St Andrew Square secures big retailer
- Biggest retail letting in Edinburgh for three years
- Site forms part of rebirth of east end of city centre
TK Maxx, the home and fashion wear chain, has taken the first unit in the new building due to occupy a corner of St Andrew Square, Edinburgh in what will be the biggest retail letting in the city centre for three years.
Daily Business has learned that the 30,000 sq ft flagship store will occupy a site opposite Jenners on South St David Street.
It will become TK Maxx’s primary store in the city and is the first pre-let deal to be agreed on the first phase of the development. TK Maxx has agreed a 15-year lease with a 10-year break. It is paying a rent of £725,000 a year and is the biggest deal since Primark moved into Princes Street in 2011. TK Maxx has a store in London Street.
The site, on the south west corner of the square, includes the former Scottish Provident headquarters and Ivanhoe pub. It is being redeveloped by Standard Life Investments Pooled Pension Property Fund and Peveril Securities. Demolition work began in June and the new building will include a replica of the 1960s Provident HQ.
The £75m development will provide 105,000 sq ft of grade A offices, retail, leisure and residential use in what Keith Dobson, director of Savills, said is the only garden square development in the UK. The building should be complete at the end of 2016 and will help to alleviate a shortage of top quality office space in the city centre.
Dobson sees the development, close to a tram stop, as part of a rebirth of the eastern end of the central core, with the St James shopping centre due to be remodelled.