Flint Bishop

Derby based Derwent Living is beating the crunch

Pictured above: Peter McCormack

 

Derby-based housing provider Derwent Living has announced a £774k increase in surplus since 2008.

Derwent Living reports that its operating costs were down at £21.6 million in 2009 compared to £23.61 million in 2008. The organisation also increased its maintenance programme - spending almost £1 million extra in 2009. 

Derwent Living's annual report also shows that income from social housing lettings rose by 23.5% from £15.97million to £19.73million. There were also increases in income generated from rent and management fees on student properties. 

Peter McCormack, chief executive of Derwent Living said: "Like many other housing providers, we have found the past couple of years extremely tough. But unlike others we have continued to move forward with our commercial ventures, especially in the student accommodation market, to keep us in surplus. Our investment income increased because of our earnings from our investment into the Beach Student Accommodation Fund and new investment into Wakley Residents Ltd, also linked to student accommodation.  We are now beginning to see light at the end of the tunnel and the figures for 2009 support this.

"Also, the increase in the routine maintenance costs for affordable housing reflects the considerable growth of our housing stock over the last five years, which is around 25%. We have also seen a marked increase in the expenditure on management and services, which is similarly linked to the growth in the number of homes."

Interest payable rose from £9.14million in 2008 to £11.04million in 2009.

Mr McCormack adds: "These figures are a reflection of our continued high level of development activity and the continued ownership of properties originally intended  for sale on a shard ownership basis. Difficult economic conditions are still with us and along with everyone else, we expect further challenges ahead. But these figures are positive and show that Derwent Living is in a strong position - as an organisation, we are ready to meet those challenges and continue to work with our customers to provide the best services we can."

Formed in 1964, Derwent Living is a not-for-profit organisation providing affordable living to suit a range of lifestyles, now managing more than 11,000 properties in the Midlands and South Yorkshire. 

Derwent Living's property portfolio includes affordable housing, student living, property for key workers and young professionals, and the organisation's highly successful Easy Living properties for rent, sale and part-buy, part-rent.

For more information about Derwent Living, please visit their website here: www.derwentliving.com

 

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Article published by Midlands Business News on 30 June, 2010

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