Bristol city council’s contentious search for a 230,000 sq ft HQ has been brought to a surprise end after it completed an off-market deal with Aviva.
The council has bought 100 Temple Street, a 130,000 sq ft city centre office block, which it will use for its own occupation, effectively satisfying the largest active requirement in the city for a decade.
The council launched a search for a new HQ in September, but it proved controversial with local agents, who considered it a foregone conclusion that it would opt for an expensive conversion of one of its warehouses.
The council issued a tender notice last summer seeking advice on redeveloping a Grade II listed, 130,000 sq ft bonded tobacco warehouse called A Bond.
The November election of former architect George Ferguson is thought to have been crucial to the change of course.
A price of around £18m is understood to have been agreed with Aviva for the Temple Street building, close to Temple Meads railway station.
The building is part-occupied by KPMG and Capita and has about 70,000 sq ft immediately available.
The asset comes with a consented development opportunity for a third office phase of 65,000 sq ft.
The deal is expected to help save the council as much as £40m over 25 years as it radically consolidates its estate.
Speaking on behalf of the Bristol Property Agents Association, Jones Lang LaSalle partner Ned Cussen said: “This is a major victory for common sense.
“It is the biggest office deal in the city for well over a decade at a time when the market is tough.”
Alder King advised Aviva; the council was unrepresented.
jack.sidders@estatesgazette.com
