Stephen Wicks is to step down as chief executive Inland Homes, the housebuilder he helped to establish, as the company launches a strategic review.
Chairman Simon Bennett praised Wicks for leading the company “from its inception, through the global financial crisis and the Covid-19 pandemic”. Wicks will remain an adviser to the company for a year after his retirement at the end of September. Nish Malde, the company’s chief financial officer, will act as interim chief executive while Wicks’ successor is chosen.
The company announced Wicks’ retirement alongside confirmation of a Lazard-led strategic review.
“The significant and continual deterioration of the planning system has presented Inland Homes with challenges in predicting the timing of planning permissions and thus the realisation of asset values,” the company said. “Demand for consented land within the South East remains very strong despite rising interest rates and inflationary pressures. The board therefore believes that this is an appropriate time to conduct a strategic review of the business.”
The company has paused a share buyback until the review is concluded.
It said “unforeseen planning delays” had slowed work on two major schemes and their disposals, meaning proceeds may not be gained in the current financial year. The company expects to make a loss before tax in the year to September 2022 of £37.1m, although it added that if an unspecified land sale completes in time, this could narrow to £12.1m.
It added that it now expects to breach the covenants on a £19.3m facility for a subsidiary from an unnamed lender, but that it has held “positive discussions” over a waiver.
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