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St. Modwen, the UK’s leading regeneration specialist, has signed the Section 106 Agreement with Newport City Council, allowing plans for the redevelopment of the former Corus Llanwern steelworks into a £1 billion urban community to commence.

St. Modwen acquired the 600 acre disused site from Corus in 2004 and has subsequently been granted full planning consent to progress the large scale remediation work and re-development plans to create Glan Llyn – a new residential and business community to the east of Newport.

Over the next 20 years, Glan Llyn will become one of the most significant newly-built communities in Wales. As well as providing around 4,000 new homes and 6,000 new jobs, Glan Llyn will include a new district centre with a variety of retail and leisure facilities as well as schools, a library, police station, supermarket and doctor’s surgery. The scheme will also have significant areas of play, amenity and sports space, as well as parks and lakes.

The signing of the Agreement reaffirms St. Modwen’s commitment to deliver a truly sustainable community with a focus on housing, education, healthcare, leisure and employment. This paves the way towards creating the first residential phase at the site as well as bringing forward the 1.5 million sq ft Celtic Business Park adjacent.

Rob Skelston, Development Director for St. Modwen in South Wales, comments: “Signing the Agreement with Newport City Council signals an important milestone for the development of the site, meaning we can now start physical building work on the first residential phase of housing and also Celtic Business Park.

“Over the past four years, we have been carrying out significant remediation works*, reusing materials from the ground wherever possible to prepare the land for development. We have also been marketing the site to

potential house builders and commercial occupiers and we expect to be able to announce a residential partner very shortly for phase one.

“Newport is already undergoing a multi-million pound regeneration programme and our plans for Glan Llyn will help transform this area into a thriving part of the city with high quality housing and new employment opportunities.”

Ieuan Wyn Jones AM, Deputy First Minister and Minister for the Economy and Transport, said: “Whilst the Corus mills at Llanwern are still a significant employer in the area and remain integral to its Welsh operations, the development of the heavy end of the steelworks which closed in 2001 is an important step in the regeneration of the area. It will see new housing, new businesses and employment opportunities. Importantly it will improve the local infrastructure and provide a lasting legacy for the community.”

Newport City Council’s Head of Service for Planning, Regeneration and Strategic Housing, Andy Evans, adds: “The City Council and St Modwen have reached a significant stage in moving this strategic regeneration project forward. In the short term the City will reap the rewards of a dedicated park and ride facility for the Ryder Cup 2010 whilst in the longer term a major brownfield site will be transformed into a thriving new Community. This is a massive contribution to Newport’s future growth strategy.”

The Glan Llyn community will also include two new primary schools with places for 600 children and a nursery, new footpaths and cycleways will help link Glan Llyn with Hartridge High School to the north and Liswerry High School to the south of the development. St. Modwen will also make a multi-million pound commitment to develop and improve infrastructure, with new access roads planned to and from the site.