Member Article

SIEMENS £200M INVESTMENT IN GOOLE WILL “UNLOCK THE POTENTIAL OF CAPITOL PARK”

The go-ahead for Siemens to build trains for the London Underground at their new facility in Goole will unlock the potential of Capitol Park Goole, according to leading Yorkshire developers Sterling Capitol.

Mike Heydecke, director of Leeds-based Sterling Capitol, welcomed the Siemens announcement, saying it was “tremendous news for Capitol Park and tremendous news for Goole”.

Mr Heydecke said: “Capitol Park Goole, adjacent to the M62 at Junction 36 and next to the Siemens site, is perfectly positioned to take advantage of this investment. The park has been opened up by the new link road from the motorway to the port and has massive economic potential. This potential can now be unlocked by this exciting decision.”

Siemens has signed a long term agreement for the lease of a 67-acre site at Goole 36, with plans to build a new £200m state-of-the-art factory to manufacture and commission trains.

A £1.5bn contract for Siemens to build new London Underground has just got the green light, following a failed legal challenge by competitors Bombardier and Hitachi in the High Court.

The new £200m Goole factory in Goole, which will create 700 jobs, will now go-ahead and manufacture 94 trains for the Piccadilly line. The new trains are part of London Underground’s “Deep Tube” upgrade programme to modernise the Piccadilly, Bakerloo, Central and Waterloo and City lines.

The new trains will replace the 1970s-built Piccadilly line fleet which Transport for London said was “increasingly unreliable and expensive to maintain”. They will be ready by 2024.

Stephen Silvester, Inward Investment and Infrastructure Manager for the East Riding of Yorkshire Council, commented: “This development, which could mean an investment of up to £200m, is a major step forward for Siemens in the UK. Siemens aims to start phased development later next year, if investment conditions are met, and subject to the company’s success in major future rail orders.

“The recent announcement from Siemens Mobility is a major step towards building a new factory to manufacture and commission trains in Goole that will have a transformational effect on the local economy.

“East Riding of Yorkshire Council is working with Siemens and other partners to deliver the project on schedule and to ensure as much added value and supply chain activity is captured locally. The surrounding employment land, of which Capitol Park, Goole with Enterprise Zone status, is a key component to realising this vision,” he added.

Iain McPhail, partner and industrial property specialist with global property consultancy Knight Frank, commented: “The announcement that Siemens will invest £200m in a new rail factory on the adjacent land with the creation of 700 engineering and manufacturing jobs is fantastic news for the local and regional economy.

“Immediately adjacent to the Siemens factory site is Capitol Park Goole which offers a 29-acre development site, within the Enterprise Zone, situated adjacent to J36 M62 with outline planning consent for up to 550,000 sq. ft. B1/2 & B8 uses.”

Rob Whatmuff of Colliers International, who are marketing Capitol Park Goole with Knight Frank, added: “Since the Siemens announcement, we have been approached by several supply chain companies who have requested further information about the site and the Enhanced Capital Allowances benefits against investment in new plant and machinery that the site could offer companies locating to it. This is a great time for Goole and perfect timing to bring Capitol Park Goole forward.”

The news of the Siemens investment follows the announcement of the development of the pioneering 29-acre Goole Intermodal Terminal next to Capitol Park.

Mike Heydecke said: “The Goole Intermodal Terminal will draw together the town’s existing rail, sea, motorway and inland waterway links into one site providing an integrated transport facility for business. This facility will offer companies the opportunity of seamless movement of goods; from ship to road, ship to rail or ship to barge and vice versa; shortening the timescale and therefore lessening the cost of moving goods.

He added: “This is tremendous news for Capitol Park and for the port of Goole. We have recently been granted planning permission to develop the park, which is likely to create 3,000 new and sustainable jobs in Goole and the East Riding.”

This was posted in Bdaily's Members' News section by Robert Beaumont .