News: Council's commercial units complete

The construction of two new industrial units for Rotherham Council at the Beighton Link site has been completed two months ahead of schedule.

Extending to 49,159 sq ft across two buildings, the property has been developed to meet a growing need for well-located high quality business space in Rotherham and is now available for businesses to rent via agents Commercial Property Partners LLP (CPP).

Rothbiz reported in November that the authority had concluded the property deal as a revenue generating project with developer J F Finnegan building out the units utilising cash from the Sheffield city region JESSICA fund. The authority set aside £990,000 from its own £5m Growth Fund.

Located on a popular business park on Chesterfield Road in Rotherham, in a prime location on the border of Sheffield, just off the A57 and within minutes of the M1 and M18, the units offer manufacturing, distribution or warehousing businesses an opportunity join one of the fastest growing economies in the North of England.

Since opening in 2009, the Beighton Link Business Park has grown to include international coffee company Starbucks and bakery chain Greggs.

Rotherham's Cabinet Member for Jobs and Local Economy, Cllr. Denise Lelliott, said: "The Council aims to give businesses the confidence to invest in the borough and, by providing high-quality commercial property like these units, we can continue to support Rotherham’s position as one of the fastest growing economies in the region.

"The completed units will be let to inward investors or expanding local companies, which will support business growth in the borough and provide high-value lasting employment for residents."

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Measuring at 20,135 sq ft and 29,024 sq ft respectively, both units were constructed by J F Finnegan. Each property has two ground level loading doors, an eaves height of 8.0m, a pitched roof with 10% roof lights, disabled WC and shower facilities, and concrete yard loading areas.

Roger Haworth, Partner at Commercial Property Partners, said: "The location on the popular Beighton Business Park presents a strong opportunity to become part of a highly successfully business community and occupy a high-quality, spacious facility. The units will also benefit from excellent transport links, being based just two miles from J31 of the M1, thus in close proximity to a number of major cities in the Yorkshire and East Midlands region.

"We encourage anyone who is interested in these units and would like some further information to get in touch with our team."

J F Finnegan has been busy in Rotherham, recently starting work on a new £22m research facility at the Advanced Manufacturing Park (AMP). The firm's director, Nick Gillott, said: "We have always had a strong presence in South Yorkshire, this is the final phase at Beighton Link and are proud to be playing our part in what is a great example of the public and private sectors working in partnership."

CPP website
J F Finnegan website

Images: RMBC

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News: Contractors appointed for UKAEA's new £22m Rotherham facility

A £22m fusion energy research facility in Rotherham is nearing reality with the signing of a lease and the appointment of a construction contractor.

Rothbiz reported first that the Advanced Manufacturing Park (AMP) in Rotherham was being scouted by the UK government research organisation.

The key role of the facility will be to develop and test joining technologies for fusion materials and components. It will bring 40 highly skilled jobs to the area, as well as work with the University of Sheffield Advanced Manufacturing Research Centre (AMRC), and the Nuclear Advanced Manufacturing Research Centre (Nuclear AMRC).

Landowner, Harworth, agreed a 20-year pre-let with the UKAEA for a 25,000 sq ft bespoke facility where the agreed rent is in line with existing headline rents for the AMP.

Harworth Group has appointed Sheffield-based contractor and developer JF Finnegan to construct the new building.

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This project adds to JF Finnegan's growing portfolio of work carried out in the Sheffield city region for the research, development and manufacturing sectors. Previous schemes include Mclaren's Composite Technology Centre, two units for Castings Technology International, a production facility, offices and subsequent extension for Newburgh Engineering, new machinery facility for ATI Allvac plus working with The University of Sheffield on three state-of-the-art research facilities (known as LVV, RTC & ICAIR) for the Advanced Manufacturing Research Centre (AMRC).

JF Finnegan previously completed units 7 and 8 on the AMP for Harworth Group.

Gary Smith, managing director of JF Finnegan, said: "We are delighted primarily to be working with The Harworth Group again in an area where we have operated extensively in the last ten years. We feel privileged to be appointed to design and construct a facility that will be utilized to research energy and related technologies."

The UKAEA will be running a series of supply chain events during 2020 to showcase its major projects and highlight the contract opportunities they offer.

UKAEA website
JF Finnegan website

Images: Harris Partnership

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News: Rotherham Council completes Beighton Link deal

Rotherham Council has concluded a multimillion pound deal for two speculative units, totalling 49,159 sq ft, on Beighton Business Park in the south of the borough.

In 2017 the authority outlined plans to kickstart the stalled commercial development in order to support inward investment and job creation, and at the same time generate income for the authority.

Located on the popular business park on Chesterfield Road in Rotherham, the two units have been purchased by Rotherham Metropolitan Borough Council from JF Finnegan, in order to lease to businesses seeking new industrial units in a prime location.

Measuring at 20,135 sq ft and 29,024 sq ft respectively, both units are currently under construction by J F Finnegan and are due for completion in Spring 2020.

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Leading property consultancy Commercial Property Partners LLP (CPP) has advised on the sale.

Roger Haworth, partner at Commercial Property Partners, said: "We are delighted to have advised on this deal and look forward to securing occupiers for both the units.  The location on the popular Beighton Business Park presents a strong opportunity to become part of a highly successfully business community and occupy a high-quality, spacious facility.

"The units will also benefit from excellent transport links, being based just two miles from J31 of the M1, thus in close proximity to a number of major cities in the Yorkshire and East Midlands region.

"We'd encourage anyone who is interested in these units and would like some further information to get in touch with our team."

Earlier phases are home to the likes of Pricecheck and Ideal Envelopes. Developers have recently completed outlets for Starbucks and Greggs.

The project sees developer J F Finnegan building out the units utilising cash from the Sheffield city region JESSICA fund. The authority set aside £990,000 from its own £5m Growth Fund.

