Member Article

Caddick buys Leeds City One site for £10 million

Yorkshire’s Caddick Developments has bought the former Montpellier Estates’ City One site in Leeds out of administration for around £10m, it was confirmed today.

The 10-acre development site in Holbeck has consent for a £500m mixed-use scheme, including 1m sq ft of offices, a 25-storey residential tower, a 230-bed hotel and a 100,000 sq ft casino.

Caddick is expected to seek a revised consent which replaces the leisure space with privately-rented flats.

It is one of the biggest development deals in Leeds in recent years and £10 million is the highest amount paid for a development site in the city.

The 9.5 acre Leeds City One site in Holbeck was marketed by the Leeds office of global property consultancy Knight Frank on behalf of receivers Allsop.

The site went into receivership after Jan Fletcher’s Montpelier Estates lost a £43.5 million High Court battle against Leeds City Council over a failed attempt to build the new Leeds Arena there.

Henrie Westlake, investment partner with Knight Frank in Leeds, commented: “City One is a very prominent gateway site on the southern edge of Leeds city centre. The site offers direct access to the M621 and the wider Yorkshire motorway network as well as being close to Leeds station and within a short walking distance of the retail and business cores.

“The immediate vicinity has undergone significant development over the last ten years, which includes City Walk (offices, residential and an hotel); The Mint, whose occupiers include ASDA and Jet2; and the regeneration scheme at Holbeck Urban Village,” he added.

City One was one of two sites shortlisted for the new Leeds Arena, before the city council decided to build the 13,500 seat arena itself at Clay Pit Lane. This prompted Montpelier Estates to launch a High Court claim against the council, which the council successfully defended. Montpelier was consequently liable for costs.

This was posted in Bdaily's Members' News section by Robert Beaumont .