Glasgow City Council has appointed global property consultancy CBRE, working alongside Mandala Partners, to develop a business case for a new city centre growth fund aimed at unlocking major development opportunities, attracting private investment and accelerating residential regeneration.
The proposed investment vehicle could play a significant role in reshaping central Glasgow, supporting the delivery of new homes, commercial developments and wider regeneration projects as the city pursues its ambition to increase its city centre residential population to 40,000 by 2035.
The appointment marks an important step in exploring alternative funding mechanisms capable of overcoming the financial viability challenges that can prevent development schemes from progressing, particularly within established urban locations.
CBRE will lead the assessment, supported by economics, policy and strategy consultancy Mandala Partners, examining how public and private sector capital could be combined to stimulate investment and bring forward development opportunities.
A central element of the study will be identifying potential funding structures that can address viability gaps, helping to make residential and mixed-use schemes more financially deliverable while encouraging further institutional and private sector investment.
The work will also consider how a growth fund could be established, financed and operated, drawing on investment and regeneration models already developed by local and regional authorities elsewhere in the UK.
These approaches will be assessed against Glasgow’s particular development requirements, economic priorities and the wider Scottish funding environment.
Although the initial focus will be on central Glasgow, the Council has indicated that any future investment mechanism could potentially be expanded to support regeneration and development across the wider Glasgow region.
The study comes as cities throughout the UK continue to examine new ways of financing urban regeneration, particularly where construction costs, infrastructure requirements and development viability present obstacles to bringing forward major projects.
For Glasgow, increasing the number of people living in the city centre is a central part of its longer-term regeneration ambitions. Additional residential development could support greater demand for retail, leisure, hospitality and local services, while encouraging investment in existing buildings and underutilised urban sites.
A dedicated growth fund could potentially provide a more coordinated approach to investment, helping public and private sector partners address the financial barriers associated with delivering new development.
However, the establishment of such a fund remains at the feasibility stage, with no final decision taken on whether it will proceed.
The business case is being prepared in accordance with HM Treasury’s Green Book guidance, which provides the framework for assessing the economic, financial and strategic justification of public sector investment proposals.
A Glasgow City Council steering group, comprising elected members and senior officers, will oversee the preparation of the study, which is expected to be completed by the end of 2026.
The findings will inform the Council’s consideration of whether a growth fund represents a viable and effective mechanism for supporting future investment.
Any subsequent decision to establish the fund, including its financial structure, governance and potential investment priorities, will require further consideration and approval by the Council.
The appointment of CBRE and Mandala Partners highlights Glasgow’s ambitions to strengthen its investment proposition and explore new partnerships capable of supporting long-term urban transformation.
With residential growth, commercial investment and city centre regeneration increasingly interconnected, the proposed fund could become an important mechanism for unlocking development opportunities and supporting Glasgow’s next phase of growth.
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