Nick Gillott, director at J F Finnegan, said: "We have always had a strong presence in South Yorkshire, this is the final phase at Beighton Link and are proud to be playing our part in what is a great example of the public and private sectors working in partnership.

Tim O'Connell, Head of Rotherham Investment & Development Office (RIDO), added: "The Council aims to give businesses the confidence to invest in the borough and, by providing high-quality commercial property like these units, we can continue to support Rotherham's position as one of the fastest growing economies in the region.

"The completed units will be let to inward investors or expanding local companies, which will support business growth in the borough and provide high-value lasting employment for residents."

J F Finnegan website
RiDO website

Images: CPP

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News: Jobs boost as plans in for stalled Rotherham development

An employment site in Rotherham that was "sterilised" by previous HS2 proposals is being revived with plans for new units that could be home to 150 new jobs.

Active in Rotherham with popular schemes such as Vector 31, industrial developer, Network Space (formerly known as Langtree), is now driving ahead with new plans to revive the Woodhouse Link development in the South of the borough.

Home Décor Innovations, one of the leading suppliers of floor-to-ceiling sliding doors and associated storage systems in Europe, had only just opened its 110,000 sq ft state-of-the-art factory at Woodhouse Link, when in 2013, HS2 announced that a route for the high speed line to a station at Meadowhall would cut straight through the site off Retford Road, which is just inside the Rotherham borough.

Developer Woodhouse Link LLP (a joint venture partnership with JF Finnegan and Laycast Ltd) undertook a complete demolition and remediation programme to facilitate a brand new industrial and distribution park on the site of the former Laycast foundry.

A switch of the preferred HS2 route through Rotherham, the undeveloped plots went on the market in 2017.

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The latest plans submitted to Rotherham Council are for four units of varying size which total close to 118,000 sq ft. The employment and distribution development would provide the opportunity for 150 new jobs, although potential occupiers are not yet known.

The full planning application, drawn up by Spawforths and DLA Design, details that the units would be able to be used for B1(b) (Research and Development), B1(c) (Light industry), B2 (General Industrial) and B8 (Storage and Distribution)> It also includes ancillary office use, associated car parking, service areas and landscaping.

Sized at between 16,000 sq ft and 49,000 sq ft, the mix of unit sizes has been carefully considered to provide various options for end users.

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The plans conclude: "The proposals will make a significant contribution to the creation of a strong, competitive local economy. The site is located within a sustainable area of strong market interest and which has already seen success in employment and logistics operations.

"The scheme presents an opportunity to achieve much needed employment growth within the area and will deliver substantial economic benefits, providing significant inward investment, positive economic growth and significant job opportunities for the Aston, Aughton and Swallownest areas and further afield."

Network Space website

Images: Network Space / DLA Design

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News: Latest AMP phase completes

Interest is high in the recently completed new units on the Advanced Manufacturing Park (AMP) in Rotherham where companies are keen to locate alongside the likes of Rolls-Royce, McLaren and the University of Sheffield's AMRC.

Landowner and developer, Harworth Group plc has announced that it has practically completed six new speculative "R-evolution" units totalling 56,549 sq ft at the Waverley site, as part of the latest phase in creating what is already recognised as the UK's premier advanced technology park.

Three speculative phases have been backed by public sector loans and the latest lettings to the likes of British Steel, Bodycote and Spendor Audio have commanded new headline rents.

Indeed phase three's Unit 6, which measures 26,000 sq ft, is currently listed as under offer. Harworth said it anticipates announcing further lettings progress at this site this year.

Waverley is Yorkshire's largest ever brownfield mixed-use development at 740 acres. Consent has been given for 2.1m sq ft of commercial space and 1.3m sq ft has been built. At the new community, 850 homes have already been built.

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David Travis, director of business space at Harworth Group, said: "Another six completed units have been delivered to the highest quality and I want to express my continued thanks to both JF Finnegan [contractor] and our appointed project team for a job well done.

"We are now focussed on promoting these units for immediate leasehold occupation to advanced manufacturing and engineering companies, who wish to be a part of the collaborative cluster of high-value occupants that has been successfully established at the AMP over the last decade."

The scheme is being marketed by jointly appointed agents Knight Frank and Gent Visick.

Rebecca Schofield, partner at Knight Frank's Sheffield office, said: "We are delighted to see the latest phase of speculative development completed at the Advanced Manufacturing Park. Harworth Group's commitment to delivering space on a speculative basis specifically for the advanced manufacturing sector has clearly been welcomed by the occupier market and we continue to see good levels of interest. The units are designed with flexibility to satisfy a variety of occupier requirements."

Paul Mack, partner at Gent Visick, added: "Given the success of Harworth's previous phases at the AMP, it's exciting that the latest phase is now finished and ready for immediate occupation. The AMP is home to some of the biggest names in the manufacturing sector and we look forward to welcoming further companies to the park. Funding from Sheffield City Region's JESSICA fund was utilised to facilitate the construction of these units, as Harworth has done for its' previous phases of "R-evolution @ The AMP"."

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The JESSICA fund is a financial engineering mechanism used to create a revolving fund for regeneration projects such as the creation of new commercial floorspace, brownfield redevelopment or investment in infrastructure.

It used £8m of the government's Growing Places Fund to leverage a further £15m of funding from the European Regional Development Fund (ERDF).

William Church, director of CBRE Capital Advisors and fund manager for SCR JESSICA, said: "Following the success of Harworth's previous SCR JESSICA supported developments throughout the region, we are delighted to have funded the delivery of further speculative space at the Advanced Manufacturing Park. The provision of such space is fundamentally important infrastructure for the economic growth of the region; given limited existing supply; and supporting this growth is the purpose of the Fund."

