House by Urban Splash has called in administrators following “operational issues” relating to its factory in Alfreton.
Teneo has been brought in as administrator over the House business, which de-merged from the wider Urban Splash group in 2019.
160 people have been made redundant from House’s Alfreton factory.
House by Urban Splash is a joint venture between Urban Splash shareholders, Japanese modular firm Sekisui, and Homes England.
‘Various operational issues’
Commenting on the development, Adrian Berry, joint administrator, said: “This appointment follows various operational issues relating to the factory in Alfreton.
“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.”
The last available financial results for House by Urban Splash show a £12.6m pre-tax loss for the year ended 30 September 2020.
A statement from Urban Splash read: “The directors of House – Urban Splash House Holdings Group – have appointed administrators from Teneo to the company.
“The appointment of Teneo senior managing directors Adrian Berry and Daniel Smith to the company has no impact on the wider Urban Splash group or its operations, which continue to run successfully.
“The administrators will oversee completion and sale strategies for the company’s developments.”
History: House by Urban Splash
House by Urban Splash specialises in the creation of modular homes, with notable schemes including East Float at Wirral Waters and Port Loop in Birmingham.
The company was established when Urban Splash acquired the modular arm of SIG for £1 in 2018, a deal which included SIG’s factory in Alfreton.
In 2019, Japanese modular firm Sekisui came on board, taking an initial 35% stake in the business.
At the time of collapse, Urban Splash shareholders and Sekisui House UK held 48% equity each, with Homes England holding 4%.
Other connected companies in the US House Group have also been put into administration.
These are:
- Urban Splash House Investments
- Urban Splash House
- Urban Splash Modular
- Port Loop Holdings
- Port Loop and Port Loop (Subco1)
Homes England has been contacted for comment.
Image credit: Tyler Olson/Shutterstock
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