St Edmundsbury Borough Council’s consultation draft Concept Statement
for Hanchett End Business Park (to be called Haverhill Research Park)

The current situation

As an allocated site, its development has to be informed by a masterplan, which itself is based on an agreed Concept Statement that sets out the planning requirements. The current draft Concept Statement, which is now the subject of public consultation, outlines that any future masterplan will need to include the following:
  • Light industrial, research and office use (i.e. B1 uses only)
     
  • Units for new and small firms involved in high technology and related activities  
     
  • Low density development with extensive landscaping

This document also sets out design principles alongside sustainability and infrastructure delivery matters. Consultation on the document is now taking place,and will end on the 30 July prior to a further reviewof the draft statement.

The council’s draft Concept Statement can be viewed by visiting:
www.stedmundsbury.gov.uk/sebc/live/Concept-statements-and-masterplans.cfm#hanchett
 

Carisbrooke Investments’ Position

Carisbrooke Investments (Carisbrooke) has a good track record in creating jobs for the people of Haverhill. Responsible for developing the Haverhill Business Park, Carisbrooke has completed many other high quality business and employment projects around the country.

Carisbrooke now has controlling interests in the strategic employment site at Hanchett End, which was allocated in St Edmundsbury Borough Council’s Replacement Local Plan in 2006. This allocation is for both B1 (business) use and B8 (storage and distribution) use. The council’s latest emerging planning policy document – the Core Strategy – reflects its “vision” to widen the range of employment opportunities available in Haverhill, and seeks to take a broader view of “employment” to include proposals that involve uses outside the “B” Use Classes, where there would be positive benefits to the local economy.

An opportunity now exists to create an unrivalled, prominent and attractive Greenfield Research/Business Park environment at the eastern entrance to Haverhill that will realise an important and essential part of the vision for the future of the town.



2006 Pacec Report


July 2010 Pacec Report 20/7/10


Choose Suffolk
Press Release



Carisbrooke Letter
to Stakeholders 21/7/10


Letter from Haverhill Chamber of Commerce 21/7/10


Letter from West
Suffolk College


Letter from
Haverhill Enterprise
 
 
Letter from University Campus,Suffolk.
28/7/10

 
 

Financial considerations

Carisbrooke fully recognises the importance of this site to Haverhill, which has the potential to create an unrivalled and attractive development delivering an enhanced gateway to the town as part of the “Vision” for Haverhill. However, the costs involved in developing the site will be significant and unavoidable. Services such as gas, electricity, water, telecoms/ broadband and foul and surface water drainage need to be brought into the site and off-site facilities will need to be enhanced to provide the necessary capacities. The site will also be difficult to develop because of its topography, which will require significant earth moving to create development platforms for the new buildings. The total cost of creating a fully landscaped, high quality environment is currently being finalised but is expected to be in excess of £4 million. This is in addition to the cost of buying the land. Haverhill does not have a well-established market for B1 (office) and R & D buildings and the development of the Hanchett End site as a research/business park requires a “leap of faith” to persuade investors and end-users that the town has something new to offer. The use of the site for B8 (storage and distribution) uses, in accordance with the current allocation, would be viable despite the constraints of the site because there is an established and respected market in Haverhill for this type of use. However, such a proposal could never provide the type of aspirational development envisaged by the council and the local community.

To put it simply, there is no proven, viable market for an office or research park in Haverhill at the present time and the current allocation allows for B8 warehousing.
 
 
 
 

Aspiration versus allocation

The current wording of the draft Concept Statement removes the option of B8 uses (storage and distribution) that are known to be economically viable, in favour of purely B1 uses (offices, research & development, and light industrial), which are not viable as the only use on the site. Carisbrooke would only be prepared to surrender the B8 use, if the Concept Statement was clear and unambiguous about the likely extent and type of “higher value uses” shown on its plan. It is totally unrealistic to expect Carisbrooke to give up a viable use of the site when the Concept Statement is not clear about the “higher value uses” that would be acceptable and their extent.
 