In June Rothbiz reported that a further 430,500 sq ft of commercial space can be created on the AMP after plans were approved by the planning board at Rotherham Council.

Harworth Group website

Images: Harworth

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News: Council's Beighton Link deal

Rotherham Council is progressing plans to kickstart a stalled commercial development in order to support inward investment and job creation, and at the same time generate income for the authority.

Rothbiz reported last year that the Council was proposing to acquire remaining land at the Beighton Link site where earlier phases are home to the likes of Pricecheck and Ideal Envelopes.

It would mean that developer JF Finnegan would build out the units utilising cash from the Sheffield city region JESSICA fund. The authority set aside £990,000 from its own £5m Growth Fund and wanted to establish a "rent guarantee fund" that ensured it would receive rent for the property even if it was not let to a tenant.

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The JESSICA fund supports job-creating commercial property schemes through grants and loans.

A recent update states: "It became apparent during discussions with the JESSICA Fund Manager that the JESSICA funding could only be provided as a capital loan to fund development costs. The Council required the funding to provide potential revenue in the form of rental income.

"A structure to allow the funding to be received as a capital loan has been developed as a solution. It is proposed that JF Finnegan create a rent guarantee fund through payment into an ESCROW account and the Council pay a higher purchase price. The higher purchase price will include both the property and a rent guarantee fund."

Solicitors have told the Council that the recommended alternative structure is lawful.

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The £5.2m scheme would involve two business units at Beighton Link, expected to total 49,000 sq ft.

Rotherham Council is expected to provide £4.7m and could receive an estimated £283,000 a year from renting the units, in addition to £66,000 from its share of business rates. Borrowing money from the Government's Public Works Loan Board would lead to estimated yearly costs of £203,440. The Council will also have to pay interest and administration fees on the JESSICA loan of £11,500 a year.

The figures point to the authority putting £134,060 a year forward as savings. Less that the annual saving of £269,500 factored in to the Council's budget plans from 2019/20.

Rotherham Council previously worked with landowner and developer Harworth Group to unlock a £2.7m loan from the JESSICA Fund, which led to the first R-evolution scheme on the Advanced Manufacturing Park (AMP), a 117,000 sq ft speculative industrial development, the success of which has lead to further phases.

The property at the AMP generated a net annual surplus of over £50,000 after taking account of all costs to the Council of owning the unit including capital financing charges.

JF Finnegan website

Images: JF Finnegan

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News: McLaren gets keys to £50m Rotherham facility

McLaren Automotive has been handed the "key" to the building that will house the new £50m McLaren Composites Technology Centre (MCTC) in Rotherham.

Supporting the firm's objective of producing more than 4,500 vehicles annually by the end of 2022, MCTC will enable the development and manufacture of the Monocell and Monocage carbon fibre chassis used in future McLaren models.

The finished tubs will then be sent to the McLaren Production Centre in Surrey where the company's vehicles have been hand-assembled since 2011.

Ruth Nic Aoidh, executive director, commercial and legal at McLaren, received the "key" to the building from Owen Michaelson, chief executive of Harworth Group plc who have built the unit for McLaren's use at the Advanced Manufacturing Park (AMP) in Rotherham.

On display for the occasion were the company's current family of products including members of the Sports Series and Super Series as well as a rare appearance by the McLaren Senna, all 500 units of which have been allocated to customers.

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Designers on the project were JPG with The Harris Partnership as architects. The contractor is JF Finnegan and the project managers are Burnley Wilson Fish.

When open, the MCTC will be home to only McLaren's second ever production facility and the first outside its native Woking. Around 45 McLaren employees are already housed at the University of Sheffield Advanced Manufacturing Research Centre (AMRC), innovating the process for creating lightweight tubs and when fully operational, the team will grow to around 200 people.

The buiding will now undergoe several months of fitting out which will see all the manufacturing equipment installed, including a giant press that will make its way from Germany this summer.

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Ruth Nic Aoidh said: "Getting the key to the building that will house the McLaren Composites Technology Centre is a major milestone for us and the next chapter in our growth as a young, ambitous, innovative company.

"It's also an important day for all of the many individuals, organisations and suppliers who have supported and shared our ambitious plan to make the Sheffield region home to McLaren's second production facility. This project is also testamanet to their shared mindset and the region's long association with advanced materials that we are able to draw on and benefit from.

"Over the coming months the Centre will be fitted out with the production equipment we need to become fully operational next year and support hundreds of skilled jobs."

McLaren Automotive website

Images: McLaren

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News: McLaren inaugurates new Rotherham facility - in style

British supercar manufacturer, McLaren, has used the freshly laid floor of its new £50m facility in Rotherham to showcase its latest supercar for the first time.

Supporting the firm's objective of producing more than 4,500 vehicles annually by the end of 2022, the £50m McLaren Composites Technology Centre (MCTC) was announced in February 2017. It will enable the development and manufacture of the Monocell and Monocage carbon fibre chassis used in future McLaren models.

As construction nears completion, McLaren Automotive chief executive Mike Flewitt illuminated the famous marque's sign, which will be visible from the Sheffield Parkway.

The centre is set to open later this year to start building carbon fibre development tubs, with full operation planned for 2019.

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Inside the 75,000 sq ft facility on the Advanced Manufacturing Park (AMP) in Rotherham, the recently unveiled McLaren Senna road car performed a series of expertly choregraphed "doughnuts" to leave a trail of fresh Pirelli tyre rubber to "christen" the floor in McLaren style.

The McLaren Senna – whose design was led by Harrogate- born Rob Melville - was accompanied by Ayrton Senna's original Grand Prix winning McLaren MP4/5 race car from 1989.

The event provided the first glimpse inside the new composites technology centre which, when open, will be home to McLaren's second production facility and the first ever outside of its native Woking.

