CALA housing group expands operations
CALA Group has announced it is to expand its business by launching two new housing divisions in the south-east of the country.The organisation is to open a North Home Counties division, encompassing Essex, Hertfordshire, Bedfordshire, Cambridgeshire and London Boroughs down to Zone Three. Its new Southern Home Counties division will include North Kent, West Sussex, East Sussex, Hampshire, Surrey and South London Boroughs. News of the expansion follows strong trading figures for the group and 16 per cent growth in the value of its landbank. CALA aims to more than double the size of its business by 2017. Its upmarket products have achieved significant success in the UK housing market - its Midlands business is forecast to triple its revenue over the next three years and its West Scotland division is expected to deliver revenue growth in the region of 70 per cent during the same period.Each of the new divisions is expected to achieve an annual combined gross development value in 2016 of approximately £100 million, rising steeply thereafter. The south-east of England is a core part of the firm's growth strategy.Duncan Jackson, previously managing director of Persimmon's Essex business, is to head the North Home Counties division, while a regional managing director for the Southern Home Counties sector will be announced later in the year.Nick Twine, previously South East managing director at Bovis Homes, has been appointed as regional managing director for CALA's existing South division.The group has invested heavily in its landbank, with the backing of Patron Capital Partners and Legal & General, which acquired CALA in March 2013. Since July 1st 2013, CALA has contracted 1,824 plots with a Gross Development Value (GDV) of £681 million and has received consent on 15 sites, totalling 1,642 plots with a GDV of £417 million. Alan Brown, chief executive of CALA Group, said: "After delivering record profits for CALA Homes during 2013, we are now investing significantly in new staff and top quality sites in desirable locations, in order to expand our regional footprint and firmly establish the CALA brand in new, high growth markets."
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