Housebuilding industry assessed

Posted: 25 Sep 2009 12:46:08 GMT

Housebuilders' confidence has grown in the last few months as the residential property market has began to recover, according to Construction News business editor Nick Whitten.

The industry expert also suggested that "it was only a matter of time" before those building property in the UK started looking to investors for cash to start constructing homes again.

Mr Whitten was commenting after the board of housebuilding company Redrow announced proposals for a rights issue that it hopes will raise net proceeds of around £150 million through the issue of 148,584,705 new shares.

"They need to raise funds to buy up land and kick-start their building programmes," he claimed, before adding that an increasing number of the major volume housebuilders are likely to follow suit.

Another of the big players in the sector, Barratt Developments, announced earlier this week that property completions for the full year were 13,202, which was a decrease of 29 per cent on 2008's 18,588.



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