Northacre releases 116,000 sq. ft of office space in their first new build mixed use scheme

Northacre, the leading super-prime property developer, has today released its first commercial space Orchard Place, The Broadway, SW1. The Broadway is a vibrant new quarter in the historic borough of Westminster. JLL and Colliers have been appointed as joint agents to market the space on behalf of Northacre.

The development provides 116,000 sq. ft of office space and 27,000 sq. ft of what will be 13 carefully curated retail units alongside a dynamic new public thoroughfare. Orchard Place at The Broadway is in the heart of Westminster and St James’s and is set to become The Wellness Capital of London. A thriving new business district incorporating a fully blended lifestyle ecosystem, everything at Orchard Place is curated with stylish simplicity, and woven together by an enriching programme of cultural, lifestyle and wellness events and experiences.

The Broadway is Northacre’s first foray into mixed-used schemes and marks an exciting new chapter for the established Prime Central London property developer with over 30 years’ experience in creating exceptional living experiences in some of London’s most desirable addresses.

Niccolò Barattieri di San Pietro, Chief Executive at Northacre commented, “The pandemic has forced us to assess the role that the office now plays in our lives. It has served to show us how important face to face contact is for collaboration and learning. We are fortunate to be releasing 116,000 sq ft of best-in-class office space at a time when companies are assessing their headquarters and looking to create a spacious and collaborative workspace where colleagues can feel motivated and part of the company culture.  We fell in love with this site because of its incredible potential for creating something magnificent, something that would merge the valued aspects of the surrounding conservation area with tomorrow’s contemporary architecture and design. It gave us the opportunity to try something completely new and to expand our horizons. We took experience from developing some of London’s most prestigious residential addresses to creating an entirely new mixed- use scheme and in turn a community. Working with placemaking specialist Tom Savigar, we look forward to revealing the many wellness amenities and leisure offering that will make this a truly unique and vibrant new district in the heart of central London, attracting the next generation of workers. As a location, Victoria has seen a huge amount of regeneration over the last 10 years and continues to attract a myriad of industries relocating their headquarters to the area. The rise of localism is something that we were acutely aware of when planning this development. The 116,000 sq. ft office space is a fantastic canvas for companies choosing to change their office space and how they work”. 

Tom Brammeld, Director central London office markets at JLL, said: “The office space within Orchard Place at the Broadway development will appeal to a wide range of occupiers including those from the Technology, Media, Telecom, professional services and financial business sectors. The high-quality office accommodation will allow aspirational occupiers to upgrade their space whilst benefitting from sharing their address with some of the most exciting residential and retail units in the Capital. Victoria has continued to improve its commercial offering to office occupiers and is now one of the key London destinations for attracting high-profile tenants as well as retail and restaurant operators. The Broadway is set to be a great addition to the area.”

David Hanrahan, Co-Head of London offices at Colliers International, commented: “The Broadway is one of the most exciting mixed-use developments in the West End, delivering 116,000 sq. ft of Grade A space to a very constrained market.

Tom Wildash, Co-Head of West End Leasing at Colliers, says: “Occupiers and landlords alike are now taking time to review their office portfolios in the light of Covid-19. We expect to see redesigns, lower density and greater employee engagement in fit-out plans. While office take-up over the next 12 months will be below trend, there is every reason to expect a surge in demand as we move into 2022 , relative to current levels. Encouragingly, some occupiers are looking to increase footprints rather than consolidate, in order to actualise new office designs.”
 
This increase in requirements is coupled with a fall in the amount of tenant space being brought to the market. While levels surged in January 2021 with over 370,000 sq. ft released to the market, the highest release of space since June 2020 according to Colliers, February numbers fell to 250,000 sq. ft and in the first half of March just 30,000 sq. ft came to the market. As a result, overall levels of vacancy have stabilised, rising by just 8 per cent in the year-to-date.

Guy Grantham, director in the Research & Forecasting team at Colliers, adds: “Tenant-release space has been the main driver of elevated availability across London since the start of the pandemic. However, availability will fall steadily in H2 2021 but may remain stubbornly above trend due to a proliferation of poorer quality non retro-fitted space, where landlords are reluctant or unable to refit secondary stock. There will continue to be a flight to quality as best in class buildings appeal to occupiers who want to create the best environment for their staff.”