Administrator: Connaught Square still has potential
ADMINISTRATORS for the firm behind the £150m transformation of derelict land in Birmingham’s Irish Quarter have said they remain convinced the site offers considerable potential for the right developer.
Begbies Traynor was called in following the collapse of Connaught Square Ltd, a vehicle of the Irish-based Naus Group.
The company had been planning the massive redevelopment of a 4.5 acre site off High Street, Deritend but the business collapsed when the Irish government-backed Allied Irish Bank refused to fund the scheme.
The whole of the mixed-use development is now in jeopardy unless a new, adequately-funded developer is found to take over the massive project.
Neil Mather, joint administrator along with John Kelly, said: “We are in the early stages of assessing the position regarding Connaught Square Ltd.
“It is currently a cleared site following demolition of the existing buildings. No new work had begun.
“We will be examining the options and in due course will be looking to assess what interest there may be from the wider property world. This is an historic site just off the city centre and represents a major opportunity for the right developer.”
He said the firm was acutely aware this was a very important location in terms of Birmingham’s ongoing re-development and it would be looking to expedite matters as quickly as possible.
Initially known as Connaught Square, then re-named Rivercross, the scheme was intended to comprise 658 new apartments, a 180-bed hotel incorporating 36 serviced apartments, shops, offices, bars, restaurants, more than 1,000 underground car parking spaces, two new public squares and public amenity space.
Key features were to have been a four star hotel with a sky bar and restaurant offering panoramic views of the city; a spa facility and a new Irish Centre, replacing the existing premises on High Street, Deritend.
A pedestrian boulevard was going to be carved through the centre of the development, providing access to two new public squares, one of which was set to straddle the River Rea.
Around 800 jobs were expected to be created.
The site is next to the recently refurbished Birmingham coach station, and is bounded by High Street, Rea Street, Bradford Street, and Birchall/Chapel House streets.
Originally, building work had been due to start in mid-2008, with the hotel block on the corner of Rea Street and High Street, Deritend the first to take shape. The whole scheme was scheduled for completion by 2011.
The Naus Group had initially appointed Rider Levett Bucknall to project manager the scheme, while other consultants working on the project included Leicester architects RGP and Birmingham engineers Scott Wilson.
