Scheme’s future secured thanks to bank deal
ONE of the largest property deals completed since the start of the economic downturn – which will help create more than 400 jobs – has secured the future of a £50m scheme.
Santander Corporate Banking is to fund the leisure and hotel phase of Gregory Projects’ Broad Street Plaza scheme in Halifax, in a deal valued at £35m.
Broad Street Plaza is one of the largest regeneration schemes to start on site in Yorkshire this year, generating in excess of 220 long term jobs.
Almost 200 construction jobs will also be created for Elland-based Marshalls Construction after it was appointed main contractor for the scheme.
The funding agreement with Santander follows a £3m investment from regional development agency Yorkshire Forward announced earlier this year which enabled clearance works to start on site.
The 277,000 sq ft scheme is 70% pre-let.
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David Brimblecombe, managing director of Gregory Projects, part of the Leeds-based Gregory Group, said: “We are delighted that Santander Corporate Banking has agreed to support the first phase of the Broad Street Plaza development.
“To secure a funding deal of this size on a major mixed used scheme in the current climate is fantastic news and a very positive message for the region.
“The lack of development finance available has been well documented, however, we have been delighted by the high level of service we have received from Santander’s corporate banking team in Leeds and particularly James Espley our relationship director.
Mr Espley, relationship director for real estate finance at Santander’s West Yorkshire Corporate Business Centre in Leeds, said: “I am delighted that Santander has been able to provide the development funding required for the first phase of the Broad Street Plaza scheme.
he development has already proved to be very popular with more than 70 per cent of the scheme pre-let and I am confident that it will be a major attraction for visitors to Halifax city centre for many years to come.”
Broad Street Plaza will deliver the town’s first large scale multiplex cinema, a number of branded restaurants and purpose built car parking.
Phase one will comprise more than 85% of the scheme equating to almost 235,000 sq ft and is due for completion in March 2012.
Phil Tomalin of the scheme’s project manager, Leeds-based Projex, says: “The former Broad Street car park is already cleared and work is well under way to excavate along the North Parade boundary to create a new service yard, following which the main site levels will be created and foundations poured ahead of the steelwork erection in November.”
Marketing agents for the scheme are the Leeds offices of BNP Paribas and King Sturge, and the development has been designed by The Harris Partnership of Wakefield.
The Leeds office of DLA Piper acted for Santander Corporate Banking.
