Countryside has outlined plans to focus solely on its social housing and private rental arm, after reviewing a separation of its pure housebuilding operations.
The housebuilder said it would focus all of its resources on its Partnerships business, which concentrates on mixed-tenure communities in partnership with housing associations, public bodies and institutional private rental operators.
The sale of land and developments associated with the housebuilding arm, which builds private homes for owner-occupiers in the Home Counties, is expected to generate £450m by September 2023.
The firm will also rebrand as Countryside Partnerships.
In the meantime, a new Partnerships region will be established to serve the Home Counties. This will be led by executive committee member Philip Chapman, reporting to group chief executive Iain McPherson.
The board expects the Partnerships Home Counties segment to produce annualised adjusted operating profit of at least £60m by 2023.
Chairman John Martin said: “The strategy will significantly accelerate the development of our Partnerships business, which will be even stronger as a result.
“The value of the additional recurring earnings that this will generate, along with the £450m proceeds from the disposal of surplus assets, clearly significantly exceeds the value of any of the other strategic options available.”
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