Hines confirms office plan for Odeon site
US developer Hines has signed an agreement to build a 178,000 sq ft office block on the site of the former Odeon cinema in Manchester.
The Oxford Road building will be called ‘Landmark’ and will be delivered through a joint venture with Andrew and Jonathan Joseph’s Manchester & Metropolitan Properties, a tie-up first anticipated last summer.
In a statement it said it would fund the scheme, but it is unlikley to press ahead without a pre-let, although “this will be reviewed depending on market conditions”.
It will be Hines’ first investment in the city and is part of its strategy of expanding into regional markets. It already has two schemes under development in Birmingham – Five Brindleyplace and Two Snowhill.
Manchester & Metropolitan gained planning consent in 2007 for a Squire & Partners-designed 13-storey building which has since been extended. The cinema, pictured below, closed in 2004.
Hines director Anthony Leonard said: “We have been looking at opportunities in Manchester for some time and are delighted to have finally secured such a prime city centre site. Availability of quality office space will become scarce and, with few new buildings under construction, we believe there is a tremendous opportunity in Manchester to deliver new class A space. In bringing new stock to the market in 2015 and beyond, we hope to be in a prime position to capitalise on an improving economy.”
Andrew Joseph, director at Manchester & Metropolitan Properties, said: “We are delighted to be partnering with Hines on the development of the Landmark building. The fact that Hines has exclusively committed to Landmark over any other development in Manchester city centre reflects the quality and integrity of the building’s design and location.”
The site neighbours One St Peter’s Square, a 250,000 sq ft scheme being developed by Argent and Greater Manchester Property Venture Fund and partly prelet to KPMG, which is taking 62,500 sq ft at around £30/sq ft.