May 2, 2019
Realest, the Southampton-based commercial property specialists, have run a feature on the Manse Opus development at Prospero, Ansty on behalf of Meggitt PLC. The development is one of the most significant new business parks in the UK and with a prime position east of Coventry, the Park is already attracting multi-national businesses to the scheme. Planning was secured for Meggitt’s new 490,000sq. ft HQ facility in April 2018.
Here’s Realest’s experience of the development:
Meggitt operated from a number of dated manufacturing properties within Birmingham and Coventry and was looking to consolidate and develop a Centre of Manufacturing Excellence and Global Headquarters.
To work alongside Meggitt’s Group Property and Finance teams to simultaneously help them develop their requirements for a new Super Factory, identify suitable properties/locations and negotiate suitable lease terms to enable the facility to be developed and operational.
What We Did
We started working with the client in developing an initial high level scope of their requirements, which would subsequently be fine-tuned as the project and negotiations progressed.
We carried out a confidential search of suitable properties/development sites within a 30 minute drive of Coventry to sit alongside a comparison of “On-Site v Relocation” options.
Having identified Prospero Ansty as the preferred option, we entered a period of extended negotiations that included shifting from leasehold to freehold terms and then changing the Masterplan application into a hybrid planning application including Meggitt’s 490,000 sq ft Super Factory.
We then supported Meggitt; firstly in the negotiations and selection of a suitable funding partner through a sale and leaseback for 30 years and, secondly, in structuring the separate construction contracts to enable the client to benefit from capital allowances.
We supported the client and their lawyers throughout the complex legal due diligence involving five major stakeholders and their advisors.
Whilst the brief was to secure a leasehold interest, Realest identified the opportunity to simultaneously agree freehold terms with the developer and an onward sale and leaseback with a funding partner. The result being a substantial reverse premium paid to Meggitt.
A proactive solution led approach, teamwork and the range of skills across the three Realest Directors enabled the deal to be structured in a way that had all phases of the project progressing simultaneously and keeping the project to programme.
Meggitt – Jonathan Jones, Mark Oxford
Legal – Andrew Bennett (Gowlings)
Cost Consultants – Owen Follet (Mace)
“This was a complex acquisition with multiple stakeholders to manage, our time line was tight and we had to adopt innovative ways to achieve a design build and lease back vehicle to meet our goals, Realest formed an integral part of the acquisition team and drawing on their extensive knowledge and negotiation skills were key to the success of the project to this stage.”
Jonathan Jones – Group Property Director – Meggitt PLC
Originally posted by Realest in April 2019.
Manse Opus’s Prospero Ansty development has been the talk of 2019, with it having been titled ‘Deal of the Year’ at the CoStar Awards, and also shortlisted for the same title at the Property Week and PROPS Awards. For more information about the development, visit their site here.