A principal contractor has been appointed to develop a new retail and trade park within Wynyard Business Park, anchored by a Sainsbury’s superstore. Hebburn-based Castle will lead the scheme, developed by Northumberland Estates, which includes 52,000 sq ft of retail space and a 45,000 sq ft trade park at the
Superdrug is set to open 25 new stores in 2024, as the health and beauty retailer celebrates 60 years on British high streets. The retailer aims to enhance its customers’ physical shopping experience by opening “bigger and better” stores. This strategy has already seen Superdrug double the size of its
Asda has today unveiled plans for a transformational Mixed-Use Redevelopment of its ten-acre Park Royal site in North West London. The retailer has partnered with leading property Developer Barratt London on plans to redevelop the Brownfield site which is currently home to its Park Royal Superstore. The proposal, which is
The owners of Ocean Terminal have confirmed they have signed a deal which will bring a Tesco Express to the Leith waterfront development as part of multi-million pound plans to regenerate the site. The addition of the supermarket to the retail section of the redevelopment is expected to create up
Norway’s sovereign wealth fund, Norges, is poised to acquire a significant share in Meadowhall, a key shopping centre in Sheffield, enhancing its position in the UK retail sector. Norges is nearing a deal to buy out British Land’s 50% stake in the centre for around £363 million. This strategic acquisition
Stoke Gifford’s new Aldi store, situated on a newly developed mixed-use site at Fox Den Road (behind Sainsbury’s), is due to open on Thursday 13th June 2024. The tentative opening date for the supermarket is currently being advertised on a number of vinyl banners on display at the site. The
Real estate firm Redevco is embarking on a refurbishment project for its mixed-use building located at 376-384 Oxford Street, aiming to create a space that operates with net zero carbon emissions. Situated opposite Bond Street underground station, the building stands out as one of Oxford Street’s unique ‘island’ properties. Originally
Aldi has disclosed its list of priority locations in London where it aims to open new stores, as part of its ambitious expansion plans across the UK. The supermarket chain recently announced its intention to operate 1,500 stores nationwide, with a particular focus on areas within the M25 due to
In late March, the supermarket chain Sainsbury’s opened a new ‘local’ store within Princes Dock, situated on Liverpool Waters, creating 20 job opportunities. This expansion aims to cater to the growing number of businesses and residents within Peel Waters’ lively waterfront district. Occupying a ground floor unit beneath the 760-space
High-End Retail, Supermarkets and Mixed-Use Schemes Among the Modest Activity Retail construction orders fell to an all-time low during the final quarter of 2023, according to data from the Office for National Statistics. Construction orders, a proxy for development activity, totalled £1.3 billion in the fourth quarter of last year
A principal contractor has been appointed to develop a new retail and trade park within Wynyard Business Park, anchored by a Sainsbury’s superstore. Hebburn-based Castle will lead the scheme, developed by Northumberland Estates, which includes 52,000 sq ft of retail space and a 45,000 sq ft trade park at the Stockton site. The development will feature seven units, including the 46,000 sq ft superstore, alongside a Starbucks, Howdens, Screwfix, and Doves. Additional key retailers are anticipated to take space at the site. The broader Wynyard Business Park is home to over 60 businesses, employing around 5,000 people. The Sainsbury’s store alone is expected to create 124 jobs. Construction is set to begin this month, with the site fully operational by June 2025. Castle, headquartered in Hebburn, also has offices in Glasgow, Edinburgh, and Teesside. The business has secured a turnover of £65m for 2024. Managing Director Andrew Dawson said: “After a successful tender process, we have been appointed as principal contractor to deliver the facilities at the new retail and trade park. “The project will involve our teams in everything from initial enabling works, statutory services, earthworks, groundworks, frame and envelope through to partial MEP services and external services, including associated roads and car parks.” Craig Muldoon, divisional director, build, at Castle, added that sustainability will play a significant role throughout the works. “There will be substantial renewable energy measures, including EV charging points and a Battery Energy Storage System (BESS) to store energy from solar panels and release it when needed.” Peter Dalby, development manager at Northumberland Estates, said: “We are delighted to have obtained planning permission for the first phase of the Wynyard Retail and Trade Park. This is a key development for Northumberland Estates, which will provide consumer choice and promote economic growth in the region. As we move into the construction phase, we look forward to working with Castle to deliver the project to a high specification.” Building, Design & Construction Magazine | The Choice of Industry Professionals
