A year after Legal & General pulled out of the modular house manufacturing business, the insurance giant is now looking for a buyer for its Cala Homes division, a traditional house-builder/developer.
Sky News has reported that Persimmon is planning a bid for Cala, which has a 拢1bn price tag. 聽Taylor Wimpey and Avant Homes are also expected to consider bids, it is reported. Avant Homes is the private equity-backed vehicle of former Persimmon chief executive Jeff Fairburn.
Cala began life in 1875 as the City of Aberdeen Land Association. Legal & General has owned it outright since 2018, when it was valued at 拢600m.
In 2023 Cala Group turned over 拢1.25bn and made a pre-tax profit of 拢104m, completing the sale of 2,917 homes from across 82 sites around the UK. During the year it contracted 19 new sites to deliver 2,705 new homes with a gross聽development value (GDV) of 拢1.4bn and an average selling price of 拢526,000. It has a landbank of more than 21,000 plots, with a GDV of 拢8.85bn.
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