L&G Homes Modular optimistic despite losses7 August 2019
Legal & General’s (L&G) modular homes operation has racked up another £20.6m of losses, according to its latest results. Cumulative losses to date are almost £76m.
L&G Homes Modular was founded in late 2015 with the aim of building 3,000 units per year from its 550,000ft factory near Leeds and parent company L&G has invested more than £90m in the business since then.
The business has been hit delays but did deliver its first batch of modular homes to the Silva Homes housing association in December 2018. It built eight new homes at a development in Berkshire.
“The business has started to develop a portfolio of commercially-viable new products, which are targeted across different sectors,” said L&G Homes Modular in its annual results statement.
It went on to say that the company has worked with “key stakeholders and partners on the new product development programme, which will continue at pace during 2019”.
In an interview with the Sunday Times, a company spokesperson said that its business plans predicted that a number of years of upfront investment would be necessary “to develop the products and processes required to enable the business to deliver profitably at scale”.