Council Cabinet has given the green light for the construction of a new 31,000-square-foot office block which has been welcomed by local businesses.
Subject to planning permission, construction of the Bold Lane offices is expected to start in autumn 2018 and completed in 2019/2020.
This office block is based on a new model which provides much larger spaces for growing businesses – something which market research shows is an unmet demand in Derby.
Deputy Leader and Cabinet Member for Regeneration and the Economy, Cllr Martin Rawson, said:
These Grade A offices will be for premier office users. The building will have high quality standard finishes, state of the art systems, exceptional accessibility and a definite market presence which I am confident will improve investor confidence. This project will generate as many as 200 new city centre jobs when completed. There has been a need for Grade A offices but this was not being met by the private sector, so the Labour administration has rightly decided to step in and provide the impetus for the first of what we hope to be more quality office spaces in the city centre.
Chris Thomas, Director of Thomas Lister Ltd (property regeneration specialists) said:
The provision of high quality offices in Derby City centre is important to retain existing businesses as well as attracting new investment into the City centre. Given the lack of private sector provision, it is considered entirely appropriate for Derby City Council to take the role of developing its own landholdings to meet this need for speculative new offices, which will attract new businesses, investment and new jobs which currently could not be accommodated within Derby City centre. This approach is consistent with investments made by various local authorities within the Midlands to support new investment, job creation as well as improving market confidence. The Bold Lane site provides an ideal location situated within the heart of the Cathedral Quarter and provides the opportunity to create an income generating opportunity and meeting a real demand within the city centre.
Russell Rigby, Managing Director the Commercial Real Estate Agency, Rigby & Co said:
The lack of high quality offices is a major issue for Derby City centre with suitable sites and buildings being brought forward for residential and student accommodation uses. There is a real demand for scheme such as this and I am aware of various enquiries from businesses that will relocate out of Derby City centre without the development of schemes of this nature. The scheme provides a range of suites with on-site car parking which meet the requirements of local businesses looking for Grade A offices. I am supportive of the City Council acting in the role of developer because the private sector is not currently providing the floor space required by business in the City Centre.
Until now the Council has provided smaller managed workspaces at seven locations across the city managed by Connect Derby. These were created to encourage the growth of micro businesses, entrepreneurs and Small and medium-sized enterprises.
This location will reinforce Sadler Gate as a prime office location, bring a brownfield site back into use and support the wider regeneration of the area, in line with the Derby City Centre Masterplan.