Shares in Inland Homes edged higher today after the housebuilder and regeneration specialist posted a jump in half-year profits.
The Aim-listed company, which buys and develops brownfield land in the south and south-east, posted a 274.4 per cent increase in pre-tax profits to £21.5m in the six months to the end of December, boosted by a £14m revaluation surplus. Its net asset value per share - a key industry measure - rose by 65.8 per cent to 84.4p.
Revenue increased by 4.9 per cent to £55.1m, thanks to rise in the average selling price per unit to £325,000 from £242,000 the previous year.
Inland Homes' chairman Terry Roydon said demand for new homes outside of central London "remains as high as we have ever seen it", with more flats rather than houses being built due to government initiatives such as Starter Homes and the extension of Help to Buy.
The company is currently building 208 units across seven projects in the south east of England, with a further 111 plots is expected to start shortly.
It has entered into a joint venture with the land owners of an 8.4 acre site in Garston, Hertfordshire, which has the capacity for approximately 100 plots.
The group was also hired by Southampton City Council in November as a development partner on an 8.9 acre former depot site to be named Chapel Riverside and expects to secure planning permission within the next year for around 380 homes.
Other schemes include Wilton Park in Beaconsfield, where it recently completed a public consultation and expects to submit a planning application 304 new homes and 21,000 sq ft of commercial space in April this year.
Chief executive, Stephen Wicks, said: "This has been another record period for Inland Homes, which not only reflects the positive market backdrop against which we're operating, but also the ongoing success of our strategy and operational activities."
"Our strategy of regenerating brownfield sites that are well-located in areas of growth in the south east is delivering clear results and, with our key development projects progressing as planned, we are looking forward to the rest of the year ahead with confidence."