Harworth Group has sold its Kellingley development site in Selby, North Yorkshire for £54m.
Henderson Park Capital Management has exchanged contracts for the 149-acre site, through its HPREF I Konect Investments vehicle.
Harworth took control of the site in 2016, following the closure of the former Kellingley Colliery. It has since undertaken land remediation and masterplanning works, and in 2019 received outline planning consent from Selby District Council for the development of up to 1.4m sq ft of industrial and logistics space, marketed as Konect.
The site had a valuation of £31.1m as at 30 June 2021 and generated gross profit of £300,000 in the six months to 30 June 2021.
Chief executive Lynda Shillaw said: “Since 2016, Harworth has invested in Kellingley, creating Konect, which benefits from road, rail and canal connectivity, and establishing it as a regionally significant location.”
She added that Harworth would use the proceeds to help it double the size of its business over the next five to seven years. Specifically it would “continue the build-out of our other development sites, including our consented industrial sites in Yorkshire, and for expanding our strategic landbank, in line with our recently announced strategy”.
The transaction will only complete if Harworth wins approval of a reserved matters planning application, which has been submitted and is awaiting determination.
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