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Developer sues over Sheffield scheme

Sheffield-based developer City Estates is suing the contractor on its West One mixed-use scheme for a multi-million pound refund.


West One


The property developer, through its subsidiary Devonshire Green Holdings, has lodged a claim at the Technology and Construction Court in London against Hampshire-based contractor MJ Gleeson for a refund of fees paid for work done on its flagship scheme in Sheffield.


The scheme in the city’s Devonshire Quarter includes 465 apartments alongside retail and leisure outlets.


City Estates says that it paid Gleeson £45.3m for the work on West One but that it should be refunded £7.8m on the basis of the final account valuation together with damages of £1.4m for work that was allegedly uncompleted.


The claim is the latest in a series of disputes between the two companies over the costs of the scheme.


MJ Gleeson was unavailable for comment.


DLA Piper is acting for City Estates; Pinsent Masons is acting for MJ Gleeson.

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