Superdrug is set to open 25 new stores in 2024, as the health and beauty retailer celebrates 60 years on British high streets. The retailer aims to enhance its customers’ physical shopping experience by opening “bigger and better” stores. This strategy has already seen Superdrug double the size of its Craigavon store in Northern Ireland earlier this year to 5,800 sq ft, as well as extend the size of its Lakeside Thurrock branch to 7,669 sq ft. In addition, Superdrug will open some of its largest-ever stores throughout the year, with upcoming openings planned at St David’s in Cardiff, Bluewater Shopping Centre, and Westfield Stratford City. The Cardiff store will be upsizing to 13,000 sq ft, whilst the Westfield Stratford City store – opening this summer – will double in size to 9,892 sq ft. Besides opening new stores, Superdrug will be extending seven existing stores and retrofitting 60 over the course of the year. The retailer’s estate will be modernised through the introduction of new shop fronts, recyclable signage, improved floor and ceiling tiles, energy-efficient lighting, new floor layouts, and upgraded fascia and internal signage. Nigel Duxbury, Superdrug’s Property Director, said: “We’ve changed a lot in the 60 years since the first Superdrug store opened on Putney high street, but we remain as committed as ever to providing a seamless shopping experience for our customers, offering the very best in accessible health and beauty. This investment into bricks-and-mortar means we can grow our footprint in key locations and highlights our ongoing commitment to high streets and retail shopping destinations, which are an integral part of local communities and the economy. “2024 will see some of the largest ever Superdrug stores open their doors, which is something we are really excited about, as these larger retail units give us the space to be able to offer new and exciting services and even more of the latest health and beauty products.” Building, Design & Construction Magazine | The Choice of Industry Professionals
Asda has today unveiled plans for a transformational Mixed-Use Redevelopment of its ten-acre Park Royal site in North West London. The retailer has partnered with leading property Developer Barratt London on plans to redevelop the Brownfield site which is currently home to its Park Royal Superstore. The proposal, which is subject to planning approval, includes creating a new town centre for the local community, at the heart of the Old Oak and Park Royal Development Corporation major regeneration area. It will feature a brand-new 60,000 sq. ft flagship Asda Superstore and up to 400 car parking spaces for customers. In addition, up to c.1500 new homes are planned, c.500 of these will be provided as affordable. A large number of the apartments will utilise a landscaped podium above the new Asda. The majority of the homes will provide high quality dual aspect accommodation. Sustainability will be at the heart of this new site – with the scheme providing significant biodiversity and ecology net gains. The use of public transport will be encouraged at the proposed car free residential development, while the Asda car park will benefit from new EV parking spaces. This Mixed-Use Redevelopment of an established store site is a first for Asda and represents one of the largest land deals of the last couple of years. The plans would also enable complementary businesses associated with a new town centre to open new retail units, restaurants, health and wellness facilities, and high-quality public realm space. Plans would allow for Asda’s existing Park Royal Superstore to remain fully open and continue to serve the local community whilst work was carried out on the new store development. Ian Lawrence, Head of Mixed-Use Developments at Asda, said: “Asda’s venture into Mixed-Use Property re-development marks a significant milestone for the Business. By working with leading developers like Barratt London, we are able to maximise the full potential of our property portfolio for the first time.” “This allows us the opportunity to better serve local communities like Park Royal, with a new flagship store fit for the future, whilst creating windfall sites for Housing delivery. We are also unlocking further opportunities to release value from our extensive property portfolio, which can be reinvested back into the business to fund other initiatives and support our long-term growth ambition to become the UK’s second largest supermarket chain.” Work on the planning application for this ambitious redevelopment deal is already underway and will be submitted later this year to the relevant bodies. Craig Carson, Managing Director of Barratt West London, comments: “We are proud to be partnering with Asda on their first mixed-use development. At Barratt London, we have a strong track record in both rejuvenating brownfield sites and delivering new homes in the Borough of Ealing, so it’s a partnership and site that makes perfect sense for us. This transaction is a sign that there is still land to be unlocked in the capital and reflects one of the markets largest land transactions since 2019. The redevelopment of Park Royal will have a huge impact on the area, with the new town centre unlocking new commercial opportunities for local businesses and providing a new hub for the local community. While the proposed delivery of 1,500 new homes will play a vital part in the Old Oak and Park Royal regeneration plans and will help to unlock much needed new and affordable homes in Ealing.” Newsteer Real Estate, who have worked with other major retailers on similar redevelopment deals in the past, are acting as advisors to Asda throughout the process. Ross Bettridge, Director at Newsteer, said: “Retailers such as Asda at Park Royal provide great opportunities to utilise brownfield sites and deliver much needed housing for people living in the capital. At Newsteer, we are actively advising on similar opportunities with the potential to deliver c.12,000 homes. The key to unlocking these sites is about protecting and enhancing the retail offer while balancing the viability.” Asda recently announced it has now opened 479 Asda Express stores, as part of its rapid convenience expansion, enabling the retailer to reach the landmark of 1,000 UK sites for the first time in its 59-year history. The retailer is on track to have 500 Asda Express stores by the end of this year as new ‘standalone’ sites open throughout the UK as part of its ongoing growth ambition Building, Design & Construction Magazine | The Choice of Industry Professionals
