One of the UK’s largest private property development groups IM Properties returns to pre-tax profit

One of the largest private property development companies in the UK returned to pre-tax profit during its latest financial year, with the company crediting its performance to a focus on long-term growth. 

IM Properties has reported pre-tax profits of £16.3m for the year to December 2024, up from losses of £37.6m, which were driven by write-downs in its US portfolio and UK housebuilding division. 

This is despite turnover falling from £216m to £129m over the same period.

IM Properties’ commercial development land bank now exceeds 1,100 acres, capable of providing 13 million sq ft of space with a gross development value of £2bn.

Among its latest proposals is Thrive – a £343m employment park in North Warwickshire – which could create between 4,400 and 6,000 full time jobs across advanced manufacturing, R&D and logistics.

Planning has also been submitted for Mercia II, building on Mercia Park, where in 2021 the letting to Jaguar Land Rover constituted Europe;s largest ever industrial pre-let. Infrastructure works with a total value of £55m have also begun at Towcester Park and Stratford 46, set to generate almost 1.75 million sq ft of space and circa 3,000 jobs.

Tim Wooldridge, managing director, said: “The real estate market has been challenging of late, yet what remains constant is the commitment and performance of our team who continue to make bold and innovative investment decisions to secure our future.

“I’m incredibly proud as a managing director to lead a team with the vision to propose Thrive – one of our most ambitious and significant schemes to date and designed to drive growth in the West Midlands.

“A huge amount of work has gone into identifying and realising the opportunity and most importantly looking at how we can improve and do things differently, from engaging with youth panels to new sustainability initiatives to innovative Third Spaces for communities and local people.

IM Properties’ housebuilding division, Spitfire Homes, posted a return to pre-tax profit of £3.3m, a recovery from the £4m loss in the previous year due to land write downs.

Its strategic land arm, IM Land, has also been accelerating applications and looking to capitalise on the government’s emphasis on housebuilding delivery. Plans for new schemes providing up to 1,340 units are currently in planning, with further applications that could create  a further 2,620 homes looking to be submitted this year.

In the US, the company continued to see “strong momentum”. At its flagship mixed-use centre in Brookfield, Wisconsin, lettings to retailers and residential demand have driven record rents across 400,000 sq ft of retail and 244 apartments. Meanwhile, its joint venture, IM Kensington Developments, is now working on 11 live projects across Illinois, Colorado and Arizona, with a combined GDV exceeding $1.8bn.

Wooldridge added: “As we look ahead, IM Properties remains focused on sustainable, long-term value creation across our UK and international portfolio. 

“Whether through visionary schemes like Thrive or leading on ESG performance, we are all as individuals and as a company committed to investing in people, places and the planet— delivering positive impact and performance for the communities we invest in.”