The new #McLaren Senna helped 'christen' our McLaren Composites Technology Centre factory floor, by laying down some fresh Pirelli rubber. pic.twitter.com/IDjyiIDe1T

— McLaren Automotive (@McLarenAuto) January 17, 2018

McLaren signed a conditional twenty-year lease with Harworth Group plc, the brownfield regeneration and property investment specialist that owns the Waverley site.

Designers on the prject were JPG with The Harris Partnership as architects. The contractor is JF Finnegan and the project managers are Burnley Wilson Fish.

The centre is set to create more than 200 jobs and will comprise approximately 150 production staff and 50 manufacturing support staff. Over 40 McLaren employees are already based at the University of Sheffield's Advanced Manufacturing Research Centre, where they are advancing the process for creating the lightweight carbon fibre Monocage structures at the heart of McLaren cars.

When operational, carbon fibre tubs will be manufactured and sent to the McLaren Production Centre in Surrey where the company's sportcars and supercars are hand-assembled.

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Bringing production back to the UK from abroad, the firm expects that when the MCTC is running at full production from 2020, it could to deliver cost savings of around £10m annually.

Mike Flewitt, chief executive at McLaren Automotive (pictured), said: "Today is an important and exciting milestone for everyone at McLaren Automotive, as well as a personal honour, to officially turn on the McLaren sign at what will be our McLaren Composites Technology Centre when it opens later this year.

"It marks the continueddevelopment of the current 2,100 strong company, and will bring new jobs to the Sheffield region which has a proud association with advanced materials; first with steel and now a future to look forward to with carbon fibre innovation and production for McLaren."

Backed by a grant of up to £12m via the Sheffield city region (SCR), the investment is set to have a £100m of GVA (gross value added) benefit to the local economy by 2028.

The McLaren Group recently recorded another record year of growth, selling a total of 3,340 cars in 2017. It has an ambitious "Track22" business plan that sets out and supports growth. Long-term, the plan includes launching 15 new cars and/or derivatives up to 2022, with three revealed to date.

McLaren Automotive website

Images: McLaren

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News: £4.8m kickstart for stalled Rotherham development

Rotherham Council is planning to use its financial clout to secure external funding and kickstart a stalled commercial development in order to support inward investment and job creation.

Echoing a previous forward funding deal on the Advanced Manufacturing Park (AMP), the authority has developed a project to unlock property investment at JF Finnegan's Beighton Link site in the south of the borough.

Councillors and commissioners are being asked to approve the Council's acquisition of remaining land at the site where earlier phases are home to the likes of Pricecheck and Ideal Envelopes.

The acquisition will then enable the Council to work in partnership with the private sector (JF Finnegan) and access regional regeneration funding. The Sheffield City Region's JESSICA fund supports job-creating commercial property schemes through grants and loans.

JF Finnegan will then be procured to build two business units at Beighton Link, expected to total 49,000 sq ft.

The funding for the purchase (£990,000) is to be taken from the £5m Growth Fund, which was approved as part of the Council's capital strategy 2017-2022.

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Tim O'Connell, Head of RIDO, said: "Property market failure within Sheffield City Region is restricting the supply of new commercial property development. This is a result of developer costs exceeding returns (rent/capital values). In some circumstances, a lack of debt finance is also restricting development, particularly for speculative projects. The majority of banks will only fund pre-let or pre-sold schemes.

"Previous experience from the acquisition of the units at the Advanced Manufacturing Park indicate that in addition to economic development benefits there are good prospects of generating a revenue surplus from this type of investment.

"The Council will receive income through an increase in business rates and the completed units will be let on the open market to end users – inward investors or expanding local companies which will provide additional income to the Council."

The deal involves an element of risk and includes a rent guarantee fund which ensures that the Council receives the full rent from the date the units are completed even if a tenant is not in place.

The new units are expected to secure rents of between £269,500 and £291,550, alongside retained business rates of around £66,000. With costs totalling an estimated £4.8m, the deal represents a yield of between 6.99% and 7.45%.

Rotherham Council previously worked with landowner and developer Harworth Estates to unlock a £2.7m loan from the Sheffield City Region JESSICA Fund, which led to the first R-evolution scheme on the AMP, a 117,000 sq ft speculative industrial development, the success of which has lead to further phases.

The property at the AMP generates a net annual surplus of over £50,000 after taking account of all costs to the Council of owning the unit including capital financing charges.

JF Finnegan website

Images: JF Finnegan

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News: New stores set to open at Cortonwood

New stores are getting ready to open for business at a £36m retail development in Rotherham where over 200 jobs have been created.

At Cortonwood Shopping Park, work started last year on a programme to demolish the vacant 150,000 sq ft ALBA warehouse, following which J F Finnegan undertook works to create 11 new retail units and a restaurant totalling 79,750 sq ft.

Getting ready to open are national retailers Outfit, H&M, New Look, River Island, Mountain Warehouse, Marks and Spencer Simply Food, Clark's, JD Sports, Wilkos, Poundland and Frankie & Benny's.

Only passed on appeal, the development is from Helical Retail and forms an extension to Cortonwood Retail Park which was developed by St Paul's Developments, totally transforming the site of the former Cortonwood Colliery, where the 1984 miners' strike began.

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Helical Bar plc is a property investment and development company and is working with partners, Oswin Developments Limited on the scheme.

Jonathan Cox of Helical Retail said: "This development has come about over a period of time which many retailers have found challenging, underlining the confidence these high profile names have in Cortonwood as a retail destination."

Edgerley Simpson Howe acted for Helical Retail and Aberdeen Asset Management was advised by CWM.

The 9,000 sq ft M&S Foodhall, which has created 57 jobs at the scheme, has set its opening date as August 30.

Helical Retail funded the development to clients of Aberdeen Asset Management for £36.3m, showing the buyer a yield of c.5.5%. Aberdeen Asset Management PLC is a global investment management group, managing assets for institutional and retail clients from offices around the world.

