£20m loan secured for 1,800 new homes development
A £20m loan has been secured to deliver a new mixed-use sustainable community at Skelton Gate in Leeds Aire Valley.
The 170-acre former open cast colliery site already has planning permission for 1,100 new homes, a primary and secondary school, public open space, a local centre and a convenience store, as well as associated infrastructure.
In July this year an additional application was submitted for a further 700 homes, taking the total housing numbers to up to a potential 1,800.
Templegate Developments Limited, the joint venture partnership of Evans Property Group and Keyland Developments, was granted the loan from Homes England.
The Homes England loan will support the initial infrastructure and reclamation works which alone carry a cost of around £53m.
These works will facilitate the development of the entire scheme, which is set to enable the creation of more than 500 new construction and operational jobs.
The team is in the process of appointing a contractor with works set to commence this month.
As part of the development proposals, Templegate Developments Limited is also transferring its interests in those parts of Skelton Lake within the site to Leeds City Council in order for the Council to create a new nature reserve.
Templegate Developments has also committed to a financial contribution to the ongoing management cost of the nature reserve.
Peter Garrett, managing director of Keyland Developments, said: “Templegate Developments is committing major investment into the Skelton Gate regeneration scheme and we are delighted with the support the development has received from all key stakeholders and the community.
“The plans to create an entirely new sustainable community, whilst aspirational, have always been entirely deliverable and we are incredibly excited to be at the stage where preparatory works can commence.”
James Pitt, development director at Evans Property Group, added: “The securing of this significant loan from Homes England has unlocked and accelerated the development of Skelton Gate and will enable us to commence the first phase of our groundworks and infrastructure programme with immediate effect.
“The vision for Skelton Gate has been developed over almost a decade with close collaboration between Homes England, Leeds City Council, as well as NHBC and we are now looking forward to commencing on site.”
Neil Milligan, head of infrastructure and complex projects at Homes England, said: “Skelton Gate is a great example of how Homes England works with ambitious partners to make homes and communities happen.
“Through our Home Building Fund we help unlock land to create homes where they’re most needed. This development will transform a brownfield site within the Aire Valley, a key strategic regeneration and growth priority for Leeds City Region. We look forward to seeing a new neighbourhood develop.”
