Henry Boot subsidiary finalises land sale

Henry Boot announced on Tuesday that its subsidiary, Hallam Land Management, has finalised the sale of a freehold site in Ambrosden, Oxfordshire, to housebuilder Mulberry Homes.

The London-listed firm said the site, with planning permission for 75 homes, was sold unconditionally.

Hallam Land Management acquired the site in 2014 and guided it through the planning process, submitting an application in July 2022.

By December 2023, Hallam secured outline planning consent for 75 homes, a 12-acre community woodland, local highways improvements, green infrastructure, and a children's play area.

The sale was expected to complete in the second half of 2024 and was projected to deliver an ungeared internal rate of return of 19% per annum.

Hallam also retained ownership of an adjacent 20.6-acre site for future development.

“The recent site sale to Mulberry Homes underscores both our land promotion business's expertise in securing planning permission for complex sites and the continued demand from housebuilders, who are showing encouraging levels of interest for sites in our prime portfolio,” said chief executive officer Tim Roberts.

“As a result of Hallam's efforts, 75 new homes can now be delivered in an area of acute housing shortage, and we have also been able to generate attractive returns for our shareholders.”

At 1602 BST, shares in Henry Boot were down 0.24% at 206.5p.

Reporting by Josh White for Sharecast.com.