Scotia Homes, the Ellon headquartered housebuilder, has acquired timber kit manufacturer, Caledonia Homes, also based in the Aberdeenshire town, for an undisclosed sum. 

Caledonia, which is based at Castle Road Industrial Estate has been 100% owned by Stuart Sutherland since 2004.  The company builds individually designed houses and also supplies timber kits for bespoke self-build projects. 

Scotia has also signed a new 15-year lease of Caledonia’s business premises in Ellon and is committed to investing to increase its manufacturing capacity. 

Gary Gerrard, chair of Scotia Homes, stated: “With the huge cost inflation that we have experienced during the past year and the material supply shortages that we have seen across the construction industry, it became apparent to our board that we needed to take more control of our supply chain. 

“Timber kits are a key component of our housebuilding operations and we identified this excellent acquisition opportunity right on our doorstep. 

“The benefits of acquiring Caledonia are threefold; it provides us with in-house manufacturing capability for our timber kits, alongside our existing suppliers; it provides additional highly skilled teams of office-based and on/off site trades; it supports our sustainability agenda and forms a key part of our ESG strategy by expanding our local supply chain.  It is a great news story for Ellon in the current turbulent economic conditions.” 

Martin Bruce, Managing Director of Scotia Homes, commented: “I have known Stuart Sutherland for many years.

“Stuart has developed a highly skilled team and we are delighted that all staff members will be retained, with the Caledonia business becoming part of the wider Scotia group.  I look forward to welcoming them as part of our team.” 

Stuart Sutherland, managing director of Caledonia Homes, added: “Scotia Homes is one of Ellon’s largest employers with development sites across the north of Scotland. 

“I had taken the decision to retire earlier this year before receiving an unsolicited approach from Scotia.  After several meetings, I became comfortable that they were a perfect fit for my business and also offered continuation of employment for my employees and sub-contractors.” 

Scotia Homes has current and future developments in Aberdeen, Arbroath, Aviemore, Ballater, Blairgowrie, Braemar, Brechin, Croy, Ellon, Forfar, Insch, Inverness, Kincraig, Kintore, Newmachar, Oldmeldrum, Perth, St Andrews and Tarves.