The need for additional uses or public funding to assist in ensuring the deliverability of an office/research park on the site was previously highlighted within a report produced by PACEC, an independent economic and regeneration consultancy, in 2006. This report, undertaken at the height of the market, was commissioned by the Suffolk Development Agency (Choose Suffolk) and supported by St Edmundsbury Borough Council to assess the viability of developing an “enterprise technology park” on the site. The PACEC report concluded that a technology park project would only require 8.3 hectares (20 acres) of the 12 hectares (30 acres) site, leaving 3.6 hectares (9 acres) potentially surplus.The report also acknowledged the very high infrastructure costs that would be incurred in developing the site, and then explored the opportunity of releasing at least 2 hectares (5 acres) of thesite for other uses in order to “pump-prime” (i.e. cross subsidise) the scheme. The viability model that was used assumed 2 hectares (5 acres) of residential development at £1m per acre. On the basis of the analysis, this was considered to be the only viable option. However the report dramatically underestimated the infrastructure costs and the values attributed to residential are not currently obtainable in today’s market.
 

To a certain extent, the plan included within the draft Concept Statement (see below) acknowledges the need for “higher valueuses” to be included, in order to make a purely B1 employment development viable. However, Carisbrooke considers that the Concept Statement must be more explicit and identify the extent and type of higher value uses that would be acceptable.There are several reasons for making this request:
  • It recognises that the development of the site largely for B1 employment purposes will only be economically viable if highervalue uses are included;
     
  • It provides more clarity and certainty for Carisbrooke to invest considerable sums in the development of the site in accordancewith the council’s aspirations;
  • It would be based on independently produced viability appraisals that have demonstrated the need for either public subsidy,or cross-subsidy through other types of income-producing development; and
     
  • It would enable early decisions to be made about the layout and design of the site.
Carisbrooke’s view is that, subject to a detailed assessment of current market conditions and development viability, one-third of the gross site area should be made available for higher value uses and that the Concept Statement should clarify the extentand type of uses that would be acceptable.

 
To enable the vision to become a reality, it is vital that the Concept Statement recognises the economic realities inherent in the development of the majority of this site for B1 employment purposes. If a high quality research park is to be developed, the Concept Statement must instill both the confidence and certainty to enable Carisbrooke to invest in the production of the detailed masterplan for the site, otherwise it will simply not happen.
 
 
 
 

Carisbrooke’s covenant to the community – mutual commitment

Subject to receiving the inclusion of one third higher values uses within the draft Concept Statement, Carisbrooke would commit by way of legal agreement to losing the right and ability to develop any storage, distribution or other warehouse type development. Carisbrooke would then commit via further legal agreement to the remaining two thirds of the development being delivered only in the form of office, R & D, light industrial and supporting uses.
 
Furthermore, the entire infrastructure and environment would be delivered at the same time as any agreements reached over the occupancy of the higher value uses, ensuring that the Research Park is finalised at the earliest opportunity for all prospective occupiers and the community to see.
 

The next steps – moving forward

The next steps for the project will be determined by the adoption of the final Concept Statement for the site following the closure of the council’s consultation period and their review of the responses received. The comments submitted during this period will be duly considered by officers prior to finalising the Concept Statement for agreement by members of its Sustainable Development Panel.

In the meantime, and hopeful that a realistic Concept Statement can be agreed, Carisbrooke is affirming its commitment to the site through the appointment of specialist science park agents to undertake further detailed work.

Following the completion of the Concept Statement process and subject to the outcome, Carisbrooke would then undertake further master planning work prior to preparing a full planning application.


How to make your comments known to the council

Should you be interested in contributing to the way in which this important site is finally developed in the future, you can lodge your comments on the Draft Concept Statement with the council by:

• Completing a response form available from the council’s own website under the masterplans and policies page.
This form can either be completed and submitted electronically or via the post.
• By emailing – LDF@stedsbc.gov.uk
• By telephoning the council’s Planning Policy team on 01284 757352

Further information
Should you have any further questions about the council’s own consultation on the draft Concept Statement for the Hanchett End site or Carisbrooke’s proposals, please do not hesitate to contact Matthew Turpin or Tobin Byers on 0800 298 7040, or Nic Rumsey on 07880 743 477.