Countryside Properties sees 'significant' opportunity in partnerships

While management was mindful of medium-term uncertainty over Brexit, it has left its targets unchanged.

Average selling prices surged 21% in the year to 30 September to £466,000, and the number of completions across the group grew 12% to 2,657 units, slowing from the 29% rate in the third quarter.

“Trading has been robust over the summer months, with sustained growth in sales outlets throughout the year and we welcome recent Government news aimed at increasing housing supply and multi-tenure delivery,” said chief executive Ian Sutcliffe.

Private sales rates remained robust at 0.78, from 0.76 a year ago, and the number of open sales outlets was up 48% to 43.

The private forward order book mushroomed 64% to £225.4m and its total land bank increased by roughly 1,000 to 27,205 plots.

By the end of the year, Countryside had moved into a small net cash position of around £12m, from the £59.5m net debt a year ago.

The private housebuilding arm saw total completions rise 28% to 703, with average selling prices up 14% to £667,000 thanks to a large degree of soaring prices in London commuter markets, with the high-value Millgate brand seeing no increase in average prices but more completions than the previous year.

Completions were up 10% in the partnerships division with the average selling price rising by a sharp 27% to £307,000, which the company said was “driven by strong demand for our products, the effect of place making as we continue with our large estate regeneration projects and house price inflation”.

The FTSE 250 company said it was an “outstanding” year for winning new work in the partnerships division, with 6,434 plots secured and a further 33,515 plots identified in the current bid pipeline, while the planning environment was said to remain positive.