Cookie Use Notification

This site uses cookies to provide you with a more responsive and personalised service.

By using this site you agree to our use of cookies as set out in our cookie notice. Please read our cookie notice for more information on the cookies we use and how to delete or block the use of cookies.

Procurement of Strategic Development Partner for Proposed Strategic Rail Freight Interchange

Severn Trent PLC
Click to Enlarge

The Challenge

Cushman & Wakefield was instructed to identify and procure a development partner to bring forward a 650 acre site in Etwall, Derbyshire as Strategic Rail Freight Interchange comprising 4.5m sq ft of distribution / manufacturing space and a rail linked inland container port. The key objectives were to:

  • Achieve best value by successfully bringing forward the development.
  • Minimise cost risk by transferring all risk to the development partner.
  • Minimise reputational risk to the client.

The Solution

  • Appraisal of the site to identify the development potential.
  • Options appraisal of delivery mechanisms – including unconditional sale, conditional sale, planning promotion agreement, development agreement and joint venture.
  • The properties were transferred into a SPV
  • A two stage procurement process involving a detailed proposal - including financial forecasting and a Business Plan - and a weighted evaluation process to identify a Partner with the requisite skills, experience and financial capability to complete the development and which aligned with the client’s cultural and reputational values.

The Results

  • The client entered into a Development Agreement under which the Developer bears all of the risks associated with securing planning permission, infrastructure cost and market demand, with a phased drawdown delivering market value and an overage payment for over-performance.
  • Reputation risk was mitigated by the imposition of strict environmental and sustainability thresholds.
  • The process provided a full audit trail.


Phil Haddleton

Philip Prince


Phone +44 203 296 3441

Contact me

Browse Case Studies