MRP acquires former Herald offices in Glasgow
Past times: building has new owner
Property developer MRP has completed the purchase of 200 Renfield Street in Glasgow, former offices of The Herald & Times newspapers.
A price was not disclosed, but the 53,330 sq ft of offices sold in 2014 for £13.7 million to Kames Capital’s Property Income Fund.
The building is 70% full following a recent letting to Instant Offices (c/o DWP) for the ground and first floors. The second floor remains vacant which MRP plans to refurbish and market for let.
MRP’s major investment in Glasgow began with the purchase of the last remaining development plot in the area in 2018.
This included the redevelopment of the former Scottish Television Studios to provide 275,000 sq ft of Grade A offices and a 200-bedroom hotel.
The first phase of offices, the 125,000 sq ft Broadway One, is now occupied by Tesco Bank and the hotel was sold to citizenM Hotels for its first UK venture.
The 110,000 sq ft Broadway Central office building is the first speculative office to be granted planning permission under innovative energy efficient guidelines. A 300-bed Maldron hotel will open in July.
Angus Monteith, development director at MRP, said: “The purchase of 200 Renfield Street is part of a major, long term investment project for us in this area of Glasgow.
“Our development plans will revitalise an important area of the city centre and support its economic recovery, particularly following the pandemic. We plan to create a fantastic, combined estate with generous public realm that will make our new office building at Broadway Central unique in Glasgow city centre.”
Andy Cunningham from CBRE, who handled the sale on behalf of MRP, added: “It is great news that we have managed to secure the purchase of this well-known building in Glasgow city centre for MRP.
“MRP has made a significant investment in the area showing that despite the pandemic there continues to be strong interest for high quality sites in the right locations.”
CBRE acted for MRP in the transaction whilst Savills represented the vendor Aegon Asset Management.
Candleriggs scheme begins
Construction of Candleriggs Square, Drum Property Group’s £300 million regeneration project in Glasgow’s Merchant City, will begin in July, delivering The Student Hotel’s first ever complex in the UK.
The city council initially approved plans for the 500-bedroom hotel scheme in May 2020 which will be owned and operated by the hotel brand – a pan-European investor, developer, owner and operator of a ‘hybrid’ hospitality model.
Candleriggs Square: mixed development
Apart from the hotel, it provides co-living and co-working spaces, a bar and restaurant, conference rooms and fitness centre.
TSH currently owns and operates 13 hotels across Europe, with a further 12 under development.
Drum Property Group is working with Stamford Property Investments with whom it bought the site in March 2019.