Harworth Group PLC Harworth Group enters into JV at Logistics North (1036E)
04 May 2017 - 4:00PM
UK Regulatory
TIDMHWG
RNS Number : 1036E
Harworth Group PLC
04 May 2017
4 May 2017
Harworth Group enters into joint venture to deliver next phase
of Logistics North
Harworth Group plc ("Harworth" or the "Group"), the brownfield
regeneration and property investment specialist, is pleased to
announce that it has entered into a joint venture with Lancashire
County Pension Fund ("LCPF") to develop the next phase of the
Group's Logistics North site, the largest live commercial
development in the North West of England.
The joint venture, known as Multiply Logistics North Limited
Partnership ("Multiply Logistics North"), is expected to deliver
ten commercial units totalling approximately 564,000 sq. ft.,
across 31.2 acres. The transaction will unlock a development profit
for Harworth as well as realising the land value. The land will be
sold to, and then developed by, Multiply Logistics North. LCPF will
fund 80% of the acquisition and development costs, with Harworth
funding the remaining 20%. The parties will take corresponding
interests in Multiply Logistics North. Harworth will also manage
the development and assets for the joint venture in return for
separate development management and asset management fees.
The new commercial units, which will be delivered to an agreed
institutional specification, will be constructed in three stages.
The first stage will see three units, ranging from 45,000 sq. ft to
64,000 sq. ft, constructed by the end of December 2017, with
Buckingham Group already appointed as principal contractor. The
second stage will deliver six new units, ranging from 19,000 sq. ft
to 149,000 sq. ft, during 2018, with the final unit of 131,000 sq.
ft to be constructed in the third stage. All units will be made
available for leasehold occupation upon completion.
The joint venture is the seventh deal to be completed at
Logistics North in the past three years, following freehold land
sales to Aldi, Lidl, MBDA, Joy Global and Exeter Property Group,
and Harworth's forward funding agreement with M&G Real Estate
to build two new units - Logistics 225 and Logistics 175. Whistl
took a ten-year lease on Logistics 225 in January 2017, following
its practical completion a month earlier.
LCPF was advised by the Local Pension Partnership and Knight
Frank Investment Management, whilst Harworth was jointly advised by
JLL and B8 Real Estate.
Owen Michaelson, Chief Executive of Harworth, said:
"We are delighted to have secured this joint venture with the
Lancashire County Pension Fund - our first with a UK Pension fund.
This is an innovative and strategic partnership which will further
enhance our income portfolio and support our NAV growth, as well as
providing separate development and asset management fees. We look
forward to working with LCPF to maximise the potential of the site
for the benefit of all and delivering more high quality industrial
and logistics space in the North West."
-ENDS-
Enquiries:
Harworth Group plc T: 0114 349 3160 / 07825
860215
Iain Thomson E: ithomson@harworthgroup.com
Cardew Group T: 020 7930 0777
Emma Crawshaw
Shan Shan Willenbrock
NOTES TO EDITORS
About Harworth Group
Listed on the main market, Harworth Group plc (LSE: HWG) is a
leading brownfield regeneration and property investment specialist
which owns and manages a portfolio of approximately 22,000 acres of
land over 140 sites located throughout the Midlands and North of
England. The Company specialises in the regeneration of former
coalfield sites and other brownfield land into employment areas,
new residential developments and low carbon energy projects.
Logistics North is the North West of England's largest live
commercial development, with consent in place to deliver 4 million
sq. ft. of commercial space over 250 acres next to junction 4 of
the M61.
http://www.harworthgroup.com
http://www.logisticsnorth.com
This information is provided by RNS
The company news service from the London Stock Exchange
END
MSCBUGDUXXGBGRX
(END) Dow Jones Newswires
May 04, 2017 02:00 ET (06:00 GMT)
Harworth (LSE:HWG)
Historical Stock Chart
From Apr 2024 to May 2024
Harworth (LSE:HWG)
Historical Stock Chart
From May 2023 to May 2024