AIM-listed Wren reports turnover of just £84,000 after failing to sell a single home in last six months
Retirement homes builder Wren has announced an interim loss after failing to sell a house in the last six months.
The AIM-listed small builder said it managed a turnover of just £84,000 in the six months to the 31 January, all from a profit-share arrangement with another developer, down 82% on the equivalent period in 2007. Consequently it made a loss of £393,970, compared to a £245,504 profit last year.
In a statement to AIM Brian Nathan, chairman of Wren Homes Group Plc, said he was experiencing “the worst downturn for the housing sector in two decades.” Managing director Paul Treadaway conceded that no direct sales had been completed in the six-month period.
However, he said the company was confident of future prospects with seven of its 19 unsold homes under reservation, and plans to employ new staff to manage its move in to the extra care sector. “We’re sitting in a very good situation at the moment. If we had an estate of 400 homes sitting unsold we might have to reduce prices, but we’re not in that position.”