Modular specialists named on £50m housing framework

A major housing association has appointed two modular building specialists on a £50m deal.

Bromford named Hadley Offsite Modular Engineering and Ilke Homes on its Offsite Volumetric Category 1 Housing Construction Framework.

The pair will deliver up to 250 homes for the body, which manages nearly 45,000 residences across central and south-west England, over three years.

Work will include pre-manufacturing 3D primary structural systems in factory environments. Both light-gauge steel frame and cross-laminated timber will be used.

North Yorkshire’s Ilke Homes, which has offices in London, Birmingham and Bristol, has a pipeline of 3,000 units and says it can deliver a home in less than 12 weeks.

Hadley Offsite Modular Engineering, part of Birmingham-based Hadley Group, claims to deliver modular living spaces at the “absolute minimum” cost.

There is growing client interest in modern methods of construction. Six manufacturing companies secured spots in May on a £600m framework set up to deliver housing across the UK.

In the same month, a local authority called for interest in delivering a whopping £400m worth of temporary buildings.

Offsite modular specialist Elements Europe landed a £100m deal in April to build a hotel and office scheme in Hackney, London.

The sector has not been trouble-free recently, however.

A modular construction firm, backed by Japanese giant Sekisui, Homes England and Manchester-based developer Urban Splash, went into administration in May.

And Newark-based contractor Caledonian Modular made losses of more than £20m in just 18 months before going into administration in March.

Ilke made a pre-tax loss of £41.3m in the year to 31 March 2021, following a £32.5m deficit the previous year.

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