The Changing Face of Cardiff

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Evolving Cities The changing face of Cardiff

Autumn 2017

gva.co.uk Evolving cities

The UK’s cities are The Changing Face of Cardiff is one of our series of reports looking at how undergoing a renaissance. the UK’s key cities are evolving and Large scale place making the transformational change that is schemes are dramatically occurring, either in terms of the scale improving how they are of regeneration activity or a shift in perception. perceived, making them more desirable places to For each city, we identify the key locations where such change has live and work, and better occurred over the last 10 years, able to attract new people and the major developments that and businesses. continue to deliver it. We then explore the key large scale regeneration opportunities going forward.

Cardiff today

Cardiff is the capital Cardiff’s city status and wealth The city has become a popular The city’s transport links are international location for businesses was primarily accrued from its tourist location which has been undergoing significant improvement. is supported by the city’s ability to and focal point of Wales. coal exporting industry, which led underpinned by major investments At Cardiff Central Station, Network Rail offer high quality office stock within Historically the city to the opening of the West Bute in leisure, sports and cultural venues. has recently added a new platform, Central Square, Callaghan Square flourished, becoming Dock and transformed Cardiff’s The construction of Mermaid Quay facilities and a modern entrance to and Capital Quarter. Key occupiers the world’s biggest coal landscape. Cardiff’s docks reached in the 2000s established Cardiff the south side with further major are increasingly choosing Cardiff as their peak in 1913, when over 10 Bay as a leisure and retail quarter, redevelopment plans in the pipeline their headquarters. These include exporting port. Following million tonnes of coal was exported. offering water taxi services into the to create a modern day transportation BBC Wales and Admiral Insurance. a decline in the 1970s During the 20th century Cardiff’s city centre and across the Cardiff Bay hub. The Great Western electrification St David’s is an exemplar shopping port declined drastically, and by Barrage to Penarth. On the sporting scheme will provide an eco-friendlier and 1980s Cardiff moved centre originally opened in 1981 and the late 1970’s the closure of East front, the development of Millennium and faster rail service and connect the 2009 St David's 2 redevelopment towards a service orientated Moors steelworks symbolised the Stadium in readiness for the 1999 Cardiff to London in under two hours transformed it into one of the largest economy. Now finance decline of the industrial sector. Rugby World Cup further enriched by December 2018. The delivery of shopping centres in the UK. Anchored the city’s position as a global tourist the new bus interchange at Central & professional services, The 1990s saw the regeneration by John Lewis, it has helped Cardiff destination. More recently in June Square and plans to improve the of Cardiff’s docks and city centre become a leading retail destination. creative industries and the 2017, Cardiff hosted the Champions metro transport system will support to support tourism and inward public sector have become League final which attracted in connectivity and efficiency within Key future regeneration schemes investment. The Cardiff Bay excess of 200,000 visitors to the city. Cardiff, with the further potential for including Central Quay and Dumballs dominant employers in Development Corporation governed extension into the valleys around the Road will continue to strengthen the city. the regeneration of 2,700 acres in Today the city continues to attract South Wales region in the future. Cardiff’s image as they transform the docklands. This largely successful businesses and the unemployment the wider city centre landscape and waterside development became home rate has fallen to 4.8%, the lowest The developments at Cardiff Central support Cardiff’s ambition to become to the National Assembly for Wales. level in over a decade. Cardiff is a fast station align well with the on-going a prime European destination for growing economy and its population regeneration of key enterprise business and tourism. is increasing at over 1% per annum, zones in the immediate vicinity. exceeding the UK average. Cardiff’s goal to become a leading Changing places

