The affordable homes builder warned that adjusted pre-tax profit for the year ending 30 June 2026 will come in about £7.5m below market forecasts after its biggest planned land sale failed to complete before year-end.

The delayed transaction accounts for around half of Gleeson Land’s forecast plot sales this year and, alongside two smaller deferred deals, will now complete during the first half of FY2027.

The setback comes as major house builders reassess land acquisition strategies amid softer market conditions, particularly in southern England.

Chief executive Graham Prothero said Gleeson Land had overcome almost all technical hurdles on the flagship disposal but completion had slipped into the next financial year.

He warned that house builders were continuing to review land buying strategies and expected transactions to take longer to conclude.

Despite the delay, Gleeson said demand remained strong for prime development land and maintained that trading at its Gleeson Homes division remained in line with expectations.

The update suggests adjusted pre-tax profit could fall to around £10m against analyst forecasts of £18m, representing a downgrade of more than 40%.