Double acquisition for Redrow

Wed, Mar 14th 2007, 11:00

Two brownfield sites for housing with an estimated finished value of circa £46 million are the latest acquisitions by the Bristol-based subsidiary of UK housebuilder Redrow.

The first, at Swindon Road, Malmesbury, in Wiltshire, will comprise approximately 120 new homes and home working units as part of a wider mixed-use development on a site formerly owned by Lucent Technologies and used for manufacturing until 1996 – including as a World War II radar factory.

The second site, at North End, Yatton, in North Somerset, will feature circa 73 new homes on land currently occupied by a 1960s’ office block.

Michael Blake, land director of Redrow Homes (South West), comments: “These two acquisitions are important additions to our portfolio and give us a presence where we have not built before. Both schemes will turn outdated brownfield sites into high quality residential environments and each will also be supporting local employment in different ways.”

At Swindon Road, Malmesbury, Redrow has acquired the residential element of a major mixed-use / home working site from a subsidiary of London-based commercial property developer and investor, the Minton Group.

Outline planning consent exists for a 12-acre redevelopment scheme comprising offices, home working units, market housing and affordable housing, together with an existing 25,000 square foot office building, which is fully let and providing local employment for 150 people. The vendor, Minton Group, has retained land to provide a further office courtyard scheme and to redevelop the existing mill, which will be converted into a restaurant.
 
The land was originally occupied by Cowbridge House and the mill building, which dates back to the 1700s.

Redrow’s part of the project is likely to include 89 private dwellings, including some home working units, plus 27 key worker apartment and four socially rented flats. A reserved matters application for detailed consent is currently being prepared and should be lodged with North Wiltshire District Council during March.

The housing mix is expected to include one and two-bedroom apartments, plus three, four and five-bedroom houses; and the residential element of this mixed-use scheme will have an estimated completed development value of circa £31 million.

Michael adds: “This is an exceptional site and the housing will enjoy the benefits of a countryside location, overlooking the river, mill race and water meadows. A protected mature tree belt within the site will be retained, creating an attractive backdrop, and proposed refurbishment of the mill building into a restaurant will be an added attraction for home owners.”

The development will also benefit the wider community of Malmesbury through a £375,000 package of improvements governed by a Section 106 agreement with the planning authority. These include an enhanced bus service, off-site skate park/youth centre and £150,000 towards the refurbishment of Malmesbury town hall.

Subject to gaining the necessary detailed consent, Redrow hopes to launch the development in July and have the first new homes ready to move into by April next year.

The Yatton site has been acquired from Oxford Instruments Plasma Technology, who will be relocating to bespoke facilities at Locking Parklands, in Weston-super-Mare.

The 3.43-acres site is situated at the northern end of the village, just 400 metres from the railway station. Currently occupied by a two-storey 1960s’ office block, a large industrial steel frame building and associated yard and car parking, the site has an outline planning consent for residential development.
 

Redrow is drawing up detailed plans for 73 new homes, of which 51 will be for private sale and 22 affordable units, comprising six shared equity and 16 rented. There will be a mix of one and two-bedroom apartments and three and four-bedroom houses. The finished development will be worth around £15 million.

Section 106 commitments total £465,000, including a major contribution to education provision, off-site public open space and off-site highways works, including a cycleway link across adjoining open space, a pelican crossing, new footpaths, streetlights and bus stops.

Michael comments: “The vendor’s relocation is likely to take 18 months to two years as they have to obtain consent, design, build and then relocate to their new premises, before we can take possession of their current site. The relocation to purpose-built premises will enhance their operation and secure employment, whilst we will be able to transform the site into a high quality residential environment with good commuter links to Bristol, just six miles from Bristol Airport and a short distance from junction 20 of the M5.”

Redrow’s Bristol based subsidiary is active along the M5 and M4 corridor, including current developments in Chippenham, Trowbridge, Swindon, Nailsworth, Gloucester and Weston-super-mare. It is also set to redevelop the 77-acre Hewlett Packard site in North Bristol.