Barwood Capital plans to refurbish the former B&Q DIY site to build out warehouse
A major commercial property deal has been sealed to transform a former B&Q site in Sheffield.
Barwood Capital has bought the 11-acre site at Darnell for £5.5 million.
Together with fellow East Midlands partner Tungston Properties, and subject to planning permission being granted, it will refurbish the former DIY outlet, then build out two detached warehouse units, with a trade counter scheme completing the site.
The location of Greenland Road is described as being in a strategic position 2.5 miles east of Sheffield city centre, where the Meadowhall Shopping Centre sits. The Barwood team said it benefits from an extensive and prominent frontage to one of the city’s main arterial routes.
Once completed the project is expected to deliver up to 150 new jobs.
William Chambers, investment director for Northampton real estate investor, said: This transaction demonstrates one of Barwood Capital’s key capabilities in partnering with an experienced and successful developer, committing investment into this regional under performing asset to unlock value through the change of use and development process to provide new workspace and jobs. This is a high-profile site with a great range of flexibility, and discussions are already well progressed with a variety of occupiers for various elements of the scheme.
Bought as part of Barwood’s Growth Fund IV – a five-year scheme that has raised more than £50 million with further raises expected before the year end, it is the third project where the two companies have joined forces. Previous developments were in Glasshoughton, Yorkshire and, more recently, Bardon Park, Leicestershire.
Jeff Penman, managing director of Hinckley’s Tungsten Properties, said: We identified this prominent site for its strategic position to the east of Sheffield’s city centre and the locality’s high demand for new space. To partner again with Barwood Capital demonstrates the strength of our relationship and we look forward to delivering our third project together.
Agents for the project are Gent Visick and Colliers International.
Works are due to begin in the new year, completing towards the end of 2021.
