Halladale and global private equity firm the Carlyle Group have forged a joint venture to develop retail warehousing on a 64-acre (26ha) brownfield site owned and occupied by the electronics manufacturer OKI UK at Cumbernauld, Scotland.
OKI has consent for all phases of the scheme. Halladale and Carlyle estimate that the project has an end value of up to £100m.
In the first phase of the project, Halladale and Carlyle will fund the £10m development of a 200,000 sq ft (18,580 sq m) production and office facility for OKI, on 13.5 acres (5.5ha). Completion is set for August 2005.
Halladale and Carlyle have agreed an option to buy the remaining 50.5 acres (20.4ha) of the site in phases for more than £20m. Halladale will demolish OKI’s former production facility and will develop up to 330,000 sq ft (30,657 sq m) of retail warehousing.
This is the first commercial property jv that Carlyle has undertaken in the UK. Royal Bank of Scotland is providing senior debt for the first phase.
Culverwell Property Consultants acted for Halladale and Carlyle, and ATIS REAL Weatheralls acted for OKI.
References: EGi News 08/06/04
