Harworth cements growth plans for Lynx Precast aiding £1.6m purchase dealPosted: 20 August 2019
A successful working partnership between land regeneration and property development company, Harworth Group plc, and commercial tenant, Lynx Precast, has led to a £1.6m purchase agreement enabling the concrete manufacturer to buy existing premises as well as additional land for future expansion at Lynefield Park, Northumberland.
The ownership arrangement will see Harworth Group hand part of the former Alcan site at Lynemouth, Northumberland, over to Lynx Precast as part of a 150 year leasehold agreement in order for the company to realise ambitious growth plans.
The deal, which includes approximately 150,000 sq ft of existing manufacturing facilities on 14 acres of land and the option to purchase a further seven acres at the 320 acre site, has been shaped to allow Lynx Precast to fast-track expansion to meet heightened demand, make significant investment in its long-term future and add ten new jobs to its 46-strong workforce over the next twelve months.
It has also helped to accelerate the introduction of new production lines including bespoke, reinforced concrete products to serve the transport, infrastructure and rail network industries in addition to the UK’s housebuilding and construction sectors. This has led to additional investment in advanced plant and machinery in the region of £650,000 to increase manufacturing capability and serve larger, nationwide clients.
Lynx Precast MD, Andy Teasdale, commented, “This is an exciting phase of development for the company and one which will allow us to make significant investment in the business as well as the local area too. We have 46 employees currently at Lynemouth but this will increase over the next year and beyond, helping us to grow steadily, free us up to configure the land and buildings to suit our requirements, enter into new markets and serve larger clients up and down the country with high quality, pre-stressed flooring and reinforced concrete products.
“Our long-term future is at Lynefield Park as the site provides everything we need in terms of growth potential, easy access to main transport links including the A1 and A19, and site security. The relationship which I, and many of the other occupiers here on-site have with Eddie Peat (Harworth), has been pivotal to creating, developing and realising this opportunity and therefore I would like to thank him and Harworth Group for their support.”
Harworth Group has, since acquiring the site from Rio Tinto in 2015, invested more than £2million into Lynefield Park, completing complex demolition, excavation and ground engineering works whilst providing fit-for-purpose commercial space for industrial occupiers. Itis seen as a key strategic site for attracting inward investment and possible large-scale manufacturing, energy or industrial organisations to Northumberland.
The part sale of the site to Lynx Precast is an example of how Harworth works closely with occupiers to maximise their business potential as well as help generate employment opportunities for areas which have suffered job losses historically from traditional industry closures. Other Harworth sites include Waverley in South Yorkshire which was once home to Orgreave Colliery. It now includes a 1.5m sq ft Advanced Manufacturing Park with occupiers including Rolls Royce and McLaren Automotive alongside a planned 4,000 home residential development where 850 homes have been built in the past six years.
Eddie Peat, Director (North East) for Harworth added, “We are delighted to have played a part in Lynx Precast’s success and, more importantly, its future by handing part of the site over and ensuring that the company can grow without relocating from its existing base. This will provide the team with the freedom to adapt the land and buildings to meet all necessary business requirements moving forward.
“It is essential, that land and property owners, especially in today’s uncertain economic climate, work closely with their tenants to offer support whichever way they can. This is therefore very good news for Lynefield Park, the local area and the wider community in terms of jobs and I wish Lynx Precast all the best for the future.”
For commercial enquiries regarding Lynefield Park, please contact Nick Atkinson at HTA Real Estate on t: 0191 245 1234
or e: firstname.lastname@example.org, or Andrew Wright at Lambert Smith Hampton on t: 0191 338 8320 or e: email@example.com.