Carillion agrees terms on £800m Sunderland regeneration contract
CONSTRUCTION and support services giant Carillion has agreed terms with Sunderland City Council on a large scale regeneration programme potentially worth up to £800m to the firm.
It was a year ago when it was announced Wolverhampton-based Carillion had been selected as the preferred bidder by the council to be its strategic partner to deliver the city’s regeneration programme. The terms of the joint venture have now been agreed and the project has achieved financial close.
The contract, which will initially focus on the redevelopment of key sites across the city, is expected to have a 20 year life span.
Cllr Paul Watson, leader of Sunderland City Council said: “It’s fantastic news that Siglion can now drive forward the city’s largest-ever development programme. The signing of this contract is a major step forward in propelling regeneration and economic growth that will transform key city sites.
“It also ramps up our ability to attract new investment, following on the major works currently being carried out in Sunderland. We are excited about working with our partners who are as committed as we are to the long-term success of the city.”
Carillion chief executive Richard Howson said: “We are delighted to have achieved financial close on this major innovative programme. I believe our success reflects Carillion’s ability to offer solutions tailored to the specific needs of our customers and our ability to provide a fully integrated solution that will deliver the immediate and long-term services required by the council.
“We look forward to working with Sunderland City Council and to engaging with local communities and businesses to deliver the Council’s vision for the city, which will bring major benefits to the people of Sunderland and act as a catalyst for further inward investment.”
The Carillion/Sunderland City Council joint venture has appointed Igloo Regeneration to provide development and asset management services to the joint venture.
