Disposal Of A Factory Site In Oxfordshire
Carter Jonas was appointed by Parker Knoll factory site in Chipping Norton. The company had decided to cease its manufacturing operations in the UK and restructure its business accordingly. This was to involve the relocation of retained operations and the sale of the Chipping Norton site.
The property extended to around 15 acres, situated on the eastern edge of the town. The factory, associated buildings and hardstandings occupied around 10 acres, fronting London Road and lying behind an avenue of protected trees. A further undeveloped 5 acres to the rear provided an area for future expansion.
While our commercial team began the search for new distribution premises to be located close to the M40 motorway between Oxford and Banbury, the Planning & Development team opened difficult and very politically sensitive pre-application discussions with West Oxfordshire District Council for the redevelopment of the Chipping Norton site. From the outset it was clear that ‘loss of employment’ was going to be one of the key issues.
As discussions with West Oxfordshire continued, Carter Jonas carried out a Retail Impact Assessment and drew together the technical reports that would be required to inform and support a planning application for the redevelopment of the site. These included a Transport Assessment Report, a Landscape Assessment, an Ecology Assessment, a Tree Survey, an Environmental Risk Assessment and an Employment Survey. As discussions with West Oxfordshire faltered, we were in a position during August 2003 to lodge an outline planning application for mixed-use development of the whole 15 acre site. The application proposed 7.4 acres of residential land, 3.5 acres of employment land and 1.2 acres of community facilities land, with the balance as open space and structural landscaping.
Given the time constraints to which the project was working and the clear views of Officers and Members at West Oxfordshire that the application should be refused, an appeal against non-determination was lodged in November 2003. However, a duplicate second planning application was immediately lodged to enable further negotiation with West Oxfordshire to continue in parallel to preparation for an Appeal Inquiry scheduled for June 2004.
Unsurprisingly, West Oxfordshire considered the first (now appealed) planning application at Committee in January 2004 and resolved that, had the Council had the opportunity to make a determination, the application would have been refused, principally on the grounds of ‘an unacceptable loss of employment land’; ‘inadequate provision for supporting infrastructure’ and ‘insufficient and unsatisfactory provision to deliver housing to meet identified local need’, contrary to both adopted and emerging Local Plan policies.
Ongoing negotiation with West Oxfordshire in relation to the duplicate second application led to the application being amended to comprise around 8 acres of residential land and 5 acres of employment land, with the balance again as open space and structural landscaping. At the same time heads of terms for a Section 106 Planning Agreement were negotiated to include an offer of 30% affordable and 10% discount market housing across the residential area. This amended application was presented to Committee at West Oxfordshire in March 2004 and, in line with officer recommendation, the Council resolved to grant outline planning permission for the proposed development subject to the completion of the Section 106 Agreement.
Meanwhile, Carter Jonas had been negotiating with a shortlist of potential purchasers who had been selected following a confidential marketing campaign and, as the resolution to grant planning permission was obtained, our client was able to identify George Wimpey as ‘preferred bidder’ for the site. We had also successfully negotiated with Oxfordshire County Council for the removal of a restrictive covenant that it held over the rear 5 acres of the site.
Consequently, we were able to arrange the completion of a sale of the site for a price of £13 million. At the same time, our client took a leaseback of the premises to allow time to complete its planned exit from manufacturing operations in Chipping Norton.
James BainbridgeMRICS
Partner
James is Head of Residential Development at Carter Jonas. Based at Oxford, he advises clients throughout the south of England on a wide range of residential and mixed use development matters, inc...
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James is Head of Residential Development at Carter Jonas. Based at Oxford, he advises clients throughout the south of England on a wide range of residential and mixed use development matters, including site identification, town planning issues, valuation and appraisal leading to sale, acquisition or development. He has been involved in many strategic development sites, ranging from new settlements to city centre regeneration opportunities, as well as smaller provincial and rural schemes. James also has specific expertise in options, promotion agreements, and joint ventures. British Bob-Skeleton Champion in 1989/90, James still enjoys winter sports albeit now at a slower pace. The summer sees him on the tennis court or by the river with rod in hand. When not acting as an unpaid taxi service for his three children, he can sometimes be found hiding in his vegetable garden.
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