'Landmark' period for company
Avant advances homes target on robust demand
It has now instigated the next phase of its growth plans to double output to 4,000 homes a year by 2023.
To achieve this, the group will complete the scaling up of its existing operating regions while continuing to invest in land and target further geographic expansion following the launch of a fifth operating region covering South Yorkshire, Derbyshire and North Nottinghamshire.
It also plans more homes in Dundee.
Customer enquiries, visitors and reservations have continued to be strong in 2018 and the group is well positioned as it starts its new financial year with a forward order book totalling £163m and with 69% of H1 units forward sold.
Total completions for the year ended 27 April were up 16% on the prior year at 1,903 (FY17: 1,636), with a strong increase in private completions of 16% to 1,626 (FY17: 1,406)
Avant’s owned and contracted land supply now stands at over 7,492 plots with a potential gross development value of £1.7bn. The group has added 2,642 plots to its owned and controlled land supply in the year, representing a net increase of 739 plots across the year.
This has been delivered through a controlled and selective strategy to land acquisition, focusing on premium locations in the north of England and Scotland’s central belt.
Selected key sites acquired during the 2018 financial year include sites in Nottingham, Market Harborough, Sheffield and Glasgow.
Market backdrop and outlook
The trading conditions in the regions where Avant operates remain robust; employment trends in these markets are encouraging, the ongoing availability of mortgage financing at competitive rates continues to underpin buyer activity and Avant’s well designed, high specification homes continue to resonate with the Group’s customer base.
More broadly, the group remains encouraged by the cross-party support for tackling the UK’s housing shortage which gives confidence in Avant’s long-term growth plans.
With a continuation of supportive market conditions and ongoing momentum, the board expects FY19 to be another record year, building on the group’s strong platform to reach Avant’s new five-year target of becoming a £1bn turnover, 4,000 unit business.
Colin Lewis (pictured), chief executive, said: “The last twelve months have been another landmark period for Avant and we are reaping the rewards of our strategy to build homes that offer something different to UK buyers.”