Contracts have been exchanged between Cathedral Group, part of Development Securities, Brighton and Hove Council and the University of Brighton to bring forward the development of Preston Barracks, a mixed-use regeneration scheme in Brighton and one of the projects acquired in May 2014 within the Cathedral portfolio.

Under the terms of the joint venture, Cathedral and the University of Brighton have exchanged conditional contracts for the purchase of the long leasehold interest in a 2.2 hectare site from the City Council.

Matthew Weiner, Development Securities, said: "The regeneration at Preston Barracks offers the potential to bring forward a significant, £150 million mixed-use redevelopment, that set within a wider mixed-use regeneration project will transform this part of Brighton, creating a gateway to the north of the city."

The proposed mixed-use redevelopment will see expansion of the university's Moulescombe campus and includes student accommodation of up to 1,316 beds, new academic buildings, 350 private residential units and 25,000 sq ft of retail space.

The development will also incorporate the Central Research Laboratory, a 55,000 sq ft commercial building for start-ups and
SMEs in the high-tech manufacturing space for which £7.7m of funding has been secured from the Coast to Capital Local Enterprise Partnership.