ABSTRACT TOUCHES DOWN AT GATWICK

Mark Glatman's Abstract Securities has announced that its wholly owned subsidiary, Abstract (Crawley) Limited, has exchanged contracts on the purchase of 3.2 acres of land south of Gatwick Airport.

The site is the last undeveloped plot at Crawley Business Quarter in the heart of Manor Royal opposite the offices of Virgin Atlantic and home to a wide variety of business occupiers.

Abstract’s intention is to build its next highly competitive ‘austerity’ office’ comprising 110,000 sq ft together with 300 plus car parking spaces. The Grade A building will compete with Abstract’s St Vincent Plaza scheme in Glasgow, to be the most competitive new build office speculatively under construction anywhere in the UK and will be known as ‘The Leonardo Building’.

Detailed work is well advanced for a TP Bennett design comprising four floors and offering flexible, virtually column free, floor plates each of circa 28,000 sq ft. A planning consultation is already underway with an application due to be submitted shortly. Construction is envisaged to start in in September 2014 with a target date for completion in early Q4 2015.

In line with all Abstract developments, the building will target a BREEAM 'Excellent' standard and an EPC Rating of A or B together with a building design occupancy of 1 person per 6 sq m which will maximise the operational efficiency of the accommodation.

Mark Glatman, Chief Executive of Abstract Securities, said: “We are delighted to have commenced our latest development project and have great confidence in this product and location so close to Gatwick Airport. We continue to maintain that while quality and environmental performance remain key drivers for corporate occupiers, value for money is fundamental. By continuing to exercise tight design and procurement processes we can deliver a fantastic product at exceptional value. This follows hot on the heels of our developments in Croydon and Glasgow where a similar methodology has been well received by the occupier market’’.

Abstract’s Development Director, Christopher McPherson, said ‘’With an extremely competitive rental, this office development provides one of the best value new build ‘Grade A’ office buildings anywhere in the UK and a design density of 1:6 gives a cost per workstation which is highly competitive and will appeal to a broad variety of occupiers. The building is capable of easy sub-division and floor layout is highly flexible. The location already appeals to a wide range of businesses from airport related companies to engineering, travel and professional services organisations.’’

The building is one of several speculative office developments that Abstract Securities has recently undertaken across the UK.

Having completed the 100,000 sq ft ‘Renaissance’ development in Croydon in November 2013, Abstract is currently on site in Glasgow where it is speculatively building the 170,000 sq ft St Vincent Plaza office development, due for completion in Spring 2015.

In conjunction with Aker ASA, Abstract is also currently developing 1 million sq ft offices at Aberdeen International Business Park, where the first phase of 335,000 sq ft is currently under construction.

Abstract was unrepresented in the purchase. The vendors are represented by Savills and Stiles Harold Williams.

For media information, please contact Lisa Mennie at Skylark PR on: T: 07825 225 414
E: lisa@skylarkpublicrelations.com 

ABSTRACT’S RENAISSANCE SHORTLISTED FOR TWO AWARDS

Abstract’s Croydon development, Renaissance, has made it on to the shortlist for two awards in the Office Agents Society Development Awards 2014. It has been nominated for the Best Development Outside London award as well as the Sustainable Achievement award. The winners will be announced on 20 June at a gala lunch in London

This is a great accolade for Abstract and underpins the company’s commitment to both value for money and sustainability in all their office developments.

The 100,000 sq ft, 5-storey development has 18 car parking spaces and it is one of the first BREEAM Excellent 2011 building in the UK. Despite its high specification, is being offered off a base rental of £22 per sq ft for a 15-year lease. 40% of the building has already been let to the Pension Protection Fund and Abstract is in currently in discussions to let another floor.

Further information:

Christopher.mcpherson@abstractsecurities.com - 020 7747 8282

www.renaissancecroydon.com
www.abstractsecurities.com 

PRACTICAL COMPLETION ACHIEVED AT RENAISSANCE

Abstract is pleased to announce that its Renaissance Croydon development achieved Practical Completion on the due date, being 4 November 2013.

