Jackson’s Row Development Partnership, owned by ex-footballers Gary Neville, Ryan Giggs, developer Brendan Flood and Manchester City Council, has formed an international consortium with Chinese and Singaporean investors to fund the redevelopment of Bootle Street.
Rowsley, a publicly-listed company controlled by Singaporean billionaire Peter Lim, and Beijing Construction Engineering Group, have signed a funding agreement to develop the 1.8-acre plot located between Jackson’s Row, Bootle Street and Southmill Street in Manchester, known as St Michael’s.
The value of the investment has not been revealed, but is estimated at between £150m and £200m.
The site is made up of a former police station, the United Reform Synagogue, the Abercrombie public house and a parcel of open land. Jackson’s Row has previously said that the buildings were earmarked for demolition but that the company was working with English Heritage on the plans.
According to Neville’s presentation at MIPIM earlier this year, the scheme will connect to Albert Square and include an emphasis on public realm and residential towers with roof gardens.
Rowsley will own a majority share of the scheme.
Chinese state-owned Beijing Construction Engineering Group is already part of a joint venture between Greater Manchester Pension Fund, Carillion, Manchester Airports Group and Argent bringing forward the £800m Airport City Manchester project.
Lock Wai Han, chief executive of Rowsley, said: “We are excited to be in Manchester and to tap into its vibrancy and growth. Gary and his team exemplify the dynamism of the city and the city council, and it’s a style of working we are very comfortable with in Singapore.
“St Michael’s will become a landmark development and will meet the growing demand for quality accommodation and offices in Manchester. This will be Rowsley’s first investment in Europe and comes at a time when the UK government is encouraging businesses to move north to escape the rising cost of operating in London.”
Neville said: “This represents a very important milestone for the development of St Michael’s. To secure funding for the project this early in the process is a fantastic achievement and demonstrates great confidence in the city.
“Moving swiftly is key and huge credit goes to Rowsley and BCEG for their committed approach in the last two months. We are all truly excited at what can be achieved with this innovative and inspiring development.”
Meanwhile, Rowsley announced that is has acquired part-ownership in Hotel Football. Lim already has a share in the 133-bedroom hotel which opened in Old Trafford earlier this year, alongside Gary Neville, Phil Neville, Ryan Giggs, Paul Scholes and Nicky Butt. The new ownership will see a restructuring in the current status in order to promote and facilitate the hotel’s growth within the leisure and hospitality industry.
Real estate expert Patrick Duffy and corporate specialist Nick Dawson of Irwin Mitchell acted for both the Jacksons Row Development Partnership and the joint venture vehicle between Rowsley, BCEG, Ryan Giggs and Gary Neville in the transaction. Duffy said: “It was a pleasure to act on both the real estate and corporate aspects of such an historic landmark transaction as this joint venture creating St Michael’s in what will be the most significant City Centre scheme in Manchester for many years to come.”