Sheffield-headquartered housebuilder Honey has secured 21 sites across Yorkshire and the Midlands, aiming to deliver 2,850 homes with a gross development value of £795 million within its first two financial years of trading.
The business was established in October 2022 and is backed by private equity firm Alchemy Partners and its Alchemy Special Opportunities Fund IV, which has £937 million of fully committed capital.
For the financial year ending 31 December 2024, Honey has achieved £85 million in total forward sales. Earlier this year, the company also announced the launch of a partnerships division.
This new division will initially deliver 286 affordable homes for housing associations across four sites, with forward sales valued at £60 million. Additionally, Honey is in the process of finalising agreements for a further two partnership sites, which will add another 238 units.
Honey’s sales rate for the year ending 31 December 2024 across its five active sites stands at 0.69, with an average selling price of £290,000. The company has achieved 100 per cent customer satisfaction scores in all surveys conducted by independent consultancy In-house Research. From this year, customer satisfaction will be measured in accordance with the Home Builders Federation (HBF) survey.
The company employs 80 people across two operating regions, with head offices in Sheffield and Leeds.
Honey has also secured access to £235 million in funding. Alchemy Partners is providing £75 million in equity funding, while £160 million in bank funding comes from four lenders: Beaufort Capital, Heritable Development Finance, Hampshire Trust Bank, and OakNorth.
Founder and Chief Executive Mark Mitchell commented: “We are significantly ahead of where we planned to be after two years. Our product has been extremely well received, offering buyers a combination of style, substance, and sustainability at attractive price points.
“We are now firmly in our build and sell phase, focusing on delivering outstanding new homes with excellent customer care before, during, and after each sale. With the support of our funders, we have the financial strength to acquire additional sites and will continue to do so throughout the year, including expanding further south into the Midlands.”
Thomas Boszko of Alchemy Partners added: “It has been an incredible two years of growth for Mark and the Honey team, and this year will see further expansion. We are very pleased with Honey’s extraordinary progress and look forward to supporting its continued growth across Yorkshire and the Midlands.”
Over the past 12 months, Honey has been shortlisted for nine national and regional business and property awards.
Mark Mitchell continued: “We have a fantastic team at Honey who contribute to our success every day. Our energy and agility as a fast-growing start-up are being recognised within our industry and beyond. We pride ourselves on thinking differently, which allows us to offer a fresh approach to housebuilding.”
Honey has utilised consumer insights and market trends to develop 23 house types designed to meet the needs of modern homebuyers, with flexible living spaces.
Standard features in every Honey home include bi-fold doors, individually designed fully integrated kitchens, and boutique-style bathrooms with a signature freestanding bath and full-height tiling. All properties also come equipped with an electric vehicle charging point.
For more information, visit www.homesbyhoney.co.uk.