Cardiff has a pipeline of Longer-term opportunities ambitious projects over We have also identified a number the next 10 years which of additional sites we believe are will continue to shape worth observing for their longer-term potential. The first site is Motorpoint the city’s success. Arena located opposite St David’s It is one of the fastest growing cities 2 where a long term commercial in the UK and has the strongest development is possible. The current projected population growth in 7,500 seat arena is likely to become Wales over the next five years. underused following the potential To ensure growth is sustained the redevelopment of Arms Park stadium, city needs to invest in infrastructure, discussed later in this report. particularly homes and transport, MA Rapport owns two sites, one on to overcome the growing pressures. Adam Street and another on David The following pages detail the key Street. The business previously regeneration schemes from the last had plans for the development of decade that have been the most their David Street site and National significant in transforming Cardiff, Car Parks continue occupying the and the schemes to be delivered in Adam Street site. However, both the next 10 years that will enable sites offer longer term potential further growth and success. The for commercial opportunities, developments included are St David's most likely for grade A offices. 2, Callaghan Square, Capital Quarter, The current HMRC office is located Porth Teigr, Central Square, Cardiff at Ty Glas, Llanishen, outside the International Sports Village, Central city centre. However, the confirmed Quay, Dumballs Road, Cardiff Arms relocation of HMRC into Cardiff Central Park and Westgate Plaza scheme. Square provides an opportunity to provide a major mixed-use development which will have a significant impact on Cardiff. Salisbury Road

Pearl Street

Windsor Road 2007–2027 Westgate Street 9 1 2 3 East Tyndall Street Principality 1 Stadium St David's 2 Callaghan Square Capital Quarter 10 Lewis Road 3 5 Ocean Way

Tyndall Street 2

Lloyd George Avenue Central Link

Clare Road

Dumballs Road Court Road FootballCardiff Club City 7

4 5 6 8 Porth Teigr Central Square Cardiff International Sports Village

Corporation Road Eastern Bay Link Road

Paget Street

Clive Street

A4232

Clarence Road A4232

7 8 9 Ferry Road Central Quay Dumballs Road Cardiff Arms Park A4232 4

Ferry Road Cargo Road

A4232

10 Westgate Plaza scheme

International Drive

6 St David's 2

St David’s 2 was the most The development completed in The shopping centre also boasts 2009 and extended the original two 18-hole mini golf courses on significant development centre by nearly one million sq the roof plus 304 luxury residential in Cardiff for decades ft through demolishing an older apartments, surrounded by and has helped the city shopping arcade with upper landscaped rooftop gardens. floor offices together with an become one of the UK’s The scale of the development and adjacent car park, library and a major improvements to the public top retail destinations. Toys R Us retail outlet amongst realm and public art around St David’s other smaller retail units. have been fundamental to the growth St David’s was a £675 million project of the surrounding area. Mill Lane in delivered by St David’s Partnership, particular has been transformed by a joint venture between Land the creation of St David’s 2 which Securities and Intu. The scheme generated demand for the food was split into a two phase project, quarter and now houses a large where St David’s 1 focussed on the number of leading occupiers including refurbishment of the original shopping Cote, Bills, Las Iguanas and Ask Italian. centre whilst St David’s 2 involved the St David’s also led to the development demolition of several sites to extend of Admiral Insurance’s HQ building of the shopping centre and improve 240,000 sq ft directly behind, which the surrounding public realm. has been awarded BREEAM Excellent. The development created over 80 The regeneration of St David’s has new stores plus 3,000 car park spaces transformed the southern end of and attracted some notable new the city centre and rejuvenated a occupiers to the city, including Hugo previously underused area whilst also Boss, All Saints, TM Lewis and Cath vastly improving the city's retail offer Kidston. The scheme was anchored by bringing in brands and stores who by John Lewis, the retailer’s first previously would not have considered store in Wales and at the time their Cardiff. Its catchment population largest store outside of London. In reaches 1.3 million and since it opened 2015 H&M opened a 46,000 sq ft the number of visitors to Cardiff city flagship store in the development, its centre increased by one third, with largest store in the UK at the time. in excess of 4,000 jobs created.

