Adamstown developer’s profits soar to almost €8m
By Brendan Grehan
ADAMSTOWN developer Cairn Homes’ profits have risen by 191 per cent for the first six months of 2017. The homebuilder sold almost as many units in the period as it did for 2016 as a whole and disposed of some unwanted development land.
Gross profit for the first half came to €7.7 million, up €5.1m on the same period last year, as the company completed 94 sales and revealed it had forward sales on 474 units in place.
Revenues for the first six months of the year increased by 157 per cent to €41.2m. This was largely as a result of the builder raising €14.1m from the sale of non-core smaller development sites.
Chief Executive Michael Stanley said they are currently building on nine sites which will deliver 3,250 new homes.
He said: “The quality of our land bank and range of houses and apartments are meeting the needs of distinct segments of the market, from first-time buyers to people trading up or downsizing.”
The company has raised more than €720m in a little over two years, including its initial public offering (IPO) and tapping shareholders to fund major asset purchases, including a portfolio of residential development loans in 2016 and a prime 8.64 acre site on broadcaster RTÉ’s Montrose campus in Donnybrook in Dublin.
Cairn plans to build 500 apartments and 10 houses on the site, which it purchased in July for €107.5m, 43 per cent above the guide price.
The company, which originally floated in London in June of 2015, joined the Irish Stock Exchange in July.
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