Tulloch Homes on solid foundations with funding deal

● Financial package will allow business to ramp up its annual pipeline of homes

Tullo ch Homes has become the latest house builder to ramp up its development plans after the Invernessbasedgroup secured a £20 million funding package.

The developer, which has agreed the financing deal with Lloyd s-owned Bank of Scotland, is already on site building 50 flats in the old village in East Kilbride, which will be ready for occupation next summer.

Tu l loch expects to build some 200 homes during 2017, with a turnover of £ 45 million, but said the new investment will increase its annual pipe - line of homes to 300 and boost its revenues by 50 percent within three years. It is cur - rently developing ten sites, in the Highlands, Aberdeen and East Kilbride.

Announcing strong offplan sales at the East Kilbride site, group finance director Sandy Grant said: “We have a number of sites that we have acquired for development but had put on hold while we waited for the right time.

“This funding will also enableus to acquire new sites for development in the Highlands, which is our current stronghold.

“It will also support our move back into the Central Belt, which is a region where we see significant opportunity for future growth moving forward.

“We’ll be targeting that tri - angle between P er th,Gl asgow and Edinburgh for development opportunities.”

Graham Fiddes, mid- markets relationship director for Bank of Scotland, said :“The Scottish housing market is growingin confidence and wear every happy to be able to support the business and its expansion plans. Tulloch has a pipeline of developments that show great potential.”

News of the expansion plans at Tulloch comes after housebuilder Springfield Properties floated earlier this week on London’ s Alternative Investment Market to help raise funds for the construction of five new “village” housing development sin north and central Scotland.

The Mo ray-based group rais ed£25mvi at he initial public offering, capitalising the fast- growing company at some £ 87m.

The firm was founded in 1956 by Wilfred Adam, and his grand son Sandy Adam took over in 1988.

Adam, who holds the title of executive chairman, said this week :“Springfield is poised to play a significant part in the deliver y of the many new homes needed acrossS cotland.

“Our investment in the infrastructure of new villages will accelerate our building of new homes, private and affordable, in new communities.”

Earlier this year, industry heavyweight Barr att Developments, Aberdeen-based Kirk wood Homes and Hart Builders, which is part of construction outfit Cruden Group, outlined plans to construct hundreds of homes collectively north of the Border – going some way to plugging the gap between supply and demand.

Barratt Developments said it was rolling out 14 new sites during the course of the year.