UK: HUB and Bridges Fund Management have bought 42 Southwark Bridge Road in London for £36 million.
The partners plan to repurpose the vacant existing office on the 100,000 square foot site into a living-led scheme.
The structure of the office building will be retained and upgraded to deliver low-carbon homes.
The acquisition adds to HUB and Bridges’ growing pipeline of office-to-living conversions, which includes 174 coliving homes at Cornerstone, adjacent to the Barbican estate.
The development will take a responsible approach to carbon minimisation. This includes the prioritisation of material re-use throughout, and ensuring the proposed scheme is as energy-efficient as possible in operation.
A “commercially active” ground floor is planned to help integrate the building within its locality and positively contribute to the streetscape. Delivering publicly accessible amenity will help to ensure the scheme serves the wider community, as well as the new residents.
Miles Keeley, head of acquisitions at HUB, said: “This acquisition builds our pipeline of commercial assets that need repositioning to thrive again. There is a significant opportunity for office-to-living conversions that introduce new homes in ultra urban locations, while upgrading building performance and delivering carbon savings. This site is within a pocket of central London that is in need of additional, high-quality housing to serve its large workforce and existing community. We look forward to now working with our project partners to create a best-in-class development that complements its existing bustling neighbourhood.”
Celia Harrison, director at Bridges Fund Management, said: “We urgently need to address the under-supply of quality homes in London – while also working to decarbonise the built environment. We think this kind of well-located low-carbon housing is an important part of the answer – particularly if we can make use of smart design and communal spaces to not only reduce the building’s carbon footprint, but also combat social isolation and enhance residents’ wellbeing. This latest scheme builds on our extensive experience of the living sector, ranging from urban office retrofits like this to our thriving senior living platform Birchgrove.”
HUB was represented by JLL on the acquisition, with legal advice provided by Howard Kennedy.
