Major pre-let deals secured at £400m Leeds development
TWO major deals have been completed at Kirkstall Forge.
Leasing, fleet management and vehicle outsourcing business Zenith has signed a pre-let deal to become the first company occupying the flagship office building. It will take 45,000 sq ft over three upper floors.
This caps a successful year for Zenith, following its creation by the merger of two smaller firms, Zenith Vehicle Contracts and Leasedrive Group.
It is now owned by private equity firm Hg Capital, and operates over 64,000 vehicles. It turns over £184m and employs 500 people in Leeds.
Developer CEG is also relocating to the development from its Harrogate head office, and simultaneously overseeing the development.
The £400m mixed-use development will offer 300,000 sq ft of offices, 100,000 sq ft of retail and leisure space, as well as 1060 new homes.
Contractor Wates was appointed last October to the £25m office development. It has broken ground on the 110,000 sq ft grade A building as part of the wider development. It is due to be completed by Q3 2017.
Planning permission was received last year from Leeds City Council.
Tim Buchan of Zenith and Jon Kenny from CEG in front of construction site
Tim Buchan, chief executive officer from Zenith said: “The Forge is another milestone in Zenith’s history and its location presents an opportunity to draw on the highly talented resources from within the North of England and establish a best-in-class headquarters for our future growth and innovation.”
CEG has announced it will occupy almost 10,000 sq ft on the ground floor, with the balance of the ground floor and three remaining floors of circa 18,500 sq ft each are to be made available to the market.
Jon Kenny, director of CEG, said: “It is momentous to have secured a pre-let on this brand new speculative development. Securing two tenants and delivering key infrastructure, including the first new railway station in Leeds for decades, prior to starting development is testament to the strength of the Leeds market and this site.
“Kirkstall Forge is unique, it will deliver fresh, sustainable new ways of living and working amongst acres of green space in a wooded riverside setting. With schools, contemporary housing, restaurants, cafés and light-filled offices, it will provide the vibrancy of city life as well as the tranquillity of the outdoors.
“Ultimately, this will not only be an ambitious and innovative development for Leeds, but will establish a new benchmark for office developments across the rest of the UK.”
