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LIVERPOOL DEVELOPMENT UPDATE October 2018

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LIVERPOOL DEVELOPMENT UPDATE October 2018 Welcome Welcome to the 2018 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 6th 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 £5.7 billion invested by the public and private sectors across the city, with just short of £3 billion of that (more than half) being invested in our neighbourhoods. In that time: 9,700 new homes have been built; Over 5,000 empty homes have been brought back into use; and 12.3 million square feet of floorspace has been built or refurbished to provide space for over 19,000 jobs. Encouragingly, 2018 has seen 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 two 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 PARLIAMENT RESIDENCES exceeds £14.5 billion. This includes the potential for over 25,000 new 2. COMPLETED: THE FIRST MAJOR homes and over 30,000 new jobs. HALF OF LIVERPOOL SHOPPING PARK, EDGE LANE This document shows where some of that investment is likely to be. I 3. COMPLETED: NEW HOMES AT hope you find it useful and informative. “OGDEN’S PLACE” 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: £5.8 billion • Construction value of major schemes completed in Liverpool since January 2018: £584 million 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: 800 OVERALL CITY-WIDE INVESTMENT LEVELS • Actual construction value of major CONTINUE ON EVEN COURSE schemes currently on site city-wide: £1.48 billion. Once again, construction activity across Liverpool has continued to achieve over £1 billion each year. At • Number of potential new/safeguarded FTE present the city has some £1.48 billion worth of job spaces that will be created by new development activity on site, with some £482 million of developments that are currently on site: this taking place outside of the City Centre. 2,080 As several of our larger, long term development schemes came to a close in 2017, it is the housing sector which is Breakdown of development values by currently seeing the lion’s share of investment. The number of activity currently on site, Liverpool city-wide homes being built in the city has soared, whilst there are an as at October 2018 (£m) increasing number of residential schemes coming forward for planning. These will go some way to providing the 25,000 to 2 22 30,000 new homes Liverpool will need over the next 15 years. These numbers will be boosted even further as the number of 29 new homes that will be part of the Council’s own housing 227 104 development company vehicle – Liverpool Foundation Homes 39 Ltd” – gets underway. Some £277 million worth of investment is being seen in the 119 student accommodation sector, though there are indications that investors are beginning to realise that the market may be 16 reaching saturation point and some proposed schemes have now been converted following initial submission to studio-sized 126 residential accommodation for key workers and young professionals. The hotel sector is one that is growing again, with £119 million currently being invested in new hotels, guest houses and serviced apartments. The tourism and leisure sector in the city 773 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 Park. 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: £2.37 billion Number of potential new FTE jobs created or safeguarded in the City Centre by developments PROPOSED: THE £30 MILLION 200 BEDROOM, 4 STAR HOTEL TO BE BUILT NEXT TO completed since January 2012 THE NEW CRUISE LINER TERMINAL AT THE NORTHERN END OF PRINCES DOCK. A PLANNING APPLICATION FOR THE SCHEME IS EXPECTED TO BE SUBMITTED SOON. (when let and filled to capacity): 12,294 Value of major schemes completed PADDINGTON VILLAGE LEADING THE WAY in the City Centre since January 2018: AMONGST NEW CROP OF DEVELOPMENTS £246 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. As the Lime created or safeguarded in the City Street Gateway project comes to an end bringing a new Centre by developments Premier Inn hotel, student accommodation and leisure outlets, Paddington Village has now started with two major schemes completed since January 2018 having commenced this year. Several student and residential (when let and filled to capacity): schemes are also underway in the Fabric District which forms 440 part of the northern flank of the Knowledge Quarter. Actual construction value of major As the City Council finalises its plans for building 400,000 sq ft of Grade A office space at Pall Mall Exchange, a number of other schemes currently on site across the office schemes have been coming forward including at the City Centre: £1.03 billion. 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 Dock that will employ over 1,500 staff. Meanwhile, HMRC’s £40 million refurbishment of India Buildings’ 270,000 sq ft is in full (890) (894) swing ahead of the arrival of its 3,500 staff. 781 322 Overall, investment levels in the City Centre continue to rise, with 2018 already looking set to exceed 2017’s £601 million (745) worth of completions. 322 600 568 503 601 500 464 478 400 423 300 315 £ millions 277 200 233 243 100 113 0 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 The last twelve months to September 2018 has seen £6.6 million invested in refurbishing Liverpool City Centre’s office stock, whilst a further £44.6 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. Apart from the HMRC deal other notable lettings this year have included financial advisors Wilson Grange moving into the city and taking 10,682 sq ft at 12 Princes Parade, and tax advisors BDO committing to 17,085 sq ft at 5 Temple Square.
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