Three months prior to this the building was purchased by M&G Real Estate, underlining Abstract’s confidence in the Croydon market.

The first tenant, Pension Protection Fund, has leased 40% of the building and will soon take occupation of its fully fitted space. 

BUILDING WORK NOW STARTED ON ABSTRACT’S ‘ST VINCENT PLAZA’ GLASGOW

HIGH SPEC, HIGH VALUE SCHEME OFFERS GRADE A SPACE AT UP TO 41% LESS THAN COMPARABLE CITY CENTRE SCHEMES

Abstract (Glasgow) Ltd – a company established by Mark Glatman’s Abstract Securities Ltd – has announced that site enabling work has now been completed and building work has started, at its speculative, high-quality office scheme, St Vincent Plaza in Glasgow City Centre, located at the gateway to Glasgow’s International Financial Services District (IFSD).

The building, which is creating approximately 250 new construction jobs, will have an end investment value of around £65m and be able to accommodate at least 2,600 staff when it completes in spring 2015. Significant site enabling work was required to remove the old Living Well Health Club which straddled the site and the adjoining Santander building. This was concluded last week and the contractor started construction of the new office on 14 October.

St Vincent Plaza will comprise 170,000 sq ft of office space, built to a Grade A specification, with rents from just £23 per sq ft – significantly undercutting current headline rents in the City. This landmark development, located opposite the HQ for Scottish Power, will be one of the key elements in the next phase of Glasgow’s IFSD and will not only be the most cost effective new build office development in the City, but will offer one of the best value City Centre office schemes currently being built in the UK.

This high spec, high value development, when complete, will counteract escalating occupational costs by offering businesses the chance to significantly reduce their cost per workstation and buck the trend of rising costs of accommodating staff. A 'BREEAM excellent, EPC B office, built to the highest specification, St Vincent Plaza will offer occupiers up to 41% cost reduction against comparable Glasgow City Centre schemes when rent, occupational density, rates and service charges are taken into consideration.

The building will comprise a lower ground, ground and ten upper floors together with 78 car parking spaces as well as flexible, virtually column-free floorplates of 17,000 sq ft, a feature penthouse office level with terrace and some of the best views in the City. Providing extremely efficient and environmentally-friendly office accommodation, the scheme will be delivered into a market where available Grade A supply continues to diminish.

Christopher McPherson, development director of Abstract, said, “Following an intensive period of four months, we are very pleased to have now completed site enabling works and started to build our St Vincent Plaza scheme. In this building, we are bringing a very innovative concept to the market; which is Grade A space at a huge discount to any other City Centre schemes. What we are offering is office space that absolutely does not compromise on quality, but simply cannot be found at this cost anywhere else – our cost per workstation will not be replicated anywhere else either in Glasgow or many other City Centre locations in the UK.’

“Today we find businesses are not only focusing on rents, but are also looking at the cost per workstation. The rental cost does not tell the full story, especially with older and less efficient buildings where density of occupation is poor so companies have to take extra space – businesses need to be thinking about rates and service charges too. It is also simply untrue that it is cheaper just to renew an old lease at the end of the term than to find new space.’

‘’At a time when many Cities in the UK are competing with each other to attract major corporate occupiers, this is really good news for Glasgow and puts the City firmly up there as a place which is not only a great place for employers but, with St Vincent Plaza, can now offer brand new Grade A offices which offer significant bottom line cost savings compared to alternative locations.’’

Just minutes' walk from both Charing Cross and Anderston train stations, St Vincent Plaza will also offer immediate access to the M8 and to Glasgow Airport - just 15 minutes away - as well as several bus routes and is within easy walking distance of Glasgow's main retail and leisure zones.

The scheme has been designed by Glasgow-based Keppie Design. Bowmer & Kirkland have been appointed as the contractor. CB Richard Ellis and Ryden have been jointly appointed to market St Vincent Plaza.

