The Edinburgh Solicitors’ Property Centre has made a profit for a second year running – after having to write off debts made in a ‘disastrous’ foray into the HIP market in England and Wales.
The ESPC has posted a 127% rise in profits to £1.46m for the year to May 31. This compared with a profit of £641,000 the year before.
The rise in profits came despite a drop in house sales, but ESPC said it had won new market share in properties priced £500,000 upwards.
Chief executive Malcolm Cannon said: “Our volumes are better than planned and all parts of the business remain profitable.
“We have been taking a prudent view to the health of the market and will continue to do so.”
Cannon joined ESPC in 2009 after the company posted a £1m loss for the 2007/08 year.
The bulk of those losses – £637,000 – was a write-off hinged on its expansion south of the border with HIP subsidiary Move Machine.
Overall debt held by ESPC now stands at £475,000, with repayment due by December 2012, although cash held now totals £2m.
ESPC has reduced its headcount from 160 in 2008 to 51 now with around 200 conveyancing solicitor members, who also sell properties, with a market share of 75% of all property transactions in Edinburgh and the Lothians.
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