The Crown Estate has confirmed it is to carry out a comprehensive refurbishment of one of the West End’s tallest buildings.
Stanhope has been brought in to manage the revamp of the grade II-listed New Zealand House in Haymarket, St James’s, as previously reported by EG last year.
The Queen’s estate hopes the refurbishment will bring rents more in line with the area.
Currently, average rents at the building are around £40 per sq ft, according to Radius Data Exchange. However, total occupancy costs in the West End can be more than £170 per sq ft per year, according to research from Carter Jonas.
Oliver Smith, head of the Crown Estate’s St James’s portfolio, said: “New Zealand House is a landmark building for the West End and a modernist icon. Our aim is to sensitively restore both New Zealand House, preserving its original, historic features and positively enhance the overall surroundings of St James’s.”
The 130,000 sq ft complex, which was built in the 1960s, comprises four podium levels and a 14-storey main tower, with terraces on the third and top floors.
The building provides 110,000 sq ft of office space, including for the New Zealand High Commission, which holds a long lease at the property. After the refurbishment it will occupy around 60,000 sq ft, slightly more than it currently does.
Once completed the revamped building will provide a similar amount of office accommodation and restore key features such as the grand stair ceremonial staircase.
In addition, The Crown Estate will also refurbish the grade I-listed Royal Opera Arcade, which sits adjacent to New Zealand House.
The scheme is part of The Crown Estate’s ongoing programme of investment in central London. Earlier this year, it consulted on the second phase of St James’s Market. It has also invested £230m together with partner NBIM on three acquisitions on Regent Street which offer strategic development opportunities for the future.
It expects to send a planning application for New Zealand House in September, following a public consultation.
The Crown Estate is hosting a public consultation on the plans between 11-12th July 2019 at New Zealand House.
Further details on the proposed refurbishment can also be found here.
