December 17, 2015
Network Rail has agreed a 150-year lease to enable redevelopment of one of Leeds’ largest and most prominent office buildings which sits above Leeds train station. The extension of the ground lease at Bruntwood’s City House in Leeds will facilitate the redevelopment of the 12-storey office building. Bruntwood obtained planning permission earlier this year to undertake an extensive refurbishment of the vacant 121,000 sq ft office building which will feature a roof garden, business lounge and meeting space. Co-working and small suites will be introduced to cater for smaller start-up businesses whilst wings of up to 4,900 sq ft and full floors of 9,630 sq ft will be available for established companies seeking more space. As owners of the freehold Network Rail has worked closely with Bruntwood over the last 12 months to bring forward plans to redevelop the property – with the revenue generated from the lease being reinvested back into the railway.
Stuart Kirkwood, director of development for Network Rail, said: “The planned redevelopment of City House will significantly benefit Leeds city centre and provide much-needed office space at a key transport hub.”
“This deal is testament to the major role of railway stations as catalysts for significant regeneration in our towns and cities.”
Craig Burrow, Bruntwood’s director of Leeds, added: “We are delighted to have reached this significant milestone and are now focused on delivering a major reinvention of this Leeds landmark as part of a wider programme of investment and improvements to the station.”
Jeff Pearey, director of office agency in JLL’s Leeds office, concluded:
“Understandably Bruntwood required a longer term interest in the site occupied by City House from Network Rail before investing further in the re-development of the property. Given the current levels of interest in office space across Leeds, the refurbishment of City House, which will be delivered in 2017, will produce further much needed quality office stock.”