Henry Boot Regulatory News (BOOT)

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We concluded two land sales for over 500 units and received a small uplift from a previous disposal, all at price levels we were anticipating.

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We are in discussion to sell a further 13 sites for over 1,800 consented units, some of which will complete in 2015, others will conclude in 2016.

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In total, and including the sales in progress above, we have 47 sites with over 12,000 units holding either planning permission or "minded to grant" consent subject to agreeing a S106 with the local authority in question.

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We have a further 25 sites for over 10,000 units which are within the planning process but are, as yet, undetermined or are within the appeals system.

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At Markham Vale, our 200 acre business park being developed in partnership with Derbyshire County Council, pre-let agreements have been exchanged with Great Bear Distribution Ltd to take a new 480,000 sq ft distribution warehouse. This scheme is expected to be completed by mid-2016 and terms for the forward funded sale of the development are expected to be finalised shortly. This letting is in addition to 190,000 sq ft of pre-let industrial development that is already expected to complete in 2015.

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The development of a new exhibition and conference centre for Aberdeen City Council took a significant step forward in March 2015 when the Council gave unanimous approval to complete legal agreements. This scheme will include three hotels, an energy centre as well as a 400,000 sq ft conference and exhibition centre. Planning applications are expected to be submitted by mid-year and construction is targeted to commence in early 2016.

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A ten year development agreement was exchanged with the Crown Estate and Luton Borough Council for the development of Butterfields Business Park, a 45 acre employment site in Luton, which already has planning permission and is partially serviced.

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The redevelopment of Terry's Chocolate Factory in York also made significant progress with submission of detailed planning and listed building consent applications and the exchange of contracts for the conversion of the main listed factory building to provide over 150 luxury apartments. Planning permission is expected to be secured mid-year, enabling work to commence by late 2015 with the first apartments being completed in the first half of 2016.

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The 22,000 sq ft office development, pre-let to Atkins Ltd, on Westlakes Science Park in Cumbria will be completed imminently, on programme and to budget, terms for the sale of the investment are expected to be agreed shortly.

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Our jointly owned house builder, Stonebridge, is on course to grow further this year with completed sales ahead of last year. We achieved planning permission on a 114 unit development in Sheffield and are hopeful of gaining consent for a further 109 units in Leeds mid-2015. We are actively acquiring further sites, predominantly in the north Leeds area, to provide for the anticipated future growth in unit sales.

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Our Construction business continues to undertake projects across a wide range of sectors including industrial, residential housing, custodial, health, commercial, education, leisure, renewable energy and civil engineering. We have made a strong start to the year and expect to achieve targeted activity in 2015 and are already building the 2016 order book. Encouragingly, and contrary to press comments regarding parts of the UK construction market, we are seeing improvements in both construction activity and the size of opportunities coming to market. As a consequence, we hope for a small improvement in pricing levels associated with the growing workload in all our operating sectors.

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Our plant business is trading well and activity is ahead of the equivalent period last year. At this stage, we are seeing good demand for all parts of the hire fleet from a generally improving construction industry in the north of England.

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Road Link (A69) Limited, our PFI contract, continues to trade in line with previous years and management expectations.