Out of town development: Eastbank, Ancoats

DURING the recent residential property boom, it seemed like major apartment schemes were hosting launches at a weekly rate.

It is notable, then, that Manchester Ship Canal Developments’ event which took place last week to launch the new Mews at Eastbank homes at Ancoats on the fringes of Manchester City Centre was the first event of its kind to take place this year – and with the general lack of residential development in the city, it may well be the last.

The scheme’s own history provides something of a microcosm of Manchester’s own property rollercoaster. It was initially conceived as a £100m development by its three partners, Artisan Holdings, Peel Group and Manchester City Council and phase one of the development containing 143 apartments successfully concluded around five years ago.

However, the dramatic decline subsequently experienced in property values – and the difficulty in financing schemes – meant that this latest phase was rather more tricky to deliver.

For instance, Artisan eventually bowed out of the scheme, with the company’s last filed accounts for the year to June 30, 2009, noting that its share in the venture had been dissolved, leading to a £3.6m write-down in the value of its investments.

Indeed, activity only recommenced last year after the project was the recipient of £5m of kickstart funding from the Homes & Communities Agency (HCA).

This allowed Manchester Ship Canal Developments (MSCD) to complete the neighbouring Cube scheme containing 33 new one- and two-bed apartments in December and the latest phase of 30 new two- and three-bed apartments which opened in early June. Russells Construction been main contractor on the project.

Mike Coulter of Grasscroft Development Solutions, who is working on behalf of MSCD, said that seven of the 30 homes which are just being released onto the market have already been sold. Two of them were sold at a recent open day, with one being bought for the asking price for the two-bed properties of £159,999.

The two-bed properties are two-storey houses with a bedroom, bathroom and covered garage on ground floor level and an open plan living/dining area, bathroom and master ensuite bedroom upstairs. Full-height doors at the other end of the living area open out onto a first floor balcony area.

The three-bed properties differ slightly in configuration, with the covered garage sacrificed in return for the extra bedroom. They have an asking price of £169,995, but if car parking is needed secure spaces can be acquired onsite for £10,000 each.

A series of 45 duplex apartments are also currently being built above the townhouses. Starting prices for these are £102,500.

The HCA’s grant means that properties at both the Muse and Cube are being offered on a shared equity basis, with deposits of just 5% required.

Peel’s development director, James Whittaker, said: “The new Shared Equity Scheme offers buyers a simple and accessible way to own their own home in a vibrant area close to the centre of the city.

“The mixed element at Eastbank will encourage the resurgence of community in this part of the city.”

Following completing of the duplex apartments, Manchester Ship Canal Developments will move on to developing phase three of the project on an adjoining site fronting Great Ancoats Street.