Over 95% of the scheme was pre-let "off plan" and the developers believe that the new retail park will create between 279 and 372 jobs (equivalent to 186 full time jobs).

Helical plc has narrowed the focus of the company to London, offices in Manchester and a portfolio of logistics units. It expects to sell off remaining non-core assets, such as its retail portfolio, this year.

Helical Retail website

Images: J F Finnegan

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News: Mountain Warehouse set to pitch up in Rotherham

Outdoors specialist, Mountain Warehouse, looks to have snapped up the last remaining unit at a £36m retail development in Rotherham.

Work is close to completion at the Cortonwood Shopping Park where Sheffield contractor, J F Finnegan has led on the work to demolish the vacant 150,000 sq ft ALBA warehouse, and then construct 11 new retail units totalling 120,000 sq ft.

Before work even began, leading name retailers had signed up to take units - Outfit, H&M, New Look, River Island, Marks and Spencer Simply Food, Clark's, JD Sports, Wilkos, Poundland and Frankie & Benny's.

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The last unit looks to have been taken by Mountain Warehouse as it sets out plans to open 40 new stores in the year ahead, 20 in the UK.

The developer, Helical plc, said in its latest financial report to the stock exchange that construction is continuing with completion due in July 2017. Stores are set to open in August.

The developers believe that the new retail park will create between 279 and 372 jobs (equivalent to 186 full time jobs).

Mountain Warehouse recently published record results with profits jumping by 22% to £19.8m for the year ending February 2017, while sales were up 30.8% to £184.8m. Like-for-like sales increased by 16.5% over the period.

Founded in 1997, the business now sells mainly own brand clothing, footwear and equipment. It operates 260 stores worldwide and aims to have 300 UK stores and expand further overseas.

Helical Retail pre-funded the development to clients of Aberdeen Asset Management for £36.3m. Only passed on appeal, it forms an extension to Cortonwood Retail Park which was developed by St Paul's Developments, totally transforming the site of the former Cortonwood Colliery, where the 1984 miners' strike began.

On the same site, Palmer Capital recently acquired Dearne House for £5.25m, reflecting a net initial yield of 6.75%. Acquired for the Palmer Capital Income Fund and securely let to The Royal Mail Group Limited for a further 13 years with fixed uplifts, Dearne House comprises 51,671 sq ft of modern office accommodation.

As the regenerated site becomes a retail destination, Palmer Capital said that the deal offers "Royal Mail superb local amenities and the fund with a strong residual value position at the end of the lease."

Mountain Warehouse website
Helical website

Images: Mountain Warehouse

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News: Woodhouse Link back on the market

The remainder of an employment site in Rotherham that was "sterilised" by HS2 proposals has been brought back to the market as the Government is minded to accept revised proposals that move the route through South Yorkshire.

Home Décor Innovations, one of the leading suppliers of floor-to-ceiling sliding doors and associated storage systems in Europe, had only just opened its 110,000 sq ft state-of-the-art factory at Woodhouse Link, when in 2013, HS2 announced that a route for the high speed line to a station at Meadowhall would cut straight through the site, which is just inside the Rotherham borough.

Developer Woodhouse Link LLP (a joint venture partnership with JF Finnegan and Laycast Ltd) undertook a complete demolition and remediation programme to facilitate a brand new industrial and distribution park on the site of a former foundry.

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Real estate adviser GVA has now been instructed to bring two remaining plots of land to the market which extend to around 2.98 and 5.26 acres. Outline permission was secured in 2009 for a mixed use development comprising A3/A4 (restaurant/pub), C1 (hotel), B1 (business), B2 (general industrial) and B8 (storage and distribution) uses.

Rob Oliver, director at the Leeds office of GVA, said: "Woodhouse Link is a very well located employment site, and the two plots offer the opportunity to develop units of varying sizes.

"Frustratingly, development and marketing went on hold when this site was on the proposed HS2 route, but thankfully it now appears that the route has been moved east of our site.

"Despite not actively marketing the sites during this period, occupiers have regularly enquired after the site, but we have been unable to take those further.

"I am now in talks with a number of developers who are interested in the plots, and look forward to seeing the remainder of the scheme developed in due course."

Following a period of consultation, a final decision on the HS2 route through South Yorkshire is set to be made later this year.

Woodhouse Link website

Images: GVA

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News: New housebuilder ensures progress at Waverley

Avant Homes has signed up to build a further 61 homes, the company's first, at the Waverley development in Rotherham.

Landowner and developer, Harworth Group plc has sold the eighth phase of engineered housing land at Waverley – totalling 4.7 acres – to Avant Homes in a deal worth £2.5m.

Avant Homes, the housebuilder formerly known as Gladedale Group, becomes the fourth housebuilder at Waverley, following on from the homes built by Barratt Homes, Taylor Wimpey and Harron Homes. Over 600 homes have been built over the past four years on the site which is Yorkshire's largest-ever brownfield redevelopment, with Harworth delivering a new community of 3,890 homes.

Plot HC5 was initially coming forward with Harron Homes as the housebuilder but new plans have been submitted for a range of dwellings on land formerley known as Highfield Commercial close to Marston's Winter Green pub. The development is to be known as Sorby Row.

Owen Michaelson, chief executive officer of Harworth Group plc, said: "We are delighted to welcome Avant to Waverley. Avant have a proven track record of delivering high-quality homes elsewhere in our portfolio and increasing the number of points of sale at the development matures the site – delivering further value and diversifying risk."

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Waverley is also home to the world-renowned Advanced Manufacturing Park (AMP) where Harworth expects to reach practical completion on a number of directly developed units totalling 52,000 sq ft at the end of March.

Following on from the success of the two previous phases which are all now fully let, Harworth intends to hold and lease the new space to growing advanced manufacturing firms.

