Kenmore Property Group has bought a site at the heart of Birmingham’s business district as part of its plans to focus on development in the UK.
John Kennedy’s company which had shifted its investment activity to Europe because of the heat in the UK market has paid Mark Glatman’s and James Howarth’s Abstract Land around £21m for the majority of the Snow Hill Plaza site in Birmingham.
Abstract broke up the site just weeks after buying it from London-based developer Hilstone for £26m.
Kenmore will take ownership of the Thistle Hotel, the 72,000 sq ft 1 Snow Hill Plaza office and the adjacent 2 Snow Hill Plaza site, which has consent for a 125,000 sq ft office tower.
Abstract will retain the NCP car park and 1 Printing House Street, which could enable the company to boost its Colmore Plaza scheme to more than 800,000 sq ft.
Abstract is on site with the first 307,000 sq ft phase of Colmore Plaza, which is due to complete next year. The second phase, to include the car park and 1 Printing House Street, could add 500,000 sq ft.
Kenmore will be going head-to-head for office tenants with Abstract and Ballymore’s Snow Hill scheme.
It also plans to refurbish 1 Snow Hill Plaza. Director Andrew Osborne said: “We also want to crack on with the 125,000 sq ft spec office building by bringing the timescale forward.”
Kenmore’s UK chief, Andrew White, said: “We need development as part of our armoury.”
GSD advised both Kenmore and Abstract.
References: EGi News 10/07/06
