Morgan Sindall has announced its investment arm has been appointed as preferred partner for Slough Borough Council’s £1 billion, 15-year regeneration.
Sir Robert McAlpine JV had withdrawn from the bidding process, leaving Skanska and Morgan Sindall to fight it out for the deal.
Through the council’s Local Asset Backed Vehicle joint venture, Morgan Sindall Investments will provide project funding and investment expertise.
The LABV will procure works from the contractor’s affordable housing business, Lovell Partnerships, and its construction and infrastructure division.
It will be 50:50 owned by the public and private sectors, with plans for around £100m of work to be carried out in the first five-year phase of the deal, rising to a potential £1bn over 15 years.
The first phase of development includes a new build library and community facility (The Curve) to be built by Morgan Sindall. The design and build contract value of the initial tranche of community developments is £54m. Other developments will include a new build secondary school and a new build leisure centre with an ice rink.
The first tranche of residential developments by Lovell Partnerships will provide 525 new homes across five sites with a gross development value of £105m.
Morgan Sindall Group chief executive Paul Smith said: “We have a strong track record working in partnership with Local Authorities to deliver large-scale, complex regeneration schemes. We are delighted to have this opportunity to partner with Slough Borough Council to fulfill their vision for the regeneration of the area and deliver this important project for the local community.”
Councillor James Swindlehurst the deputy leader and commissioner for neighbourhoods & renewal added: “We are extremely pleased to be continuing the redevelopment of Slough in partnership with MSIL. This vital regeneration partnership will breathe new life into Slough and surrounding areas, providing an important boost to jobs and local businesses. This LABV approach provides flexibility, ensuring the Council and MSIL can respond to the community’s changing needs over time to deliver a quality, sustainable development.”