Leeds city centre speculative build snapped up
A SPECULATIVE office development in Leeds city centre has been acquired by Rockspring Property Investment Managers.
The development, 6 Queen Street, is being undertaken by contractor and developer Marshall CDP and is scheduled for completion in spring 2016, creating Grade A office space.
The investment has been acquired by Rockspring on behalf of Rockspring Hanover Property Unit Trust. Once work has been completed, the property is expected to be worth approximately £30m.
The building features six floors of office space ranging from 4,000 sq ft to nearly 14,000 sq ft, roof terraces, secure parking and a double height feature reception.
This acquisition is Rockspring’s first investment in Leeds and adds to the more than €6.5bn of assets under its management across Europe. The company has appointed Richard Fraser of Carter Towler and Elizabeth Ridler of Knight Frank as joint letting agents.
Simon Marshall, group managing director at Marshall CDP, said: “Queen Street is a demonstration that our continued commitment to quality in planning and design pays dividends. We know just how important this site is for Leeds, in the heart of the city’s office core, and we’re proud to be able to say that we have brought major speculative development back to the city centre. This is just one of a number of high quality speculative schemes that we are continuing to develop and are bringing to the market.”
Rod Mordey, European director at Rockspring, added: “Rockspring has successfully developed speculative offices in London and the South East in recent years and we have been seeking similar opportunities in the larger cities outside the Capital. Leeds has experienced a strong take up of Grade A office space, to the extent that the current supply is at historically low levels and we are, therefore, confident that this investment in the heart of Leeds CBD will deliver strong returns. We are developing an extremely efficient building that has a focus on strong sustainability credentials, which we know are becoming key requisites for occupiers and investors alike.”
Richard Fraser from Carter Towler said the deal sends a “strong signal” out to the rest of the market that Leeds is the city to do business in.
“The environment for speculative development has been right for some time and the market has been waiting for a major scheme to get the green light to act as a catalyst for others,” he said.
Elizabeth Ridler, partner at Knight Frank, added: “The 6 Queen Street scheme has been designed to appeal to the widest possible audience, featuring high quality design and materials and delivering floorplates which are traditionally perfect for the Leeds market. Sitting at the heart of the core office district in the city, it has huge market appeal.”
Rockspring Property Investment Managers is an investment fiduciary specialising in the acquisition and management of commercial property throughout the UK and continental Europe on behalf of major institutional clients.
