1% in January

Green shoots of recovery as private housing returns to growth
6 days ago

Contractor services