New-build spec office development returns in Manchester
Despite economic headwinds and sector uncertainty, Landsec has today commenced construction of a 243,000 sq ft office at Mayfield, underlining its confidence in the city’s workspace market.
Landsec will be expecting rents in excess of £50/sq ft at the 13-storey Morris + Company-designed Republic, the first building to come forward at the Manchester regeneration scheme and a welcome return to speculative office development in the city.
To date, high interest rates and build costs, as well as uncertainty around the future of the office market, have prevented office development at Mayfield from starting.
However, faith in demand for office space in Manchester – which continuously outperforms its regional rivals in the lettings stakes – has prompted Landsec to get on and build without a pre-let.
“The Republic kickstarts the next phase of growth at Mayfield, with the delivery of quality workspaces that the city needs, and gets us closer to delivering much-needed new homes.” said Henrietta Nowne, development director at Landsec.
“This is a unique place for forward-thinking businesses looking to create the best environment for their talent. At Mayfield you will get unrivalled connectivity as one of the closest new offices to Piccadilly Station. That, coupled with the immense health and wellbeing benefits of the Park make this an opportunity unlike anywhere else in Manchester.”
Bowmer + Kirkland has been appointed as main contractor for the scheme – the first new-build office building to break ground in the North West this year, highlighting the challenges the market is facing.
Manchester City Council Leader Bev Craig was in attendance for the ground breaking. Credit: via Influential
There are several other large office developments in Manchester with planning but without a pre-let that are yet to start on site. These include the next phases of Noma, HBD’s Colloco, and ASK’s next First Street office.
As well as delivering a new office block, the Republic project will see Mayfield Park extended by an additional four acres.
Manchester City Council Leader Bev Craig, said Mayfield is “facilitating transformational change at the eastern gateway of Manchester’s city centre”.
“The Republic will be one of the most sustainable office buildings in the city, maintaining our momentum as the UK’s fastest growing city and a leading business destination, as well as supporting the growth of our strengths across the likes of digital, cyber and AI.
“The Republic not only supports the growing demand for high-quality office space but also adds to the vibrancy of Mayfield, creating jobs, boosting our economy, and making Manchester an even more attractive destination for businesses and talent.”
The wider Mayfield scheme features plans for a second office building – the Boulton – and 879 apartments.
