£10m public loans for Harworth Estates
The North West Evergreen Fund, backed by the European Investment Bank, has provided a £7m development loan to Harworth Estates to fund infrastructure works at its Logistics North site in Cutacre, Bolton.
CBRE's investment team, which structured the new infrastructure loan, also arranged for a further £3m to be provided from the Greater Manchester Combined Authority's Growing Places Fund.
The £10m package will fund the construction of roads, ground works, power, drainage and utilities on Harworth's 250-acre site, which has consent for 4m sq ft of sheds. Works are due to complete in 2015.
Aldi has already chosen to relocate its regional distribution centre to Logistics North on a 35-acre plot.
The North West Evergreen Fund, which is made up of 16 local authority limited partners, was established to provide funding to support real estate projects which are critical to the region's economy, generating jobs and growth. It is capitalised through the European Regional Development Fund and other public money allocated under the Joint European Support for Sustainable Investment in City Areas JESSICA initiative, managed by the European Investment Bank in the North West on behalf of the Homes & Communities Agency. The application to the EIB was led by the Association of Greater Manchester Authorities. The Evergreen model provides loan funding to be invested in projects which will generate a financial return and will then be recycled back into the fund to help support further projects. The fund is advised by CBRE Indirect Investment Services, the FCA regulated arm of CBRE, and co-chaired by Manchester City Council and Lancashire County Council.
