arla dairies

Asset Sale and Demolition for Arla Dairies

Project

Following the closure and mothballing of Arla’s Creamery at Llandyrnog and its cheese packing facility at Malpas, Eddisons was appointed to manage the auction and sale of all surplus assets as part of the wider site disposal programme.

The appointment followed a competitive pre-tendering process, with Eddisons formally engaged on 10 September 2020. Site inspections were conducted in June 2020, and inventory work commenced shortly after our appointment.

The timeframe between appointment and auction was tight and provided Arla and Eddisons with strict objectives regarding time and, subsequently, budget.

Approach

After detailed site assessments, Eddisons recommended a revised strategy to accelerate the disposal process, namely conducting two separate online auctions rather than a single combined event.

The Malpas auction ran on 2 November 2020, with the site being cleared by 27 November 2020. The Llandyrnog auction was a little later, running on 10 November 2020, whilst the site was cleared by 31 January 2021 – taking in Covid-19 restrictions and regulations across England and Wales.

A global marketing campaign was instantly launched across multiple media platforms, including:

  • Trade publications in both dairy-specific and general food processing industries
  • Banner advertising on dairy and food sector websites
  • Direct marketing through specialist industry partners, editorial features, and newsletters
  • Targeted email marketing using the Eddisons database
  • Direct outreach via relevant trade bodies

All marketing responses were managed centrally by the Eddisons team in Scunthorpe, that also coordinated Covid-secure viewings at both sites.

Eddisons oversaw the removal and logistics phase, collaborating with Denham Logistics for the Malpas location, Haas Tek, and Machine Movers South West, under the supervision of EHS Projects, who acted as Principal Contractor at Llandyrnog on behalf of Arla Foods.

Results

Despite Covid-19 restrictions, the demolition and auctions were delivered efficiently and safely, achieving a total revenue of £950,000 through strong global engagement, and ensuring both sites were left in a clean and safe condition for future redevelopment.

At Malpas, the removals programme was completed in line with the proposed sale of the site.

At Llandyrnog, 90% of removals were completed on schedule, but a machinery fault caused a short delay. However, the extension provided an opportunity to complete a strategic soft strip of the site. The fault was rectified and the final silo lift was completed mid-April, after which the site was left in a clean, safe condition, minimising the scope of works required prior to property sale.

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