South Cambridgeshire District Council has appointed Hill Group and Balfour Beatty Investments to join an investment partnership which will inject up to £340m to support the local recovery
Investment partnerships are part of the South Cambridgeshire District Council’s plans to manage the impact of reduced national funding by investing money to generate income – two partnerships have been formed that will see up to £340m invested to support the local recovery.
South Cambridgeshire District Council has appointed the housebuilder, Hill Group, in one investment partnership, and Balfour Beatty Investments, the international infrastructure investor, as a partner in another.
This follows an extensive tender process that invited bids from suitably qualified and experienced partners with the resources, skills and competencies to jointly invest in opportunities.
The two partnerships will acquire land for new homes, including council and social rented properties, along with commercial developments and supporting services which will help to secure the local economy as it recovers from the coronavirus pandemic.
The partnerships allow each party to benefit from the other’s skills, expertise and knowledge and open-up bigger opportunities that may not have been possible without the advantage of working as a team. They also mean that the risk associated with investment is equally shared, along with profits.
The Council expects to contribute up to £170m between the two partnerships during the next four years.
The money the council is putting into the partnerships will include a mix of cash and funds it is able to borrow at preferential rates, supported by grants and other funding.
South Cambridgeshire Projects LLP
The partnership with Hill Group will build a range of high-quality, sustainable private sale and affordable housing and regeneration developments to support local communities and economies, as well as investment and income-generating opportunities for the Council.
The broad range of potential developments to be delivered by the South Cambridgeshire Investment Partnership include Council and social rented homes, private sale homes, private rented sector (PRS) housing, senior and assisted living, estate regeneration and mixed-use developments.
The partnership with Balfour Beatty, called South Cambridgeshire Projects LLP, will see mixed-use developments be identified within South Cambridgeshire and neighbouring areas.
Safeguarding the council’s revenue
Leader of South Cambridgeshire District Council, Bridget Smith, said: “These exciting and innovative new partnerships will help us to deliver on our pledge to build more housing that is affordable to live in, where people want to live.
“They will also help to grow local businesses and economies by supporting redevelopment and regeneration work at a time when this is clearly a priority.”
Andy Hill, chief executive of the Hill Group, said: “We are so proud to have been chosen for this Investment Partnership and trusted to secure the future growth and prosperity of South Cambridgeshire.
“As a locally founded, family-run business, and a large employer in this area, we are committed to delivering the highest quality of design and housing standards, while also creating great places where all can live in harmony.”