Housing developer Peet reports 5.6pc profit rise

Housing developer and funds manager Peet has reported a 5.6 per cent rise in interim profit to $23.1 million but said sales in Victoria were hit due to lower project management fees as a result of lower sales activity and a strategic englobo land sale.

The value of contracts on hand declined 26 per cent compared with the June 2108 period to $456 million, and contracts on hand fell 20 per cent to 1804.

Group sales of 964 lots in the first half were down 28 per cent on the previous corresponding period.

Peet Group will develop housing for 1200 people at Tonsley.

Peet managing director Brendan Gore said a decrease in the number of sales achieved across the group’s projects in the first half of the year was due to changing lending conditions for purchasers and the completion of several syndicates in Victoria.

An unchanged dividend of 2¢ was paid.