CBRE Selling Prominent City Centre Office and Leisure Investment 86 Deansgate, a prominent office and leisure development, has been launched to market by the Investment Properties team at CBRE Manchester, acting on behalf of Swiss Life Asset Managers UK. CBRE is seeking offers in excess of £9.55m, reflecting a “topped up” net initial yield of 10% and a low capital value of £195 per sq ft. Situated on the main Manchester City Centre thoroughfare, 86 Deansgate has 48,967 sq ft of commercial space. The five upper floors feature open plan, Grade A offices with flexible floor-plates from 2,100 sq ft to 8,600 sq ft, with two ground floor prime retail units and a basement containing 19 parking spaces. Multi-let to a range of professional office occupiers including Reed Recruitment, Slater Heelis and Resource Solutions, the property also has a vibrant ground floor presence with leisure operators Las Iguanas and Yours Restaurant & Bar in occupation. The 12 occupiers provide excellent diversification of income, with 63% derived from the offices and 37% from the leisure. Contracted passing income of £749,528 per annum reflects an average of £20.82 per sq ft over the offices and £30.81 per sq ft over the leisure. With the current passing rents reflecting 50% discount to prime new build space, investors have opportunities to add significant value by reinvigorating 19,354 sq ft of available office space, as well as through active asset management with the existing tenants.  Additionally, historic planning permission could be implemented to create a two-storey ‘glass box’ extension to add a further 14,000 sq ft of Grade A space on 6th and 7th floors. With immediate access to Exchange Square, home to Harvey Nicholls and Selfridges, 86 Deansgate is in an area which is set to undergo significant investment and development as well as being part of the St Mary’s Parsonage Strategic Regeneration Framework. Will Kennon, Executive Director, CBRE Investment Properties team commented: “The surrounding micro-location of Deansgate and St Mary’s Parsonage is on the cusp of some of the most exciting new commercial-led development with schemes such as; Albert Bridge House (by Oval), Alberton (by Bruntwood), 39 Deansgate (by Candour) together with Property Alliance Group’s extensive mixed use redevelopment at Renaissance undoubtedly extending the city’s prime office core.  86 Deansgate, which sits centrally in between these developments, is therefore set to be a major beneficiary, and we would expect the asset to benefit from substantial occupier demand and rental growth over the coming cycle.” Building, Design & Construction Magazine | The Choice of Industry Professionals 

Orega, the flexible workspace provider, has made a new Partnership Agreement with abrdn to create a high spec flexible workspace at Ingenuity House, Bickenhill Lane, Solihull, B37. The new space will open in January 2024. The 30,500 sq ft flexible workspace will be newly refurbished to provide around 550 workstations on the ground and first floors of the building. The building offers a unique communal atrium where all customers can enjoy hospitality led amenities and facilities. In a separate deal, Orega has pre-sold 150 desks on the 1st floor to a major financial services business on bespoke flexible terms, a real testament of the quality of the Orega offering within Ingenuity House. Ingenuity House is a unique, highly sustainable office building comprising 114,635 sq ft on five storeys, with a Grade A specification. It is an intelligent building and utilizes top grade integrated technology to successfully create a healthy and inspirational working environment, including using space occupation analysis systems to maximize space utility and energy consumption. It received both the Gold National and the Silver Regional Awards for Innovation at the BCO Awards in 2019 and the Celebrating Construction 2017 Digital Construction Project Award. It has a BREEAM score of 70% The building is located on one of the UK’s best commercial hubs, adjacent to Birmingham International Airport and Railway Station and close to the NEC, Resorts World and the Birmingham Interchange at HS2, currently under construction. Once complete HS2 will cut the Birmingham to London journey time from 1 hour 21 minutes to 52 minutes. The new workspace is designed to be a modern, flexible base for the area’s professional and financial businesses, and will offer brand new: It is the second flexible workspace that Orega has launched in Birmingham. It already offers space at The Colmore Building, 20 Colmore Circus, Queensway.The company now offers flex space from 25 locations across the UK and is the UK’s leading provider of flexible workspace under Management Agreements (as opposed to leases). Ben Hutchen, Real Estate Director at Orega, commented: “Ingenuity House is a unique building, which will attract a lot of interest from businesses who are increasingly looking for a flexible way to occupy property but also require high quality “state of the art” space. The popularity of flex space has been growing in Birmingham. According to CBRE*, the city now has 650,000 sq ft of flex space, an increase of 37% on 2022. Average occupancy rates in the city are high- at 85%.” “We are also delighted to have secured an early pre completion letting to a prime financial services business, which clearly demonstrates the quality of ‘flex’ demand. We are thrilled to have captured this within our joint venture agreement on behalf of abrdn.” Les Ross, Fund Manager, abrdn said, “We look forward to working with Orega on this new partnership, Ingenuity House is a high-quality asset with strong ESG credentials. We are committed to reduce the environmental impact of our buildings and we also have a responsibility to investors who want to ensure the way they invest is environmentally relevant. Given the high specification of this building we expect to attract significant interest from occupiers.” Will Kinnear of HEWN who advised abrdn in the letting to Orega commented, “The flexible workspace sector is flourishing in the regions, as hybrid working becomes business as usual. By their very nature, flexible workspaces are flexible and responsive to market conditions. abrdn understand this and the partnership with Orega, to provide a high-quality flex offering alongside a traditional office product will ensure that Ingenuity House can meet all demand in the area. This site is a gamechanger for the Midlands and the flexible workspace market.” CBRE’s out-of-town specialist, Michelle Mills, is retained by abrdn to lease the remainder of available space with colleague Dan White, head of flex advisory, Midlands and South, acting for Orega and the new occupier. Dan White said: “It’s no secret that take-up of flex product in Birmingham city centre is high, but the out-of-town market is under served. We’re thrilled to have helped Orega get a foothold here, with the pre-let demonstrating that the demand is there.” Michelle Mills added: “The addition of flex space at Ingenuity House will be a draw not only to footloose occupiers looking for high quality accommodation, but also to larger tenants who wish to take dedicated space but can scale-up as they grow within the building. It undoubtedly further boosts the appeal of this high spec and prominently located landmark office space.” Floorplates from 19,000 sq ft – 30,813 sq ft – the biggest along the M42 corridor – remain available at Ingenuity House. Building, Design & Construction Magazine | The Choice of Industry Professionals 

