Middlesbrough Council’s bold plan to begin a housebuilding programme has been formally approved.
The formation of a wholly owned company will allow the authority to build homes “for people, not profit” for the first time in a generation in Middlesbrough.
A business plan has been created which establishes the structure of the company, including the board, staffing and a start-up funding package of up to £10m which comprises part equity and part loan.
The first sites to see homes built by the new company are expected to be brought forward in the Gresham, Beechwood and Hemlington areas.
The scheme was approved by the Council’s Executive prior to Christmas.
Creating a housing delivery vehicle was proposed earlier this year to allow the Council to positively intervene in the housing market, and ensure the delivery of high quality affordable homes, giving the local authority greater control over development to focus on residents’ needs rather than being market driven.
Cllr Lewis Young, Middlesbrough Council’s Executive Member for Economic Development and Infrastructure, said: “The formal approval of this housing delivery project is a significant milestone in the major regeneration plans for Middlesbrough.
“Quality housing is a central part of creating a Middlesbrough with a strong city-level economy where people want to live and work.
“We have said it before but it is worth repeating – this is a bold and radical approach by Middlesbrough Council and our company will be driven by people, not profit.
“Alongside our Local Plan, the authority building homes means we can control and direct where new homes are built and what kind of high quality housing we want to meet the needs of local people.”
For the first time in decades Middlesbrough is experiencing population growth with people attracted to the growing economy.
Although the growth seen to date has been hugely beneficial to the town, there is an affordability issue that is developing, highlighted in a previous Council report, as the average cost of new homes in the town rises beyond the means of many residents looking to get on the housing ladder.
A comprehensive ten year plan for developing Middlesbrough’s transport infrastructure – including a park and ride rail station at Nunthorpe – has been unveiled.
A mixture of new roads, road widening and improved signalisation are being put forward to aid the continued growth in Middlesbrough – both in population and the local economy.
Middlesbrough Council’s Executive is being recommended to formally approve the Middlesbrough Integrated Transport Strategy 2018-2028 at a meeting in the Town Hall next week.
The document also looks at Middlesbrough’s walking and cycling routes, rail, public transport and freight and goods. The authority will continue to look at innovative ways of promoting alternative travel, such as the offer of a free bike for people moving into a new development.
Cllr Lewis Young, Middlesbrough Council’s Executive Member for Economic Development and Infrastructure, said: “As the city centre of the Tees Valley, it is important that Middlesbrough has a well-planned, efficient and fully integrated transport system to match our ambitions.
“This strategy brings together a number of important infrastructure proposals which will help and mitigate for continued growth.
“One of the main proposals is for us to work jointly with our colleagues at Redcar & Cleveland Council and the Tees Valley Combined Authority to develop a Nunthorpe park and ride.
“This, along with a number of planned road improvements and the introduction of a Longlands to Ladgate Lane link road, should have a big impact in easing traffic flows into and out of Middlesbrough.
“This strategy is not just about roads, however, and we are putting forward innovative measures to promote public transport, cycling and walking as alternatives to driving.”
Recent work undertaken by Arup to assess the impact of various potential road improvements against population growth estimates is reflected within the programme of improvements.
The ten road schemes highlighted are at various stages of progress and of the £45.5m cost of implementation, £23.7m has been identified leaving £21.8m left to be found.
Middlesbrough Council will be setting out the plans and the importance of delivering the full programme to the Department for Transport and Tees Valley Combined Authority.
Middlesbrough Council’s bold plan to build homes for the first time in a generation is set to take a step forward with the creation of a wholly owned company for the project.
A business plan has been created which establishes the structure of the company, including the board, staffing and a start-up funding package of up to £10m which comprises part equity and part loan.
The first sites to see homes built by the new company are expected to be brought forward in the Gresham, Beechwood and Hemlington areas.
The authority’s Executive will be asked to approve the creation of a limited company at a Town Hall meeting next week.
Creating a housing delivery vehicle was proposed earlier this year to allow the Council to positively intervene in the housing market, and ensure the delivery of high quality affordable homes, giving the local authority greater control over development to focus on residents’ needs rather than being market driven.
