"Whilst still early to predict, this positive start to the year alongside improving economic fundamentals are reasons for optimism that the market could return to more normal conditions during 2024"
- Kevin Whitaker - Cala
During the 12 months ending December 31 2023, the housebuilder saw pre-tax profit fall by 33.6% to £112m against 2022. Turnover slipped 7.3% to £1.26bn.
Cala’s completions decreased by 3.6% to 2,917 new homes with the average selling price rising marginally from 2022’s £492,000 to £495,000.
The firm highlighted its “robust” sales per site per week of 0.63 during the period, roughly on par with 2022’s 0.62. However, as of March 10, the sales rate increased to 0.71. Cala commented that it was seeing “encouraging levels of enquiries to our developments and website”.
It ended its financial year with 640 forward private reservations, equating to £308m gross development value (GDV) against 2022’s 751 units and £396m GDV.
Cala also said it had 19 new short-term developments contracted with an estimated GDV of £1.4 billion, capable of delivering more than 2,700 new homes.
Cala’s CEO, Kevin Whitaker, said the housebuilder’s consistent delivery had given it the confidence to execute our strategy to invest in land for future years.
He added: “In 2023, Cala contracted 24 new sites, capable of delivering over 4,300 new homes. These sites have a gross development value of £2.1bn with an average selling price of around £500,000.
"We remain committed to this strategy and our land and planning teams across the UK are actively seeking further opportunities to invest in sustainable developments in desirable locations.
“Whilst still early to predict, this positive start to the year alongside improving economic fundamentals are reasons for optimism that the market could return to more normal conditions during 2024. The stabilising of interest rates, reductions in inflation and more competitive mortgage rates will improve affordability.”