Callaghan Square is at the A joint venture between MEPC It was fundamental in supporting and Rightacres brought about the the service sector and providing high heart of Central Cardiff development of Callaghan Square quality office accommodation within Enterprise Zone and was which pushed the traditional office the city centre. Occupiers established one of the first office- core south and away from the at Callaghan Square include focussed regeneration Newport Road area. The office Eversheds, Aecom, Allied Irish, HSBC, landscape in Cardiff was transformed Hays and British Transport Police. schemes developed in by its five grade A office buildings The development is situated adjacent the city. This is a fairly totalling around 305,000 sq ft. to Cardiff Central railway station and mature scheme, however In 1998 Nicholas Hare Architects is in close proximity to the St David’s 2 it has been pivotal in secured the contract to create the shopping development. It also created shaping Cardiff’s office masterplan for the sites surrounding a much improved link to Cardiff Bay. the square. Callaghan Square was A single site of circa five acres on market and attracting formerly called Bute Square but the south side of Callaghan Square international businesses. was renamed in 2002 in honour of remains undeveloped and is now the former Prime Minister, James in public ownership with the Welsh Callaghan. The regeneration was split Government, who acquired it in 2013 across two phases; the first phase saw from MEPC. The site comes with the development of One Callaghan planning permission for 500,000 Square which completed in 2002; sq ft of commercial floorspace and the second phase involved three and given the strong demand for buildings totalling 164,000 sq ft. offices the most likely development The majority of the development will be further grade A offices. completed by 2008 and became Cardiff’s premier business location.

Capital Quarter is a The developer JR Smart has a rich The installation of the £2.5 million history of completing speculative footbridge in 2014, named Smart significant mixed use office and industrial schemes Bridge has been central to the redevelopment of a former across Cardiff. The outline plan regeneration of Capital Quarter brownfield site located in for Capital Quarter proposed over and significantly improved the link the heart of the Cardiff one million sq ft of development into the city centre. The bridge to include offices, hotels, student runs across the main railway line Central Enterprise Zone. housing and education uses. and provides a welcome access for The opening of the Smart both pedestrians and cyclists to Capital Quarter was formerly a the city centre and opens up the Bridge linking the site multi-tenanted light industrial and area in and around Tyndall Street. with the city centre has warehousing estate housing SME been the catalyst for businesses prior to the development It has also been fundamental in of more established business parks establishing the area as a prime development and has on locations further outside the city. office location, enabling it to compete drawn the office core out The development of Capital Quarter with Callaghan Square and other from the traditional centre. commenced over seven years ago city centre grade A office locations. and is now more than 50% complete. In 2015 Smart Bridge won the prestigious award from The Institution 165,000 sq ft of office space has been of Civil Engineers (ICE) Wales for added across Number 1 and Number its excellent concept and design. 2 Capital Quarter, with the former now fully occupied and the latter 80% Construction of Number 3 Capital occupied. The Welsh Government Quarter is under way and is expected acquired Number 1 Capital Quarter to complete in March next year from JR Smart in 2013 to stimulate the whilst the construction of Number market during the poorer economic 4 is likely to commence over the conditions and has recently sold it on next 18 months. Proposals also to a private investment fund. Number include a hotel and there is scope 2 Capital Quarter now houses Public for further development as JR Health Wales and Opus Energy. Smart recently bought additional land from Cardiff Council extending The Capital Quarter student Capital Quarter onto John Street. accommodation is now complete and comprises a total of 544 beds Capital Quarter also has a multi-storey and the first students have taken car park which is nearing completion occupation in September 2017. and improvements have been made to the adjacent Tyndall Street which The development supports includes the city centre ring road and the expansion of the city office provides good links to bus services. core to the south and towards Cardiff Bay as a result of growing demand and a lack of suitable land available more centrally.

