Scottish housebuilder eyes expected demand from thousands of workers needed in region
Springfield Properties has agreed to sell nearly 2,500 plots of land to Barratt Redrow for 拢64.2m.
The Scottish housebuilder said the proceeds from the sale will be used to more quickly pay down its outstanding bank debt, which stood at 拢62.9m as of 30 November.
It said the move will also capitalise on the 鈥渟ubstantial need for new housing鈥� expected in the north of Scotland due to anticipated growth in green infrastructure.
The housebuilder said Scottish and Southern Electricity Networks is investing 拢31bn into upgrading the electricity network in the region and the project will require around 5,000 workers in 2027.
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The Inverness and Cromarty Firth Green Freeport is also expected to create more than 10,000 jobs locally with new investment of over 拢3bn.
Springfield said its new projects and land purchasing will be focused on the north of Scotland region 鈥渨here greater growth exists鈥�, as opposed to central Scotland.
The announcement came as Springfield published its half-year results for the six months to 30 November, showing its pre-tax profit has nearly trebled from 拢1.2m to 拢3.5m year-on-year.
The increase was despite turnover dropping 13%, from 拢121.7m to 拢105.6m, as it built 361 homes compared to 432 in the same period last year.
The group reduced its net bank date from 拢93.4m to 拢62.9m and said reducing debt further 鈥渞emains an area of focus鈥�.
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