St. Modwen has exchanged on the acquisition of a portfolio of former BP sites, situated across South Wales, Scotland, the Midlands and the south east.
The largest site in the portfolio, a former petrochemicals plant at Baglan Bay in Neath, South Wales, comprises a total of 1,050 acres and will be one of the three largest regeneration projects in South Wales; alongside two other projects currently being developed by St. Modwen – the £1 billion transformation of the former Llandarcy oil refinery into the Coed Darcy Urban Village, Neath and the £1 billion redevelopment of the former Llanwern Steelworks in Newport.
David Toman, General Manager of BP, said: “The expertise of St Modwen in remediation and regeneration has been proved by their work over the last three years on the transformation of Llandarcy which is a 25 year project. I am pleased to be working with them again to develop our other disused sites around the country.”
Steve Burke, construction director at St. Modwen, said: “This acquisition is characteristic of St. Modwen’s ability to complete innovatively structured transactions – a vital skill in the current economic climate and the reason why the company has remained successful. Our plans are to transform these sites into employment-led developments which in South Wales, will complement the residential elements of the Coed Darcy and Llanwern schemes.
“We look forward to continuing our relationship with BP and doing what we do best – cleaning up the land and transforming derelict areas.”
The portfolio was acquired for a nominal sum, with an undisclosed dowry received from BP in exchange for St. Modwen taking on the liability for remediation works.