Harrison back on waterfront

2:07pm Thursday 15th May 2008

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ANOTHER "significant waterfront development" is being formulated within York's city walls by developer S Harrison Group.

The privately-owned York-based company recently acquired 50 per cent share capital of a partnering organisation, Grays Wharf Ltd, in order to redevelop the site.

It is thought to be located alongside the project in Navigation Road, where S Harrison is in the process of building 272 student homes for York St John University, a project due for completion in the autumn.

A spokesman for the development firm said: "We don't yet know exactly what will be there. We are still working out the shape that the development will take."

The revelation coincides with the announcement today that the S Harrison Group's pre-tax profits in 2007 again topped the £6 million mark.

Turnover was up on the previous year at £41.40 million (2006, £37.65 million) and while that yielded pre-tax profits of £6.39 million it was slightly down on 2006 (£6.94 million).

At the end of the year, shareholders funds stood at £16.35 million (2006, £13.78 million).

But Martyn Harrison, whose late father, Stanley Harrison, founded the business in 1952, said that the 2006 profits were exceptional, with the fruits of a major £50 million town centre retail scheme in Workington, Cumbria, ballooning the result. Against that - and facing troubled times - the 2007 profits were impressive, he said.

The achievement came in a year which saw major changes for S Harrison as it sold its construction operation to Rok plc, moved its developments business from Malton to the vacant Terrys site York and underwent a rebranding programme to reflect its new exclusively developments focus.

Mr Harrison said: "The excellent 2007 results, and the way we have now focused the business, provide an excellent platform for continued success.

"With the economy set to slow down, 2008 will present new challenges, but we are confident of the group's underlying potential in the medium term.

"This confidence is reinforced by a sound and extensive pipeline of schemes in which we are currently involved, across a wide range of market sectors. Significantly, we have a very limited exposure in the residential apartments market."

He said that with funds available to invest in the right schemes, the group would continue to seek new development opportunities and, where appropriate, to establish joint ventures.

Already in 2008, S Harrison has acquired the remainder of the share capital in specialist quality housebuilder, Lindrick Homes Ltd, formerly a joint venture operation.

Its development of light industrial and office accommodation at Escrick Business Park, south of York, is nearing completion, continues to sell well and will deliver returns this year.

In January, S Harrison was appointed by the Stratford-upon-Avon Town Trust as preferred development partner on the important Rother Quarter site between the town's major gateways and the main commercial quarter.

The trust praised Harrison's partnering and consultative approach to development, choosing the York business over local and national rivals.