Developers buy second asset from Carillion

West Midlands developers the Richardson family have bought a second asset in two months from struggling construction group Carillion.

In its own joint venture with Arlington Real Estate, they have acquired Carillion’s joint venture share in the Milburngate development in Durham. The £150m development on the city’s Riverside area is a key regeneration initiative.

Mark Morgan, head of real estate for the Richardsons, described Milburngate as “an exceptional development for the North East of England”.

He said: “Milburngate presents a fantastic opportunity for premium occupiers and businesses that will add value and benefit from being part of Durham City’s vibrant and growing community.”

The Richardson family is now run by the second generation – Lee, Carl and Martyn Richardson – after father Roy made his name developing Merry Hill Shopping Centre.

In October they paid £13.8m to Carillion to buy its stake in Northern commercial property developer Ask.

Carillion has had a tough year, with an accounting black hole creating a crisis which resulted in its share price crashing and its chief executive departing.

This deal is part of Carillion’s strategy of divesting its commercial property development portfolio.