Bovis Homes steps up house builds to meet demand

16th May 2014 09:59

Bovis Homes Group said it has stepped up house builds in the year-to-date to meet increased sales activity.The company built 80% more homes in the first four months of 2014 compared to last year.The property firm also achieved a 78% increase in cumulative private reservations, including 253 units from private rental sector deals to 2,096.The company made significant progress on land investments with 3,273 consented plots across 17 sites added to the land bank in 2014.The group said it is confident of achieving a strong increase in return on capital employed to at least 15% in 2014, assuming stable market conditions. Sales prices continued to increase ahead of management expectations with net prices achieved on private reservations to date averaging 3% ahead of target unit prices established in late 2013.Prices in the housing sector have risen as demand has been lifted by low borrowing costs and government schemes to support mortgage lending. Chief Executive David Ritchie said: "Strong trading since the start of 2014 provides further evidence of the ongoing successful delivery of the group's growth strategy. "When combined with the positive market backdrop, this has enabled the group to balance the delivery of strong sales rates with positive pricing improvements."RD