Kier’s property arm has been appointed to regenerate the centre of Leatherhead.
The contractor was named as Mole Valley District Council’s joint-venture (JV) partner to regenerate a 10.2-acre stretch of the town. It is divided into two plots, Bull Hill and the Swan Centre.
In the space of eight to 10 years, the council and Kier Property will develop 450 flats, 3,000 square metres of office space and 600 square metres of community hub floorspace in the area known as Bull Hill. Two-thirds of the site, which sits next to Leatherhead Station, is currently brownfield.
Over the same period, the Swan Centre (pictured) will be developed into about 50 new residential units, 40,000 square feet of retail space, 12,000 square feet of office space and a 70-bed hotel.
The two projects have a gross development value (GDV) of £350m.
The legal side of the JV still needs to be ironed out, while the two groups hope to begin contacting stakeholders this summer to start engagement and expand the business plan.
“[The project will] enhance the leisure, entertainment and cultural offering of the town centre, improve accessibility, work with businesses and deliver an attractive town centre, providing a high-quality public realm and significant social value for Leatherhead,” said Kier Property managing director Leigh Thomas.
Property consultancy Montagu Evans worked alongside legal advisors Freeths LLP and the council to appoint a JV partner for the project.
Montagu Evans partner John Percy said the scheme would be “truly transformational” for Leatherhead.
“[It will bring] forward a wider range of uses to better serve the local community and contribute to the area’s economic growth,” he added. “It’s a clear reflection of how the market is evolving and the need to think differently about our town centres, from drivers of change right through to delivery strategies.”
The two projects comprise part of the bigger Transform Leatherhead plan, which involves the development of a mixed-use scheme of 35 affordable homes, a new community space and a new park. The development partner is set to be announced in June. Last year, the council completed another part of the bumper project, successfully shoring up 75 properties with flood resilience measures.
Kier’s appointment on the regen job comes weeks after it scooped a £70m regen job in February, to deliver 125,000 square feet of office space, a 116-bedroom hotel and leisure space in Gloucester.