Barratt Developments PLC Barratt joint venture with Swindon Borough Council (3032C)
January 18 2018 - 9:45AM
UK Regulatory
TIDMBDEV
RNS Number : 3032C
Barratt Developments PLC
18 January 2018
BARRATT DEVELOPMENTS PLC
(the 'Company')
Barratt enters into a joint venture with Swindon Borough
Council
Barratt Developments PLC ('Barratt') is pleased to announce that
it has entered into a 50:50 joint venture with Swindon Borough
Council to develop approximately 250 hectares at Wichelstowe, South
of Swindon. The scheme will deliver around 2,670 new homes over the
next 20 years and includes two primary schools, a secondary school
and an extensive area of open space.
Swindon Borough Council will be contributing the land and the
infrastructure already in place and Barratt, through its main
trading company, BDW Trading Limited, will fund 100% of the
remaining site-wide primary infrastructure, including a portion of
affordable housing. Barratt will deliver serviced parcels for
development in five phases and is also the exclusive provider of
the development and management services for the site.
David Thomas, Group Chief Executive of Barratt said: "We are
delighted to be selected by Swindon Borough Council as the
preferred partner to deliver much needed high quality new family
housing for Swindon. Our shared vision for Wichelstowe is to design
and create neighbourhoods which will be a pleasure to live on and
will enhance the local communities for years to come".
Councillor Toby Elliot said: "I am very pleased that the Council
is entering into a joint venture with Barratt to deliver the
Wichelstowe Development. This will move us a step closer to
realising what is one of the Council's key strategic
programmes".
Notes to editors
1. Maximum peak funding commitment from Barratt is GBP15.7m in FY18.
2. The total consideration payable by Barratt is up to GBP183m
comprising 50% of the value of the build, 100% of the remaining
primary infrastructure, initial capital contribution and the
guarantee, which the Company is providing. The land will be drawn
down over a period of 20 years in five phases with the initial
contribution and guarantee being provided on entering the
transaction. Repayments of the cost of funding the building works,
primary infrastructure and S106 payments will be via a distribution
arrangement.
3. Gross assets of the JV are GBP70.3m, of which Barratt's interest is GBP35.1m.
4. Barratt's interest in the joint venture will be represented
by the West Region Regional Managing Director.
About Barratt
Barratt is the nation's leading housebuilder operating across
Britain with 27 housebuilding divisions delivering 17,395 (total
completions including joint ventures) homes during its financial
year ended 30 June 2017. Residential developments are delivered by
three housebuilding brands - Barratt Homes, David Wilson Homes and
Barratt London and commercial developments by Wilson Bowden
Developments. Barratt is the only major housebuilder to have been
awarded the Home Builders Federation maximum five star rating for
eight consecutive years, has won more NHBC Pride in the Job Awards
than any other housebuilder for 13 years in a row and has won more
Built for Life Accreditations than all other housebuilders
combined.
About Swindon Borough Council
Swindon Borough Council was formed in 1997 and is the local
authority of the Borough of Swindon in Wiltshire. It is a unitary
authority, having the powers of a non-metropolitan county and
district council combined. In its capacity as a district council it
is a billing authority collecting Council Tax and business rates,
it processes local planning applications, it is responsible for
housing, waste collection and environmental health. In its capacity
as a county council it is a local education authority, responsible
for social services, libraries and waste disposal.
For further information please contact:
Barratt Developments PLC
Jessica White, Chief Financial Officer 01530 278 259
Analyst/investor enquiries
Chloé Barnes, Head of Investor Relations 020 7299 4895
Media enquiries
Tim Collins, Head of Corporate Communications 020 7299 4874
Derek Harris, Head of Public Relations 020 7299 4873
Brunswick
Jonathan Glass/Wendel Verbeek 020 7404 5959
This information is provided by RNS
The company news service from the London Stock Exchange
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