Manchester-based developers Ask and Realty Estates have terminated their joint venture agreement to develop the former Boddingtons Brewery, sparking questions over the future of the £250m project.
Yousef Tishbi’s Realty has bought Ask out of the partnership for an undisclosed sum.
The pair teamed up to develop the 7-acre site, between Manchester Arena and Strangeways prison, in 2006 and got approval for a framework for the 10-year, 500,000 sq ft mixed-use project a year later.
So far only a 200-bedroom Travelodge, forward funded by Preston-based Marcus Worthington Properties, has been developed. The rest of the site is used as a car park.
Ask and Realty confirmed the split, but refused to comment on the future of the development.
Ask is understood to be keen to concentrate on letting its First Street site in Manchester city centre. It is battling to secure engineering firm Jacobs’ or Bupa’s requirements at the 180,000 sq ft office development.
Realty is focusing on the redevelopment of the former BBC building on Oxford Road and of Gateway House next to Piccadilly station, where plans have been drawn up to create a £35m hotel and office scheme.
simon.binns@estatesgazette.com
