A York developer has completed a deal to sell a 50 per cent stake in its Lichfield city centre scheme to Development Securities PLC.

S Harrison Developments Ltd has signed a joint venture agreement which should speed the delivery of Lichfield’s £100 million Friarsgate city centre development and work on the mixed-use scheme, which will include new shops and leisure.

Work on site is expected to start next year.

This is the second major joint venture announced by S Harrison in the past 18 months. The company has already teamed up with Buccleuch Group in a 50-50 joint venture to deliver the new £32 million City of York Council headquarters at West Offices in York.

S Harrison will work separately in Lichfield on a £14 million scheme to provide car-parking and affordable housing at Friary Outer.

Negotiations between S Harrison and Development Securities began last year, with the backing of Lichfield District Council. S Harrison has built a strong Yorkshire team to bring the development forward. This includes Leeds lawyers Cobbetts, architects Chetwoods, property agents Fawley Watson Booth and Christie and Co, with agents Nicholas Robinson and partners and archaeologists On-Site, based in York.

The 395,000 sq ft scheme will incorporate retail, hotel, cinema, office and residential uses together with car parking and is due for practical completion in 2014.

David Clancy, director of S Harrison, said: “The timing of the joint-venture agreement couldn’t be better.

“Market conditions are right and there is growing interest in prime schemes from investors. In addition, retailers with currently limited opportunities are keen to be represented in prime shopping centres such as Friarsgate.”