Built by JF Finnegan ans comprising five units within two terraces, these will be practically complete at the end of this month and will provide modern industrial space in a market with only a limited supply of available stock.

This follows recent announcements from McLaren and Boeing to create new facilities close to the University of Sheffield's Advanced Manufacturing Research Centre within the Sheffield-Rotherham Advanced Manufacturing Innovation District.

Michaelson added: "These announcements underpin Waverley's credentials as one of the North of England's most successful and important brownfield redevelopments, which forms the cornerstone of the Advanced Manufacturing Innovation District.

"Nearing practical completion of speculative units at the AMP also underpins our confidence in the site as a key advanced manufacturing hub for the UK, and we look forward to welcoming new tenants into these units once complete."

Detailed plans are also close to being submitted for the £50m retail, office and leisure development at the heart of Waverley. Here Harworth has teamed up with Dransfield Properties, the Barnsley-based company that specialises in retail led regeneration scheme.

Harworth Group plc website

Images: Avant Homes

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News: Construction to begin on 52,000 sq ft of space on AMP

Construction will get underway this month on the latest speculatively developed units at the Advanced Manufacturing Park (AMP) in Rotherham after Sheffield based contractor and developer, JF Finnegan, was awarded a £3.5m design and build contract by leading regeneration company Harworth Estates.

The developers are transforming a reclaimed former industrial site at Waverley into a thriving new 740 acre development which includes the AMP - dubbed "the elite "Mayfair" address for advanced manufacturing."

Detailed plans were submitted for the second phase of the R-evolution development earlier in 2016 which include three separate buildings on Plots 6, 7 and 8 and proposes high quality business, manufacturing and office floorspace in classes B1/B2/B8.

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JF Finnegan will work on a scheme set for completion in March 2017, which will include space to lease targeted at advanced manufacturing occupiers from 4,900 sq ft up to a maximum of 52,000 sq ft. The contract also includes the creation of 200m of new adoptable roadway that will extend the current AMP estate roads into Harworth's new "AMPlify" scheme at the same time, fully servicing a further 25 acres of development land to the rear of the estate that will offer a further 465,000 sq. ft of space to occupiers.

The first phase of the R-evolution development was brought forward, securing occupiers X-Cel Superturn, Maher, Nikken Kosakusho Europe and Metalysis.

The site is located within an Enterprise Zone and funding for the new accommodation has been secured by way of a £2.5m loan from the Sheffield City Region (SCR) Joint European Support for Sustainable Investment in City Areas (JESSICA) fund.

The appointment continues a successful working relationship between JF Finnegan and Harworth, following the contractor's appointment in February this year to build Helix, a speculative 75,000 sq ft manufacturing and logistics unit at Harworth's "Gateway 36" development in Barnsley. This unit practically completed last week and is now ready for immediate occupation.

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Gary Smith, managing director of JF Finnegan, said: "We are delighted to be continuing our working relationship with Harworth with this new contract at the AMP. Work will commence on site this month and we will be working to a six month programme to enable Harworth to launch the units ready for occupation in early 2017."

David Travis, associate director of business space at Harworth Estates, added: "We are pleased to be progressing with the speculative development of the new units at the AMP, which follows the previous success of our original first phase. JF Finnegan are a trusted Sheffield contractor and we are confident that the units will be delivered on time and to a high specification in order to continue to provide much-needed space for local, regional and national advanced manufacturing and engineering companies."

The scheme is being marketed by jointly by Harworth's appointed agents, Knight Frank and Gent Visick.

Harworth Estates website
JF Finnegan website

Images: Harworth Estates

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News: Finnegan bags brief at £36m Rotherham retail project

Sheffield-based contractor JF Finnegan has been appointed by Helical Retail Limited to deliver Cortonwood Shopping Park, the £36m new retail development in Rotherham.

Work on site has started on a programme of works which will involve the demolition of a vacant 150,000 sq ft ALBA warehouse, following which site preparation works will take place ready for the development of 11 new retail units totalling 120,000 sq ft for occupiers to be trading by Autumn 2017.

Rothbiz reported last week that Outfit, H&M, New Look, River Island, Marks and Spencer Simply Food, Clark's, JD Sports, Wilkos, Poundland and Frankie & Benny's have all signed up to take units.

The developers believe that the new retail park will create between 279 and 372 jobs (equivalent to 186 full time jobs).

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Only passed on appeal, the planned development forms an extension to Cortonwood Retail Park which was developed by St Paul's Developments, totally transforming the site of the former Cortonwood Colliery, where the 1984 miners' strike began.

The latest contract continues JF Finnegan's long-standing involvement at the former colliery site, having constructed all 250,000 sq ft of retail units in the previous phases over the last 20 years.

Adrian Russell, of Helical Retail, said: "Our aspirations for a new retail development to enhance the existing offering at Cortonwood have been long awaited by the local residents and we are delighted to have now reached the stage where work is starting on site.

"By attracting new retailers to the area, the scheme is bringing significant capital investment and new jobs to the locality in addition to adding to the vibrancy of an already successful retail destination. We appointed JF Finnegan due to their historic involvement with Cortonwood and their strong reputation and are looking forward to seeing work progress on site."

Dawa Singh, head of pre-construction at JF Finnegan, added: "Over the years we have witnessed the transformation of Cortonwood into one of the region's most acclaimed regeneration projects and shopping destinations. We have been working alongside Helical Retail and their Project Managers PMS (Wessex) Limited for some time to develop the plans for the new extension which will ensure the continued success of the development. Our teams are now undertaking preparatory works on site."

Helical Retail has funded the development to clients of Aberdeen Asset Management for £36.3m, showing the buyer a yield of c.5.5%.

Aberdeen Asset Management PLC is a global investment management group, managing assets for institutional and retail clients from offices around the world.