Cllr Lewis Young, Middlesbrough Council’s Executive Member for Economic Development and Infrastructure, said: “Alongside our Local Plan – which gives the Council control over housing development – forming a Wholly Owned Company is a major statement of intent on how we want Middlesbrough’s housing market to work for its current and future residents.
“This is a bold, radical approach by Middlesbrough Council. Our company will be driven by people, not profit, meaning we will create high quality housing that is affordable, and suits the needs of local people.”
For the first time in decades Middlesbrough is experiencing population growth with people attracted to the growing economy.
Although the growth seen to date has been hugely beneficial to the town, there is an affordability issue that is developing, highlighted in a previous council report, as the average cost of new homes in the town rises beyond the means of many residents looking to get on the housing ladder.
Middlesbrough Mayor Dave Budd has today declared the “city centre strategy is working” as new figures show resounding economic growth.
Newly released year-on-year statistics show an increase in visitor numbers, visitor spending and employment in the tourism sector.
In March 2017 Middlesbrough Council launched its Investment Strategy which involved the authority investing around £70m which it projected would bring inward investment of more than £600m and create over 4,000 jobs.
Since that time the city centre has seen the opening of new hotels – the Holiday Inn Express and Premier Inn with a third on the way, new restaurants and new leisure facilities.
Albert Road is being regenerated with offices, city living homes and food and drink provisions, the rail station is set to undergo a £20m transformation, the Grade II listed The Zetland has been restored and reopened and the renovated St James House is offering city living accommodation for students and professionals.
These recent developments add to numerous other ongoing projects changing the face of Middlesbrough including Centre Square offices and new buildings on the Teesside University campus.
Mr Budd, elected on a promise of a Fairer, Safer, Stronger Middlesbrough, said: “The city centre strategy is working – investment is flooding into Middlesbrough and there is barely a street in in the city centre that is not seeing positive development.
“Everywhere you look there are new restaurants, new offices, new bars, new hotels and new leisure outlets. We are seeing new buildings created and old buildings restored.
“I make no apology for referring to Middlesbrough as a city – it is the city heart of a region of three quarters of a million people and by us showing huge ambition through the Investment Strategy, investors are now putting their belief in what can and will be achieved in Middlesbrough.”
The figures, compiled by Tees Valley Combined Authority, show:
- 4.29 million people visited Middlesbrough in 2017. This was up by 6% on 2016.
- The number of day’s visitors spent in the destination also grew on 2016 (5.5%) to 4.82 million visitor days.
- Visitor expenditure in Middlesbrough now stands at £189 million, up by 4.9% on 2016.
- The number of people directly employed in tourism in Middlesbrough in 2017 stood at 1,936, up by 3.8% on 2016. When indirect employment in the supply chain is taken into account total employment stands at 2,442, up by 4% on 2016.
- The number of overnight visitors to Middlesbrough stands at 423,000 with these visitors spending 946,000 nights in the destination. These visitors spend £56 million up by 1% on 2016.
- Day visitor levels have risen by 6.7% to 3.87 million, with expenditure levels growing by the same rate to £133 million.
- The Food and Drink sector accounts for 35% of all expenditure and 38% of all employment.
- 90% of all visits are day visits while these visitors account for 70% of expenditure.
The Investment Prospectus identifies seven key areas which have vital role to play in Middlesbrough’s future, Middlehaven, the Commercial and Cultural District, Business and Enterprise, the Railway Station and Historic Quarter, the University Quarter, Teesside Media and Innovation Village and Growth and Prosperity through housing.
Pictured: Holiday Inn Express, Centre Square
Students from Middlesbrough College have been treated to a VIP tour of one of the region’s key regeneration sites.
The group visited Centre Square where work is well under way on a 210,000 sq ft office development that will create a 21st century business destination in the heart of Middlesbrough.
The ultra-modern buildings are being delivered in phases, with construction well advanced on the first two, with three more to be built in a second phase.
And students from Middlesbrough College jumped at the chance to get a close-up look at the scheme courtesy of a ‘hard hat’ tour hosted by developer Ashall Projects and contractor Bowmer & Kirkland.
The nine-strong group of Level 3 students – from courses including construction, quantity surveying and brick laying – also had a chance to chat to some of those leading the scheme, including Ashall Director Mark Ashall and Middlesbrough Council’s Executive Director of Growth and Place Kevin Parkes.
