Sutton Coldfield Municipal Charities has clinched the sale of its properties in Mere Green Road and Lichfield Road to Spring - the residential and r egeneration arm of Halesowen-based property developer Castlemore.
Located on the corner of Lichfield Road and Mere Green Road, the three-acre site currently comprises a 40,000 sq ft district centre with tenants including Somerfield, Nationwide, Timpsons, Boots and The Lounge Bar.
The deal is for an undisclosed sum.
In its first project in the West Midlands, Spring plans to develop a high quality retail and residential mixed use scheme. The company aims to submit a planning application following a community consultation programme, which will take place in the next sixth months.
Whilst Spring will be responsible for the development of the residential component, Castlemore will take on the proposed retail element.
The residential is in addition to the 6,000 units that Spring is already committed to developing within the Castlemore portfolio.
Spring Residential was established in February this year to work alongside Castlemore on its existing mixed use and regeneration schemes, as well as identify new opportunities, either individually, or in conjunction with, Castlemore.
Castlemore is one of the UK's leading private property developers, with a reputation for developing highly success-ful retail schemes in towns and cities such as Bournemouth, Brent Cross, Beckton Fosse Park, Leicester as well as in smaller centres including Wellingborough, Manchester, Telford, Stevenage and Kidderminster.
SCMC has been providing grants to needy organisations and individuals in Sutton Coldfield for nearly 500 years and enjoyed a long and productive commercial and community relationship in Mere Green. The charity plans to invest the proceeds of the sale to sustain its income, so that it can further enhance its work providing benefits within Sutton.
On average, SCMC makes grants of around £1 million annually to needy people and good causes locally. In addition to community grants, it maintains 46 almshouses and is currently contributing £1.3 million for St Giles Hospice to open a much needed cancer care centre in the town.
Andrew MacFarlane, clerk to SCMC, said: "While we shall miss the close commercial connection with Mere Green, this sale strongly underpins this charity's financial capacity to continue improving the quality of so many peoples' lives throughout Sutton for years to come."
Andy Wilkins, managing director of Spring Residential, added: "By developing a mixed use residential and retail scheme, we are building upon the expertise of both Spring and Castlemore.
"Mere Green is one of the region's most prosperous suburban centres and we are looking forward to working with the local community and council to develop a scheme that will benefit the area and reflect the company's potential to provide new homes as well as a modern, attractive shopping destination."
Damian Wood at Castlemore, said: "Mere Green is a classic example of Castlemore's ability to develop town centre retail schemes."
