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Lovell delivers increase of affordable homes across The North West

Lovell has shown resilience against a softer housing market in the North West region through its partnership housing model.
A shot of part of the regeneration led by Lovell at Miles Platting in Manchester

It is anticipated that Lovell will deliver a further 1,270 homes across the region in 2024, with a wider pipeline secured of an additional almost 4,000 homes.

While there was a slowdown in the sale of private homes on mixed-tenure sites, due to the cost-of-living crisis and rising mortgage rates, revenue across Lovell Partnerships is up by 20% in the year to £838m, with an operating profit of £30.5m alongside a return on capital employed of 12%.

The secured order book at the year-end was £2.034bn, representing a 3% improvement on last year’s position and a clear reflection of the successful strategic growth and partnership model. These results have bolstered the overall results of parent company, Morgan Sindall Group plc, whose full year results were published to the London Stock Exchange this morning.

The Group delivered a strong performance in 2023 against a difficult market backdrop. The results were another record for the Group and reflected the strength and breadth of the Group’s operations and the talent and commitment of its people.

Group revenue increased by 14% to over £4.1bn, while adjusted operating profit before tax was up 6% to £144.6m.  The Group’s balance sheet remains strong with net cash of £461m, and its high-quality secured order book of £8.9bn, up 5% on the prior year leaves the Group well-positioned for the future and on track to deliver a result for 2024 in line with its current expectations.

Lovell is working on a number of key projects in the North West, including its partnership projects helping to unlock brownfield sites and meet rising demand across the region. The creation of 485 energy efficient, low carbon homes built to Future Homes 2025 standards are progressing at the next phase in Pendleton, Salford.

In Manchester, Saxon Square is the final scheme in the 10-year transformation of Miles Platting, breathing new life into the community and helping to secure its future growth. And in Liverpool, the team is also delivering an affordable housing project building 88 homes in Croxteth to support the city council’s housing ambitions and wider regeneration plan for the area.

Paul Challinor, regional managing director for the North West, said: “We are at a truly pivotal moment in the North West, with the completion of Miles Platting on the horizon after more than a decade of work to support the area’s regeneration. This monumental transformation is a fantastic demonstration of our expertise and capability, working with key partners, enhancing sustainability, and ensuring the future of our communities.

“Our commitment to collaborative regeneration continues to remain at the heart of what we do, and we look forward to developing new partnerships in the coming year, as well as building on our ongoing successes with our open market sales sites to deliver our ambitious growth plans in the region.”

To view the Morgan Sindall Group plc full year results video, click here

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