Developer and contractor McAleer & Rushe has exchanged contracts to sell the Brinell Building in Brighton. The company is selling the speculative office development for £39 million, reflecting a yield of 4.75%, to Orchard Street Investment Management, who has purchased it on behalf of St James’s Place Property Unit Trust.
The Brinell Building is due to complete in Q2 2019 and will comprise 65,253 sq ft of Grade A office accommodation across seven floors. The development is fully pre-let to three tenants, Unity Technologies, Diversified and Dehns, which will all relocate from within Brighton city centre. The Brinell Building achieved record rents for the city with each pre-let transaction, topping out at £32.00 per sq ft, with all of the leases agreed for a minimum of 10 years.
Angus Monteith, Property Development Director at McAleer & Rushe, said:
We are delighted to have exchanged contracts on the Brinell Building, which has proved extremely popular to both occupiers and investors. The fact that it has been entirely pre-let eight months before completion illustrates not only the quality of the property itself but also of the wider Brighton office market, which continues to go from strength to strength.
Tom Chadwick, Partner at Orchard Street, added:
The Brinell Building is a prime addition to the portfolio and upon completion of the development the property will present a fantastic Grade-A office. We are very confident in the prospects for the Brighton office market given the extremely favourably supply demand conditions as illustrated by the 100% pre-let nature of the building.
Heads of terms signed to become anchor tenant in new Bedford Square Development, which includes the historic Ewart Warehouse New offices will be able to accommodate more than 1,000 Deloitte people Deloitte expected to move in to offices in 2021
Deloitte announced today that it has selected Bedford Square as the location of its new head office in Northern Ireland.
The new Belfast office will accommodate all of Deloitte’s core business areas, including audit, tax and consulting and will also see a new state-of-the-art Deloitte Digital and Greenhouse space created in the Ewart building.
The vacant four-storey sandstone warehouse building was designed by James Hamilton for the Bedford Street Weaving Company and completed in 1870. The new development aims to regenerate the old warehouse building, respecting its heritage and the character of the exterior, while completely redesigning the interior.
Jackie Henry, senior partner at Deloitte in Belfast, said:
After a long selection process we are delighted to be able to announce the choice of Bedford Square as our new home in Belfast.
It is a symbol of Deloitte’s commitment to this city that we have chosen a development which will breathe life back into one of Belfast’s beautiful but neglected heritage buildings, contributing to the regeneration of the city centre while at the same time delivering an exciting and flexible modern work environment for our increasingly diverse and connected workforce.
She added: Deloitte’s operations have been growing rapidly over the past few years, driven by increased requirements for our services across traditional areas such as tax, audit and consulting, but also our wider expertise in exciting new areas such as digital analytics, cloud services, cyber security and robotics.
This new office will bring Deloitte’s expertise in Belfast together under one roof, which will foster even greater collaboration between teams and enable us to create a campus environment that is ideally suited to the agile and augmented jobs of the future.
This significant investment reflects our confidence in Belfast and its high-quality talent base. Based on our current growth projections we expect to have 1,000 staff in Belfast by 2022 and given that growth trajectory we have also made sure we have the option to increase the space to accommodate up to 1,250.
Stephen Surphlis, Property Director in McAleer & Rushe said:
Securing Deloitte’s commitment is a significant milestone in the delivery of this strategic development which will bring economic activity to the heart of the City and surrounding local businesses.
We have already commenced works and upon completion the building will provide much needed grade A office accommodation for international and indigenous companies within Belfast’s prime office district.
The development will include comprehensive refurbishment and restoration of the iconic Ewart Building, returning it to its original splendour and giving Deloitte a high-quality office environment in this unique 150-year-old heritage building.
Deloitte supports our vision for the project and the contribution it will make to the Linen Quarter and the wider city and we are looking forward to working closely with them to develop their new headquarters.
The project will also aim to obtain the BREEAM excellent rating for sustainability.
Deloitte was advised on the transaction by Cushman & Wakefield, Belfast.
Development Milestone Reached as Offices Housing 2,900 Civil Service Jobs in the Heart of the Old Town Nears Completion.
The new UK Government hub planned for New Waverley in the heart of Edinburgh’s Old Town has reached a significant milestone today (Wednesday July 4th) with the official ‘Topping Out’ of the office scheme set to be home to some 2,900 government workers.
