Bellway builds again
Published: 16 June, 2009
NEWCASTLE: House builder Bellway is to change its focus from reducing debt to building new homes.
The company said its southern-based divisions are experiencing a stronger market than...
its northern-based divisions where markets remain fragile, particularly in the Midlands, Yorkshire, and Northwest.
In a statement to the London Stock Exchange the firm said: "With bank debt currently standing at £111.3m, Bellway continues to operate well within its committed facilities."
The company said: "The focus of the business is changing from primarily one of simple debt reduction to selectively increasing production in certain parts of the country where demand is strongest."
The group is acquiring land suitable for traditional two-storey housing. It reports net reservations since February average 105 per week securing Bellway's volume target of 4,200 homes for the year. The firm's order book of reservations for completion after July stands at £228m compared to £283m a year ago.
Bellway aims to have half of next year's volume target secured as it enters the new financial year.