For further information, please visit: www.stvincentplaza.com

For media information, please contact:

Lisa Mennie at Skylark Public Relations Ltd on
T: 07825 225 414
E: lisa@skylarkpublicrelations.com 

NEW SPECULATIVE OFFICE BUILDING LAUNCHED

Croydon’s first speculative office building for a generation was launched at a VIP reception last Tuesday.

The striking five-storey Renaissance development, providing almost 100,000 sq ft of Grade A office space in Dingwall Road, offers exceptional quality at an affordable price.

Located just two minutes walk from East Croydon station, Renaissance has been developed and equity financed by Abstract and was sold three months ahead of completion to M&G Real Estate.

The Pension Protection Fund has already agreed to let floors one and two, a total of 41,000 sq ft, and will start to occupy the premises next month, while letting agents Knight Frank and Sinclair Clark say there has been considerable interest in the remaining space.

Mark Glatman, chief executive and founder of Abstract, believes Renaissance’s outstanding connectivity, sitting just 15 minutes by train from Central London, helps to present an unarguable case for businesses to bring their administrative teams to Croydon.

“This gives agents an opportunity to go to their clients with a very simple idea,” said Mr Glatman. “With West End rents of £110 or £120 a foot and looking at City rents which are now starting to rise again, why not move your back office to Croydon. Why do they need to be in the city?

“The rent is £22 per sq ft on a 15-year lease but, more importantly, the finance director likes hearing that it’s £3,000 per workspace. That is significantly cheaper than anything else London - probably 100% cheaper than most locations.

“Croydon is fantastic for support space and, with the third busiest station in the UK, a lot of admin people currently are coming out of Croydon to go into the City.”

Mr Glatman is convinced that Renaissance will act as a catalyst for further investment in Croydon and Abstract has just underlined its commitment to the town by purchasing the nearby Emerald House, in Lansdowne Road.

“Renaissance is the first speculative building in Croydon for 20 years and we think this is going to be the beginning of Croydon. With the commitment from Westfield and Hammerson, people are going to see what a good place it is for business.

“Croydon has a huge catchment area, as is demonstrated by the interest of Westfield who estimate that there are six million people within a 20-minute drive time.”

Paul Spooner, interim director of planning at Croydon Council, paid tribute to the new development and highlighted the transformation taking place in the town – with £3billion of public and private sector investment set to take place over the next five years.

“This is just a stunning building, very simply designed but truly wonderful, very efficient, incredibly practical for occupiers and superbly located,” said Mr Spooner.

“As usual with anything that Mark’s involved in, it has been presented in the most dramatic fashion in terms of its presence in the street and it is going to be very easy for occupiers to see the benefits of locating here.

“Croydon really is on the move and we are determined to use the platform and opportunities that Renaissance and others provide to attract more inward investment.

“With the help of Mayor of London Boris Johnson, we are spending £50m on improving the public realm of the centre of Croydon. We’re not just giving the centre of Croydon a facelift, we’re giving it a full bodylift to make it a really smart environment, with new squares, new public realm, a place that people can feel safe, attractive, and that they can enjoy as well.

“As Mark says, we are very keen to attract people who believe that they shouldn’t need to pay the high costs of a West End or City or Canary Wharf location for their offices. We are the value-for- money alternative in every sense.

“If you want to pay 80% more for your total office occupancy costs you go to Hammersmith, if you want to pay 75% more for your total office occupancy costs you go to Chiswick, if you want to pay 45% more you go to Reading. But you can’t get to Central London in 15 minutes from any of those locations.

“Croydon offers good value, is well connected and is on the brink of the most significant phase of regeneration in its history.”

Mayor of Croydon, Councillor Yvette Hopley, said she had enjoyed watching the development grow and was delighted it had now come to fruition.

“It’s a fantastic building with fantastic views of East Croydon with its new bridge,” she said. “I cannot believe the change in Croydon since I became Mayor in May. I get to drive round the borough a lot in this role, and I’ve seen new schools, new buildings, new hotels, all in just a few months.”

For further press information, please contact:

Graham Moody graham@whitelabelconsultants.org.uk