The seven-level development, which comprises two interlinked office buildings providing almost 200,000 sq. ft. of ultra-modern Grade A office space, has now reached its highest point – an occasion marked by the UK Government and developers Artisan Real Estate Investors.
The UK Government announced last year that it will relocate 2,900 civil service jobs to the new regional hub by 2020 under the terms of a 25-year lease. This includes HMRC, which will operate one of its 13 regional centres from New Waverley. This will be the UK Government’s cross-departmental flagship Hub in Scotland, which will function as the Scottish base of several government bodies, including the Office of the Secretary of State for Scotland, the Office of the Advocate General, the Competition and Markets Authority, the Office for Statistics Regulation, the Government Actuary’s Department and HM Treasury. Staff from the Health and Safety Executive and the Information Commissioner’s Office will also be based here.
The new Government offices will offer the highest levels of sustainability and operational efficiency, and employees will benefit from a contemporary design with added staff amenities including a landscaped roof area providing sweeping views across the Waverley Valley,
This new flagship building is part of our radical upgrade of the Civil Service, and will support a diverse and creative workforce as they make a real difference to the lives of people living in Scotland. The hub will provide high quality, skilled jobs right in the heart of the city centre as well as contributing significantly to the local economy. Alongside significant savings for the taxpayer, the roll-out of Government Hubs will provide modern working environments across the whole of the UK enabling us to provide the best public services we can.
Locating HMRC to a new regional centre in Edinburgh in the New Waverley development is another step in HMRCs transformation into a modern, digitally advanced tax authority. This unique city centre location will bring our teams together to promote closer working relationships as well as increasing our effectiveness in collecting taxes.
The completion of the office hub will complete the cornerstone of New Waverley’s current development phase, which will see the high quality office space blend with restaurants, cafes and shops around the public plaza. Artisan’s £200 million, 7.5 acre mixed-use scheme seamlessly links Waverley Station with the city’s iconic Royal Mile, forming part of the Old Town’s UNESCO World Heritage site.
Welcoming the UK Government to New Waverley, Clive Wilding, Artisan’s project director, said:
Bringing the UK Government hub right into the historic heart of Edinburgh is a ringing endorsement for what we are building here – not just for New Waverley, but for the city of Edinburgh and for Scotland. It sends out an important message that our city centres have the interest, value and capacity to attract investment from the very best employers, setting an important precedent for Edinburgh and the rest of Scotland
For New Waverley, it’s another significant step of our journey to restore life, vitality and energy to this very special part of Edinburgh’s historic city centre, and will be a natural fit for the exciting and vibrant mixed-use community we are creating here.
People coming to work here will enjoy an unmatched working, leisure and living environment. On their doorstep will be one of Scotland’s major transport hubs as well as an eclectic mix of shops, hotels, cafes, bars, restaurants and homes in a location that reflects both the best of the city’s heritage and its future.
They will find that New Waverley is a genuinely unique destination in which to work, live and enjoy time out. This is a transformational development of a UNESCO Heritage site, in one of the world’s most iconic yet delicate locations. It’s pioneering the future, whilst preserving the past, representing a blueprint for sensitive yet positive city-centre regeneration.
Reaching the Topping Out stage of the office hub is also a significant milestone for New Waverley contractors, McAleer & Rushe, who are on target to complete the commercial phase by summer 2019.
Construction of the two interlinked office buildings totalling 230,000 sq. ft. brought its own particular challenges, including overcoming a 40 ft. gradient which runs from the Royal Mile down into the Waverley Valley. This means that both buildings are built into the side of the hill, with the ground floor access into the public plaza on one side becoming the building’s second level further down the slope.
The buildings have a significantly large concrete frame composed of 15,000 cubic metres of concrete, all of which was non pre-fabricated and poured on site. The facades of the completed buildings will be clad in the highest quality Stanton Moor buff sandstone to reflect the unique heritage and environment of their immediate surroundings.
Shane McCullagh, contracts director from McAleer & Rushe added:
This strategically important landmark building provides a spectacular focal point and destination for the wider New Waverley development. It’s a challenging development to complete, especially considering its unique location at the heart of Edinburgh’s UNESCO World Heritage site, but one that is being delivered on time, on budget and with the highest safety standards.
