Trafford commits £71m to Lumina Village
The local authority will provide a development debt facility to Moorfield Group, the London-based investment manager that agreed in January to finance most of the 693-home scheme.
Lumina Village is a £250m mixed-use project set on the 12-acre former Kellogg’s site. Trafford Council and Bruntwood have a joint venture to develop Lumina Village, which will include 200,000 sq ft of offices, a 100-bed hotel, and a primary school.
The JV appointed Glenbrook to deliver the residential portion of the project last year. This part breaks down into two elements, a 440-home build-to-rent section – financially supported by Moorfield – and a 199 affordable home one – funded by £49m from Clarion Housing Group.
It is the build-to-rent portion that has secured the £71m development debt commitment from Trafford Council, according to a report for the local authority’s executive meeting next week. The BTR element of Lumina Village has an estimated gross development value of £120m.
A spokesperson for Trafford Council said: “This investment will support regeneration and deliver housing in the Civic Quarter area – a strategic location for the council – while also providing income which is reinvested in front-line services.”
Lumina Village is far from the only project Trafford Council will be helping finance in the years to come. Looking past the 2023/2024 fiscal year, the council has allocated a future £9.2m for the Bruntwood-led revamp of Stretford Mall and another £2.9m for Chancerygate’s industrial scheme in Trafford Park. Outside of Trafford, the council has allocated £8.5m for the third phase of Salboy’s Castle Irwell in Salford as well as £4.8m for Sunlight House and £22.6m for One Heritage’s 129-apartment One Victoria – both in Manchester.
Factoring in past purchases and spending, Trafford Council’s £500m asset investment fund has only £63.6m available.
The council will be meeting on 21 February to discuss its capital strategy.
