Tony Pidgley, managing director of the Berkeley Group, said: "It is very simple. Paddy did the review to simplify the business – we are not doing small, executive homes any more but have moved into large-scale regeneration."
It had been agreed that once Sweetnam implemented the findings of his three-year review, he would see if there was something else he could do within the group. Pidgley said: "There is nothing really. We didn't really want to see him go."
Rob Perrins, group finance director, said: "Effectively he was always working himself out of a job. He hasn't decided where he's going next; I don't think the plan for him is to go to another developer, but maybe go back into the public sector."
Before joining Berkeley in 1991 Sweetnam worked in planning. He was appointed managing director of Berkeley Homes (London) in November 2001 after working in the eastern and southern divisions as managing director and executive chairman.
The departure of Sweetnam, who will leave at the end of October, will not alter the structure of Berkeley.
Effectively he was always working himself out of a job
Rob Perrins, group finance director
His resignation comes four months after that of Tim Farrow, a member of the board at the group's St James Homes arm. Farrow left at the end of May.