JF Finnegan website

Images: Helical

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News: LondonMetric wrap up deal for Rotherham Parcelforce depot

Property investors, LondonMetric Property Plc, has snapped up the massive new Parcelforce distribution centre in Rotherham in a £10.3m deal.

The UK real estate investment trust (REIT) is listed on the London Stock Exchange and invests across the UK in retail and distribution properties as well as Greater London real estate opportunities.

Royal Mail Group's express parcels business, Parcelforce Worldwide, opened its new depot in Rotherham at the end of 2013. The UK and International parcel delivery service took over the 152,421 sq ft distribution unit at the Magna 34 development at Templeborough that had been empty since it was completed by JF Finnegan in 2008.

The new depot is part of a UK-wide £75m expansion programme which is expected to create up to around 115 jobs in Rotherham over the next three years. The Rotherham operation currently employs around 110 people but this is expected to increase to up to around 225 people over the next three years as the number of parcels the company handles increases.

The massive unit now includes a jet wash facility, new ramps and fencing and new access doors and has the capacity to hold up to 141 vehicles and handle up to thirty thousand parcels a day. It is about seven times the floor space of the previous site on Parkgate Business Park.

The property is the largest parcel distribution centre in the country outside of Parcelforce's main Coventry hub. Around 12,000 parcel movements are made per day on average, peaking at 25,000 per day in busy periods. Currently, Parcelforce only utilise 80% of the warehouse which will be fully occupied within two to three years to keep pace with the rapidly expanding home delivery market.

Parcelforce has taken a 15-year lease and paying around £650,000 per annum with fixed rental uplifts of 1.75% per annum compound in 2018 and 2023.

Sheffield agents, Commercial Property Partners (CPP), had been advertising the investment opportunity with a guide price of in excess of £9.8m and LondonMetic said that the £10.3m deal represents a net initial yield of 6.0%.

JF Finnegan was represented by Commercial Property Partners as agent and DLA Piper as lawyer, with CBRE acting as agent for LondonMetric.

Andrew Jones, chief executive of LondonMetric, said: "[We are] extremely pleased to have secured our second Royal Mail distribution centre. This will further strengthen our relationship with them as well as delivering a long, strong and growing income."

Roger Haworth, partner at Commercial Property Partners, added: "This deal is a great result in the current market where there is strong demand for prime, long-let distribution assets with fixed uplifts, let to good covenants. The high profile nature of Royal Mail, which was listed on the London Stock Exchange in October 2013, coupled with the quality of build, proved key in attracting investor interest."

The Templeborough property fits into the portfolio of the trust in that they operate an occupier-led approach with an asset focus on properties with enduring occupier appeal providing opportunities to improve both rental values and the security and longevity of income; and limited risk redevelopments with the aim of enhancing shareholder returns.

Created in a merger between London & Stamford Property plc and Metric Property Investments plc, the trust reported a profit of £125.3m for the year ending March 31 2014.

Andrew Jones, added: "The last six months has seen a dramatic change in the UK property market particularly for assets outside the south-east. We have seen liquidity return to the vast majority of the UK market for the first time since 2007 and strong secondary assets outperforming prime real estate, a trend we expect to continue.

"As yields on prime real estate head towards record lows there is an increasing acceptance that yield compression is a button that can't be pushed forever. Conversely strong secondary assets continue to offer higher sustainable income returns and with an improving economic outlook and little new development, will also begin to deliver real income growth.

"Our focus on out-of-town retail and distribution has not only simplified the business but created a portfolio of good quality real estate with strong occupier appeal and desirable income characteristics, as well as laying the foundations for income growth."

LondonMetric website

Images: CPP

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News: High demand for grade A industrial space

Take-up of grade A industrial and logistics space across Yorkshire rose to 2.3m sq ft in 2012, almost double the amount acquired than the previous year, according to the latest research by commercial property experts, Lambert Smith Hampton.

31% of overall take-up was focussed on the high specification, grade A space but despite this, total take-up fell to 7.4m sq ft in 2012, a drop of 27% on the previous year and its lowest level since 2007.

However, only 8% of the stock now available on the market is grade A, which is largely comprised new build logistics units over (100,000 sq ft) across South Yorkshire, where there is currently an oversupply.

Robert Whatmuff, head of Industrial and Logistics in the North at Lambert Smith Hampton, said: "The lack of stock is holding back the market and occupiers of small and medium sized units are struggling to find any suitable space to accommodate their future plans. Occupiers now have very limited options, with no speculative development occurring over the last few years and the flight to prime mentality in terms of recent occupier requirements.

"This has left us with less than one months supply of small to medium grade A accommodation. In the larger size ranges this is less of an issue as there remains a strong supply of Grade A units over 100,000 sq ft, particularly in South Yorkshire. We have witnessed an increase in Design & Build from those occupiers with more bespoke requirements however, for the smaller occupier this is generally not an option that is palatable or deliverable.

"There is already a shortage of choice for occupiers and, due to the lack of speculative development, occupiers will struggle to find suitable properties either in terms of location or specification."

One significant Design & Build development in the region last year was the completion of the new home for Home Décor Innovations. The manufacturer has moved into a 110,000 sq ft state-of-the-art factory at JF Finnegan's Woodhouse Link development on the site of the former Laycast Foundry at Fence in Rotherham.

Despite the 27% fall in take-up, the research showed that every major centre across Yorkshire registered growth in prime rental values, a trend expected to continue. In Rotherham prime rental values increased slightly to £5 per sq ft.

Lambert Smith Hampton website

Images: hdhc.com

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News: Henderson delivers a 150% return from innovative property transaction

A complex, and profitable, property transaction by Henderson Global Investors led to Home Décor’s relocation to Rotherham.

