Global real estate investment manager Barings Real Estate Advisers has acquired a 180,000 sq ft (17,000 m2) office scheme in the northwest UK city of Manchester on behalf of an institutional investor.
Landmark Manchester, with an estimated gross development value (GDV) of around £100 mln (€117 mln), will be delivered in the first half of 2019. The project was acquired from Castlebrooke for an undisclosed sum.
'The shortage of new Grade A office supply in Manchester coupled with the healthy demand dynamic from national and international occupiers for space in the city gives us the confidence to proceed with this major project ahead of securing a pre-let,' commented Darren Hutchinson, senior director at Barings.
Landmark Manchester will form part of the cluster of prime buildings in Manchester alongside 1 & 2 St Peter’s Square. The scheme will target an Excellent BREEAM rating.
Castlebrooke, which originally acquired the site in 2015, will continue to act as development manager for Barings. Bowmer & Kirkland has been appointed as contractor and will start on site imminently.
'We remain selective buyers in the UK where we can identify opportunities in markets and sectors that demonstrate the right mix of cyclical and structural performance characteristics. We continue to look for opportunities such as Manchester across Europe to supplement our other major projects in Berlin and London,' concluded Nick Pink, head of fund management Europe at Barings.
Colliers advised the vendor.
CBRE and Colliers have been appointed as letting agents.