Now that we have ‘Topped Out’ the office buildings, the true mass, vision and scope of the entire New Waverley masterplan is now apparent, and it’s a fitting testament to our team on site and the whole development team that so much has been achieved in a relatively short timescale. We are appreciative for this opportunity in the ongoing partnership with Artisan and very much look forward to handing over the completed offices to the UK Government in 2019.
New Waverley’s office development was sold in October 2017 by Artisan to Legal & General, who secured the development on behalf of Legal & General Retirement which invests in high-quality long-term UK assets that generate income streams that match its commitments to pensioners.
The development has won three place-making awards in the last year – including best regeneration project for both the Scottish Property Awards and the Royal Institute of Chartered Surveyors (RICS). The scheme’s architects are Allan Murray Architects.
Northern Ireland based developer and contractor McAleer & Rushe has announced that it has signed an Agreement for Lease with the Dalata Hotel Group Plc to deliver a new 330 bed, four-star Maldron Hotel in Birmingham City Centre.
This scheme represents another significant project in the long-standing partnership between the two companies which has seen McAleer & Rushe deliver numerous hotels across the UK and Ireland for the leading hotel operator. The most recent of these include the 237 bed Maldron Hotel in Belfast which opened for trading in March 2018 ahead of program and a 265 bed Maldron Hotel Newcastle Upon Tyne scheduled to open in Q1 2019.
The new c.£40 million Birmingham project by McAleer & Rushe, is strategically located on a prominent site fronting onto Queensway and is a five-minute walk from New Street Train Station. Nearby landmarks include Beetham Tower, one of Europe’s largest mixed-use buildings, the Mailbox and the Bullring Birmingham’s premier shopping destination.
The hotel, which is subject to planning approval, is scheduled to be delivered by Q1 2021 and is expected to create 100 full time and part time jobs, once completed. It will be the Dalata Hotel Group’s second hotel in Birmingham following its successful acquisition of the Hotel La Tour in 2017 which now operates under the contemporary Clayton brand.
Commenting on the announcement Stephen Surphlis, Property Director, McAleer & Rushe said:
The new Maldron hotel is a significant project that will enhance Birmingham’s continued development and add to the regeneration within the City. With a large economy and major projects in close proximity including the new HMRC Regional Hub, HSBC’s Headquarters and the pending HS2 high speed rail network linking to London we are confident that our investment in the City will make an important contribution to the economy and provide a modern hotel offering for business users as well as leisure visitors.
Having delivered a range of projects for the Dalata Group across the UK and Ireland we are looking forward to partnering with them, once again, to deliver this exciting new hotel scheme.
”We are very excited by securing this excellent opportunity. Birmingham is a very attractive hotel location and ensures that we continue to grow our development pipeline in the UK as per our growth strategy. We will work closely with McAleer & Rushe through the development phase and look forward to introducing the Maldron brand to Birmingham.”
McAleer & Rushe are expecting to submit a planning application to Birmingham City in Q3 2018. Dalata Hotel Group will enter into a 35 year lease on completion of the hotel, subject to five year reviews and linked to Retail Price Index.
The scheme, focused on state-of-the-art workspace is to be known as ‘The Sixth’ and will include 230,000 sq ft of commercial space and ‘active’ ground floor uses such as cafes, restaurants and retail.
The project’s name is inspired by the newspaper’s original evening edition. The street vendors’ call of “Sixth Late Tele” was familiar throughout Belfast for more than a century.
Designed by Stirling Prize-winning architectural practice Allford Hall Monaghan Morris (AHMM), the proposals will deliver 2,000 high value jobs as part of an emerging creative district centred on the education, culture, media and technology sectors.
The announcement comes as a Proposal of Application Notice (PAN) for the scheme was submitted by Bel Tel LLP, the site owners. The LLP, which acquired the site in late 2016, is the first joint venture by Belfast City Council with a private developer, McAleer and Rushe.
The submission of the PAN marks a significant milestone for the project that will see an investment of £75 million to bring one of Belfast’s most famous landmarks back into active use.
Launching the proposals Stephen Surphlis, Property Director of McAleer and Rushe, on behalf of Bel Tel LLP said:
These are important proposals that will bring a landmark building associated with the news industry back into use for a digital age. Adjacent to both the Ulster University Campus and Central Library, The Sixth will play an important role in the regeneration of Belfast by delivering high quality workspace for global and local businesses, particularly those in the professional, creative and technology sectors.
