LONDON (dpa-AFX) - Bovis Homes Group PLC (BVS.L) announced the completion of a 50:50 joint venture with Riverside, one of the UK's leading registered providers of social housing, for the development of the new community at Stanton Cross, on the edge of Wellingborough, Northamptonshire. The new development will deliver over 3,600 new homes together with leisure, retail and office space, new schools, public parks and open spaces.
The first phase at Stanton Cross was successfully launched in September 2018 with strong demand for the new homes. Bovis Homes completed 22 units on the site in 2018 delivering a total of 2 million pounds profit, the company said.
Bovis Homes Group has transferred gross assets totalling 102.6 million pounds relating to the development, including land and work in progress, into the JV.
Consideration for these assets has been satisfied with equity of 33.1 million pounds from each of the JV partners alongside the existing 36.4 million pounds Homes England loan, also transferred from Bovis Homes Limited into the JV. Bovis Homes Group has realised a net cash benefit from the transaction of 69.5 million pounds which will contribute towards capital return plan of a total of 180 million pounds or 134 pence per share to shareholders in the three years to 2020.
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