Legal & General Affordable Homes to post £1.3m pre-tax profit after being hit with £35m of revaluation losses

Legal and General Affordable Homes (LGAH) has said its pre-tax profit for 2023 will be £1.3m, after accounting for £35.7m in unspecified revaluation costs.

The for-profit provider has released selected figures from its accounts for the year to 31 December 2023, ahead of publication of its full audited figures later this month. 

Despite the £35.7m hit, the pre-tax profit figure of £1.3m, is up on the £808,000 posted for the previous year.  

Legal and General Affordable Homes (LGAH) said it delivered its highest number of new homes to date, completing 1,304 new homes in the year-end 31 December 2023. This takes the total number of completed homes owned by LGAH at the end of 2023 to 4,336, with an overall value of over £750m as at 31 December.

LGAH said “the robust growth demonstrates the viability of LGAH’s business model and an overall positive year for the business, having been one of few Registered Providers to be graded G1 / V1 by the Regulator of Social Housing at the start of 2023”.

LGAH added that it received “consistently high scores” on net promoter score surveys across the year, which underscores its ethos of putting the customers at the heart of its offering.

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Chris Hewitt, chief investment officer at LGAH, said: “We’re extremely proud of what we’ve achieved since letting our first property in 2019. We’re a strong, fast growing business and our figures for 2023 show our commitment to investing in the sector, putting us in good stead as we strive towards becoming the leading for-profit provider of affordable housing in the country.”

Ben Denton, chief executive at LGAH, said: “We’ve got a number of fresh faces across the business, including new board members and a new chair, who we’ve been working with over the past few months to refresh our strategies and approach as we build scale. We’re excited to put these into play over the next five years of our journey, driving growth to positively disrupt the sector.”