Lovell seals £45m modular deal with Homes England
Lovell has signed a £45m modular housing JV deal with Homes England under the government’s Accelerated Construction initiative.
Morgan Sindall’s housebuilding arm purchased the land to deliver 200 units using modular techniques in Leyland, Lancashire, from Homes England.
This is the first scheme under the Accelerated Construction initiative to go ahead in the North-west.
The initiative was unveiled by the then Homes and Communities Agency – now Homes England – in October 2016 to speed up the release of surplus government land for development.
It also allows Homes England to build homes in partnership with developers rather than selling land to them outright.
Lovell and Homes England will share the risk and profit from the sale of the houses.
Homes England North-west head of accelerated delivery said: “We are really pleased to be working with Lovell, who have demonstrated a real commitment to delivering the quality and pace of development we are seeking for this prestigious site.
“We look forward to working with Lovell over the duration of this exciting joint venture initiative.”
The 200 homes, of which 140 will be for open sale, will be built with modular closed panel, pre-insulated, timber frames and roof cassettes, which Lovell said could double the speed of production.
The firm is hoping to secure reserved planning permission for the 9 ha site in the autumn and is aiming to start on site in early 2019.
Construction is expected to be completed in 2021.
In January ex-Laing O’Rourke director Steve Colbey was appointed Managing Director of Lovell after former head Jonathan Goring was promoted to Partnerships Director for Morgan Sindall.
Last November the division secured its biggest job to date when it won a £250m scheme for the Ministry of Defence to build 1,000 homes on Salisbury Plain.
Morgan Sindall reported strong results for Lovell in 2017, with revenue up 9.4 per cent to £474m and a pre-tax profit of £13.7m.
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