Muse Developments helps parent group Morgan Sindall’s results
Urban regeneration and property development company, Muse Developments, has contributed to a solid set of half year results released today (6 August 2012) by parent construction and regeneration company Morgan Sindall Group plc.
Morgan Sindall Group, which operates through five divisions of construction and infrastructure, fit out, affordable housing, urban regeneration and investments, has today announced solid results in line with expectations for the first six months to 30 June 2012. The Group’s profit before tax, amortisation of intangible assets and non-recurring items was £20.3 million (2011: £19.5 million) on revenue of £1.0 billion (2011: £1.1 billion). The Group also reports a sound order book of £3.2 billion supplemented by a £1.8 billion pipeline of regeneration schemes with a further £0.6 billion at preferred developer stage. Adjusted earnings per share for the period were 39.3p (2011: 35.1p) The Board has declared a maintained interim dividend of 12.0p (2011: 12.0p).
During the first half of 2012, the national developer, which has offices in Glasgow, Leeds, London and Manchester, benefited from its strong track record, sector spread and a healthy development pipeline which now stands at £1.6 billion, with a further £0.6 billion of schemes at preferred bidder stage. Muse also added to its attractive long-term portfolio with a number of new high profile schemes across the UK.
Key projects for the developer included:
London and the South East
In Canning Town, English Cities Fund (ECf), a joint venture partnership between Muse, Legal & General Property and the Homes & Communities Agency (HCA), continues to work on the £180 million Rathbone Market development which will provide 651 private and affordable homes, new retail and leisure amenities, and a revitalised local market. The first phase of the scheme comprising 20,000 sq ft of retail space and 271 residential units is due for completion this summer. ECf has also secured planning consent for phase two which includes a new open market square, 165 new homes, a new public library and a community hub.
In Swindon, plans have been approved for the first phase of a £350 million mixed-use regeneration scheme in the town centre. The scheme will provide 1.6 million sq ft of high quality office space, new homes and a modern bus station. It will also help to regenerate the town’s leisure facilities, creating new shops, restaurants, cafés and a hotel. Construction on the first phase commenced in June which is an 850-space multi-storey car park and assisted living residential buildings.
Through ECf, Muse is carrying out the £160 million Plymouth Millbay regeneration in conjunction with the HCA and Plymouth City Council to transform a 15-acre harbour-side area into a vibrant new waterfront community. Work has commenced on phase 2, known as Cargo 2, a mixed development which will see the creation of 14 houses and 34 apartments and retail space. A planning application for a further phase of 100 houses and apartments with associated parking was submitted in May this year. Planning consent was also secured for a new marina.
Muse is working in partnership with Blackpool Council to deliver the £220 million Talbot Gateway regeneration scheme which will create new retail, commercial and community space in addition to town centre parking and transport facilities. The scheme will also include a new public square, council offices, a new supermarket which has been pre-sold to Sainsbury’s, and two hotels. Planning consent has been given for phase one of the Central Business District project to build a new council office building, a remodelled multi-storey car park and a Sainsbury’s store.
Muse is also Warrington Borough Council’s development partner for the £130 million Bridge Street Quarter regeneration scheme in Warrington town centre. One of the largest projects of its kind in the region, it will provide new shops, restaurants, a gym, cinema, indoor market, hotel and council offices. Construction is expected to begin in 2013.
Yorkshire & North East
Muse is working on the £300 million transformation of Doncaster town centre. Development is under way on the first phase which includes a new public square which opened in June, a 169,000 sq ft council office building, a state-of-the-art performance venue, town centre homes and a refurbished 850-space multi-storey car park. The new civic offices will open later this year and the new performance venue is expected to be completed by early 2013.
On the banks of the River Tees in Stockton, Muse is working alongside sister company Lovell to deliver 50 residential units in the first phase of the £300 million Northshore mixed-use regeneration scheme. The riverside housing development’s first show homes were opened in April.
Muse in a joint venture with Miller Homes is progressing plans to deliver a £35 million development of the former St Andrew’s College campus in Bearsden, Glasgow. The scheme comprises 63 family homes, and 12 two-bedroom flats. Muse has also facilitated 12 social housing units and 20 flats for elderly people for Bield Housing Association, and a new 64-bed specialist Dementia Care Home which is under construction for BUPA. The overall scheme has been carefully masterplanned to sit alongside the new Morgan Sindall-built, Bearsden Academy.
Matt Crompton, joint managing director of Muse Developments says: "We've had a busy first six months with our existing schemes progressing well. Our pipeline and forward development programme remain strong and, with the Group’s continued commitment to the regeneration sector, we are well placed to secure new partnership opportunities going forward."