Zoe Lewis, principal and chief executive of Middlesbrough College said: “We jumped at the chance to get students engaged with the project which is just one part of the growth taking placing on our doorstep.
“In 2020 the Government will introduce T Levels – key technical qualifications that will help students build knowledge and experience for the workplace, and employers to shape their learning.
“Middlesbrough College is trialling a key part of the T Levels programme, the 50-day industry placement that gives students’ hands-on experience in the workplace.
“This visit has given our students a fantastic insight, and we will be working with Bowmer & Kirkland to develop work placement opportunities for the students.”
Mark Ashall, director of Ashall Projects, said: “We’re delighted to welcome the students to what is one of the most significant development sites in the whole region, and I hope it will inspire them in the work they do in future.
“Centre Square is truly transformative for Middlesbrough, and a key element in the creation of a business hub fit for the 21st century.
“Middlesbrough’s far-reaching ambition is taking shape right now, with a development that will bring benefits for decades to come.”
Councillor Lewis Young, Middlesbrough Council’s Executive member for Economic Development and Infrastructure, said “Centre Square is symbolic of our ambition and the confidence we have in our future.
“We are delivering the best office accommodation between Leeds and Newcastle, underscoring Middlesbrough’s status as the business and leisure heart of the Tees Valley.”
The ongoing transformation of Middlesbrough Railway Station has received a further boost on platform improvements, capacity enhancements and direct trains to London.
Middlesbrough Council, working in partnership with the rail industry, produced a Station Masterplan earlier this year setting out the aspirations for modern infrastructure to support the ongoing city-scale regeneration in Middlesbrough.
The joint working led to £4.5m being secured from Network Rail (£2m), Tees Valley Combined Authority (£2m) and Middlesbrough Council (£500k).
That money is being used to open the southern entrance fully, develop the undercroft and provide additional passenger amenities and commercial spaces. The work will also enhance the longer term building conservation and provide better connectivity with other sustainable transport modes such as buses, cycling and walking.
Following detailed design and consultation, these improvements are scheduled to get underway in summer 2019 and are expected to add significant vibrancy to the station and the area around it.
All of that work will build on the £3m of investment that has already gone into repairing the roof and making other improvements.
Now to further the ongoing regeneration of the station, Middlesbrough Council’s Executive has approved the principle of securing funding from Tees Valley Combined Authority to accelerate the platform and capacity enhancements required to secure direct trains to London.
The combined authority has been provided with £59m to support the development of public transport infrastructure in the Tees Valley under the Transforming Cities Fund.
It is expected that a paper proposing a £20m investment would be submitted to the TVCA Board in November.
Rail travel is seeing a real resurgence in both Middlesbrough and the wider Tees Valley. The station has seen an increase in passenger numbers in the last five years with them now being in excess of 1.3 million per year, with continued growth expected in 2018.
Capacity issues caused by the existing rail timetable are resulting in the delay and cancellation of trains at Middlesbrough, with the knock on effect being felt throughout the network – particularly across the North West. The addition of regular London bound services would significantly exacerbate this situation.
Middlesbrough’s Deputy Mayor and Executive Member for City Centre Strategy, Cllr Charlie Rooney, said: “Middlesbrough Council has for the past three years done an unbelievable job in bringing all the various parties together to create the Station Masterplan and getting us to the point where £7.5m is already committed to major improvements.
“We are now at a point where, with the agreement of our partners in the combined authority, we can resolve the capacity and infrastructure issues to create a destination station which with direct trains to London brings with it huge economic and leisure opportunities.
“Middlesbrough is currently seeing major city-scale regeneration projects across an array of sectors and the Rail Station is an absolutely key component of our ambitions.”
Middlesbrough mayor Dave Budd has signed his name into a landmark project which signifies the start of its steel production.
The town’s elected mayor visited Finley Structures in Newton Aycliffe after the family-run construction firm won a contract to fabricate and erect the steel for the new Centre Square development in Middlesbrough.
The 210,000 sq ft scheme, which is being delivered by Ashall Projects, will create a 21st century business destination in the heart of Middlesbrough with Grade A offices.
Preparatory works began on the site earlier this month and main contractor Bowmer and Kirkland awarded Finley Structures the steel contract.
