Retail scheme boosted by £2.4 million backing

A developer has secured £2.4 million backing to drive forward a retail scheme.

Modo Bloc has been supported by investment company Develop North to deliver a South Shields-based commercial hub.

Bosses say the £3.5 million venture will include a drive-through Starbucks coffee shop, Greggs and Indigo Sun Retail units, and electric vehicle charging points.

They add the site will create up to 40 jobs once fully operational, with contractor Castle House Projects overseeing construction.

Work is expected to take around nine months.

George Jenkins, Modo Bloc managing director, said: “We’re pleased to bring a neglected site back into productive use and support the regeneration of South Tyneside.

“This scheme shows what can be achieved with a strong local development team and the right funding partner.

“We’re delighted to be working with Develop North and Castle House Projects to bring it forward.”

The scheme, based on land off Claypath Lane and the A194, is the latest in a series of developments to receive backing from Develop North, which is managed by Newcastle-based fund manager Tier One Capital.

Since its foundation in 2017, the fund has deployed almost £100 million to support more than 40 projects, which officials say has helped create in excess of 3200 jobs. 

Brendan O’Grady, fund manager at Tier One Capital, the investment adviser to Develop North, added: “This is another example of how Develop North funding is helping unlock well-planned developments that deliver real community and commercial value. 

“It’s exactly the kind of project we aim to support, one that regenerates brownfield land, creates jobs and delivers long-term economic benefit.”

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