Town’s £130m build on course to finish
Property firm sees promising trading
Yorkshire property company Henry Boot has revealed that a £130m development which is set to provide an economic boost for Barnsley is on course to be completed this year.
The Glassworks is among schemes which the company is developing as the economy emerges from lockdown.
YORKSHIRE PROPERTY company Henry Boot today revealed that a £130m development which is set to provide an economic boost for Barnsley is on course to be completed this year.
The Glassworks is among a number of schemes which the Sheffield-based company is in the process of developing as the economy emerges from lockdown.
These, along with other developments within the business, meant that Henry Boot experienced a positive start to the year as it continues to see its markets recover and is trading in line with the board’s expectations.
In the year to date, the group’s performance has been supported by nine strategic land sales and the completion of developments with a total Gross Development Value (GDV) of £29m.
Boot said the third lockdown had a minimal impact on activities, which has allowed the group to continue to make strategic investments in its three long-term markets.
In a trading statement, the company said: “The Glassworks, a £130m urban development project in Barnsley, is progressing on time and budget, with the scheme set to be handed over later this year. Work has also commenced on major urban development projects,
“The Kangaroo Works (£40m) and Heart of the City, Sheffield, Block H (£42.5m). HBC remain optimistic about the immediate outlook and having already secured a significant amount of its 2022 orderbook, the business is well placed for the future.”
It added: “In particular, a further 582 acres of strategic land have been secured through a mixture of freehold purchases and promotion agreements, combined with the acquisition of a prime 2.6 acre site in Birmingham City Centre for potential residential-led redevelopment. “Additionally, the group has acquired two industrial estates in Manchester and Skelmersdale, for a total of £10.5m, which will be retained in the investment portfolio. After investing in these and other new opportunities, the group remains in a strong financial position with net debt of £4.0m and a robust balance sheet.
“Hallam Land Management (HLM) had a solid start to the year, selling 2,088 plots and securing sales on 493 plots, either unconditionally exchanged or exchanged subject to reserved matters approval, which are expected to complete later in the year.
“Demand for strategic land remains strong, with housebuilders increasing the pace of land acquisition.”
Its HBD wing also made a good start to the year, experiencing strong demand in the industrial and logistics and urban residential sectors.
Following the development of a 297,018 sq ft unit for Aver at its industrial and logistics scheme at Markham Vale, the business is now committed to a total of £336m GDV, 89 per cent of which is pre-sold or pre-let.
This includes a site pre-sold for a 2m sq ft unit at Wakefield Hub, which successfully secured planning consent in April 2021 and a 260,000 sq ft unit pre-let to a German pharmaceutical company which, subject to planning, should commence on site in H2 2021. A further £110m GDV has been added to the Group’s £1.4bn development pipeline after acquiring a former Sytner dealership in Birmingham City Centre.