Built in 1886, the Belfast Telegraph building was home to the city’s newspaper for more than 100 years, before it moved to new premises in June 2016. The grade B2 Listed Building will be comprehensively refurbished as part of the redevelopment of the wider one-acre site.
The partnership is delighted to unveil its plans for The Sixth. The Sixth will add to the vibrancy of this emerging creative district and help stimulate further regeneration in Belfast”.
The proposals for the site include a public walking route through the building, and new retail and food and beverage opportunities on the ground floor that will enliven the streetscape and provide a range of amenities to the area.
Ms Wylie explained that the proposed scheme is being showcased to an international audience of investors, developers and occupiers today at MIPIM in Cannes – the world’s largest real estate conference.
Councillor Mairead O’Donnell, Chair of Belfast City Council’s City Growth and Regeneration Committee, explained:
This is an exciting milestone for what is Belfast City Council’s first joint venture with a private sector developer. As part of the delivery of our City Centre Regeneration and Investment Strategy, the Council made the strategic decision to invest in this part of the city centre and stimulate further regeneration.
The partnership’s proposals will help to re-energise this area with a scheme that has been designed to respect the existing built heritage in this part of the city, and The Sixth will build on the momentum already generated by the Ulster University investment.
A planning application for the scheme will be submitted following a 12-week pre-application community consultation led by national planning consultants Turley. The consultation will provide local residents, businesses and other members of the public with an opportunity to see and to comment on the plans.
It is expected that The Sixth will create 650 jobs during construction, and more than 2,000 jobs when fully occupied.
The community arts engagement project is enabling Brighton’s children to develop a better understanding of their citizenship and local community through art and creativity. The primary school pupils have worked with Art4Space to develop the content of the artwork in the form of drawings, doodles, words and quotes, which will be displayed as an outside public gallery during the construction of The Brinell Building.
Commenting on the arts engagement project, Jonathan O’Neill from McAleer & Rushe said,
“I hope this initiative will encourage local young people to take an interest in the development of this building and during the next 12 months our hoarding will act as an outdoor exhibition space where local children and their families can proudly see their art on display. It was great to show the students around the site and provide them with a greater insight into the work that we do. Construction is a dynamic and exciting industry to work in and we are delighted to have been able to showcase this today.”
The Brinell Building, will comprise 7-storeys of Grade A office accommodation and views across Brighton and to the seafront from multiple roof terraces. The development is targeting a BREEAM ‘Excellent’ rating and includes amenities such as secure underground car and bicycle parking, electric car charging points, private changing booths and showers, a drying room and a double height reception.
Julie Norburn, director of Art4Space has been delighted with the artwork produced;
“I admire what the children have created around the theme of citizenship and the paintings will create a wonderful outside gallery for all to enjoy for many months during the construction of The Brinell Building. What a way to brighten up the streets!”
The £130m contract for second phase of South West Lands is on top of the £55m already awarded to McAleer & Rushe for Ph 1. Contract will see 553 new homes, including 114 affordable homes delivered. McAleer & Rushe also on site delivering Premier Inn taking contract value at Wembley Park to £212m.
Quintain has awarded McAleer & Rushe a major construction contract to deliver 553 new homes at Wembley Park. The £130m contract will see the delivery of the second phase of the South West Lands development, following the successful award of the first phase of works, worth £55m, which is due for completion by the contractor in Q3 2019.
Of the 553 new homes, 114 will be affordable, split between affordable rent and shared ownership. The remaining 439 will be rental homes managed by Quintain’s wholly owned build to rent operator, Tipi. Residents of South West Lands will benefit from a centralised ‘hub’ building – located only nine minutes by train from London Marylebone, as well as an onsite gym, library, resident’s lounge and concierge service leading out to a podium garden.
We are delighted to award this £130m contract to McAleer & Rushe who are doing an excellent job on the first phase of South West Lands. The award of this contract, which will deliver over 550 new homes, marks another important step in the delivery of Wembley Park as we continue its transformation into the UK’s most exciting mixed-use destination.