Porth Teigr is one of The mixed-use redevelopment of the Located opposite Roath Lock studios former brownfield site is a joint venture is Gloworks, a new creative industries Europe’s most significant between Igloo Regeneration and the centre. Completed in autumn 2014, waterfront regeneration Welsh government, and commenced this was the first building at Porth schemes and is located in 2005. The masterplan integrates Teigr to offer both office and retail within Cardiff Bay. creative, office, retail, hotel, leisure space. It was primarily designed to and residential units and spans across attract media and cultural occupiers 38 acres. This development is central offering close proximity to the to the regeneration of the Cardiff BBC drama studios. The facility Bay area and provides an important provides opportunities for small, link between Roath Basin and the high-growth creative businesses Mermaid Quay leisure scheme. and one of its most notable tenants is Boom Pictures, a leading UK Cardiff is building its reputation television production company. as a creative industries hub and key developments completed at Planning for 104 homes was recently Porth Teigr have raised its profile. approved, which marked the first One example is the BBC’s Roath phase of residential development Lock studios, a drama facility at Porth Teigr. Dwellings will be of 170,000 sq ft where filming a combination of houses and commenced in 2011, marking one of apartments and will range from the largest investments of its kind in two to five bedrooms. These will Europe. It has brought a wealth of be connected by open spaces, opportunities and jobs to Cardiff and and major improvements will be is home to some of the BBC’s leading made to the public realm. Further programmes including Doctor Who phases are planned to meet the and Casualty. The building achieved high residential demand which the highest BREEAM rating (BREEAM could see the development of Outstanding) led by the sustainable approximately 1,000 units. development specialist, Igloo.

Central Square is an The vision to regenerate Central Square 2018. Three Central Square is at the commenced in 2013 following the heart of the regeneration scheme, on-going regeneration acquisition of the Planning Department and is to be the home of the new scheme which has become offices by Rightacres. A larger BBC Wales headquarters. Designed the gateway to Cardiff. regeneration opportunity soon became by Foster and Partners the 180,000 sq The scheme will provide apparent and Cardiff Council supported ft building is expected to be handed Rightacres to revitalise the wider area. over to the BBC in May 2018 for fit-out office space together with and will be fully occupied in 2019. ground floor retail space Central Square is a strategically important site adjacent to Cardiff The next phase of the Central Square and a new bus interchange Central railway station and Principality regeneration includes the Cardiff designed by Foster & Stadium. The masterplan incorporates interchange on the former Marland Partners. a large open space at the exit of House and multi-storey car park site. the Cardiff Central railway station, The proposal includes the replacement providing a positive impression to of the bus station which will move visitors and residents alike. The five- closer to Cardiff Central railway station, phase development will bring circa improving links to other transport one million sq ft of new commercial networks. The interchange will host and residential space and revive the retail on the ground floor and offices area to the north of the rail station and residential units on the upper floors. into a thriving business district. Two further office buildings are Legal & General has underpinned proposed at Five and Six Central the development through £400 Square of 270,000 sq ft and 150,000 sq million worth of funding, which will ft respectively, subject to planning. St add office, residential and retail David’s House at the top end of Central space plus improvements to the Square will need to be demolished public realm. Pedestrianisation of to facilitate these developments. Wood Street, Marland Street and the The latest positive news comes from Millennium Walkway, will be carefully the UK government signing a 25- designed to support the public flow year lease for 265,976 sq ft at Central to the stadium and provide safe and Square, which developers claim is convenient walking and cycle routes. the largest office deal ever secured The first phase, One Central Square in Wales. The office forms part of was delivered in March 2016 which the Government Hubs programme added 135,000 sq ft of office space and will accommodate over 4,000 and achieved a BREEAM Excellent employees across several government rating. The building is fully let with departments. HMRC will be the largest occupiers including RBS, Julian Hodge department to occupy the building, Bank and Morgan Cole. Rental levels which is expected to complete by 2020. on completion are rumoured to be in The Central Square regeneration excess of £24 psf, setting a new record will create up to 10,000 jobs and for grade A rents in Cardiff city centre. has provision for PRS and a hotel Construction of Two Central Square is is also being considered. However well underway and is now fully pre-let this is subject to demand and may to Hugh James and Cardiff University, alter as the masterplan develops. © Right Acres Property with completion expected in September Cardiff International Sports Village

