The Chittenden family, owners of Newlands School, which closed suddenly last week, entered into a secret multimillion-pound property development “joint venture agreement” three years ago with Brighton developer Allum Estates, according to legal documents The Times has seen.
The school sits on 23 acres near Seaford, East Sussex. The owning family is required to enable the developers to take vacant possession of the school, according to the document, the newspaper says.
The school closed because of financial difficulties which a £50,000 a year rent rise exacerbated. The Chittenden’s refused to sanction a rescue plan Cognita proposed.
The deal signed with Allum envisaged a 21-year phased building programme with profits split 60-40, subject to certain conditions including to procure vacant possession of the property.
References: The Times 12/04/06 page 3
