Accountant KPMG has agreed a 65,000 sq ft prelet with Argent and the Greater Manchester Property Venture Fund which will see it relocate into the proposed One St Peter’s Square scheme in central Manchester.
KPMG has agreed a 15-year lease on the top three floors of the £120m development. The quoting rent for the scheme is £32.50 per sq ft, although it is understood that KPMG will pay slightly less than £30 per sq ft.
Joint venture partners Argent and GMVPF have confirmed that they will begin construction of the 270,000 sq ft Glenn Howells Architects-designed building, despite only a quarter of the office space being pre-let.
KPMG currently occupies about 60,000 sq ft on John Dalton Street in central Manchester, at which it has a lease until 2014. It also considered prelet options at Allied London’s Spinningfields and Ask Developments’ Greengate Embankment before opting for One St Peter’s Square.
Jonathan Hurst, KPMG’s regional chairman for the North, said: “One St Peter’s Square will be a landmark building for Manchester, providing top quality space for our clients and staff, and a fitting location for KPMG in the city. We are delighted to commit to what is set to become a thriving business and cultural quarter for Manchester.”
David Partridge, joint chief executive of Argent, said: “This deal will mean that construction work on the 270,000 sq ft office building can commence.”
Kieran Quinn, chairman of the Greater Manchester Pension Fund, added: “The construction and development of the building will run alongside the refurbishment of the library, town hall and the square itself, with completion towards the end of 2014.”
Knight Frank advised KPMG; GVA advised the GMPVF and Argent. GVA and Savills are joint agents on One St Peter’s Square.
daniel.cunningham@estatesgazette.com
