Newlands Park sold as Sweet says deal moves Hatters ‘closer to realising our dream’ of Power Court stadium

Luton Town Football Club have struck a deal to sell Newlands Park in a move that will secure funding for their new stadium at Power Court.

The Hatters’ subsidary company, 2020 Developments, completed the deal for the development of the 37-acre site at Junction 10 of the M1, with an investment fund advised by Morgan Stanley Real Estate Investing (MSREI) and the UK developer Wrenbridge, who have a track record in delivering high-quality, sustainable schemes.

Newlands Park was granted outline planning permission by Luton Council in September 2019 for a mixed-use scheme. The proposals have since been reviewed by 2020 Developments to ensure they meet the current market conditions in response to the Covid-19 pandemic, but are still expected to deliver up to 3,967 jobs and add over £240million to Luton’s economy.

Two revised outline planning applications, covering the north and south plots of the site (which will be primarily a business, employment and commercial development, but will also contain a department store and large food store plus other retail and leisure floorspace) have been submitted to Luton Council by 2020 Developments and are due to be considered in January 2022.

MSREI and Wrenbridge, with 2020 Developments in support, are conducting a review of current market conditions and are focused on ensuring that the Newlands Park scheme meets the demands of modern occupiers and is deliverable.

The parties are supporting the site’s existing planning applications that have a positive officer’s recommendation for the committee meeting on January 5, 2022.

Gary Sweet, Chief Executive of Luton Town Football Club and 2020 Developments, said: “We are delighted to be working with MSREI and Wrenbridge on this important milestone deal for us. Whilst we still have a lot of work to do, selling this land now means that the planned delivery of our new stadium at Power Court continues, moving us closer to realising our dream of delivering a new home for our football club, which we targeted ourselves with when we took custodianship of the club back in 2008.”

Michael Moran, Chief Operating Officer of 2020 Developments, said: “Beginning with the original purchase of this site in 2015 we have followed a clear investment strategy to deliver a new stadium and meaningful regeneration on a sustainable basis. There has been enormous interest in this valuable site and we are delighted to structure a deal here that is in the best interests of the club and its supporters.”

As well as facilitating leverage towards the progress of Luton Town’s new stadium, the delivery of Newlands Park will have significant benefits for Luton and its community including the realisation of a long-held ambition to create a high-quality development on the site that provides jobs and economic benefit to Luton.

Ben Coles, CEO of Wrenbridge said: “We are thrilled to announce our purchase of the Newlands Park site to deliver a high-quality and sustainable scheme that will benefit the community in Luton in so many ways. The development will be a catalyst for further investment in Luton and will provide hundreds of new jobs for local people.”

Shamik Narotam, a Managing Director at MSREI, one of the most active property investors in the world, said: “We look forward to working with Wrenbridge and 2020 Developments on developing Newlands Park. The project is consistent with our strategy of identifying and developing high-quality and sustainable employment led schemes across the South East.”