Network Rail will invest £5m on a new maintenance centre and lane owner 3R Land & Property plans an additional mixed-use development alongside it on the derelict Askew Road site.
Network Rail’s new north east maintenance centre will comprise a two-storey office building, storage facilities and car and cycle parking spaces. The new office space, totalling 2070 sq m, will bring together up to 300 staff from existing offices and sub-depots across the region.
As part of the same deal, Network Rail has sold King’s House at Forth Banks in Newcastle to Northumbria Police Authority, which will fund the construction of the new maintenance centre.
Work on site will start towards the end of this year and take a year to complete.
Network Rail route infrastructure maintenance director Paul Rutter said: “The centre will manage maintenance of the railway throughout Northumberland and Durham plus the Tyneside, Wearside and Teesside areas. This scheme will help regenerate a neglected area of Gateshead and create jobs for the local economy as well as delivering a fantastic new mixed-use development for the local area.”
The remainder of the site, which is owned by 3R Land & Property, has outline planning consent for a 138-bed hotel, 10,000 sq ft of offices, an 8,000 sq ft restaurant and 150 additional car park spaces. JK Property Consultants are handling the search for a developer.