Developments’ proposed £2.5bn takeover of smaller rival Redrow was “a compelling opportunity” to do lots of virtuous things, such as increase the supply of new homes in the UK and give customers more choice.
That, at least, is what they’ll be telling the Competition and Markets Authority (CMA), which may yet have something to say about the UK’s biggest housebuilder by volume buying the sixth largest. More consolidation at the top of the industry hardly seems likely to offer much encouragement to smaller developers who built 39% of new homes back in 1988 but these days do about one in 10.
Recent Market Trend
Real estate continues to be a hot topic in the news as the market remains strong and constantly growing. From changes in housing trends to predictions for the future, there is no shortage of discussion surrounding the real estate industry. Most recently, there has been a lot of buzz about the impact of the COVID-19 pandemic on the real estate market. With people spending more time at home, the demand for larger living spaces and outdoor areas has increased. This has led to a spike in suburban and rural home sales, with many individuals and families looking to leave densely populated cities in search of more space and privacy. At the same time, the pandemic has also caused a shortage of inventory, as some sellers have been hesitant to list their homes during uncertain times. As a result, the competition for available properties has become fierce, driving up prices and causing bidding wars in certain regions. The pandemic has also highlighted the importance of technology in the real estate industry.