County Durham property and services company Hargreaves Services has announced land deals to develop two huge industrial units in South Yorkshire as part of a multimillion-pound joint venture.
The Esh Winning business forms half of the Waystone Hargreaves joint venture, which is developing the 650 acre Unity development in Doncaster, a mixed use development which is one of the largest regeneration and infrastructure projects of its kind in the UK.
The scheme aims to provide more than 3,000 homes, a new town centre, offline marina, school and transport hub, with over 60 hectares of commercial uses and over 80 hectares of open spaces.
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AIM-listed Hargreaves Services said the Waystone Hargreaves Land LLP joint venture has exchanged conditional contracts with Aver Property Limited Partnership for the development and sale of two large distribution units on plots of 19 acres and 10 acres.
The two contracts will generate combined revenue in excess of £50m for the joint venture.
Net cash proceeds from the contract, after allowing for the costs of the development, will be distributed following project completion subject to the funding requirements of the joint venture at the time.
The two units comprise 191,000 sq ft and 375,000 sq ft respectively and both will be located on Unity Connect, the dedicated employment area of Unity based immediately adjacent to junction 5 of the M18 motorway.
It already has outline planning permission for industrial and logistics space and forms part of a wider planning permission for two million sq ft of commercial space and 3,100 homes across the Unity development site.
Both transactions are conditional upon the grant of detailed planning permission and are expected to become unconditional before the end of 2022 and be completed within 12 months of construction starting.
This large industrial and distribution scheme follows on from the April 2021 completion of the sale of a 79 acre development site for a regional logistics hub to a national retailer and represents a further acceleration of the Unity project.
Meanwhile, Hargreaves also announced the exchange of a conditional contract at Blindwells – its development in East Lothian, Scotland – with regional housebuilder Ogilvie Homes, for the sale of 4.6 acres of land.
The deal follows the recently completed sale to Persimmon which will lead to the construction of 77 homes, including 23 affordable, generating a minimum revenue of £3.5m.
Roger McDowell, non-executive chairman of Hargreaves, said: “The board is delighted to see further progress being made at Unity by the Hargreaves Land team and our Waystone partners. This is another positive step towards realising the inherent value of the group’s substantial land portfolio.”
