Warrington developer sees profits skyrocket 600% in second full year since buyout

Commercial property firm Langtree has seen its profits surge 600% in its second full year of operation since undergoing a buyout led by group MD John Downes.

The Warrington-based company recorded a profit of £2.1m in its latest financial results, up from £300k the year previous.

Since the buyout in 2015, Langtree’s net asset value has risen by 250%. The firm’s workforce now stands at 35.

The growth follows on from the completion of several developments in Langtree’s expanding portfolio, including the Techspace project at Sci-Tech Daresbury.

The scheme has attracted a number of national and international businesses to date, including Hitachi High-Technologies and Robotik Technology UK.

Langtree is a partner on the innovation campus alongside Halton Borough Council and the Science and Technology Facilities Council (STFC).

Tim Johnston, chairman of Langtree, said: “We set out to demonstrate to the market that we could quickly mature into an established and well-run operation and our latest figures demonstrate that we have achieved that ambition.

“By focusing on our joint ventures we have been able to deliver new products whilst building an extremely robust pipeline of development opportunities.”

Speaking further, Mr Johnston identified growth in assets under management as another big contributor to the company’s recent performance.

He continued: “We’re now managing more than 2.3 million sq ft of assets, worth more than £200m and looking after the interests of more than 450 tenants. It’s a tremendous credit to all the team that they’ve accommodated this growth so successfully.”

Langtree’s asset base spans the North West, Yorkshire and Midlands, pulling in an annual rent roll of more than £15m.

The company also has joint ventures with several local authorities – among them, a deal struck with Oldham Council that is forecast to create up to 760 jobs.

Group managing director John Downes commented: “The property market is in good shape but there are always headwinds and our approach remains a conservative one.

“The partnerships and joint ventures that we have in place give us tremendous stability and a base from which we can plan our growth. We remain open to new joint ventures with local authorities but will be very selective about those opportunities we pursue.”

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