Home Décor Innovations, one of the leading suppliers of floor-to-ceiling sliding doors and associated storage systems in Europe, recently opened its 110,000 sq ft state-of-the-art factory at JF Finnegan's Woodhouse Link development on the site of the former Laycast Foundry at Fence.

In 2006, Henderson acquired the leasehold for an 88,000 sq ft warehouse on Beighton Road in Mosborough, Sheffield, which was let to Home Décor under a ten year lease from May 2006 for £5.7m.

Having identified the site as an opportune potential for supermarket development, Henderson acquired the freehold in 2010 in order to explore this opportunity. Terms were then agreed to sell the site to ASDA, subject to ASDA obtaining an outline planning consent for a food store and Henderson relocating the Home Décor business to a new site.

Terms were agreed to acquire the land at Fence and enter into a "turn-key" transaction with the landowner, Finnegan. The detailed specification was agreed to a very high standard.

Construction completed in November 2012 and lease terms for the new facility were duly agreed with Home Décor taking a new 15 year lease. In December 2012, following Home Décor’s relocation of its entire business operations, the Mosborough land was sold to ASDA for £16m, who will now develop a new 90,000 sq ft food store.

Cameron Fraser, director at Henderson Property said: "This complex project involved a number of parties, including the original freeholder, ASDA, Sheffield City Council, Home Décor, and Henderson, who were all required to work cohesively in order to achieve the end result.

"To achieve a change of use to a food store, to locate, and build a new industrial unit and to relocate our existing tenant on time and on budget is a real testament to the principle team across the project.

"Not only have we been able provide Home Décor with a brand new unit (including a category B fit out) which is more suitable for Home Décor's business growth ambitions, we have also paved the way for a new ASDA development which will deliver a number of employment opportunities to the local area. To deliver the project all the way through from a speculative and ambitious idea at the origin is truly satisfying."

Henderson was advised by Howlings Hodgson and Lambert Smith Hampton (LSH).

Home Décor website
Henderson Global website

Images: Henderson Global

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News: Home Décor opens "dream" facility in Rotherham

Home Décor Innovations, one of the leading suppliers of floor-to-ceiling sliding doors and associated storage systems in Europe, has opened its 110,000 sq ft state-of-the-art factory in Rotherham.

With around 120 staff, the manufacturer has made the move from Drakehouse in Sheffield to JF Finnegan's Woodhouse Link development on the site of the former Laycast Foundry at Fence.

Developer Woodhouse Link LLP (a joint venture partnership with JF Finnegan and Laycast Ltd) has undertaken a complete demolition and remediation programme to facilitate a brand new industrial and distribution park.

A deal with Henderson Global Investors for the purchase and construction of the property has created 91,500 sq ft of high-tech workshop space in addition to 21,600 sq ft of offices/showroom space.

Max Crosby-Browne, CEO at Home Décor, said: "The new facility is 10% larger than our current site, it has been designed and purpose built to our exact specifications. We have worked very closely with our landlord in order to realise our dreams.

"The new site will provide us with the much needed space to effectively house our ever expanding business.

"The new site will see significant investment from the introduction of new plant, new manufacturing processes and flows, through to the introduction of a purpose built interactive showroom which will stylishly present our products. We hope that our investments for the future will not only help to increase our efficiency, but will also support our continued commitment to quality and Customer Support."

Home Décor Innovations, whose parent company is part of the Cerberus investment group, has operating companies in the UK and Italy and manufacture over one million doors per year, supplying hardware to manufacture a further one million doors to strategic partners throughout the rest of Europe, The Middle East and Africa.

Their products are available through major retailers including B&Q, Wickes, Focus and Homebase in Europe, and suppliers to the construction industry.

The current site in Sheffield is being sold to ASDA so they can develop a new superstore.

Home Décor Innovations website

Images: hdhc.com

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News: Sverdrup Steel to set up in Rotherham

Norwegian steel stockholders, Sverdrup Steel is taking commercial space in Rotherham to establish its first overseas operation.

The worldwide supplier has taken a 10 year lease on a unit JF Finnegan's flagship Beighton Link Business Park in Rotherham.


Earlier this year Sverdrup Hanssen Spesialstål celebrated their twenty-year anniversary and announced the new name for the company, Sverdrup Steel.

With headquarters at the heart of the oil and gas industry in Stavanger, they specialise in stainless-steel alloys incorporating round bars, sheets and plates in high-nickel content, corrosion and heat-resistant alloys.

Torstein Erevik, chief executive of Sverdrup Steel, said: "We were looking to establish our first venture outside Norway and having decided upon the UK, began looking into areas which were well connected to the rest of the country and then properties which matched our requirements.

"Beighton Link is a prestige business park and the quality of the unit was ideal. We are excited about expanding our operations into South Yorkshire."

The UK operation will be headed up by John Murray and Bronya Christie, formerly of Energy Alloys, the American-owned stockholder that also has its UK head office and facility in Rotherham.

The first phase of the established Beighton Link development is now fully let with Orchid's state-of-the-art medical prototyping facility and other occupiers, Cadac, Techtrain, Ideal Envelopes, Viaturn and SP Smith Painting Contractors.

A Cloverleaf pub and restaurant is also planned for the site.

Nick Gillott, director of JF Finnegan, said: "Beighton Link has always been an exciting development to be involved with. To have international companies like Cadac and Orchid already on board, who are worldwide leaders in their field and then to be welcoming another global operator, Sverdrup Steel is a major coup for the scheme and completes our tenant mix.

"Our plans for the remaining three acres at Beighton Link include more of the same, but with potential retail and leisure opportunities as well."

JF Finnegan was represented by the Sheffield offices of CBRE and Crossland Otter Hunt in the deal and Sverdrup Steel represented itself.

Sverdrup Steel website

JF Finnegan website

Images: JF Finnegan

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