Work set to start on Bournemouth LABV projects

Thu 23rd May 2013, 4:38 pm

Morgan Sindell Investments has signed contracts for £40 million of regeneration activity as part of its local asset backed vehicle owned jointly with Bournemouth Borough Council.

The agreements with the Bournemouth Development Company will see MSI fund the redevelopment of two council-owned car parks in the town.

A loan from regeneration quango the Homes and Communities Agency will help pay for a five-storey block of 64 flats at the Leyton Mount car park, along with a 290sq m commercial unit for a café or restaurant.

A separate deal will see MSI fund three blocks of student accommodation on the nearby Madeira Road site, along with a replacement car park.

MSI will use companies within the wider Morgan Sindall Group to carry out the work.

Richard Dixon, director at MSI, said: “That the LABV has achieved such a milestone, within a relatively short timescale and in the context of a challenging environment for developers, is testament to the strength of the LABV model and the commitment of its partners.

“It represents an exemplar for other local authorities and public sector bodies, who are considering ways of unlocking value in surplus assets to help drive regeneration and improve their estates."

Duncan Johnston, development director of the Bournemouth Development Company, said: “This first wave of activity is great news for Bournemouth, and demonstrates our commitment to this innovative project, allowing us to move forward with the shaping of the regeneration vision for the town. Work has started on site on all three projects and we will now press ahead with developing the pipeline of future activity.”

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