The Treasury Department confirmed today that it will guarantee loans of up to $ 292 million for the University of Northamptons’ Waterside Project, which will move the university to a brand new purpose-built facility in the city center.
The new location is in the Northampton Waterside Enterprise Zone, which is designed to encourage local growth and create new jobs. The renovation of the site is already in progress, and construction is scheduled to start next year. The university expects its 14,500 students to use the new campus in autumn 2018.
The total funding required to implement the project is 330 million, with up to 232 million being raised through the issuance of a public bond and 60 million from the Public Building Finance Authority (PWLB). The remainder of the funding will come from the university’s cash reserves and capital income from the sale of existing campuses.
This is the latest project to be supported by the UK Guarantee Program, which allows the UK Government to act as loan guarantor for large infrastructure projects. As a result of the regulation, over 3 billion infrastructure projects have now been brought forward.
Chancellor of the Exchequer, Rt Hon. George Osborne’s MP said:
I am delighted to see that the University of Northampton is driving the Waterside Campus Project forward with the help of the UK Guarantee Scheme and the Public Works Loan Board. Infrastructure projects that help regenerate cities require enormous financial resources and the UK is leading the way in finding innovative solutions to drive these projects forward. This is an important part of our long-term business plan for Northampton.
The university is a vibrant part of the city, contributing $ 239 million to the local economy, and I look forward to the new campus fueling the further development of the Northampton Waterside Enterprise Zone.
Nick Petford, vice chancellor of the university, said:
The government’s decision to guarantee our bond is a huge step forward in our campus development. During the development of this project we worked closely with our various partners including the County and Borough Council, Northampton Enterprise Partnership (NEP), South East Midlands Enterprise Partnership (SEMLEP), HEFCE and HM Treasury and their great see these Cooperation is now bearing fruit. Our new Waterside Campus will help continue the transformation of our institution into a leading global institution