Eamonn Laverty, Chief Executive of McAleer & Rushe said:
Marking our largest contract to date, we are delighted to be here today celebrating the signing of the £130m deal for the second phase of South West Lands. This is our third contract with Quintain since 2016 and the project cements our partnership with them as a trusted member of their Main Contractors framework. The signing reinforces our position as one of the leading design and build contractors in the High End Residential and Private Rented Sector and we look forward to further involvement in the wider Wembley Park masterplan.
This news follows the announcement, made last year, that Quintain and Network Homes will be delivering an additional 252 new affordable homes at Wembley Park.
Knight Frank LLP and SHW have been appointed as joint-letting agents for the 65,000 sq ft new build office. The Brinell Building, designed to a Grade A office specification, comprises seven storeys and roof terraces with views across Brighton and the seafront. The development is targeting a BREEAM ‘Excellent’ rating and includes amenities such as secure underground car and cycle parking, electrical car charging points, private changing booths and showers, a drying room and a double height reception.
Angus Monteith, London Property Director at McAleer & Rushe said:
We are delighted to be underway with construction of The Brinell Building and we look forward to the building completing in January 2019. The 65,000 sq ft building is double the size of our last Brighton office project at CityView which was a real success. It was an easy decision to push ahead with construction when we have a well-designed building in a great location and the undersupply of the Brighton office market is seeing rents and values rise.
There’s been a dearth of good quality office stock in Brighton at a time when we’ve seen increased demand through an expanding workforce and a burgeoning residential offer. The Brinell Building is the first new build since Brexit and McAleer & Rushe has a track record for developing in Brighton after completing CityView in 2016 (32,000 sq ft), which leased to tenants on completion including Rocketmill, Ideal Networks and Unity Technologies.
The Brinell Building is in a prime location next to the station and its design will attract media and tech companies as well as appealing to financial and business occupiers. I forecast it to achieve record-breaking rents for the city and lease up ahead of completion in Spring 2019.
Brighton has a growing new digital, media and technology sector which has developed beside established corporate companies that include American Express, BUPA, Kimberly-Clark, EDF, Mott MacDonald and Lloyds Bank.
The Brinell Building sits in the heart of Brighton’s office district and is located only a three-minute walk from Brighton station which provides frequent trains to Gatwick Airport and Central London. Brighton’s buzzing independent coffee shops, retailers, restaurants and bars can be found just 50 metres away.
McAleer & Rushe has just announced that they have signed an Agreement for Lease with the Dalata Hotel Group, Ireland’s largest hotel chain, to deliver a new four-star Maldron Hotel in Glasgow City Centre.
The proposed c. 250 bed hotel, with bar, restaurant and business conferencing facilities will be centrally located on Renfrew St, close to the main shopping district on Sauchiehall Street and is adjacent to the Theatre Royal and a short distance from Buchanan Bus Station.
The c. £30 million project by McAleer & Rushe, which is subject to planning approval from Glasgow City Council, is projected to be delivered by mid-2020, representing Dalata’s first Maldron hotel in Scotland. Once construction is completed, Dalata will operate the hotel under a 35-year lease, subject to five-year rent reviews linked to the Retail Price Index.
According to Stephen Surphlis, Property Director, McAleer & Rushe, the hotel’s strategic positioning on Renfrew St will support Glasgow’s growing economy, positively contributing towards the surrounding urban environment and create construction as well as indirect employment. Commenting he said;
The announcement of our latest lease deal with Dalata represents the growing confidence in key regional UK cities for hotel operators, particularly in Scotland. This major new four-star Maldron Hotel will be an exciting addition to this dynamic consumer and business hub.
Working with the Dalata Group we are developing a number of hotel projects across the UK and Ireland and we look forward to partnering with them once again on this new project.
We are delighted to have entered into an agreement to lease a newly constructed Maldron Hotel in Glasgow. We have a very strong relationship with McAleer & Rushe who are currently building our new hotels in Belfast, Newcastle and Charlemont, Dublin. Today’s announcement brings the number of UK hotels in our development pipeline to 5 with a total of circa 1,350 rooms.
The six-storey hotel due to be completed in March 2019 by McAleer & Rushe is let on a 35-year FRI lease to Dalata, Ireland largest hotel operator and forms part of McAleer & Rushe’s wider £75 million mixed use regeneration scheme in the City. Alongside the hotel, the project also includes a 575 student bed accommodation which will be operated by the Unite Group and ancillary retail units.
