Develop North PLC (Develop North), the North East-based investment company listed on the main market of the London Stock Exchange, has returned more than £10 million to shareholders since launch as it enters its tenth year with a £22.9 million investment portfolio, successful exits and a strong pipeline of regional real estate opportunities.
The interim results, for the six months ended 31 May 2026, report continued progress across the business, with 14 live projects now in the portfolio, more than 70 per cent of investments deployed in the North East and dividends of 2.00p per share paid or declared during the reporting period.
During the period, the company also completed two successful investment exits and raised £0.9 million of new equity capital despite continued challenges across the listed investment market.
While net asset value reduced slightly during the period, the Board confirmed this was primarily the result of one-off investment costs associated with implementing the company's broadened investment strategy, launching its new Prospectus and strengthening the management team. The Board is confident these investments will support improved earnings and long-term shareholder value creation in the years ahead.
The period also marked an important strategic milestone for Develop North, following shareholder approval of its expanded investment policy enabling the company to evolve into a diversified real estate investment platform investing across residential real estate, commercial real estate and real estate lending.
The appointment of Michelle Percy as chief executive officer further strengthened the business as it continues to build on its long-standing commitment to supporting regeneration, job creation and economic growth through regional investment.
Two successful exits were completed during the period, taking the total number of realised investments since launch to 28. They included the completion of Develop North's investment in Whitley Court, a modern industrial and trade counter development at Leeming Bar Business Park, and the successful exit from its funding of the regeneration of Sunderland's former Farringdon Police Station, which has been transformed into a fully occupied retail destination.
Together, the transactions demonstrate Develop North's disciplined approach to recycling capital into new investment opportunities while delivering attractive outcomes for shareholders.
Building on that momentum, Develop North has already completed its first new lending transaction following the reporting period, providing a £1.95 million facility to support the construction of nine executive homes at Kellys Wharf in South Tyneside, with the company also expecting to complete its first direct investment under the expanded Investment Policy later this financial year.
John Newlands, chairman of Develop North PLC, said: “Develop North enters this next phase with a strengthened leadership team, a broadened investment strategy and an established platform from which to grow. We expect to complete our first investment under the revised policy during the current financial year and continue to see encouraging levels of activity across our pipeline.”
Michelle Percy, chief executive officer of Develop North PLC, said: “These interim results reflect a business that has spent the past six months investing in its future. We've evolved our investment strategy, strengthened the leadership team, welcomed new shareholders and continued to recycle capital through successful exits, all while maintaining the disciplined approach that has defined Develop North since launch.
“Our purpose remains unchanged. We want to provide investors with access to attractive regional real estate opportunities while supporting developments that deliver regeneration, create jobs and contribute to long-term economic growth.
“As we enter our tenth year, we're in a strong position. We have an experienced team, an expanded investment mandate, a healthy pipeline of opportunities and a portfolio that continues to perform well. We're excited about building on that momentum during the second half of the year and continuing to create long-term value for both our shareholders and the regional economies in which we invest.”