Newhall Square boosted by 190 bed aparthotel deal
DEVELOPER RO St Bernard’s has secured a major pre-letting at its Newhall Square development in Birmingham. Serviced apartment operator Staycity is to open up 190 apartments.
It will be Birmingham’s biggest aparthotel.
Staycity already has 78 apartments at the Arcadian Centre in Birmingham’s Southside area.
ROSB currently has detailed planning consent for 247 apartments on the site, which fronts Newhall Street, Charlotte Street and the canal.
The developer will submit a revised planning application for the £16m aparthotel in April this year, with construction commencing in Autumn 2012 and completion in late 2013.
Staycity, which has agreed a 30-year lease for the development, is based in Dublin and is backed by Irelandia, the investment vehicle of the Ryan (of Ryanair) family. It currently operates more than 1,000 serviced apartments in UK cities, Dublin, Paris and Amsterdam.
Newhall Square was the site of the former Birmingham Science Museum. Phase one is complete and includes a 100-bed Travelodge, 10,856 sq ft of new build offices let to NSPCC and MADE and 6,028 sq ft of offices in a fully refurbished Grade II listed building, let to Ormiston Academies Trust.
ROSB has also refurbished the Science Museum’s former Engine Room, which it is now hoping will be taken up as a bar/restaurant opportunity.
Chris Bond, chief executive of ROSB, said: “We are delighted Staycity has chosen Newhall Square. We began negotiations before the Enterprise Zone was announced but have no doubt the inclusion of the site in the EZ helped clinch the deal and will help attract other occupiers to the site.”
Bond added that the company has also had a number of other hotel operators – including a four star chain – showing interest in the scheme.
Craig Satchwell, Adrian Clery and Jonathan Wren of Colliers International advised ROSB on the deal.
Meanwhile, it has been announced that Newhall Square will provide a home for the Bullring’s Spiral Café. ROSB stepped in with an offer to accommodate the installation after Bullring owner Hammerson removed it to make way for its Spiceal Street restaurant quarter. Currently in storage, the café will be re-sited at Newhall Square in the final phase.
