Countryside Properties PLC, the specialist developer of sustainable communities, and Bank of Scotland Corporate Banking have announced a new 50:50 joint venture for the development of large-scale mixed-use, mixed-tenure projects. The joint venture will have access to approximately £120 million of capital.
Graham Cherry, Countryside Properties’ Chief Executive, commented: “We are delighted to be partnering such a well-respected financial institution as Bank of Scotland. This is further evidence of the strong reputation and track record that Countryside Properties has gained in mixed-use, mixed-tenure, sustainable property development, in line with Government planning policy.”
“Joint ventures of this nature remain a very important part of Countryside Properties’ operational profile, allowing the Group to participate in large, capital intensive projects which will increase overall Group returns while maintaining a balanced risk exposure.”
Phil Strachan, Director of Joint Ventures at Bank of Scotland, commented: “This new joint venture with Countryside Properties is an exciting step for BoS in what is a major business sector for us. Countryside Properties has an impressive track record and the joint venture gives access to new funds designed to support their growth ambitions. We are delighted to have formed this strategic alliance.”
The capital is likely to be allocated during the current year as a number of projects, which Countryside Properties has either secured or been selected for as preferred developer, are taken up by the joint venture. The first will be ‘Radius’, a mixed-use scheme in North Manchester, comprising 150 apartments and duplexes, together with 2,349 sq m (25,280 sq ft) of retail accommodation. ‘Radius’ is currently under construction and expected to be completed in Winter 2005. Completed development value is projected to be £34m.
Source: Countryside Properties