The regeneration at This regeneration of former brownfield The £16 million rink opened in March land is one of the most exciting on- 2016 and boasts two ice pads for the Cardiff International going schemes, which has already recreational and professional use and Sports Village is strictly brought several state-of-the-art has seating for over 3,000 spectators. sports facilities to Cardiff Bay. The speaking outside the city Upon completion, the village overall development will provide a centre area covered by could have an indoor snow centre range of leisure, retail, residential for skiing and snowboarding and a this report but it is one and employment opportunities. of the larger regeneration hotel is proposed on the nearby former Cardiff International Pool was the first marina site. The £5 million footbridge projects in Wales and of facility to open at the village in 2008. constructed at the lower end of Penarth significant importance The public-private funded project provides a crucial link for pedestrians to Cardiff as a location. was a partnership between Cardiff and cyclists between the International Council, Orion Land & Leisure, Explore Sports Village and the town of Penarth Investments and Parkwood Leisure. and provides a circular route running The venue offers a 50 metre Olympic around the Cardiff Bay barrage and size pool seating 1,000 spectators, linking back to Mermaid Quay area. an indoor waterpark, a 25 metre warm Cardiff Pointe sits alongside the sports up pool and recent additions include a village and is a residential development. climbing wall and indoor surf machine. Phase 1 completed in 2016 which added The Cardiff International White 98 houses overlooking the Bay. Phase Water Centre opened in 2010. 2 is scheduled to complete in 2018 and This £13.3 million Olympic-standard will add a further 120 homes. Future facility offers on-demand white water phases could add up to a further rafting, canoeing and a flat-water 800 homes, which could see the pond for warm-up and initial training. development of residential towers. The latest addition to the village is the Ice Arena Wales, home to the Cardiff Devils ice hockey team.

Central Quay is an The development covers 16 acres, the surrounding modern buildings. mainly being the existing SA Brain There is potential to make use of the ambitious mixed-use & Company Brewery site but also riverside frontage offering access for regeneration at the River extends into a nearby BMW water taxis and small private yachts Taff waterfront and will dealership site owned by Vastint on the River Taff to enable the city be the largest commercial and a car park area owned by centre to connect to the Cardiff Bay. Network Rail. property regeneration The regeneration site is located south scheme seen in Wales A joint venture between the regional of the Cardiff Central station and is brewer SA Brain & Company and just on the edge of the traditional city in conjunction with Rightacres, the prominent local centre. It will complement Network Central Square. developer behind Central Square Rail’s masterplan to rejuvenate the will deliver this three million sq ft metro system and the station. Having development opportunity which is a station close to the development expected to feature a mix of offices, will help unlock the growth potential residential, hotels and leisure, making to the south of the city centre and use of its riverside location. provide a key improvement in the link between the city centre and SA Brain & Company has proposed to the proposed redevelopment relocate its brewery and headquarters around Dumballs Road. on Crawshay Street which could take up to two years. However, proposals The development is in its early include retaining the iconic Brains stages with no direct submissions Brewery building and chimney stack yet made, but further progress is in order to preserve the site’s brewing expected before the end of 2017. heritage and strong prominence and The scale of the project is vast and profile adjacent to Cardiff Central larger than the existing Central railway station. The historic backdrop Square regeneration, therefore will be a focal point of the scheme offering the potential to create and form a fascinating contrast to thousands of new jobs.

