September target for X+why’s Northern Quarter opening
Work has started on the conversion of 25,000 sq ft at Manchester’s The Hive, after the flex operator signed with landlord Grosvenor.
This will be Grosvenor’s first directly managed flex workspace arrangement outside London, as the landlord instigates a £40m refurbishment across its regional assets.
The deal was highlighted in the Manchester Office Agents Forum’s round-up of Q1 office market highlights last week.
Interaction has been appointed as main contractor. Working with in-house team whydesign, OMI is the project architect, with the professional team also featuring Marketaylor on M&E design, Savills as project manager and sustainability consultant, and Gardiner & Theobald as QS.
Originally developed by Argent in 2010, the Lever Street building will see a new deli and restaurant introduced at ground floor level, both to be “operated by well-known Manchester names”.
The 80,000 sq ft Hive sits within Grosvenor’s 500,000 sq ft regional office portfolio, which spans Manchester, Birmingham, Bristol and Leeds, which is currently 90% occupied. Ship Canal House is also among the property powerhouse’s local holdings.
The deal between Grosvenor and X+why – for the operator’s second local site following Salford’s 100 Embankment – builds on the two organisations’ established partnership at Fivefields in London’s Victoria, where they have worked together since 2023.
Grosvenor said that the scheme will incorporate work from Manchester-based furniture designers and artists including Aiden Donovan, Jesse Cracknell, Matt Dennis and Mima Adams.
Elements of the Arts Council’s previous fit-out – from before the organisation downsized within the building onto one floor – will be repurposed in the design.
Fergus Evans, office portfolio director, Grosvenor Property UK, said: “The Hive is a strong example of what our regional offices strategy is designed to deliver, taking a prime asset in a great location and repositioning it to meet the evolving needs of today’s occupiers.
“Across the portfolio, our ambition is to deliver best-in-class workspace that combines high-quality design, strong sustainability credentials, hospitality-style service and a compelling amenity offer. Manchester continues to perform strongly for us, and our investment in The Hive reflects sustained demand for well-located, high-quality offices, particularly from the city’s growing digital and creative economy.
“Combining x+why’s experience in creating design‑led, community‑focused workspaces with our approach to active asset management, we are well placed to deliver a distinctive, flexible offer that responds to local demand, broadens our occupier mix and strengthens the long-term resilience of our regional portfolio.”
Rupert Dean, chief executive and co-founder of X+why, said: “We are delighted to be partnering with Grosvenor again to bring The Hive into its next chapter, following our successful partnership at Fivefields in London. It’s a building with a strong identity and history within Manchester’s creative community, and we see a huge opportunity to further that legacy.
“Our focus is on creating spaces where work, hospitality and community come together seamlessly. The Northern Quarter is one of the most exciting and entrepreneurial parts of the UK, and The Hive will reflect that energy, offering a workspace that is not only functional, but inspiring and socially driven.”
