The edge-of-town development is said to have attracted a lot of interest since planning permission was secured in 2022
Work has finished on the regeneration of a key former factory site in Sunderland.
The final two retail units have opened to the public at the former Dewhirst site in Pennywell, which has been transformed by North East developer and landlord UK Land Estates. The two drive-thru units for Greggs and Starbucks at Pennywell Industrial Estate are now open to the public.
Standing adjacent to the already completed Wickes, Aldi and KFC, the two units mark the completion of the final phase of the edge-of-city retail scheme. It comes more than two decades after the closure of the clothing manufacturer’s site, which was a household name through the 20th century and had roots in the city dating back to the 19th century.
Dewhirst employed hundreds of people at its peak, before its Leechmere site closed in 2002 and its Pennywell factory ceased production a year later. The site then stood largely vacant until 2022 when UK Land Estates was granted planning permission to develop a new retail park on the edge of the city.
Tim Witty, development director at UK Land Estates, said: “We’ve seen a real surge in demand for well-connected, out-of-town retail parks over recent years and the redevelopment of the former Dewhirst site is a prime example of this. As soon as we were granted planning permission in 2022, we were inundated with queries from parties looking to capitalise on the site’s prime location, so it is fantastic to finally see it complete and bearing fruit.
“In Wickes, KFC, Aldi, Starbucks and Greggs we have been able to attract five national and global brands to the site, creating dozens of jobs for local people while providing a major lift to the city’s economy. It has been a fantastic project to be involved in and I’m sure as we look ahead to 2026, there will be yet more sites to follow as we seek to capitalise on the seemingly increasing popularity of the North East as a great place to invest and do business.”
The Pennywell Dewhirst factory once made menswear jackets, trousers, waistcoats and top coats for M&S. At the time of its closure, Dewhirst relied on M&S for around 90% of its sales and bosses said it was not ‘sufficiently profitable’ to keep the Pennywell factories open.
UK Land Estates was granted planning permission in 2022 to develop the seven-acre site, with investment there thought to have exceeded £10m. UK Land Estates is one of the largest owners of commercial property in the North East of England and has three main estates including Team Valley, Teesside Industrial Estate and Tyne Tunnel Industrial Estate, alongside a portfolio of other assets.




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