June 8, 2012
TCN UK go ahead for Rotherham regeneration
This week TCN UK received full planning permission for the development of a new retail superstore in Rotherham, Yorkshire. A development agreement with Rotherham Borough Council was signed by TCN UK in 2011 for the regeneration of Rotherham Town Centre, following which a new lease was agreed with Tesco Superstore as an anchor to the plans, subject to satisfactory planning being granted.
The unanimous decision at the planning meeting allows drawdown of the 5 acre site from the Council later this year with a planned construction commencement date of October 2012. Completion and occupation by Tesco’s is planned for December 2013. Richard Pearce, director of TCN UK said “It has taken a long time for all the pieces to come together which heightens the sense of achievement for all parties, including Rotherham Council as landowner. We are excited about the impetus this gives to the town centre and the adjoining Market Site”.
The development comprises a 110,000 sq ft superstore in the heart of Rotherham Town Centre which Tesco’s will rent for 30 years at an annual rent of £2 million. The construction costs are £31 million with an anticipated gross development value in excess of £35 million, reflecting a yield of around 5.5%.