The 265 bed hotel will be Dalatas first Maldron brand operation to be opened in England which includes an extensive bar, restaurant and business meeting facilities, which will provide a major boost to the Newcastle economy.
The development is strategically located on Newgate Street at the heart of Newcastle City Centre on the site of the former Newgate Shopping Centre and is close to St James’ Park, home to Newcastle United FC and the Eldon Square Centre.
According to Stephen Surphlis, Property Director of McAleer & Rushe, the deal represents a significant transaction within the UK hotel investment sector and highlights the confidence and strong interest in the regional cities, particularly for hotel investments with long term income streams let to major brands such as Dalata. Commenting he said
The new Maldron hotel and the complete mixed-use scheme is a significant project and will support Newcastle’s continued economic development by attracting both business and leisure visitors to the heart of the City. We are looking forward to working with Standard Life Investments and Dalata, for whom we are delivering numerous hotel projects in the UK & Ireland.
We look forward to working with McAleer & Rushe on the delivery of this new scheme in Newcastle. Dalata and its flagship Maldron brand are an exciting, well managed, high quality, competitive hotelier which we believe will compete well in the Newcastle market, a home to leading universities, a thriving business community and leisure scene.
The Council chose the site of the development project in the heart of the city to position the capsule as it represents an important investment for the future of the region. The redevelopment being undertaken by McAleer & Rushe will support 780 jobs during the construction phase with up to 153 new full time jobs on the site following completion.
At the event attended by local community and businesses the Lord Mayor highlighted the significance of the milestone and investment in the city. Councillor Hazel Stephenson, said:
“Newcastle and the North East has a rich and cherished history and we wanted to mark this major milestone by linking our past with the future and the planting of the time capsule at this important site is a fitting tribute to life in our city today. It represents the very positive and dynamic opportunity for the city and the wider region in the years ahead.”
The redevelopment will see the existing 1960’s shopping centre being replaced by a 265-bedroom four star Maldron hotel, 20,000 sq ft of commercial space for retail, leisure or professional services use and 575 units of purpose built student accommodation operated by the UK’s leading provider of student housing, Unite Students.
Eamonn Laverty, Chief Executive of McAleer & Rushe, commented:
“We are privileged to have been involved in the marking of the 800th anniversary of Mayoralty in Newcastle, attending the event alongside the local suppliers and consultants who are working closely with us and Newcastle City Council. This marks an important moment in the region’s history and through the development of the Newgate site we are looking forward to helping develop economic growth and sowing the seeds of future prosperity.”
Objects in the capsule include a Newcastle United scarf, a Royal Mint coin set, and one of the last round pounds in circulation providing future generations with an insight into life in the city in 2017.
The new 100,000 sq.ft, six-storey hotel is strategically located on Newgate Street and will be developed by McAleer & Rushe, who have worked closely with Dalata on a wide range of projects throughout the UK & Ireland.
The site is a short walk from Central Train Station, opposite Eldon Square Shopping Centre in the heart of the city and close to St James’ Park, home to Newcastle United FC. The hotel, which is expected to open in summer 2018, will offer 226 air-conditioned bedrooms, a bar, restaurant and business centre facilities.
Alongside the flagship hotel, the redevelopment of the former Newgate Centre comprises 185,000 sq.ft of student accommodation operated by the Unite Group Plc to deliver 575 beds, as well as 20,000 sq.ft foot of modern retail and leisure space, making it a truly mixed-use scheme with all the associated long-term economic and employment benefits for the city.
Stephen Surphlis, Property Director at McAleer & Rushe, added:
“The addition of this quality hotel brand reflects the wider importance of this entire mixed-use development and will be a major asset to the city as a whole, as well as attracting business and leisure travellers to Newcastle. We look forward to working alongside Dalata, for whom we have previously delivered numerous projects”.
Dermot Crowley, Deputy CEO Business Development and Finance at Dalata, said:
““This development provides us with an exciting opportunity to launch our Maldron brand in the English market, in line with our strategy of rolling out our Clayton and Maldron brands in the large regional UK cities. We are delighted to be working on this project with our development partner, McAleer & Rushe, and look forward to opening in Newcastle in summer 2018”.