Virgin Media O2 has agreed an office prelet in Manchester’s central business district.
The British telecoms firm will occupy 45,700 sq ft of workspace at Island, the £66m development being brought forward by a joint venture between HBD and Greater Manchester Pension Fund. The deal has been signed for 10 years.
The new space is expected to become Virgin Media O2’s northern hub with the company merging several regional teams at a single city centre location.
The site was initially acquired by GMPF before HBD became a 50/50 joint venture partner in 2019, assuming the role of development and project manager. HBD achieved planning permission to develop Island in 2021 before building works commenced in 2022.
Once complete, which is expected later this month, Island will provide 91,000 sq ft of workspace. It is targeting BREEAM Excellent and EPC A ratings.
Tim Roberts, chief executive at HBD parent company Henry Boot, said: “Island’s unrivalled sustainability credentials make it an attractive site for a diverse range of occupiers and we look forward to welcoming more tenants into Manchester’s best-in-class office space to support their business and ESG ambitions for many years to come.”
Ed Hutchinson, managing director at HBD, said: “Island has been carefully designed around the needs of the occupier. Not only is it a highly intelligent and sustainable building, but it is one which prioritises people’s health and wellbeing.”
Patricia Cobian, chief financial officer at Virgin Media O2, said: “This investment demonstrates our commitment to retaining a sizeable presence in Manchester, with a flagship new office that places us in the heart of the city’s thriving technology hub.
“The state-of-the art office will provide a vibrant space for our employees in the North West to get together in person and collaborate, meeting our needs now and helping to attract future talent.”
The move comes shortly after Virgin Media O2 agreed to move around 350 employees to a new office at Maxim Park in Lanarkshire early next year.
OBI represented Island and CBRE acted for Virgin Media O2.
Image © HBD
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