Out-Law / Your Daily Need-To-Know

Tesco announces plans to build up to 4,000 homes by 2017

Out-Law News | 21 Jul 2014 | 3:47 pm |

Tesco, the UK's largest retailer, intends to build up to 4,000 homes by 2017 on land initially intended for supermarket development, according to a report in Property Week.

According to the report, most building will be concentrated in the southeast and may include a proposed 700 home development in Welwyn Garden City and 80 houses and flats in St Albans. Other potential development sites are located in the northwest and west of England.

While some sites are likely to be developed by Tesco's regeneration subsidiary Spenhill, the sale of sites to outside developers was also under consideration, the report said.

"We are currently working on plans for over 4,000 homes across the UK, either by building them ourselves or selling our sites to housing developers," said a Tesco spokesperson in a statement. "In places where we have already delivered housing schemes, for example in Faversham or Highams Park, the feedback from local communities has been very positive."

Tesco was among the retailers who admitted last year that large out-of-town superstores had suffered due to the increased use by consumers of smaller convenience stores and online shopping.

"As we have previously announced, in response to changing customer shopping habits we have decided to reduce the amount of new store space we build each year, building fewer large stores," said the spokesperson. "Where we no longer intend to develop sites, we sell them, lease them or develop them for housing."