The Aycliffe firm – which built the steel frame for Hitachi Rail Europe’s new facility in Aycliffe as well as factories for Nissan and Unipress in Washington and Nifco in Eaglescliffe – started fabricating 685 tonnes of steel this week, which will make up two structures (one 465 tonnes and the other 220 tonnes).
Finley Structures are expected to start erecting the steel from August 30 and are scheduled to finish in October – the whole Centre Square development is expected to take 14 months to complete.
Mayor Budd today signed and dated a large panel of its structure, which will be welded into the steel, and he said: “It’s not something I’ve done before!
“But it emphasises how important the new developments on Centre Square are, to Middlesbrough and the wider area, and it’s great having a local company do this as well.
“When I look outside my window every day I can see holes being dug in the ground, and very shortly the steel from here at Finley Structures will be going up, and at that point people will really start to think about what this will mean to the whole of Middlesbrough.
“It’s enormous because of the number of jobs it potentially brings with it, and that’s really what our Investment Prospectus is about.
“A lot of the projects are actually happening now and that tells a different sort of story, and maybe it raises ambitions that we can do these things.
“There’s a lot more optimism about and actual physical structures like this really emphasise that.”
Finley Structures, founded in 2000, is well-known for working on high-profile projects in the North-East – other notable projects have included Teesside University’s Curve building and Middlesbrough Council’s Sports Village – but the firm also works across the UK.
The company’s founder and managing director, John Finley, said: “It’s good to win local jobs, it keeps people employed and we use as many suppliers and contractors from around the North-East to work with us to build the contract.
“We’ve just completed the Gate development at Durham, we’ve won another contract with Unipress up at Washington and we have another couple of contracts coming up with Sir Robert McAlpine.
“So we’re very buoyant at the moment. We’re actually buying some new machinery and the contracts we have go well into January, so our order book is very strong.”
A special event this week marked the official start of work on one of the region’s most prestigious office developments.
Developer Ashall Projects was joined by key partners at the launch of construction at its flagship Centre Square development in Middlesbrough.
The 210,000 sq ft scheme will create a 21st century business destination in the heart of Middlesbrough with Grade A offices available from 6,000 – 210,000 sq ft.
The scheme will also see improvements to the existing public realm to create a vibrant and iconic new civic space that works in tandem with the existing Centre Square.
The offices will be delivered in phases, with full planning permission in place for the first stage, and outline permission secured for the second phase.
Construction has commenced on the first two buildings, while three more will be built in the second phase of the development.
Contractor Bowmer & Kirkland has been appointed to deliver the project and are now on site with a 14-month build programme.
Mark Ashall, director of Ashall Projects, said: “This is a huge step forward for the Centre Square development and is the result of a great deal of hard work over an extended period by the partners involved in the project. We are really pleased to see spades in the ground.
“Centre Square provides an unrivalled opportunity to locate a business at the hub of a vibrant city with big ideas and aspirations, a city already undergoing a huge positive transformation.
“Now forward-looking companies will be able to occupy grade A office space with easy access to the local transport network and amenities and all the other benefits of a city centre location.”
Middlesbrough Council has agreed a 35-year head lease on the first two buildings Ashall will build as part of the development. One will be a new home for Council staff, with the other sub-let by the Council to a third party.
Councillor Charlie Rooney, Middlesbrough Deputy Mayor and Executive Member for City Centre Strategy, said: “As a destination of regional importance, Centre Square is a key part of our ambitious Investment Plan which we launched in 2017, so I’m delighted to see work formally under way on this important development.
“Bringing in a few thousand office workers into the heart of the city centre will be good for all businesses, especially the retail sector who will benefit by having a large new customer base all year round.
“These are the first steps in the creation of the best office accommodation between Leeds and Newcastle, and will further cement Middlesbrough’s status as the business and leisure heart of the Tees Valley.”
Pictured: Bowmer & Kirkland Area Construction Manager Darren Stoker, Middlesbrough Mayor David Budd, Central Ward Councillors Linda Lewis and Matt Storey, Ashall Projects Director Mark Ashall, Middlesbrough Deputy Mayor Charlie Rooney, and Kevin Parkes, Middlesbrough Council’s Executive Director of Growth and Place
Middlesbrough’s city centre regeneration is set to take another giant leap forward with major proposals for Gresham set to be considered next week.