Dumballs Road is Dumballs Road is one of the last large The strategic brownfield site scale development areas in need of will provide a mix of private and strategically located regeneration in the centre of Cardiff. affordable homes, and planning between the city centre Attempts to redevelop the area date permission has been granted for and Cardiff Bay. This back 30 years, but have stalled for 2,000 homes of which 12.5% are long-awaited regeneration multiple reasons. In a drive to push proposed to be affordable. Precise the scheme forward, Cardiff Council plans are yet to be confirmed, scheme will link the two will contribute in the region of £15 however the commercial element areas with a mixed-use million and act as a development is likely to include a significant city quarter. partner to the lead developer Vastint, amount of further grade A office the development arm of IKEA. Given accommodation and a retail & the scale, Vastint has suggested leisure element. Local facilities the scheme could take a decade and schools are likely to come to deliver. under pressure from a rising population and could be added The regeneration will span a total to the development plans. of approximately 33 acres and was approved by Cardiff Council in an The regeneration will change the outline format in December 2016. landscape of the southern part of It is located to the south of the city Cardiff and provide an important centre and is less than a quarter of improvement to the current poor a mile outside the core of the city. link between the city centre and The area comprises ageing industrial the Bay, improving the image of stock which has gradually been the Cardiff as a global location. subject of redevelopment although on a sporadic basis.

Cardiff Arms Park is Cricket was the first sport to be The Cardiff Blues have a lease played at the ground, however it later in place until 2022 and have the located in the heart of the became a rugby ground and is now intention to enter a new 150-year long city centre and is one of home to the Cardiff Blues rugby leasehold with the rights to redevelop. the most famous grounds team. A series of redevelopments of They are also in discussions with in Welsh rugby history. the stadium have taken place across Welsh Rugby Union and Cardiff the 20th century to cope with the Council over their involvement Discussions between the growing crowds. in the scheme. ground owner, Cardiff The proposed development on this Detailed proposals have been Athletic Club (CAC) and seven-acre site includes a state of drawn up with the primary goal Cardiff Blues rugby club the art 15-20,000 seater stadium, of generating revenue which could have the potential to lead complete with a sliding roof and enable the Cardiff Blues to become retractable pitch, a concert venue, one of the top-tier European clubs. to the regeneration of exhibition centre, hotel, apartments The deal is expected to see the the stadium and nearby and multi-storey car park. Cardiff Blues make a large one-off sites bringing commercial Restaurants, bars and coffee shops payment to the ground owner, CAC developments around it, are also planned along the waterfront and an overage provision for office including residential and that could be opened up alongside or residential developments. the River Taff. However, the concept This would therefore give the landlord office schemes. is in early stages of inception with a percentage of any profits generated no plans submitted yet. from this development. However, the development can only go ahead with the landlord’s agreement.

The Welsh Rugby Union The scheme is in the early stages, Located within the government’s however the vision is to rejuvenate Central Cardiff Enterprise Zone, (WRU) has outlined the Westgate Street entrance of the project is in a prime location plans to regenerate the the Principality Stadium. The chief to target grade A office occupiers main stadium access at executive of WRU, Roger Lewis first including financial and professional Westgate Street. This considered the redevelopment in services companies. 2007 although it was placed on The development will potentially area includes historic hold at the time in light of the include a five-storey 40,000 sq ft and listed buildings such weak economic climate. grade A office with a restaurant on as the former Post Office, Following the extensive work around the ground floor. The office would the Civil Courts and the Cardiff Central station and the adjoin a further 200,000 sq ft curved Cardiff and County Club. Central Square regeneration scheme development through an ‘L’ shaped there is now scope for development design. The project is expected to plans to be put back in motion. Any take between 12 to 18 months potential transformation is aimed to once planning permission has vastly benefit not only stadium users been granted. but also the local community. Although plans are not confirmed WRU plans include circa 240,000 sq ft there is an opportunity to work of commercial development which with the Cardiff Blues and the would include offices, a hotel and a Welsh government to incorporate new walkway from Quay Street into WRU’s land to create a masterplan the Millennium Stadium. Alan Francis, in addition to the Arms Park site co-founder of the Gaunt Francis mentioned previously. This would architectural firm is the original lead to a significant regeneration lead designer of the scheme project for the city centre as a whole. which remains subject to planning permission.

Peter Constantine Senior Director [email protected] 0292 024 8932 Tom Merrifield Director [email protected] 0292 024 8917 Daniel Francis Head of Research [email protected] 020 7911 2363 Amerita Vassaramo Senior Researcher [email protected] 020 7911 2510

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