St Modwen upbeat as it reports progress

Regeneration specialist St Modwen Properties today reported that its ongoing commercial property projects had continued to progress well. Schemes where contracts have been signed and construction is under way include an 85,000 sq ft retail property in Longbridge, Birmingham, pre-sold to Sainsbury’s; and another retail property in Hednesford, Cannock, which also comprises 85,000 sq ft and which has been pre-sold to Tesco.

The group is also building 135,000 sq ft of office space and production facilities at Lincoln for Siemens, and 20,000 sq ft of office space in Taunton for Viridor. These projects are both now under offer for the sale of the investment.

St Modwen was recently selected with VINCI to redevelop the New Covent Garden Market in Nine Elms, a 57-acre site with a gross development value of about £2bn. The site will see a new 500,000 sq ft facility to house the market’s 200-odd businesses, to be funded by the release and development of 20 acres of surplus land into a residential-led mixed-use scheme. The contract is subject to full planning consent being obtained; construction is due to start by mid-2013. The group said “This substantial appointment gives us further significant regeneration opportunities in this important area of Central London, and clearly demonstrates the value of our extensive experience in delivering complex regeneration schemes in partnership with the public and private sector”.

The group also said in its statement to the London Stock Exchange today that it has also been selected by Network Rail as preferred bidder to form a joint venture to redevelop a 70-acre brownfield site in Derby in a mixed-use scheme. The site, to which Network Rail owns the freehold, is known as Chaddesley Triangle and is located next to Pride Park football stadium.