Middlesbrough Crown Square: update from developers

The £200 million Crown Square project, in Middlesbrough’s Gresham area, has been described as the town’s most significant regeneration scheme in decades and includes more than 230 build-to-rent homes, student accommodation for over 400 people and one of the UK’s first Fairfield by Marriott hotels.

Leigh Cresswell, director at iMpeC, said: “If ever there’s been a project that is needed for the benefit of a town and its people, this is it.

“That’s why it’s important the public understands the real picture.”

Backed by iMpeC and Buccleuch Property in partnership with the Middlesbrough Development Corporation (MDC) and Tees Valley Combined Authority (TVCA), the scheme is designed to act as a catalyst for broader renewal.

The aim is to unlock up to 1,500 new homes, support 4,000 jobs and attract the talent needed for long-term growth.

Crown Square is intended to deliver a new generation of accommodation tailored to graduates and young professionals.

While progress was paused before Christmas due to what partners described as “national economic headwinds,” all parties remain committed.

iMpeC director Neil McMillan said: “We’re not unique.

“Construction costs have risen sharply after years of high inflation, interest rates increased, and that combination has made projects like this harder – but not impossible – to deliver.”

Designs have already been refined to reduce risk, and a contractor is in place.

“This is a site that is ready to be built,” Mr McMillan said.

Early work has included diverting services, erecting hoardings and the site fully prepared for construction.

Mr McMillan said: “In many ways, this is what Manchester started doing 25 years ago.”

“In the 1990s there were less than 1000 residents in the City centre, today there are close to 100,000.That transformation didn’t happen overnight.”

“It started with catalyst projects like this.”

The viability of Crown Square relies on public sector funding to bridge the investment gap that makes transformational schemes possible.

Partners are working closely with agencies including Homes England to assemble a viable funding solution.

Mr McMillan said: “We are focused on delivering a transformational project with significant economic outcomes.

“This takes time, patience and collaboration.

“We set out a bold vision following extensive consultation with local people and businesses, and while we may have to make adaptations to the project, we’re laser-focused on realising that vision.

“What matters is delivering something for Middlesbrough that will make a significant impact on the town’s prosperity.”

Despite delays, the mood among partners remains determined.

Leigh Cresswell, director at iMpeC, said: “There has been a funding setback but we’ve unlocked complex projects before.

“Sometimes factors beyond your control affect timescales – but there is always a way through.”

The team has also thanked the community for its support.

Mr McMillan said: “We feel a real obligation to deliver this for the town.

“People have engaged with us from the start and backed the vision.

“That support matters.”

The developers believe Crown Square is essential to Middlesbrough’s future competitiveness.

Mr McMillan said: “Towns and cities that will succeed in the years to come are those that attract and retain people in their 20s and 30s.

“If we create the right spaces and environments, economic growth will follow.

“That’s exactly what Crown Square is about.”

MDC has confirmed its continued commitment to the project.

It is working closely with partners, including Homes England, to unlock the right combination of public and private investment to bridge the viability gap and ensure the scheme’s ambition is realised without compromising quality or outcomes.

Work is now expected to focus on finalising a workable funding package. That may involve adapting elements of the design to align with funding criteria – but the developers are clear that quality, ambition and outcomes will not be compromised.