Henley commits to affordable homes at £1bn Regent Retail Park

The company behind controversial plans for a 3,000-apartment scheme featuring the UK’s tallest building outside London has committed to delivering 660 discounted homes as part of the project in the face of fierce opposition.

Henley Investment Management told Place the Regent Retail Park project will deliver 660 affordable homes – the first time the developer has publicly committed to a figure – but would not comment on any potential tenure mix.

As the freeholder of the site, Salford City Council is likely to push for a portion of the homes to be available for social rent.

While Henley has previously said the scheme would not be able to support affordable provision through the planning process due to viability constraints, talks over an alternative approach whereby a portion of the site could be handed over to a registered provider are at an advanced stage.

The right thing to do

Henley hopes that clarity on the affordable housing point will go some way to winning over its detractors, pointing out that the scheme would be one of the largest affordable housing projects in the city in recent times.

The developer admits it failed to adequately communicate how committed it was to delivering on-site affordable homes ahead of Salford City Council’s July planning meeting, with managing director Jay Squier stressing that the decision to do so was “not a sudden epiphany”.

“There’s land available for it here. We think it’s the right thing to do,” he said.

The commitment to affordable homes is likely to go down well with members and could tip the balance in its favour when the scheme returns to committee.

The project, which also features a park and plans for a medical facility, has the backing of city planners but a decision was deferred in July.

The planning committee failed to arrive at a decision amid the affordable housing concerns and complaints about the perceived loss of retail and the impact of the scheme on the local road network.

A five-acre park forms part of the scheme. Credit: Mode Visuals

Salford MP Rebecca Long-Bailey is among the plan’s opponents and spoke at the meeting, describing Henley’s project as ‘a city in the sky’ and imploring members to refuse it.

Since then, Henley has continued to hold talks with the city council about a way forward for the project, which the developer is adamant is appropriate for its location.

Providing 3,000 homes across roughly eight acres, the scheme is dense.

“If you look at typical plot ratios, that would take 340 acres on the Green Belt,” Squier said.

“Our view is this is the right place to do it. It is close to city centre, it is low carbon, and it is low resource use to get those homes, compared to low density [development].”

Retail wrangling

Since acquiring the site in 2021 Henley has spent £5m drawing up its proposals and endured a bruising ordeal while attempting to push them forward.

Much of the objection has been from local Ordsall residents around the perceived loss of retail. The site currently comprises 118,000 sq ft of big box units occupied by the likes of Home Bargains, Boots, and several charity shops. These will be demolished to make way for Henley’s 10-building development.

After initial backlash, the developer has repeatedly said it plans to deliver almost as much retail space – 100,000 sq ft – in the new development and has invited existing retailers back to be a part of it.

However, this messaging has failed to cut through with locals.

Henley claims it acquired a retail park in a sorry state and has had to offer favourable terms to occupiers to keep it going.

“It was absolutely on its knees and would have been shuttered had we not stepped in and taken a medium-term view ahead of redevelopment,” said Henley development director Hattie Charlier-Poole.

“There aren’t many landlords that would keep it doing as well without a long-term view to redevelopment, and I think that is just not well understood.”

If she had her time again, Charlier-Poole would have tackled the retail point head on.

“If I knew as much as I do now about how it’s unfolded, then I would have led with that,” she said.

“We want local residents to feel reassured, we want them to feel like whatever we’re doing is for them as much as it is for anyone else. I think I would have tried to bring [them] on that journey earlier.”

The big box retail units that currently occupy the site will be demolished. Credit: Google Earth

The prospect of a London developer heading North to deliver 3,000 apartments on the site of a valuable community asset got the hackles of the local Ordsall community up almost immediately.

Charlier-Poole recognises that, as a new player, some hazing is to be expected.

“We’re new to the area and I think it takes a long time to build trust and really get under the skin of an area,” she said.

“That’s what we are working hard to do.”

Here to stay?

While retail and affordable housing have dominated the conversation around the development, another criticism has been levelled at Henley throughout the process – that the company is looking for a quick buck, to obtain planning permission and flip the site on.

This is false, according to Squier.

“I joined [Henley] to build buildings. We see that as the route to building out this site; doing it ourselves, and being very actively involved,” he said.

He pointed to a project in Ebbsfleet Henley is currently involved in as an example of the firm’s credentials when it comes to being a long-term custodian. That development will deliver 6,000 homes and has been ongoing for almost a decade.

“The value for us is the long-term project to build out the homes and that’s what we intend to do,” Squier said.

He added that, while tricky at times, the Ordsall ordeal has not put the business off investing more in the North West.

“Would we have preferred for it to have been easier? Yes.

“[But] we think there’s a there’s a lot we can do, and the more you do, the more you learn. The more we deliver, and the more credibility we get. There’s a virtuous circle.”

No date has been set for the Regent Retail Park scheme to return to Salford City Council’s planning committee but it is understood this could happen before the end of the year.

Assuming approval is forthcoming, Henley will have cleared what at times has looked like an unsurmountable barrier, namely the objections of a disgruntled local community.

However, the people of Ordsall are not going anywhere and you had better believe they will be watching closely as the project progresses.