Deal paves way for 3 St Paul's Place start
20 March 2014
The first speculative office building in Sheffield since the recession is set to go ahead following an agreement between developers CTP and Development Securities, the city council and the Department for Communities and Local Government.
The deal gives the green light to 3 St Paul's Place, the final part of the £180m Heart of the City project at the heart of Sheffield. Work will start on site in late spring.
The ten-storey 3 St Paul's Place will comprise 80,000 sq ft of grade A office space. Each 8,000 sq ft floor is home to office suites from 2,000 sq ft.
CTP is developing 3 St Paul's Place in conjunction with London-based Development Securities, supported by Sheffield City Council, regeneration agency Creative Sheffield, SCR JESSICA, which was set up to support infrastructure and real estate investment opportunities across the region, and the European Regional Development Fund (ERDF), managed by the communities department.
David Topham, director of Manchester-based CTP, said: "The signing of the agreement with Sheffield City Council by ourselves and Development Securities is tremendous news and a great example of a successful partnership between the private and public sectors.
"It is also the final piece in the multi award-winning Heart of the City jigsaw, which has transformed Sheffield's city centre.
"Of course there is an element of risk in any speculative development, but we are extremely confident that the quality of 3 St Paul's Place, combined with its location, will ensure that occupiers for the building are swiftly found. Interest has been exceptionally strong already."
Councillor Julie Dore, leader of Sheffield City Council, said the scheme would be the most sought-after office block in Sheffield.
"Accommodating over 700 jobs, we firmly believe that 3 St Paul's Place will help existing businesses who are crying out for good quality new offices in the heart of the city, as well as potentially attracting new businesses to Sheffield."
St Paul's Place is a mixed-use scheme which features the 161-bed St Paul's Mercure four-star hotel; No1 and No 2 office developments occupied by law firm DLA Piper, RBS, Barclays, Coutts and the Department of Children, Schools and Families.
The development also includes a 330-apartment residential tower block; the famous "Cheesegrater" car park, operated by Q-Park; a casino; and restaurants and cafes including Pizza Express, Piccolinos, Café Nero and Café Rouge.
The marketing agents for 3 St Paul's Place are the Sheffield office of Knight Frank, together with the Leeds offices of BNP Parabas and DTZ.
Peter Whiteley of Knight Frank said: "The earlier office phases have proved extremely successful and there is every reason to believe that 3 St Paul's Place will prove equally attractive to potential occupiers. The facilities close to the new building make it the perfect place to live, work and play."
Richard Dunhill of BNP Parabas added: "St Paul's Place is a top quality development within Sheffield's city core. The Sheffield and Leeds offices of BNP Paribas are very excited at the prospect of being involved in this fabulous piece of grade A space."
Tim Cameron-Jones, head of DTZ north, said: "The innovative agreement between Sheffield City Council and CTP will facilitate the first speculative scheme in the region for many years. This will give the city a competitive advantage in securing new occupiers who will be attracted to this prestigious scheme."