Scottish housebuilder Springfield sells 170 plots in ‘milestone’ £12 million deal

Scottish housebuilder Springfield Properties has “unlocked value” from its large land bank after selling 170 plots in a £12 million milestone deal.

The firm said it had used £6.5m of the proceeds to pay the final consideration for its 2022 acquisition of the Scottish housebuilding business of Mactaggart & Mickel Group. As part of the takeover, there was £30.8m of deferred consideration payable proportionally as homes were sold over five years.

Springfield noted that, as of the end of May, the outstanding deferred consideration was £20.7m, which has now been satisfied.

Innes Smith is the chief executive of Scottish housebuilding group Springfield Properties.

Chief executive Innes Smith said: “Two years ago, we set out a clear strategy to unlock value from our substantial land bank through a series of profitable land sales, and this transaction marks the successful completion of that programme.

“As recently announced, we reached a net bank cash position ahead of market expectations. Now, by applying proceeds from this land sale to settle the final Mactaggart & Mickel acquisition payment, we have also completed the deferred consideration significantly ahead of schedule.

“This milestone further strengthens our balance sheet and our position to capitalise on future growth opportunities.”

In February, the group said it was hopeful that lower interest rates and a rebound in consumer confidence would provide a much-needed boost to homebuying as it posted “solid” interim results.

The results for the six months to the end of November 2025 showed that overall revenues were up 2 per cent, year on year, to £108m. Private housing revenue was down 9 per cent at £65.4m while affordable housing revenue grew by 26 per cent to £25.8m. Revenue from land sales almost doubled, up 92 per cent to £9.8m.

Adjusted profit before tax rose 8 per cent to £4.1m though adjusted operating profit was down 13 per cent at £5.6m. Net bank debt fell to £39.6m, from £62.9m a year earlier - a reduction of about 37 per cent.

In a trading update in early June, Springfield told investors that it had removed its bank debt and had a net bank cash position of about £1m - significantly ahead of market expectations.

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