Modular housing manufacturer ‘House by US’ has called in administrators following “various operational issues” at its Alfreton factory.
Just a few days ago, the firm submitted plans to Wirral Council for the second phase of their development at Northbank on the Wallasey side of Wirral Waters.
Richard Mawdsley, Director of Development for Peel L&P’s Wirral Waters, said, “Our immediate thoughts are for Urban Splash’s factory staff who now face redundancy.
“For our part, we are currently working through the implications of the news for the East Float development. The first 30 of the modular homes have been delivered to site and practical completion is due imminently.
“This news does not impact on any other plans for Wirral Waters, where the pace of delivery remains high with a range of projects on site now, including two other residential projects within the Northbank neighbourhood.”
The US House Group is a joint venture between individual shareholders who own 48% of the equity, Sekisui House UK Limited which owns 48% of shares and Homes England who own the remaining 4% of shares.
The US House Group owns a number of development sites and a modular building factory in Alfreton. At the time of the appointments, the Group had 187 employees, with 151 working at the factory with the majority of the remaining employees working at the development sites.
Unfortunately, 140 positions at Urban Splash Modular Ltd, and 20 of the 36 positions at Urban Splash House Holdings Ltd, will be made redundant.
A spokesperson for shedkm, long-term collaborator with House by US, said, “shedkm are saddened to hear the news that our long term collaborator Urban Splash House Ltd has entered administration.
“This collaboration had flourished thanks to the many valued relationships with members of the House team.
“Together we’ve built some fantastic new neighbourhoods and communities over the last eight years and brought hundreds of design-led and sustainable offsite homes to the mass market.
“Our commitment to raising the design credentials of Modern Methods of Construction remains undimmed and we continue to work with our many clients across both public and private sectors. We firmly believe MMC has a significant role to play in a zero carbon housing future.”
The administrators will now oversee completion and/or sale strategies for the development sites, while exploring sale options for the factory.
These appointments do not impact the wider Urban Splash group or its operations.
Adrian Berry, Joint Administrator, commented, “This appointment follows various operational issues relating to the factory in Alfreton, which have impacted the wider group.
“We will now look to stabilise the US House Group by providing a platform to complete certain developments and explore sale options for the factory and the other development sites.
“We would like to thank all employees and other key stakeholders for their continued support.”
Daniel Smith and Adrian Berry of Teneo Financial Advisory Limited were appointed as joint administrators of Urban Splash House Holdings Ltd, Urban Splash House Investments Ltd, Urban Splash House Ltd, Urban Splash Modular Ltd, Port Loop Holdings Ltd, Port Loop Ltd and Port Loop (Subco1) Ltd (together “the US House Group”) on 11 May 2022.
Image: Construction taking place on Northbank facing over the Great Float towards Birkenhead (November 2021) Credit: www.fotopiaimages.com