Relentless on board for 500,000 sq ft Kendals office regen
Having recently completed and filled phase one of St Michael’s, Gary Neville’s development company is now turning its attention to another large Manchester workspace project: the conversion of the House of Fraser department store on Deansgate.
Relentless has been working with Kendal Milne building owner Investec for several months but the firm’s involvement has not previously been reported. The scheme could form part of a wider vision for the St Mary’s Parsonage area; Relentless owns Cardinal House and is reported to be in talks for Alberton House next door. Neville and business partner Anthony Kilbride have set up a string of companies recently, including St Mary’s Holdco.
Place North West understands Relentless is working as development manager on the long-awaited Kendals project, which proposes the conversion of the 400,000 sq ft Kendal Milne building from retail into 230,000 sq ft of offices.
Around 100,000 sq ft of active ground floor uses are also consented, as well as a 14-storey, 250,000 sq ft new-build office block where the adjoining car park currently stands.
The scheme, which was designed by Sheppard Robson, received a £44m funding boost from the £1bn Greater Manchester Good Growth Fund last week.
Anthony Kilbride, chief executive of Relentless Developments, said: “We’re proud to be working in partnership with Investec to secure the future of this much-loved Manchester landmark.
“The support from GMCA breathes new life into this critical area of Manchester and will unlock the wider regeneration of the Parsonage district. We look forward to drawing on our reputation for creating modern, future-facing workspace that fulfils the city’s commercial ambition while also preserving the architecture and heritage of its historically-significant buildings.”
Investec has struggled to get the ambitious project moving since securing planning approval in 2021 due to macro-economic headwinds, office market uncertainty, and complexities around the building’s listed status and title.
In 2022, Manchester City Council relinquished a lease on the multi-storey car park and ground floor retail units on King Street West in order pave the way for the project.
With the lease issues resolved, funding secured, and Relentless on board, a start in site could finally be near.
The project is among the largest and most eagerly anticipated workspace projects in the region.
Will Lewis, chief executive of OBI Property, which is advising Relentless, said: “The Kendal building is one of the most iconic buildings in the city centre and this exciting workspace conversion will deliver some of the most impressive prime office space in the city.
“Manchester’s office market continues to be fueled by high levels of demand from large occupiers across a variety of exciting growth sectors, underpinning its global appeal as a place to do business. Kendal will play a critical role in filling the obvious gap in supply.”
Relentless will be hoping the Kendal project will achieve similar levels of success to No1 St Michael’s which is fully let to a range of occupiers and broke Manchester’s record rent three times in the process.
No wonder Relentless are involved with £44m of free money from Andy Burnham!
By Anonymous
This is great news! Sheppard Robson’s design for Fraser Building is stunning and reminiscent of Three Hardman Street. Pedestrianise the whole area and expand Motor Square next.
By Anonymous
Good move from Investec but as this is equity and not grant, even with low / zero returns, that scheme does not stack up!! Relentless fairy dust or not, the macro economics don’t change.
By Anonymous
Relentless’s timing on St Michael’s was great. It’s a decent scheme but no better than no 1 spinngfields etc. once people are past the Nev factor, this will be a big lump of refurbished offies in a very sensitive market. Going to have to achieve £55+ to make that stack and that depth is not there at present.
By Jim
Good on Gary and the team, done a fantastic job on St Michaels with a world class building and attracting some heavyweight tenants. I’m sure this will be the same. Would also rather a local developer that knows Manchester
By Bob
Are House of Fraser staying, relocation or closing down?
By Anonymous
Hopefully the features that make the Kendals building ‘listed’ are restored and not seen as a hindrance. Shame the original glass bricks are going.
By Clouded Leopard
Having worked in Kendals in the 1990s (when it was already a dump), it is a sad day for retail that the edifice has been so under invested in. You do wonder, if it had been properly treated and a superb experience perhaps it could have survived. But House of Fraser have run it into the ground – even before the Mike Ashley days. But……..I applaud the ambition to regenerate this set of blocks as the area is a mess at the moment and if those visuals actually become reality then that will be good.
By Sad days
Great news having seen what they’ve done at St Michael’s.
By Anonymous
Manchester is full of entrepreneurs even the footballers are getting involved. Neville has done more for Manchester than Steve Rotheram has done for Liverpool.
By Trevor
Whilst I am happy to see this building continue on with the new use, I am sad on an architecture front to lose the glass bricks, which have been a fundamental part of the landscape for decades. Also, the loss of our last true department store in MCR city centre. Yes, we still have Selfridges and Harvey Nichols, but they are not really departments stores since they effectively have only one department – clothing. This will be the first city I have lived in without a department store in the centre. Feels a bit weird.
