St. Modwen Properties Ltd.is a British-based property investment and development business specialising in the regeneration and remediation ofbrownfield landand urban environments. It is headquartered inBirminghamand has a network of four regional offices across the UK. It was listed on theLondon Stock Exchangeuntil it was acquired byThe Blackstone Groupin August 2021.
 | |
| Company type | Private limited company |
|---|---|
| Industry | Property and Regeneration |
| Predecessor | Clarke St. Modwen Redman Heenan International plc |
| Founded | 1966 |
| Headquarters | Birmingham,United Kingdom |
Key people | Sir Stanley Clarke CBE,(co-founder) Jim Leavesley, (co-founder) Danuta Gray,Non Executive chairman Sarwjit Sambhi, (CEO) |
| Revenue |  £342.1 million (2020)[1] |
| £(126.6) million (2020)[1] | |
| £(120.8) million (2020)[1] | |
| Parent | The Blackstone Group |
| Website | www.stmodwen.co.uk |
History
editThe business was founded bySir Stanley Clarke CBEand his brother-in-law Jim Leavesley in 1966 as a property development business calledClarke St. Modwen.[2]In 1986 the management reversed the business intoRedman Heenan International plc,a listed former engineering concern that had become a shell company.[2]At that time, in 1986, the name was changed toSt. Modwen Properties plc.[2]In the 1980s the company developed theStoke-on-Trent Garden Festivalsite.[2]
In January 2004 the company acquired a 230-acre site atLongbridgefromPhoenix Venture Holdings.[3]The land at the Longbridge site was obtained by St Modwen Properties at a fraction of the actual value after the company paid a £100,000 property commission to a firm run by an associate of thePhoenix Four.[4]
In January 2013 the company entered into a development agreement for theNew Covent Garden Marketsite in London[5]and in March 2013 the company entered into a development agreement for the first phase ofSwansea University's Bay Campus.[6]
In June 2016 the company entered into development agreements for the Spray Street Quarter inWoolwich,a regeneration project in joint venture with Notting Hill Housing to create amixed-use development;[7]Chippenham Gateway inWiltshire,a 79-acre site to be developed into a 1 million sq ft industrial park;[8]and Stanton Cross,Wellingborough,a project involving 1 million sq ft of industrial accommodation.[9]
In July 2016 the company established a private rented sector (PRS) business unit.[10]
In 2018, theCourt of Appealruled that in entering a entering a development agreement with St. Modwen to develop an industrial estate inNewbury,West Berkshire Councilhad "effectively agreed to act unlawfully in the future". The disposal of the land in question was seen by the Council as a "land transaction" rather than a public works contract, and the opportunity to acquire the land was advertised so as to secure interested bids and "best consideration" in accordance with theLocal Government Act 1972.The agreement allowed the developer the option to draw down land under a series oflong leases,but if an option was taken up, the developer wascontractually obligedto develop the site. The Court of Appeal, overruling theAdministrative Court's judgment at first instance, held that such "contingent obligations" met the criteria for being considered a public works contract, whose procurement should have been undertaken in accordance with the full requirements of the Public Contracts Regulations 2015. The development agreement was ruled "ineffective".[11][12]
The company agreed to be acquired byThe Blackstone Groupin a £1.24 billion (€1.4 billion) transaction in May 2021.[13]
Operations
editThe company has three business units:[14]
- St. Modwen Homes
- St. Modwen Industrial & Logistics
- Strategic Land and Regeneration
The company owned a property portfolio valued at £0.9 billion at 30 November 2020.[1]
References
edit- ^abcd"Annual Report 2020"(PDF).St. Modwen Properties.Retrieved3 March2021.
- ^abcd"History".St. Modwen.Retrieved3 April2015.
- ^"St Modwen buys 230 acre slice of Longbridge".Property Week.6 January 2004.Retrieved15 July2016.
- ^MG Rover report reveals lies, cover-up and briberyThe Daily Telegraph,11 September 2009
- ^"St Modwen and Vinci JV sign contract for New Covent Garden Market regeneration".Property Magazine.7 January 2013.Retrieved15 July2016.
- ^"St Modwen confirmed as developer for first phase of Swansea University's £450m science and innovation campus".Wales online. 21 March 2013.Retrieved15 July2016.
- ^"Regeneration of key Woolwich site between Crossrail and existing stations moves forward".South London Press. 24 June 2016.Retrieved15 July2016.
- ^"New owners drawing up plans for 1m sq ft distribution park on M4".Swindon Business. 2 June 2016.Retrieved15 July2016.
- ^"Developer which brought Lidl to Wellingborough signs up for Stanton Cross".Northamptonshire Telegraph.10 June 2016.Retrieved14 July2016.
- ^"Half Year Report 2016"(PDF).St. Modwen Properties.Retrieved14 July2016.
- ^11KBW,Faraday Development Ltd v West Berkshire Council: Court of Appeal gives important guidance on development agreements and options, and declares contract ineffective,published 15 November 2018, accessed 3 January 2024
- ^Court of Appeal (Civil Division),Faraday Development Ltd. v West Berkshire Council,judgment dated 14 November 2018, accessed 3 January 2024
- ^"St Modwen to accept £1.2bn takeover offer from Blackstone".IPE Real Assets.20 May 2021.Retrieved1 August2021.
- ^"About us".St. Modwen Properties.Retrieved26 April2017.