Cairn Homes builds for future with land bank
Irish house builder Cairn Homes has amassed enough land to build 11,000 homes after raising €642m (£502m) over the course of 2015.
The company floated on the London Stock Exchange last year and followed up that deal with further equity and debt raisings.
It posted a net loss €5.5m (£4.3m) before exceptional items in the 13 months to the end of December, its first in operation, according to preliminary results published yesterday.
Operations over the year focused on acquisitions, including Ulster Bank's Project Clear, a portfolio of loans linked to lands that account for a fifth of zoned Dublin residential sites.
"Following the successful acquisition of the Project Clear loans portfolio and the nine other individual site acquisitions since our IPO, the company now has access to an exceptionally well located and well-priced core land bank of in excess of 11,000 units," Cairn chief executive Michael Stanley said. Cairn expects construction to begin at its Rathgar site in south Dublin in the second quarter.
"We are currently building in Parkside, north Dublin, and Killiney, south Dublin," Mr Stanley said.
"We will commence construction on five further schemes within the next 12 months and look forward to making a meaningful contribution to the much needed supply of quality new homes in Ireland," he said.
After the launch of the company's first site at Parkside, Dublin 13, in September, 52 houses are now sale agreed, with Cairn reporting positive feedback.
The company is now staffing up on the construction side as it looks to ramp up output.
The homebuilder has continued to buy so far this year, acquiring a site on Hanover Quay in Dublin's docklands area as well as striking a deal with Hines for developments in Cherrywood.