In 2011, Savills experts formed a project team along with members from KMPG, Moses Cameron Williams, and Turner & Townsend, to review the university's strategy.
Options that were considered included status quo, consolidating two campuses into its existing main campus or delivering a new single campus. The strategy stage was carried out over two years, during which period three reports were submitted.
The first report in November 2011 concluded that the existing locations were not the most suitable or efficient sites for the university to continue its activities going forward. Looking at the various alternative locations potentially available, the conclusion was that a new town centre site, hereafter referred to as Waterside, offered numerous benefits.
The second report in May 2012 examined four key issues involving the Waterside site – acquisition, design, buildability and financing/affordability, concluding that for each issue the challenges presented could be satisfactorily addressed.
The final report in May 2013 examined in considerable detail the technical, commercial, design, financial and academic issues related to the potential move to Waterside.
Savills worked closely with the project team throughout the process, taking a development management role, including making secondments to support the direct client team. Savills has advised through the strategy stage on masterplanning options, future proofing the new campus and driving efficiencies through other areas of the university’s estate in the short, medium and longer term, identifying ways to improve the commerciality of its various satellite assets.
We have provided valuation advice on the new campus and the existing campuses, as well as strategic advice on the sale of existing assets (for residential development) to contribute to the funding of Waterside. We have provided funding advice to inform funding decisions, which have been led by KPMG, as well as securing agreements to purchase the preferred site and working with public sector partners on the delivery of key infrastructure required to bring the scheme forward.
The feasibility stage concluded that the relocation option would see significant upfront investment, with very little additional investment required in the following 30 years. The project team concluded that remaining in status quo in unsuitable facilities represented inferior value for money compared with a move to a new, purpose-built university on a single site. In order to drive efficiencies it was identified that the new campus could deliver a 50 per cent reduction in accommodation, but use the accommodation more effectively and intensively. The decision to relocate to a new £330 million campus was unanimously approved by the governors.
Since May 2013 the university has embarked upon the implementation stage of the Waterside Campus. A major milestone was achieved on 17 December 2013 when Savills secured the outline planning permission for the whole scheme. The land was purchased in November 2014, in parallel to securing funding, and construction commenced in summer 2015.
Savills continued to perform a development management role throughout the implementation process, as well as securing the required reserved matters planning permissions. A relocation of this scale was extremely complex, with a defined timescale to achieve results. It required proactive management of logistical issues, factoring time to negotiate with third parties and eliminate key constraints. Savills secured all agreements to unlock the site for delivery, which required determined collaboration with a variety of stakeholders. We provided commercial inputs to the master planning, ensuring flexibility and fluidity, whilst preserving the integrity of the site. We challenged other members of the project team as required to enable proactive management of issues and ensured that in-house services had the skill sets to operate the new campus.
It was also vital to ensure the existing Park Campus, which would be sold, could deliver vacant possession when required. Savills addressed all third-party issues and constraints to ensure its release and maximise value. We also secured outline planning permission at Park Campus for the development of 800 residential units to maximise the value of the site.
The new campus, including a 900-bed student village, opened on time in September 2018. The university's Park Campus was sold in October 2018 to Persimmon Homes on an unconditional basis, for a sum significantly in excess of the target value.