Aviva Investors, the asset management business of Aviva, has agreed to form a long-term partnership with UK property investment and development company Allied London to create Enterprise City at St John’s, Manchester’s newest city centre neighbourhood.
The wider neighbourhood development has an investment value of more than £1.25bn.
Both companies will combine their expertise to establish one of the UK’s leading digital, media and enterprise clusters on the former site of Granada television studios in the St John’s area of Manchester, south of Spinningfields.
Enterprise City will consist of more than one million ft² of commercial mixed-use space, including workspace, TV and film studios, hotel/leisure and property infrastructure across 10 buildings.
It will provide spaces for start-ups and small and medium-sized entities; production facilities for media companies; and buildings designed to attract global brands and industry leaders.
Technology company Booking.com will be the anchor tenant at Enterprise City, taking 220,00ft² at the Manchester Goods Yard buildings.
Initially, Aviva Investors will commit £300m to the project, which will be a key addition to the Manchester real estate portfolio of almost £450m.
One of Aviva Investors’ core locations for its real estate platform due to its strong economic fundamentals, the city has four universities, highly-qualified labour and digital and knowledge industries with more than 62,000 jobs in the sector.
Manchester City Council granted planning permission for the Old Granada Studio development in May.
The revised application supports Allied London’s plans to retain and refurbish the original television studios and include new workspace elements.
A nine-storey mixed-use building will replace the old annex building and will consist of retail units, workspace and residential space.
Redevelopment of the Bonded Warehouse and the ABC buildings is also underway, and new occupiers are expected later in 2018.
Allied London’s studios business All Studios will manage the multi-functional filming, production and studio facilities at Enterprise City as part of the funding partnership.
However, the Crystal Maze Studios on Lower Byrom Street does not form part of the All Studios business.
Allied London launched the Enterprise City concept at Le Marché International des Professionnels de l’Immobilier (MIPIM) Conference 2018 in Cannes, France.
CBRE advised Aviva Investors in this project.
Image: St John’s, Manchester’s newest city centre neighbourhood. Photo: Courtesy of Allied London.