Fast-growing flexible office provider, Canvas Offices, has unveiled plans to launch a 35,000 SQ FT building above Holborn Tube Station in conjunction with Israeli real estate giant, Eido Hagag, after securing a long-term lease for the property. Acquired by the Hagag-Gaya Holdings in 2021, ‘88 Kingsway’ is an ornate Victorian building which retains many of its original external features. Once home to the British Electrical Federation in 1915, 88 Kingsway is accessible at street level, where the stone emblem of a flanged wheel and electrical bolts can still be seen above the entrance. Having signed terms in August 2023, Canvas now plans to work with Hagag-Gaya Holdings to transform the space into an authentic and modern work environment through an extensive refurbishment project – culminating in the launch of a vibrant and inspiring space which effectively blurs the lines between home and work. Having doubled the size of its portfolio within the last 9 months, Canvas now boasts 15 sites of prime commercial real estate throughout leading London locations, including Shoreditch, Farringdon, and Mayfair; with two additional sites currently under negotiation. This latest news follows a series of exciting developments for the innovative flexible office space provider, having recently opened new buildings in Oxford Street and Farringdon, with both having sold-out within a few weeks of launch. Yaron Rosenblum, Co-Founder and CEO of Canvas Offices, confirmed: “88 Kingsway is an incredible building that still boasts a number of original features throughout. Spanning seven different floors, the space has amazing potential to be transformed into a thriving, design-led workspace in one of London’s top locations with highly accessible transport connections east to west and north to south via the Central Line and Piccadilly Lines respectively. We are really excited to commence works, have a unique and engaging design concept in place and are aiming to open its doors to our first tenants from spring 2024.” Established in 2018, Canvas Offices is on an exciting trajectory for growth after securing a £2.5 million in debt investment in October 2022, and boasts plans to further accelerate with the launch its first investment round this autumn. Underpinned by a growing team of industry experts, Canvas buildings are home to hundreds of ever-expanding businesses from start-ups to Global unicorns, including influential brands like Rough Trade, Patchwork, Malin+Goetz, and Augustinus Bader. Hagag-Gaya Holdings was founded by Mr. Eido Hagag, an Israeli entrepreneur and co-founder of the publicly traded Hagag Group, one of Israel’s leading property developers. The company specialises in property investments, development and management in the UK and Europe. Building, Design & Construction Magazine | The Choice of Industry Professionals 

Leading flexible workspace announces third Management Agreement in London in just three months to create further modern flexible office space in prestigious location. Orega, the flexible workspace provider, has completed another new Management Agreement to create further high spec flexible workspace at 70 Gracechurch Street, EC3.  The new space will open in January 2024 The 37,000 sq ft of flexible workspace will be newly refurbished to provide around 650 workstations on the 4th and 7th floors of the building. In addition, there will be substantial collaboration spaces and meeting room services. Orega already has management agreements in the building and operates 50,000 sq ft. of flex space on the 2nd and 3rd floors. The scheme has been hugely successful to date and is consistently at 95+% occupancy. Orega plans to manage the new space in a similar successful way. The new space means Orega will therefore be managing over 87,000 sq ft of flex space at Gracechurch Street, a testament to how successful it has been with its current flex space in the building. 70 Gracechurch Street is a 200,000 sq ft building located in the heart of the City, just minutes from Bank tube station. It is close to many local amenities including restaurants, coffee bars, gyms and retail and is situated next to the historic Leadenhall Market, one of London’s oldest marketplaces.  The new workspace is designed to be a modern, flexible base for the area’s professional and financial businesses, and will offer brand new: The new space will help consolidate Orega’s offering of flexible workspace in the City. Orega recently announced the acquisition of 27,832 sq ft at 70, Mark Lane, EC3 and approx. 36,000 sq ft at 51, Lime Street EC3 in August. The expansion at Gracechurch Street therefore is the third management agreement it has announced in the City in the last three months. The company now offers flex space from six locations in London, where it now runs over 220,000 sq feet of space out of its total portfolio of around 605,000 sq ft across the UK. It is the UK’s leading provider of flexible workspace under Management Agreements (as opposed to leases). Ben Hutchen, Real Estate Director at Orega, commented: “Given the changing nature of working patterns, high quality flex space in London is increasingly popular. Latest research from the Instant Group* shows that occupancy rates in London are higher than average, as are occupancy rates for higher end quality space. Our current space at Gracechurch Street has been in high demand, particularly post the pandemic. We are excited about the opportunity to operate further high-quality state of the art flexible office space in this prestigious location.” Alan Pepper, CEO at Orega added, “We will now be managing over 87,000 sq ft of flex space from Gracechurch Street, a testament to how successful we have been with our current flex space in the building. This latest announcement means Orega’s London portfolio represents over 36% of our total portfolio and illustrates our belief that despite current uncertain market conditions, the demand among London businesses for high end quality flexible workspace remains high.” Allsop advised the corporate occupier on the management agreement. *The Instant Group has also forecast that by 2030 the flexible workspace market will have grown by over 500% and make up at least 25% of the UK office market”.