Southwark Council approved Create REIT’s plans to redevelop Castle Works into a mixed-use office and hotel scheme at a planning meeting yesterday.
The approved 15-storey scheme at 21 St George’s Road, SE1, includes an 89-bedroom hotel; 7,500 sq ft of offices, including 800 sq ft of affordable workspace; café/restaurant; and a retail kiosk.
The scheme will replace an existing pair of joined brick-clad, steel-framed office buildings arranged over four storeys.
The REIT submitted a market report for offices prepared by BBG Real Estate Advisors with its application.
The report said: “Offices in The Southbank have seen significant growth in rent with headline rent reaching £70 per sq ft and vacancy levels at historic lows of 3%-4%.
“The core market is gradually being pulled south from the riverbank, testing the links to the traditional City and West End markets.”
See more planning information for the London Borough of Southwark>>
To send feedback, e-mail akanksha.soni@eg.co.uk or tweet @AkankshaEG or @EGPropertyNews
