Richardson Barberry is to buy one of Ernst & Young’s main Birmingham offices after securing the accountant for its own scheme.
The joint venture between Richardson Developments and Barberry Developments confirmed this week that E&Y has signed up for its 1 Colmore Square, in central Birmingham.
It will take an 80,000 sq ft (7,432m2) prelet in the £80m scheme, paying a record £27 per sq ft (£291 per m2).
Richardson Barberry has bought E&Y’s 40,000 sq ft (3,716m2) offices at 1-3 Colmore Row, a move which could gain it a foothold on the adjacent large Snow Hill development site.
The jv is thought to have paid Shell Pension Fund around £10m for the building, which would reflect an initial yield of around 7.25%. Lee Richardson said: “We initially want to relet the building but would explore getting involved in Snow Hill if the opportunity arises.”
