House builder Redrow has issued an upbeat trading statement for the first quarter of 2010, with sales “comfortably ahead” of the same period a year ago.
The firm said its average selling price increased due to a change in mix of housing. It expects to legally complete in excess of 2,500 homes for the full year, which “will result in a return to profitability for the second half period”.
Since 31 December 2009, Redrow has secured or agreed terms on 2,500 plots on 18 new sites.
It expects its net debt, currently around £50m, to rise as its land bank increases.
Redrow concluded: “Given the uncertainties surrounding the election, the economic environment and continued restrictions on mortgage availability, we expect the market to remain challenging throughout 2010.”