The owners of Ocean Terminal have confirmed they have signed a deal which will bring a Tesco Express to the Leith waterfront development as part of multi-million pound plans to regenerate the site. The addition of the supermarket to the retail section of the redevelopment is expected to create up to 20 jobs as part of a major investment in Leith’s waterfront. The 4,700 sq ft ground floor unit will look out over a new public realm and future residential development. The announcement is the latest in a chain of positive developments on the site, including the relocation and upgrade of the 24/7 PureGym to a brand new unit earlier this month. Last year Ocean Terminal revealed it had agreed a long-term lease with Level X, the gaming and immersive entertainment provider, which will see a new purpose-built, state-of-the-art leisure venue open at the centre adjacent to a brand new Club 3000 Bingo venue which promises to be one of the best clubs ever developed in the UK, enhancing the leisure offering at the new look centre. Chris Richardson, Managing Director of Ambassador Investment Management, the Scottish owners of Ocean Terminal, said: “We are delighted to confirm a fifteen-year lease with Tesco which will bring significant benefits to the Leith waterfront development, cementing our commitment to ensure this project delivers for the local and wider community. “The addition of a new major retailer is a huge boost to the project and our longer term vision to to regenerate this waterfront area into a thriving, sustainable development creating an outward-looking, mixed-use town centre here in Leith. “We’re thrilled to have Tesco fully on board, which further enhances the multi-use, dynamic offering within the leisure space at the Ocean Terminal site.” Head of Campaigns for Tesco, Tony McElroy added: “We are excited to be opening a new Tesco Express in Ocean Terminal, as part of our ongoing investment and job creation plans across Edinburgh. We look forward to serving our customers and supporting local community groups through our Stronger Starts and Community Food Connection initiatives.” Building, Design & Construction Magazine | The Choice of Industry Professionals
Norway’s sovereign wealth fund, Norges, is poised to acquire a significant share in Meadowhall, a key shopping centre in Sheffield, enhancing its position in the UK retail sector. Norges is nearing a deal to buy out British Land’s 50% stake in the centre for around £363 million. This strategic acquisition would place the total valuation of Meadowhall at approximately £725 million and is expected to yield a return of 7-8%. The move is seen as a strong indication of Norges’ confidence in the resilience and future profitability of top-tier retail locations across the UK. The discussions, which are in their final stages, were triggered by British Land’s decision last September to sell its share. Although a partnership continuation with British Land seems the most likely outcome, Norges is also considering other potential buyers. Under the proposed terms of the deal, British Land would maintain its role in managing the daily operations at Meadowhall, under the leadership of CEO Simon Carter. The shopping centre is home to a host of major retailers including Marks & Spencer, Zara, and Primark, adding to its appeal. This isn’t Norges’ first venture in UK property; its portfolio includes substantial stakes in London’s West End, notably a 25% interest in Regent Street managed by The Crown Estate, and a 23.5% ownership in Covent Garden through Shaftesbury Capital. Furthermore, it shares ownership of the West One shopping centre with British Land. Meadowhall has a storied history, developed on the site of a former steelworks by Yorkshire entrepreneurs Eddie Healey and Paul Sykes, and was sold to British Land in 1999 for £1.2 billion. Despite the challenges faced by the UK retail sector due to the rise of e-commerce and high business rates, Norges’ latest investment is seen as a testament to the enduring appeal of prime retail spaces. Building, Design & Construction Magazine | The Choice of Industry Professionals
