Legal & General signs West Bar Square deal
Legal & General has invested £150million into Sheffield’s West Bar Square development to deliver the first phase of the scheme.
This deal highlights Legal & General’s commitment to investing in Sheffield, where it recognises the high potential which the city has to offer and is committed to support its post-crisis growth ambitions, meeting its needs for regeneration, housing and job creation, following a number of years of underinvestment.
The first phase will deliver large footprint, modern office space, currently lacking within Sheffield’s property market, and is expected to accommodate up to 1,800 workers.
The deal represents a partnership between Legal & General, Sheffield City Council and Urbo (West Bar) Ltd – the joint venture between Urbo Regeneration and Peveril Securities (the development arm of the Bowmer and Kirkland Group).
Legal & General has invested billions of pounds into urban regeneration projects across the UK, including partnerships with universities and Local Authorities in Cardiff, Salford, Newcastle and Sunderland, and central government bodies such as Homes England. Legal & General is committed to using its varied capital streams, from start-up funding to UK pension money and long term patient capital, to reshape the urban landscape; providing the significant investment needed to help UK cities adapt, change and innovate.
Nigel Wilson, CEO of Legal & General, said: “There has never been a more important time to invest in our regional cities. Legal & General is in a unique position to support the UK economic recovery by recycling hard earned savings and pensions into real assets which promote job creation – through construction to office occupation – and create landmark master plans which incorporate grade A office space, a variety of housing and high quality public space.
“This is not new territory for L&G. Our investment partnerships with in cities such as Cardiff and Newcastle are already delivering at pace. Likewise our vision for West Bar Square is to deliver a much needed new quarter for the centre of Sheffield. During these unprecedented times, it is absolutely imperative that institutions continue to push forward with deals such as these, so we can position the UK for an accelerated recovery and lay the groundwork to support those most in need in society.”
Peter Swallow, Managing Director of Urbo Regeneration said: “This is a massively significant investment for Sheffield, and is a vote of confidence in the future of the City as a whole, particularly during the current climate. The funding partnership we have agreed with Legal &General will guarantee delivery of large scale regeneration in this important part of the City, linking the rapidly expanding Kelham Island district to the City Centre.”
Ralph Jones, Managing Director of Peveril Securities and main board director of Bowmer & Kirkland, said: “We are delighted to enter into this exciting partnership as we look to support regional cities in emerging strongly post-crisis. We are already working with Legal & General on a similar major Government Hub office scheme in the Midlands and now they will also help us to deliver this market-leading development in Sheffield.”
Urbo has been working with Sheffield City Council for several years to bring forward the West Bar Square scheme, which enjoys a prominent position on the Inner Ring Road between the booming Kelham Island district and Sheffield’s Cathedral Quarter. West Bar Square was granted outline planning consent in 2017 and, in 2019, a Compulsory Purchase Order to complete assembly of site was confirmed. Detailed designs by leading architect 5plus will support the reserved matters planning applications for the first phases of development, which will be submitted in the summer.
The creation of West Bar Square will complement the neighbouring Riverside Business District which already boasts key office occupiers including the Home Office, top 50 law firm Irwin Mitchell and the Crown and Family Courts.
BNP Paribas and Knight Frank have been appointed as joint agents for West Bar Square. Their details, together with information about the development, can be found here.