Middlesbrough Council’s Executive are being asked to approve the disposal of land to allow Teesside University to create a modern 21st Century student village on the site.
The report, to be put before leading councillors and Mayor Dave Budd at a special meeting on Wednesday, August 1, will also recommend bringing forward housing development on the rest of the site in two phases.
The land included in the sale to the University would be an area behind The Crown public house bounded by Borough Road, Diamond Road and Garnet Street and the development would include the demolition of properties on Linthorpe Road to give a better connection to the main university campus.
Middlesbrough Council would receive £2m from the sale of the land.
In respect of the Housing Masterplan for the site, the report states: “The proposals move away from the high density housing, which is typical to the area and provides better proportioned plots focused around private, semi-private and communal outdoor space.
“The masterplan will integrate with the Student Village and embrace contemporary design and modern methods of construction. The design rationale for the emerging masterplan has focused on creating, and enhancing links to the city centre, Teesside University’s campus and the vibrant Linthorpe Road as this is deemed key to creating a sustainable, long lasting community in the area.
“The scheme will be ambitious and seek to provide a quality of development that will uplift the whole area.”
Cllr Charlie Rooney, Middlesbrough Council’s Deputy Mayor and Executive Member for City Centre Strategy, said: “This is a significant statement of intent on behalf of both Middlesbrough Council and Teesside University with a development which is massively important to the ongoing regeneration of our city centre.
“In terms of the student village, the university has a strong track record of delivering high quality developments and you only have to wander around their campus to see how much care and attention to detail they put into these projects.
“Meanwhile the new housing offer will be very different from what has previously been on offer in the area – a balanced stock all of high quality which will help meet the needs of today and support both the growth of the population and economy.”
The latest update on the Compulsory Purchase Order on existing Gresham properties shows that there are only ten of 561 properties left to acquire and the report states that several owners have chosen to engage with the Council since the introduction of new relocation packages.
It is hoped that Heads of Terms can be agreed with the university by September this year and that development guidelines for new housing can be adopted in October with a view to building work beginning in January 2020 following necessary marketing and planning approvals.
Bold proposals have been unveiled which would see Middlesbrough Council building homes for the first time in a generation.
Tomorrow the authority’s Executive will be asked to approve a report outlining the need for the Council to positively intervene in the housing market, and ensure the delivery of high quality affordable homes.
If adopted, a housing delivery model would allow the Council to directly build houses, as well as giving the local authority greater control over development to focus on residents’ needs rather than being market driven.
For the first time in decades Middlesbrough is experiencing population growth with people attracted to the growing economy.
Although the growth seen to date has been hugely beneficial to the town, there is an affordability issue that is developing, highlighted in the report, as the average cost of new homes in the town rises beyond the means of many residents looking to get on the housing ladder.
One significant gap identified is for professionals in the 25-35 age category who are increasingly unable to afford to buy a property but do not want to rent the older terraced properties that are prevalent in the market.
Other groups who could benefit from the targeted building of new homes are the elderly and disabled residents.
Cllr Lewis Young, Middlesbrough Council’s Executive Member for Economic Development and Infrastructure, said: “Middlesbrough is currently witnessing city-scale developments – both Council and private sector-led – and the economic growth of the city centre needs to be backed up with a housing offer to match.
“We are making a bold statement on housing that we want to give people the good quality homes that are desired in all areas of Middlesbrough and we want to make sure that they are affordable.
“In establishing a housing delivery vehicle, the Council will be able to have control over where we build and what we build – suiting the diverse needs of our current, and future, residents.
“Without intervention people may leave Middlesbrough to find a suitable home when in reality they would rather be close to family, close to work and close to the Tees Valley’s city centre.
“We can make sure everyone has the opportunity to have the home they want to live in – the private sector is profit driven whereas our model will be people driven.”
If approved the Council will begin work on working up the housing delivery model that would give a steady supply of affordable housing, increase the pace of housebuilding to ensure continued economic growth and to maximise income to the public purse to pay for services.
The Executive are also being asked to approve the establishing of a Shadow Board to consider a detailed option appraisal of housing delivery models and identifies three members to sit on the board.
