MRP, the property arm of construction firm McAleer and Rushe, has completed the purchase of the old newspaper offices at Renfield Street in Glasgow
A property developer building a 300-bed hotel on Renfield Street has now bought the former Herald and Times offices.
MRP, the property arm of construction firm McAleer and Rushe, has completed the purchase of the old newspaper offices at 200 Renfield Street.
It is understood the sale was agreed for more than £10million.
The ground and first floors are currently being let to the Department of Work and Pensions (DWP) for a temporary job centre to deal with a rise in unemployment due to the pandemic.
Glasgow City Council granted permission for the change of use last month. The second floor of the office block will be refurbished and then marketed for let.
A four-star Maldron hotel, with a bar, restaurant and business facilities, is set to open, on the corner of Renfrew Street and Renfield Street, in July this year.
Angus Monteith, development director at MRP, said: The purchase is part of a major, long-term investment project for us in this area of Glasgow. Our 300 bed 4-star Maldron hotel will open in July 2021 and we have planning consent for our 110,000 sq ft Broadway Central office development.
The new hotel and office site is known as Broadway Two while Broadway One is currently home to Tesco Bank.
Mr Monteith added: Our development plans will revitalise an important area of the city centre and support its economic recovery, particularly following the pandemic. We plan to create a fantastic, combined state with generous public realm that will make our new office building at Broadway Central unique in Glasgow city centre.
CBRE acted for MRP in the transaction, with Savills representing the seller, Aegon Asset Management.
Andy Cunningham, from CBRE, who handled the sale, said: It is great news that we have managed to secure the purchase of this well-known building in Glasgow city centre for MRP. It is located in a prime area of the city centre and has unrivalled public transport links and access to endless amenities.
MRP has made a significant investment in the area showing that despite the pandemic, there continues to be strong interest for high quality sites in the right locations, he said.
Last month, the DWP confirmed a temporary job centre was being considered in Glasgow, after the city council granted planning permission for the Renfield Street site.
A spokeswoman said no further information could be provided for commercial reasons, but once leases are signed on temporary premises, details will be published on the government website.
