Notting Hill Housing Group has recorded a record surplus of £142m in the same year as increasing housing supply in London by 1,151 homes, bringing the total number of homes owned or managed to nearly 33,000.
Notting Hill Housing Group (NHHG) will use its record surplus of £142m, as reported in its annual statement published today (20 July 2017) to continue its programme of creating thousands more homes across London.
The results show the annual surplus increased by £17m compared with £125m in the previous year. Turnover has reduced slightly from £415m to £412m and our operating costs per home have decreased from £4,617 per unit to £4,426 per unit as a result of the continued efficiency programme.
The Group has invested more than £373m in new housing supply in London during the year to March 2017. Our development pipeline is forecast to deliver nearly 9,700 homes within the Greater London Area.
Group Finance Director Paul Phillips said, "Achieving another record surplus is a great achievement and gives us the financial strength to continue developing the new affordable homes that Londoners need, while reducing our reliance on Government subsidy.”
Our strong performance is driven by:
- Surpluses on sales of fixed assets of £17.6m, primarily from Shared Ownership customers buying more shares in their properties.
- Increases in the value of our investment properties of £11m
These gains are offset by impairment of £10m within our development programme.
Paul Phillips continued: “These strong results gives our customers, investors and other stakeholders confidence in our ability not only to withstand challenges within the housing sector but also to continue to deliver homes for a range of needs across the capital.”
These results are in addition to the proposed partnership with Genesis announcement with Genesis Housing which will create a financially strong entity, with combined reserves of £3.1bn and loan facilities of £3.5bn. Turnover will be around £700m. This financial strength will allow us to deliver around 2,700 new homes a year, 400 more than would be achievable separately.
The full Financial Statements are available on our website