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LIVERPOOL DEVELOPMENT UPDATE March 2019

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LIVERPOOL DEVELOPMENT UPDATE March 2019 LIVERPOOL DEVELOPMENT UPDATE March 2019 Welcome Welcome to the March 2019 edition of the Liverpool Development Update. As you will discover within these pages, Liverpool is in the midst of an unprecedented renaissance - with the City on course to attract over £1 billion in new developments for the 5th consecutive year! Indications are showing that both 2019 and 2020 are set to continue seeing such high levels of investment, bringing new homes; leisure, health and education facilities; and a mixture of offices/industrial and commercial space creating new jobs to support this city’s growing economy and rising population. Since I became Mayor in 2012, there has been over £6.3 billion invested by the public and private sectors across the City, with £3.27 billion of that (more than half) being invested in our neighbourhoods. In that time: 11,220 new homes have been built; Over 5,000 empty homes have been brought back into use; and 12.4 million square feet of floorspace has been built or refurbished to provide space for over 21,000 jobs. Encouragingly, 2018 saw several larger schemes begin that will underpin growth for the coming decade, in particular the first four residential schemes on the much anticipated Liverpool Waters, and we are making steady progress in getting ready to begin building the new cruise liner terminal and associated hotel development. Progress is also evident at the £1bn Paddington Village scheme, with its first four schemes now underway; and more due to start next year. In the residential sector, my original target to build 5,000 new homes has been surpassed, whilst the Council’s own ethical new housing company Liverpool Foundation Homes Ltd is now up and running with its first two FRONT COVER: schemes already on site. The new company will be responsible for building and refurbishing an additional 10,000 homes over the coming 1 years, many of which will be targeted at people who often have difficulty finding the kind of home which suits their needs and budget. 2 3 As we approach the end of the second decade of the 21st century, the prospects for our city remain positive. The value of schemes either with 1. ON SITE: ARTIST’S CGI’S OF or seeking planning approval, or in the early stages of preparation now PADDINGTON VILLAGE stands at £13 billion. This includes the potential for over 25,000 new 2. PROPOSED: CNANGES TO ALBERT homes and over 30,000 new jobs. DOCK 3. PROPOSED: CRUISE LINER This document shows where some of that investment is likely to be. I TERMINAL hope you find it useful and informative. Joe Anderson, OBE Mayor of Liverpool Contents Development Overview – Citywide 1 Development Overview: City Centre 2 City Centre: Offices 3 City Centre: Retail 4 City Centre: Leisure & Culture 5 City Centre: Hotels 6 City Centre: Knowledge Quarter 7 City Centre: Residential 8 City Centre Development Schedule 9 Development Overview: Outside the City Centre 23 Neighbourhoods: Industry & Warehousing 25 Neighbourhoods: Retail & Leisure 26 Neighbourhoods: Schools 27 Neighbourhoods: Health 27 Neighbourhoods: Residential 28 North Liverpool Mayoral Development Zone 31 Stonebridge Cross Mayoral Development Zone 35 Central Liverpool Mayoral Development Zone 37 South Liverpool Mayoral Development Zone 39 Development Overview: City-wide CITY-WIDE DEVELOPMENT ACTIVITY OVERVIEW: KEY FACTS AT A GLANCE: • Value of major schemes completed in the whole City of Liverpool since January 2012: £6.3 billion • Construction value of major schemes completed in Liverpool since January 2018: £1.08 billion ON SITE: “QUAY CENTRAL” AND “PARK CENTRAL” ARE THE FIRST MAJOR SCHEMES ON LIVERPOOL WATERS TO COMMENCE OUTSIDE OF THE CITY • Number of potential new/safeguarded FTE CENTRE. THE SCHEME, BEING BUILT IN TWO PHASES, WILL DELIVER 237 equivalent job spaces created by city- APARTMENTS. wide developments completed since January 2018: 2,200 CITY-WIDE INVESTMENT EXCEEDS £1 • Actual construction value of major BILLION OVER 12 MONTHS YET AGAIN schemes currently on site city-wide: £1.44 billion. Construction activity across Liverpool has continued to achieve over £1 billion each year for the last 4 years. • Number of potential new/safeguarded FTE At present the City has some £1.44 billion worth of job spaces that will be created by new development activity on site, with some £300 million of developments that are currently on site: this taking place outside of the City Centre. 