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HBD to buy out joint venture partner in £1bn Cheltenham development


HBD is buying out Factory as the partner in its £1bn innovation district in Cheltenham, Gloucestershire.

The joint venture, HBD x Factory, filed plans for the 116-acre Golden Valley scheme last month.

The Golden Valley scheme will provide 1m sq ft of commercial space, a primary school and 1,000 homes. It is expected to attract businesses with a focus on science and technology.

HBD and Factory established the jv to pursue innovation-focused real estate projects in the UK and have been working together for nearly five years. Factory said it will shift its operational focus to its existing portfolio and new projects in its pipeline.

Factory’s departure from the scheme comes after the scheme received a £95m funding agreement with Cheltenham Borough Council for the delivery of the site’s first building – proposed as the national cyber innovation centre, and a £20m pledge from the Department for Levelling Up, Housing and Communities to “super-charge” the first phase of the project.

Earlier this year, chief executive Tim Roberts told EG that HBD was looking to venture into suburban build-to-rent, both in its Coventry site and its £1bn Golden Valley development site.

Adam Brady, HBD director and board member of HBD x Factory, said: “Partnerships are core to HBD’s business and collaborating with Factory has been instrumental in advancing the Golden Valley development.

“Factory’s involvement has been fundamental in establishing a robust foundation for our future growth and development in this dynamic field.”

Jeremy Bamberg, co-founder of Factory, added: “The recent planning submission, approved £95m funding agreement and £20m commitment from government has allowed us to revisit our strategy.”

“Achieving these milestones highlights our dedication to developing globally renowned innovation hubs in collaboration with local governments, developers, and landowners across the UK and Europe, a mission that remains unchanged as we transition to new projects.”

To send feedback, e-mail akanksha.soni@eg.co.uk or tweet @AkankshaEG or @EGPropertyNews

Image from HBD

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