Under the terms of the deal, Springfield will acquire 17 sites with planning permission for around 700 homes, valued at £230m.

The deal also includes Timber Systems, a timber frame factory near Glasgow, which will give Springfield a second timber frame factory allowing it to increase capacity for future growth. 

Around £10m will be paid upfront with further payments released in stages as schemes are completed.

Springfield intends to retain all of Mactaggart & Mickel’s house building and Timber Systems staff.

Innes Smith, chief executive officer of Springfield Properties, said: “As well as bringing another premium brand into the group, this acquisition gives us land, with planning permission, in areas of significant demand.

“The structure of the acquisition – with the majority of the payment to be made as homes are completed – de-risks the deal and creates an effective and efficient means of acquiring land.”

He added: “The addition of a timber frame facility in the Central Belt, alongside our existing facility in Elgin, secures our supply of timber kits and provides further capacity to support our next stage of growth.

“It will also reduce our carbon footprint by enabling local manufacture of all kits.”

Paul McAninch, group finance director of Mactaggart & Mickel, added: “We welcome this agreement with Springfield, which we believe provides a strong platform for growth for both parties.”