Operations at the International Advanced Manufacturing Park (IAMP) are poised to expand, as a land developer has submitted plans to build a second manufacturing base at the $520 million park. The submitted application was for the construction of a 131,891 sq. ft. building, making it the second manufacturing building at the base. If the application is successful, the construction of a building at the North East region of the IAMP will comprise of a factory floor and a 10,898 square feet of office space at plot 4.
Developers will complete the project in two phases through a partnership between South Tyneside Council, Sunderland City Council and developer Henry Boot. SNOP, a French car parts company and IAMP’s first tenant, is due to move in during summer 2019. The company is constructing a $20 million manufacturing facility at IAMP and will invest an additional $22 million for machinery, creating over one hundred new jobs.
Howard Russell Construction, the company that’s building SNOP’s plant at IAMP, submitted the application for the second manufacturing facility. The tenant for the second facility is unconfirmed, but once the two projects are complete, the park could create more than 7,000 jobs in that region. Councillor Ian Malcolm, South Tyneside Council leader, said, “ We have always been very confident in IAMP’s ability to attract significant investment because it really is a special site. IAMP has the potential to totally transform the region’s economy, creating many thousands of jobs for generations to come. Despite being a 15-year program, momentum is building already, and we are confident that – despite the uncertainty created by Brexit – we can continue to attract investment in this region, in partnership with our colleagues at Sunderland and Henry Boot Developments.”
Anthony Clitheroe, Henry Boot Developments regional manager, said, “IAMP is one of the most significant schemes coming out of the ground anywhere in the UK in respect of its scale and its potential impact on the economy. There will be no better location for automotive and advanced manufacturing companies, which is reflected in the interest in IAMP and the conversations taking place with potential occupiers. We look forward to making further announcements as the scheme continues to progress apace.”
The first phase will create 1.6m sq. ft. of business space for advanced industrial and manufacturing sectors while the second phase will deliver a further 2.6m sq. ft. To support the development, the government pledged $55 million for new roads, bridges and environmental enhancements from the Local Growth Deal through the North East Local Enterprise Partnership (LEP).
To find out the implications of Brexit in the manufacturing sector in the UK, read, What Does Brexit Mean for UK Manufacturing?