A DARLINGTON construction firm is celebrating a large round of contract wins - but bosses say it could be the industry "storm before the calm".
Southdale has boosted ambitious North-east expansion plans with £27.2m worth of new business, most of it in the Tees Valley.
Managing director Paul Moore says the company is reaping the benefits of a pre-election Government spending spree on social housing - but said the industry was bracing itself for a financial tightening in the affordable property sector.
“There’s been a push in the last quarter in terms of spend in the affordable housing market,” he said. “The election is coming up, and there has been quite a lot of commitment from the public sector to get things contracted and on site.
“Nobody knows what the market is going to be like in the next 12 months, we are expecting a fiscal tightening.”
He added the Yorkshire-based firm, which has more than 20 years’ technical experience in social housing, has enjoyed similar success out of its Halifax office. Since November, the entire business has secured more than £52m worth of work. The company moved its Darlington base to bigger premises last October and is growing so quickly it might have to relocate again within the year.
“Affordable housing is our core business,” said Mr Moore. “We still have a strategy of continued growth. We’ve gone from strength to strength, with our expansion firmly built on acquiring new business and entering into new framework agreements. These contract wins rubber stamp our increased market share in the North-east and strategic ambitions for the business.”
New contracts for Southdale include:
£2.7m - Acklam Green Community Centre, Middlesbrough. The three-storey community centre with conference facilities, youth centre, café and offices will be delivered by Southdale on behalf of the West Middlesbrough Neighbourhood Trust. The development will feature a unique glazed atrium, with completion anticipated by January 2011.
£12.5m - Westfield, Redcar. A 123-home social housing development including properties for sale and rent will be delivered by Southdale over four phases on behalf of Coast and Country Housing Association in line for an April 2012 completion.
£11m - Beaumont Hill Schools, Darlington. More than 100 homes for rent and low-cost ownership, on behalf of the Fabrick Housing Group. Completion is anticipated by March 2011.
£1m - Castledene Road, Consett. A nine-property social housing scheme for client Derwentside Homes.