Stoke Gifford’s new Aldi store, situated on a newly developed mixed-use site at Fox Den Road (behind Sainsbury’s), is due to open on Thursday 13th June 2024. The tentative opening date for the supermarket is currently being advertised on a number of vinyl banners on display at the site. The Stoke Gifford store is one of 35 that Aldi plans to open across the UK this year. Jonathan Neale, managing director of national real estate at Aldi UK, said: “After attracting more new customers than any other supermarket in the last 12 months*, we’re more determined than ever to expand our presence across the country.” “We want to make high-quality food accessible to all, and shoppers know they’ll always get more for their money when shopping at Aldi.” A Costa drive-through became the first unit on the site to begin trading when it opened its doors in early April. Other businesses on the development that will be opening soon are a Premier Inn and a Beefeater restaurant. The hotel is already being marketed – as the ‘Premier Inn Bristol Parkway (M32)’ – although at the time of writing bookings are not yet open. Signage at the site suggests that the Beefeater restaurant will be known as ‘The Gifford’, although the venue is yet to be listed on the firm’s website. Numerous job vacancies at Aldi, Premier Inn and Beefeater are currently being advertised. Links to the relevant recruitment websites may be found on the Jobs page of the Stoke Gifford Journal website. No opening dates for the hotel and restaurant have been released by the owning company, Whitbread, however it is noted that recruitment adverts are headed: “Starting 23rd May 2024“. Elsewhere on the site, a row of electric vehicle charging points has been installed, with ten associated parking bays, although these are not yet in use at the time of writing. Vehicular access to the development is via a single entrance/exit point on the access road into Sainsbury’s. There are five pedestrian access points, the main one being off Great Stoke Way, close to the roundabout near Aviva. Planning permission for the mixed-use development at Fox Den Road was granted in April 2021 and preparatory work, including the felling of trees around the 4-acre site, took place in January 2022. Beard Construction was responsible for the construction of the complex on behalf of the developer, Baylis Estates. A statement on the Baylis Estates websites describes the development as having been “completed in Q1 2024”, adding that it has been “forward sold”. Building, Design & Construction Magazine | The Choice of Industry Professionals
Real estate firm Redevco is embarking on a refurbishment project for its mixed-use building located at 376-384 Oxford Street, aiming to create a space that operates with net zero carbon emissions. Situated opposite Bond Street underground station, the building stands out as one of Oxford Street’s unique ‘island’ properties. Originally constructed in the 1950s, it has previously housed retailers such as C&A and, more recently, Gap. Currently, the fourth, fifth, and sixth floors are leased out as office space. Under Redevco’s plans, the second and third floors will undergo conversion into office space, while retail areas will be retained on the basement, ground, and first floors. The new retail store will maintain its existing triple-height frontage, ensuring a prominent presence on Oxford Street. The renovated offices will incorporate advanced features such as air quality sensors, technology-driven waste management systems, and a new building management system, all aligned with Net Zero targets. Redevco aims for a Well Platinum rating for all office floors in the building, demonstrating its commitment to sustainability. Chris Baker, UK portfolio director for Redevco, expressed enthusiasm for the project, highlighting Oxford Street’s significance for such an investment. He emphasized the project’s role in revitalizing a building with a rich history spanning over 70 years. Collaboration with existing occupiers, neighbors, and local stakeholders has been integral to minimizing disruptions and maximizing positive impact on the West End area. Faithdean has been appointed as the principal contractor, with TFT serving as the project manager. The refurbishment project is expected to be completed by 2025, aligning with Redevco’s mission to create more livable and sustainable cities. Building, Design & Construction Magazine | The Choice of Industry Professionals
Aldi has disclosed its list of priority locations in London where it aims to open new stores, as part of its ambitious expansion plans across the UK. The supermarket chain recently announced its intention to operate 1,500 stores nationwide, with a particular focus on areas within the M25 due to high demand. In a bid to bolster its presence in London, Aldi has committed £500 million to open approximately 100 new stores within the M25 region. The identified priority locations include: To facilitate the search for suitable properties, Aldi is offering a finder’s fee to property agents who recommend previously undiscovered sites. The finder’s fee amounts to 1.5% of the freehold price or 10% of the first year’s rent for leasehold sites. Aldi’s criteria for potential sites include a minimum size of 20,000 sq ft for standard stores, with approximately 100 dedicated parking spaces. Preferably, these sites should be situated on main roads with good accessibility and visibility. Additionally, Aldi is seeking smaller locations to accommodate its Aldi Local format, which typically range around 5,000 sq ft in size. Jonathan Neale, managing director of national real estate at Aldi UK, emphasized the company’s commitment to making high-quality, affordable food accessible to all Londoners. Neale stated, “The locations we’ve identified are areas where there is significant demand for our stores. We are dedicated to investing in these areas to ensure that our quality products and unbeatable prices reach as many people as possible.” Aldi’s expansion plans underscore its determination to provide affordable groceries to consumers across London, addressing the need for accessible and reasonably priced food options in underserved areas of the capital.