3,300 As several of our larger, long term development schemes came to a close in 2017 and 2018, it is the housing sector Breakdown of development values by which is currently seeing the lion’s share of investment. The activity currently on site, Liverpool city-wide number of homes being built in the City has soared, whilst as at March 2019 (£m) there are an increasing number of residential schemes coming forward for planning. These will go some way to providing the 16 25,000 to 30,000 new homes Liverpool will need over the next 12 15 years. These numbers will be boosted even further as the 75 number of new homes that will be part of the Council’s own 250 housing development company vehicle – Liverpool 144 Foundation Homes Ltd” – gets underway. Some £250 million worth of investment is being seen in the 36 student accommodation sector, though there are indications that investors are beginning to realise that the market may be reaching saturation point and some proposed schemes have 193 now been converted following initial submission to studio-sized residential accommodation for key workers and young professionals. The hotel sector is one that is growing again, with £193 million 39 8 currently being invested in new hotels, guest houses and serviced apartments. The tourism and leisure sector in the City 696 continues to grow. Year-on-year the number of hotel rooms sold is growing, along with room revenues. These rises are INDUSTRIAL partly due to the success of the Council’s Arena, Convention OFFICES and Exhibition Centres, but also to the continuing investment RETAIL/DISTRICT CENTRES and sponsorship of major cultural events which the City is renowned for. The recent Giants Spectacular attracted over HEALTH CENTRES & HOSPITALS 1.2 million visitors to the City. EDUCATION (SCHOOLS, COLLEGES, UNIVERSITIES) Developments to watch coming forward for the future will be HOTELS the new cruise liner terminal, a possible new football stadium OTHER MAJOR LEISURE ATTRACTIONS for Everton Football Club at Bramley Moore Dock, a new creative district at Ten Streets, leisure developments at Kings PUBLIC SECTOR INC INFRASTRUCTURE Dock, and redevelopment and restoration at the former HOUSING (NON-STUDENT) Garden Festival site now known as Festival Gardens. STUDENT ACCOMMODATION 1 Development Overview: City Centre CITY CENTRE DEVELOPMENT ACTIVITY OVERVIEW: KEY FACTS AT A GLANCE: Value of major schemes completed in the City Centre since January 2012: £3.03 billion Number of potential new FTE jobs created or safeguarded in the City Centre by developments ON SITE: THE £20 MILLION RUTHERFORD DIAGNOSTICS CENTRE IS THE LATEST SCHEME TO GET UNDERWAY AT PADDINGTON CENTRAL. IT IS THE FIRST IN A completed since January 2012 NETWORK OF CENTRES THAT ADDRESS THE SIGNIFICANT SHORTAGE OF (when let and filled to capacity): DIAGNOSTIC PROVISION IN THE UK. 13,484 Value of major schemes completed PADDINGTON VILLAGE LEADING THE WAY in the City Centre since January 2018: AMONGST NEW CROP OF DEVELOPMENTS £668 million The Knowledge Quarter area of the City Centre is taking centre Number of potential new FTE jobs stage as several new developments get underway. With the created or safeguarded in the City Lime Street Gateway project having completed in early 2019 bringing a new Premier Inn hotel, student accommodation and Centre by developments leisure outlets, Paddington Village has now started with four completed since January 2018 major schemes having commenced in 2018. In the Fabric (when let and filled to capacity): District which forms part of the northern flank of the Knowledge 1,630 Quarter, several student and residential schemes are also underway – with more in the pipeline. Actual construction value of major As the City Council finalises its plans for building 400,000 sq ft of schemes currently on site across the Grade A office space at Pall Mall Exchange, a number of other City Centre: £1.14 billion. office schemes have been coming forward including at the Royal College of Physicians in Paddington Village, and plans for the Data Company to open a 110,000 sq ft call centre on King’s (939) Dock that will employ over 1,500 staff. Meanwhile, HMRC’s £40 million refurbishment of India Buildings’ 270,000 sq ft is in full (901) 532 swing ahead of the arrival of its 3,500 staff next year. 138 Overall, investment levels in the City Centre continue to rise, with 2019 already looking set to exceed 2018’s £640 million 735 worth of completions. 600 640 605 503 500 459 474 400 407 300 310 £ millions 277 200 233 254 100 0 28 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 Major Development Schemes in Liverpool City Centre since 2012 COMPLETED SCHEME VALUES EXPECTED COMPLETION YEAR AND VALUES OF SCHEMES CURRENTLY ON SITE EXPECTED COMPLETION YEAR AND VALUES OF UNSTARTED SCHEMES AS SUGGESTED BY DEVELOPERS 2 City Centre: Offices Office take-up in Liverpool City Centre during 2018 increased by 47%, the seventh consecutive annual rise. Some 582,084 sq ft of space was filled during the year, partly fed by £15.2 million worth of refurbished existing stock being made available, whilst a further £74.4 million is currently underway. This includes the £40 million refurbishment of India Buildings for HM Revenue and Customs where some 3,500 staff will begin moving into the 270,000 sq ft complex from late 2019/early 2020.
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