By EOD
Manchester desperately needs more devolution so it can untangle itself from Westminster politics and make its own way in the world. A city where stuff actually happens compared to the bureaucratic ‘do nothing’ atmosphere in Westminster. It’s incredibly refreshing to have at least one part of the country growing rapidly – and the reasons why are incredibly clear. Give Manchester more devolution, give it funding to build more tram/underground extensions (under time and under budget as is the GM way) and watch it rise further like the shining star that it is
By Anonymous
About time this happened, a jewel waiting to be polished..just wasted at the moment. Have to applaud relentless judging from the quality of St Michael’s.
By Jon
I have a good feeling about this. This part of town has a lot of potential – if it comes together in the way St Michael’s has i think they’ll smash it.
By Anonymous
The mayor can only do so much if a city is collectively adverse to new development.
In the words of Rotherham himself:-
“You can’t polish a turd”
By Anonymous
Sad there will be no John Lewis for the city centre
By Anonymous
On the face of it this looks positive, however can we have more details on the plans for the surrounding area, what’s happening with Parsonage gardens, is Deansgate going to be pedestrianised, when will work start?
By Anonymous
EOD, unfortunately department stores are a thing of the passed. Internet and out of town shopping centres are to blame, nothing we can do about it.
By Anonymous
Relentless have delivered one office scheme that is bang average. Objectively walk around in none and watch the residential scheme shadow the offices and realise this isn’t all it’s cracked up to be. Gary is not a developer no matter what angle you look at it. He may have half decent team behind him but please stop with the hyperbole.
By Anonymous
Putting a former footballer, pundit, pod cats star, develop in the headlines just shows we are a small parochial city. Do you see any major serious city being so sycophantic about a developer. Grow up people.
By Anonymous
Really better to knock Kendal’s down and replace it with something top quality.
Clearly the numbers don’t stack up, and facading it while doing away with the first-in-the-UK version of cutting-edge 1930s European department store design, including the escalator/lift placement, artifical lighting, lack of atrium and not even keeping the glass blocks completely negates the heritage value.
By Anonymous
Continually see attractive paving and Deansgate pedestrianised. Hope this is true.
By Tom
Sorry anonymous 7.11. Try harder, that may smack more of coping than desperation but please at least try to be cogent. This is a good thing, a good development in a great location. Be glad it’s happening and come and visit when it’s finished.
By Anonymous
More office space!!!! Crazy. Much loved Kendall’s will be greatly missed by many . There are hundreds of empty office spaces in the city. Such a shame there will be more!!!
By Yvonne Loucopoulos
Come on people please keep up…….yes there are empty office buildings but they do not meet modern epc requirements and most never will however much you spend on them. Many will need to be repurposed or reimagined for another market sector. But however many empty office buildings there are we still desperately need modern grade A space as there is precious little left in the city and not much under construction.
By Anonymous
and yet ‘Yvonne’ all the reports that actually measure office demand say just the opposite. Don’t forget Manchester does create so many jobs too . I wonder who we should believe, reality or the guy who posts the same thing whenever the word office is mentioned. Don’t worry, I’m sure eventually they’ll build one where you are too, 😉
By Kendal Milne
About time, a great use of an Iconic Manchester landmark. That part of Deansgate needs a lift and if they’re putting retail in on the ground floor too I’m all for it.
By Sam
Can only assume this article is making the trolls jel. For those that are struggling to understand basic concepts and why this is a positive proposal:
1. The department store closed years ago. Few department stores can exist in the modern world of internet shopping and this is happening all over the world.
2. They are renovating the existing building and intend to retain the majority of its features.
3. The scheme might contribute to the surrounding public realm which is really what we all want confirmation on.
You’re welcome
By Anonymous
@Anon 1. No department stores aren’t on their way out. The sector has struggled as habits changed but it’s adapting as evidenced by John Lewis announcing £800m investment and renewed expansion plans. Once our most iconic department store buildings is lost to boring, privatised office space that’s it. It’s not coming back. And another nail in the coffin of the city centre’s retail offer.
2 there are some really unfortunate ill considered features apart from the conversion of all that retail space, namely the weird outsize unsubtle rooftop extension.
3. There maybe minor improvements in the public realm of some of the minor streets but I highly doubt they’re putting any money into Deansgate
By Anon Two
@ Anon Two
I share your desire for the retainment of both department stores and original features in buildings but you would have to be seriously deluded to think that department stores in general are a flourishing business model. If they weren’t dying, then this would still be one because Manchester barely has them anymore.
“John Lewis announcing £800m investment and renewed expansion plans.” Is that because so many other department stores have gone bust over the past decade, or are they investing to simply stay afloat. Didn’t Mike Ashley try the same thing before Kendals fell apart?
By Anonymous
Anonymous 1.07pm, do you really know enough about Manchester to be commenting? For your information, House of Fraser Deansgate didn’t “close down years ago”. It’s still open as a department store.
By Ian Jones