Arlington Real Estate and the Richardson family have acquired Carillion’s joint venture share in the £150m Milburngate development in Durham as the project approaches its first stage of construction.
The development consortium of Arlington Real Estate and the Richardson family will continue to deliver the 60-acre regeneration project on Durham City Riverside, which will include 400 homes and 150,000 sq ft of offices.
The deal is part of Carillion divesting from its commercial property development portfolio.
In November, Carillion sold its two-thirds share in Manchester-based developer Ask Real Estate to the Richardson family for £13.8m.
With demolition of the former passport office building scheduled for completion in the new year, the site will soon be prepared for the construction phase of the mixed-use residential, office and leisure destination.
Boutique cinema operator Everyman and Marston’s Pitcher & Piano have already been secured for Milburngate, with further occupier announcements expected in the coming weeks.
Allan Cook, managing director of Arlington Real Estate, said: “Arlington and the Richardsons have been the driving force behind the regeneration of Durham’s Riverside, which will continue with the ongoing development of Milburngate.
“This remains a once-in-a-lifetime opportunity to breathe new life into this important part of Durham city and as a proud North East business we are committed to delivering a landmark development that will not only benefit Durham, but the wider North East region.”