By Grant Smith

AROUND 35 jobs at the Dundee office of house-builder Gladedale could be lost due to the impact of the credit crunch on the housing market.

The company has confirmed that a review of its north-east operations is under way.

A spokeswoman said no final decision had been taken but she admitted that closure was being considered as part of a “full and open consultation” with staff.

Last month Gladedale said it was active at eight sites across the region, including its Orchardbank development at Panmurefield in Dundee.

It was also in talks with the city council and other house-builders over plans for the proposed South Gray Village, which is part of the Western Gateway project.

It is unclear what impact the closure of the company’s office in the technology park would have on developments.

The spokeswoman said it was essential to review Gladedale’s operations to ensure it maintained a secure long-term position.

Market conditions had been “badly affected by a lack of consumer confidence and the effects of the credit crunch,” she added.

Last week Gladedale announced that it was offering to pick up the costs of stamp duty for buyers during August and September while the government was deciding on a suspension of the charge.

This was an attempt to inject confidence into a flagging market.

If the company does close its Dundee office it will sever a link between the city and what was one of its best-known firms, Bett Homes.

Bett was a fixture in the city’s corporate landscape for more than half a century until it moved its house-building division to Stirling in the late 1990s.

In 2003 Bett was taken over by Gladedale in a £95 million deal and two years later it opened its north-east regional office in Dundee.

At the time the intention was to build up to 600 houses per year in Tayside, north-east Fife and the Aberdeen area, generating sales of £100 million.

The Bett Homes name disappeared again last year when Gladedale decided on a rebranding to bring all its UK operations under one title.

If the job losses are confirmed it will add to one of the biggest downturns in the industry for years.

Several house-builders such as Barratt, Persimmon, Stewart Milne and Redrow have also announced cuts recently.