A loss-making Midlands offsite timber frame housing factory is to close after its owner GreenSquareAccord (GSA) failed to find a buyer for the operation.
LoCaL Homes’ impending closure is the latest in a string of offsite company failures in the past few years, as poor housing market conditions and high costs impact the sector.
The LoCaL factory is based at Airfield Drive, Walsall and has the capacity to manufacture 1,000 units annually, offering 140mm or 195mm closed Eco panel timber frame systems, with an on-site installation service, using Structural Timber Association approved installers.
“We are moving ahead with the closure of the business after being unable to secure a viable sale,” said GSA.
Housing provider GSA announced exit plans in September 2025, in line with its strategy to focus on core social landlord services.
“Despite our best efforts we have not been able to secure a viable sale, and this means we must now move forward with the closure of the factory,” said Mona Shah, chief finance and investment officer at GSA.
“While this is disappointing news, it is a necessary decision in the circumstances. As previously outlined, LoCaL Homes has been operating at a loss, and we cannot continue to subsidise this.
“At the same time, GSA faces a challenging financial landscape and must prioritise investment in existing homes over new development. We also have a responsibility to focus on our core offer and deliver on our vision of being a great social landlord.
“Our focus in the coming weeks and months will be on supporting the 35 colleagues who work for LoCaL Homes and working with our remaining customers as we progress the closure of the factory.”
LoCaL says its design and manufacturing flexibility means its system can be adapted to a wide range of buildings from houses to apartments to schools and care homes with a choice of external cladding and insulation materials.
The external finish can be completed with factory fitted cladding of either Hardie Plank, brick slip cladding or render substrate board ready for site applied render.
Projects have included the transformation of the former site of the Redditch Trades and Labour Club, near the town centre, into 40 new high-quality apartments.
It was also appointed to deliver a scheme of 94 units for client Settle Group in St Ives, Cambridgeshire.
GSA is an affordable homes and services provider that owns and manages 25,000 homes in diverse communities across the West Midlands and Southwest. GreenSquareAccord was formed in April 2021 from the merger of the similar-sized Accord Housing Association and the GreenSquare Group.
