THE company behind a new homes build in Stanford-le-Hope is in dire financial trouble and has stopped production of its modular homes.

The as yet unfinished Hope Green estate which is planned to feature 138 houses and 15 apartments,has been described as a world first with homes guaranteeing zero energy bills.

It is a showcase site and last year was visited by local councillors and officers in a visit organised by property agents Iceni.

Hope Green

However, the spotlight is now on the future of Yorkshire-based Ilke Homes which is looking for a buyer.

The company said that it was "exploring a sale of the business as volatile macroeconomic conditions and issues with the planning system complicate fundraising and housing delivery".

Ilke, which has delayed reporting its accounts on the advice of auditors, has confirmed it was looking for a buyer to purchase the whole of the £28m turnover firm – although is understood to be open to an alternative of selling a non-controlling stake in the business as well.

Work at Ilke's factory has now stopped as the firm looks for a buyer.

The firm said that without a new investor its £1bn order book of mainly affordable homes will not be delivered.

The financial situation of the company may also have an impact on the planned new estate of homes at Linford.

Planning permission was controversially granted for 270 new eco homes last year in a project guided through planning by Iceni. The green credentials of the new buildings was a key factor in granting permission according to one of the councillors who backed it.

Cllr Paul Arnold said: "It is the future. It is a marvellous thing, it is well designed. They are super-efficient homes."

The Linford development was 'called in' and is currently being considered by the secretary of state.

Some of the properties at Hope Green have been purchased on a shared equity basis and residents who have moved in have expressed concern about what will happen to the ownership if Ilke is sold.

Patrick Bergin, chief financial officer at Ilke, said the firm had been aiming to close a further funding deal on top of £100m fundraise which closed last year, but the proposed partner pulled out.

Ilke is more than two months late filing its accounts, which Bergin said was due to auditors wanting more funding on its balance sheet.