Merchant Park business park reaches major milestone

The ‘topping out’ of phase one at Merchant Park in Newton Aycliffe marks the latest step in a 17-acre commercial scheme on Millennium Way, set to deliver 52,500 sq ft of new workspace and create 198 jobs.

Phase one is scheduled for completion in September 2025, with phases two and three underway, aiming to deliver an additional 215,500 sq ft and bring total job creation to more than 1,000.

Adrian Goodall of Merchant Park Developments said: “I’ve been impressed by the progress on site by our contractors Hall Construction.

“After months of planning and preparation work it’s fantastic to hit this milestone which brings us closer to supporting North East businesses looking to scale up and locate to new premises.”

The topping out ceremony was attended by representatives from Merchant Park, FW Capital, and Hall Construction.

FW Capital has supported the first phase with a senior debt package from the North East Commercial Property Investment Fund (CPIF), which is managed by FW Capital and backed by the North East Combined Authority.

The North East Combined Authority has also provided funding to address the immediate financial viability gap for phase one, which includes infrastructure for the later phases.

Chris Dixon, senior investment executive at FW Capital, said: “It’s great to be involved with the ‘topping out’ ceremony and see first-hand how investment from the CPIF is helping meet the demand for commercial property space in the North East.

“We share Merchant Park’s vision to create quality commercial warehouse and office space, regenerating a previous barren land.”

The Merchant Park team includes Hall Construction Services, Helm Consulting, letting agents Connect Property North East and CBRE.

The North East Commercial Property Investment Fund is a £35 million programme offering loans of up to £7 million for both speculative and non-speculative commercial developments.

It covers new-build or refurbished projects across the North East, including industrial units, distribution centres and office schemes.

The fund aims to create 5,600 jobs and deliver 140,000 square metres of commercial space over 15 years, with loan repayments reinvested to generate a total of £119 million in commercial development across the region.