A Khalbros and Torsion Group JV has acquired the Eastgate Quarter site in Leeds and now plans a £1bn residential-led development.

The JV has paid Hammerson £26m for its assets on Templar Street and will now push a head with a mixed-use scheme to replace the original plans for a retail development.

Plans by the contractor and private equity investor will create a mixed-use community, combining PBSA and BTR living with workspaces, hospitality, leisure, and lifestyle amenities.

Dan Spencer, Founder & CEO of Torsion Group, said: “This is a landmark moment not just for our company but for Leeds. The opportunity to help create a new neighbourhood in such a pivotal part of the city centre is incredibly exciting.

“Eastgate Quarter will stand as a symbol of collaboration and progress. We are proud to play a part in shaping a destination that will support Leeds’ growth and leave a lasting legacy for future generations.”

David Khalastchi Joint Managing Director of Khalbros, added: “Eastgate Quarter is a once-in-a-generation opportunity to reshape one of the most strategically located city centre sites in the UK.

“Together with our investors and joint venture partners, we are committed to delivering a bold and transformational scheme with sustainability, placemaking and design excellence at its core.

“What has been vital to us and Torsion throughout this process, being Leeds based companies, is that the scheme is being brought to life by predominantly Leeds based outfits. This is about more than development. It is about creating the Leeds of the future, by the people of Leeds.”