A Tristan Capital Partners Fund and joint venture partners Ask Real Estate and Richardson Family have signed a forward funding agreement with Salford City Council to develop 100 Embankment, a Grade A office property to be built on the site of the former Manchester Exchange railway station in the Greengate district. The project is scheduled for delivery in 2020.
The deal is the second major office transaction for European Property Investors Special Opportunities 3 (EPISO 3). The first deal involved the delivery of 101 Embankment, a nine-storey office block of a similar size which now serves as the new headquarters of U.K. insurer Swinton. EPISO 3 and its joint venture partners sold it in July 2017 to a group of investors led by M&G Real Estate for €221.3m (£105m).
Cameron Spry, Senior Partner and Head of Investments at Tristan Capital Partners, said: “Our investment in this project began almost four years ago and its first phase has been a huge success thanks to the great location and strong demand from businesses. Salford City Council has been hugely supportive, recognising the development’s substantial contribution to regenerating this part of the city centre and bringing much-needed quality office space to the area.”
100 and 101 Embankment will stand above a 442-space underground car park operated by Q-Park. The freeholder Network Rail has granted the JV a 250-year lease.
Greengate Embankment faces Manchester Cathedral on the opposite bank of the River Irwell. Across the bridge lies central Manchester’s main shopping and leisure hub, including the Manchester Arena and the gourmet restaurants at the Corn Exchange. The area is well-served in terms of public transport - the Manchester Victoria railway station and Metrolink are both in close proximity.
