LiveWest becomes latest housing association to miss development target
LiveWest has become the latest housing association to miss its 2021/22 development target, citing inflation and labor and material shortages.
The 38,000 Housing Association, in its financial statements for the year to March 31, said it had completed 800 affordable housing units in 2021/22, around 72% of its original target of 1,100 housing units for the year.
He said: “Our development program continued to be impacted by the pandemic which, coupled with material and labor shortages, resulted in significant transfer delays.”
The figure of 800, however, was higher than the 701 completed during the 2020/21 pandemic. Its overall development completions, including sale on the market, fell from 785 homes to 911 year-over-year.
LiveWest, which operates in the South West, also said it expects deliveries to be “significantly higher” this year as it has a “healthy” pipeline of 3,332 plots owned and in progress. development.
It is aiming for the completion of 1,050 homes in 2022/23, which would bring it back almost to its pre-pandemic level. The organization completed 1,158 homes in 2019/20.
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LiveWest aims to complete 7,000 new homes over five years. Last September it secured a £123.6million grant from Homes England to build 2,550 homes under a strategic partnership agreement and it is also taking part in the Affordable Housing Scheme. He said the grant would allow him to “reduce his reliance on Section 106 development opportunities,” under which he eventually purchases affordable homes built by homebuilders.
Despite the drop in completions, LiveWest increased its annual turnover by 11% to £271m and its pre-tax surplus from £46m to £53m by 15%.
The surplus was boosted by an increase in condominium turnover. The association sold 294 condominium units in 2021/22, compared to 258 the previous year.
Total sales revenue increased from £50.47m to £70m, while sales profit increased by 45% from £7.7m to £11.24m.
In recent weeks, several housing associations have reported missing their annual completion target, including Moat, Sanctuary, Hyde and EMH Group (see box below),
2021/22 social accounts of the housing association
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The platform reduces its development and energy efficiency targets The 46,000-unit housing association increases its turnover thanks to the increase in condominium sales
Later living giant Anchor show £24.4m surplus after last year’s loss The housing association is on track with a development plan for 5,700 homes
Hyde delivers less social housing than expected due to ‘delays and shortages’ The 48,000 unit housing association meets 74% of the affordable target, but overall meets the reduced development target.
EMH Group misses its development target by 40% The housing association says construction has been hit by planning delays, material shortages and the effects of the pandemic, but is confident of hitting the five-year target