In late March, the supermarket chain Sainsbury’s opened a new ‘local’ store within Princes Dock, situated on Liverpool Waters, creating 20 job opportunities. This expansion aims to cater to the growing number of businesses and residents within Peel Waters’ lively waterfront district. Occupying a ground floor unit beneath the 760-space multi-storey car park, the new 5,748 sq ft Sainsbury’s Local store on William Jessop Way offers a picturesque view of Princes Dock and provides various convenient amenities, including a cash machine, in-store bakery, and Argos collection point. With over 2,000 residents now residing at Liverpool Waters, along with numerous workers and a year-round events programme, the new store will serve as another accessible facility for the local community. Liverpool City Council granted planning permission for the new store last year, which was previously occupied by Bean Café and Holyrood Nursery. Both businesses have continued to operate, with Bean Café recently completing a high-spec fit-out of their new coffee house and deli following their relocation to the adjacent unit. The opening of the new store follows a series of exciting developments for Princes Dock, which is poised to host the UK’s first Nordic-style public floating sauna. Additionally, Princes Dock will be the venue for the swim/run knockout event ‘The Eliminator’ scheduled for May 18. Patrick Dunne, Sainsbury’s Property Director, expressed his enthusiasm, stating, “We’re excited to welcome customers to try out our new store for the first time this week.” Liza Marco, Senior Asset Manager at Liverpool Waters, commented, “Following significant growth at Princes Dock in recent months, and an increasing number of visitors to the neighbourhood, it’s great to see Sainsbury’s joining the large number of businesses now based here.” Liverpool Waters is part of Peel Waters, a UK-wide portfolio of waterfront developments focused on delivering large-scale, sustainable regeneration projects. These initiatives aim to create jobs, spur economic growth, provide new homes, and enhance public spaces across the country. Building, Design & Construction Magazine | The Choice of Industry Professionals
High-End Retail, Supermarkets and Mixed-Use Schemes Among the Modest Activity Retail construction orders fell to an all-time low during the final quarter of 2023, according to data from the Office for National Statistics. Construction orders, a proxy for development activity, totalled £1.3 billion in the fourth quarter of last year on a rolling annual basis. The figure is the lowest since the data series began in 1985 and compares to an average of £3.2 billion since then and a high of £6.8 billion in 2006 – heady days when shopping centres Westfield, London and Liverpool One were being built. The ONS statistics are supported by CoStar’s data on new construction starts, which were also at their lowest on record in 2023 at 3.15 million square feet – a gradual slowdown over the past ten years from 14.4 million in 2014. This comes in the wake of the structural changes in the retail sector and development viability issues that are affecting all sectors – high finance and build costs, rising yields and subdued rental growth. Deliveries are also slowing sharply and with the recent trend of converting shopping centres and department stores to other uses, net deliveries have also reached an all-time low. Within the slowdown there are some modest outperforming segments that continue to see activity across the country. High-end retail schemes are among the most prominent, such as designer outlet villages at Scotch Corner and Tewkesbury, and large auto dealerships, including Porsche in Newport. Mixed-use projects, where retail forms part of large new residential schemes, have increased in prominence in recent years, and there are several underway including Lewisham Gateway and Green Haus in Salford. With retail park availability at an all-time low, a handful of schemes are among the key projects being built as well as several supermarkets – Aldi, Lidl and Tesco being the most active. Despite the slowdown in construction, net deliveries are still expected to outpace net demand this year, putting further pressure on the vacancy rate. But the slowdown in construction orders means fewer completions can be expected after that. Coupled with the trend of owners converting retail to other uses, the vacancy rate should then begin to stabilise. Building, Design & Construction Magazine | The Choice of Industry Professionals
