British-headquartered financial services provider Legal & General Capital (LGC) will build the largest home-building factory in Europe in a bid to shake up the UK’s failing housing market.
LGC has announced the launch of its modular housing business, Legal & General Homes, which will seek to modernise the home building industry by providing modern, precision engineered factory manufactured houses through its new factory in the North of England.
Geoffrey McClure, senior relationship manager at latent defects insurance providers CRL, said: “For some time the UK government has been looking into the possibilities of offsite manufacturing as one solution to the UK’s housing supply crisis.
“There is a chronic production problem; we simply don't supply enough houses to meet the demand by customers, both young and old. The UK has an annual output of around 130,000 homes, with a requirement for 250,000. Legal & General is aiming to build thousands of modular houses to help tackle this long term problem.
“The theoretical benefits of offsite manufacturing are well rehearsed. Prefabrication ought to allow the construction industry to create warmer buildings more quickly and for less money than traditional methods.”
Legal & General Homes has signed a long-term lease with Logicor on a 550,000 sq. ft. warehouse in Sherburn-in-Elmet, 15 miles east of Leeds, representing the largest modular homes construction factory in the world.