Crest Nicholson forward sales jump 50 per cent

20th Mar 2014 07:11

- Housing market conditions continue to improve- Forward sales jump 50 per cent- Expects strong revenue growth to continueHousebuilder Crest Nicholson said it continued to benefit from the government's shared equity scheme as well as improving market conditions and, against a backdrop of rising confidence, expects to deliver strong revenue growth in the year ahead.Open-market reservation rates from November 1st to March 7th 2014 rose 13% from the equivalent period last year. Forward sales for 2014 and beyond surged 50% to £330m as average selling prices continue to grow steadily.Chief Executive Stephen Stone commented: "Market conditions throughout our areas of operation continue to be favourable and the business is responding by increasing our delivery of new homes. We are continuing to add value to our land bank and to progress opportunities to develop the business."At March 7th, 58% of reservations had been taken in respect of forecast full year 2014 legal completions.Cancellation rates in the period have averaged 12% compared to 8% in 2013, which is more representative of a long-term level for this business, it explained."Against a backdrop of rising purchaser confidence, increases in mortgage approvals and generally improving economic conditions, the group is very well positioned to continue driving business performance," it said.The group has increased its current £100m revolving credit facility to £200m.CJ