Heworth Gas Works, York

Moorfields were appointed as Administrators over a major development site in Heworth, York, formerly a gas works. The site benefited from planning permission for 600 residential flats but required extensive environmental and structural remediation before it could be brought to market.

The company had bank debt of £30 million, and the project’s viability was constrained by significant contamination issues and the associated remediation costs.

Objectives

• Preserve site value through controlled remediation and risk management.
• Engage environmental and development specialists to prepare the land for sale.
• Maximise recoveries for the secured lender through an enhanced disposal strategy.
• Ensure all statutory and environmental obligations were fulfilled during the administration process.

Moorfields’ Actions

• Took control of the site and commissioned detailed environmental assessments to determine the extent of contamination.
• Implemented an extensive remediation programme to address ground and infrastructure issues.
• Worked closely with local authorities, planning consultants, and environmental engineers to ensure compliance with all development and safety standards.
• Marketed the site post-remediation to attract interest from national developers and institutional investors.

Results

• The site was successfully remediated and prepared for development, significantly enhancing its marketability.
• Value was maximised through careful management of remediation works and strategic marketing.
• The secured lender achieved optimal recovery on its £30 million debt exposure.
• The project laid the groundwork for the future delivery of 600 new residential units, supporting regional regeneration objectives.