West Register, the property arm of RBS, has won outline consent for a new £65m office tower in Birmingham’s Snow Hill business district.
Birmingham council planners gave approval for the 190,000 sq ft building on condition that £100,000 is paid towards section 106 costs.
The decision follows concerns aired last week by English Heritage, which said that it would prefer to see a “less bulky and oppressive” scheme replacing the current Peat House office building at the corner of Livery Street and Cornwall Street. No amendments have been made to the plans.
RBS has a track record in joint ventures and may consider a jv partner to bring forward the building. Helen Gordon, global head of RBS global restructuring group REAM, confirmed this was a potential option. She said: “We are exploring all options and are open to suggestions. We may jv or consider a disposal. We will get a prelet in place first then concentrate on delivery.”
Prelets are now being sought for at least 50% of the 13-storey building, before work starts on site.
Professional firms are driving office demand in Birmingham. Deloitte is mulling options for its requirement of up to 60,000 sq ft, while law firms Berrymans and Shakespeares have circa 20,000 sq ft and 40,000 sq ft requirements respectively.
RBS took ownership of the building currently on the Cornwall Street site from Ballymore in April 2013.
GVA and CBRE are advising RBS Group.
lisa.pilkington@estatesgazette.com
