Edmonton industrial estate's future uncertain as council agrees to draw up 'exit strategy'

Planning permission for redeveloping the remainder of Montagu Industrial Estate was granted four years ago but has not progressed, reports Joe Ives, Local Democracy Reporter

Enfield Council has agreed to create an “exit strategy” for a public-private partnership at an Edmonton industrial estate amid a “significantly changed” financial climate.

A decision to end the partnership between Montagu 406 Regeneration LLP and Henry Boot Developments (HBD) Ltd was formally signed off at the local authority’s cabinet meeting last week (Wednesday 14th).

While part of the estate has already been redeveloped and sold, the remainder of the site will be returned to full council control – with a view to also selling it off prior to its own redevelopment.

The “joint venture of equal proportions” for Montagu Industrial Estate was originally set up in February 2018.

The plan was to regenerate the whole estate and deliver a high-quality and profitable “modern business space” at the site. It was also hoped that the scheme would create new jobs and also tackle antisocial behaviour.

Following the original agreement with HBD, the completed first phase of the redevelopment was put on the market in 2024 and sold in December that year.

However, the council and HBD have now concluded that closing their joint partnership represents “the best future for both parties”.

It follows concerns that “the aged nature of most of the industrial estate” has seen it “fall further out of step” with market demands.

The council says that “the market and economic context has significantly changed” since the joint venture was established eight years ago. As a result, “both parties wish to limit further capital investment into the scheme”.

In a report, the local authority says “the proposed dissolution of the Montagu LLP joint venture presents several strategic and financial benefits for the council”.

These include cost savings as well as freeing up “valuable staff resources” at the local authority.

It is understood that there are currently 37 leasehold properties “on the remainder of the estate”, two of which are vacant.

In a report, the local authority said the estate “is in need of significant investment” to improve its marketability, meet building regulations and address current “economic under performance of the council’s property asset”.

Montagu Industrial Estate is currently managed by real estate consultants Lambert Smith Hampton (LSH). As part of its “exit strategy”, the council says ongoing maintenance of the site will be arranged, either through a new deal with LSH or with a new provider.

A planning application from HBD for “comprehensive redevelopment of Montagu Industrial Estate” had previously been approved by the council in September 2022.

As a result of the agreement to close the the joint venture, the council says the completion of the Section 106 agreement of the proposals “will now be expedited”.

At last week’s meeting, cabinet members agreed to give Terry Osborne, the council’s director of law and governance, delegated authority to complete “exit arrangements” and “regularise ongoing management of the estate”.

Once these have been finalised, the senior officer’s proposals will be brought back to councillors to approve “through the appropriate governance route”.

The council says that “post-dissolution” it will “regain full control” of the remainder of the estate.

Montagu Industrial Estate, it believes, still has “the potential to contribute to local jobs, business growth, supply chains and the wider functioning of London’s economy”.

In its report, the council concluded: “Bringing the estate back under the council’s full control, enabling a testing of the market with the potential for disposal, represents an opportunity to exploit this potential more effectively.”

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