Asset and fund manager Catalyst Capital has acquired a site for a 100MW battery storage facility in Yorkshire, England, from Referent for an undisclosed price.
Catalyst Energy Storage Platform (CESP), which is headed by John Parsons, now owns the leasehold interest in the brownfield site at the former Skelton Grange power station, south east of Leeds next to the M1 motorway.
The site is part of a regional hub for renewable energy and is adjacent to a waste-to-energy facility, which is currently under construction.
Planning permission was granted last year for the 100MW battery storage facility.
The construction tendering process is being managed by CESP‘s engineering adviser, Fitchner, with the intention that the site will be operational in the fourth quarter of 2022.
The site is one of a series that will be acquired by Catalyst as part of a £300m, diversified UK battery storage facility strategy.
Skelton follows a joint venture acquisition last year with Dowling in Nursling, Southampton.
The 50MW facility is expected to be fully operational in February 2022.
Catalyst is now in talks with investors to jointly fund the expansion of the battery storage platform.
Catalyst was advised by Freeths and Fitchner on the Yorkshire transaction.
Catalyst Capital partner Kean Hird said: “John and his team have been researching this sector for some time and we believe there is a compelling opportunity to deliver a portfolio of UK battery storage facilities.
“This portfolio will give our investors the opportunity to invest into a scalable market with high ESG credentials in the renewables sector.
“Although the sector is still in evolution, it is quickly gaining institutional status, while delivering very healthy cash-on-cash returns in the interim.”