CALA Properties and Bank of Scotland Corporate have purchased Taylor Woodrow’s commercial portfolio in Scotland for approximately £18m.
The deal was completed after an arduous few months of discussions over what buildings and parks would be included.
In May, TayWood decided to split the Scottish from the English portfolio, and more recently the number of sites included north of the border has reduced again.
Land in Almondvale in Livingston and Peel Park and Phillipshill in East Kilbride, totalling 55 acres, will be developed for office and industrial use over seven years, beginning in summer 2006.
The gross development value of these sites is anticipated to be in the region of £125m.
Also included are two new office buildings at Phillipshill Business Park in East Kilbride totalling 50,000 sq ft, which are available for immediate occupation.
Initially land and properties in Irvine, Cumbernauld and Newhouse, all in central Scotland, were to be part of the sale, but were subsequently withdrawn.
TayWood originally marketed a £60m portfolio of 15 sites in Scotland, the North and the Midlands earlier this year, as part of its exit from commercial property to focus on residential development and investment.
However, interest abated when Newcastle Great Park in North Tyneside, considered the most prestigious of the portfolio, was withdrawn.
Its joint venture partner on Newcastle Great Park, Persimmon Homes, is believed to have resisted this scheme being included.
The residential developer sold a large site in Birmingham and three sites within the M25 area in the original package.
Three sites in Manchester, Stockport in Greater Manchester and Warwick in the West Midlands have been sold on a piecemeal basis.
CALA Properties has embarked upon a series of acquisitions in recent months to increase the scale and mix of properties and land in its portfolio.
Alasdair MacConnell, Managing Director of CALA Properties said:
“The acquisition of these new sites is testament to identifying the right partners, the right projects and the right market conditions in which to invest.
“We are an ambitious company and the sites offer great potential because of their location.
“They fit perfectly with our strategy of building a diverse commercial property portfolio throughout the UK.”
DTZ in Scotland acted on behalf of CALA Properties. DTZ Corporate Finance in London acted for Taylor Woodrow.
References: EGi News 13/12/05
