Paradise Birmingham
Paradise is a high-quality mixed-use development creating new public realm and modern commercial buildings in a historic city centre setting.
OPPORTUNITY
The opportunity for investment is available in partnership with Federated Hermes Investment Management, including co-investment/development finance to support phases Two and Three or on a building-by-building basis.
As part of Federated Hermes, MEPC has a long track record of working together to create destinations where community can flourish with a particular strength in the creation of successful mixed-use developments. Paradise benefits from the continuity and commitment of this partnership, forming part of MEPC’s growing portfolio of inventive and sustainable places, each one crafted with the future in mind, designed with a social heart, and delivered with passion.
Promoter: Paradise Circus Limited Partnership
Scale: £1–1.2bn GDV
Sector: Mixed-use including commercial, retail, leisure and hotel
Location: Birmingham City Centre
Investment Type: Development partner or funder
Programme: Phase Two, 2019-2025. Phase Three and project completion, 2028
Planning Status: Paradise masterplan for all phases includes outline planning consent
Website: www.paradisebirmingham.co.uk
BACKGROUND
Located on a 69,000m2 site at the city’s heart, Paradise links Birmingham’s civic, commercial and cultural quarters. Comprising ten individually designed buildings across the £1bn development, it is one of the largest and most strategically important city centre schemes outside of London.
Paradise comprises almost 185,000m2 of high-quality commercial, retail, leisure and hotel space, all set in superbly crafted public realm, truly befitting its exemplary historical setting.
Phase One lettings are well progressed. International professional services firm PwC took occupation of all the 13,935m2 of commercial space in One Chamberlain Square and relocated its 2,000 strong Birmingham team in January 2020 with the potential to accommodate a further 300 people in its cutting-edge space. Indian eatery Dishoom and Bavarian style restaurant and bar are both well-established on the ground floor.
Leading global law firm DLA Piper has relocated to Two Chamberlain Square, together with Knights, Mazars, Atkins, Cazenove Capital and MEPC who have moved their Birmingham operations to the building, together with flexible workspace provider Cubo opening its first operation in the city. Thai eatery Rosa’s Thai Café and award-winning wine bar and restaurant Vinoteca are located on the ground floor with Birmingham coffee roasters and eatery, Yorks Cafe and competitive socialising venue, F1® Arcade both due to open in 2023.
DESCRIPTION
Phase One comprises One Chamberlain Square and Two Chamberlain Square, providing 15,980m2 and 17,000m2 of Grade A office and ground floor retail space respectively.
Works completed in Spring 2020 and incorporate the much improved and enhanced Chamberlain Square and connected public realm, together with associated highways improvements and a basement car park providing up to 300 parking spaces.
This links the development to wider neighbourhood improvements which have seen the completion of the £149 million West Midlands Metro extension to Edgbaston, the £16m refurbishment of Centenary Square and HSBC’s relocation of its business and personal banking headquarters from London to Broad Street.
Paradise Phase Two includes One Centenary Way, a 26,010m2 office building, with space for shops and restaurants at the ground and upper ground level, which completed in early 2023. IIt will be home to the employee-owned built environment consultancy Arup which will occupy three floors for its new city centre campus; Goldman Sachs which will accommodate more than 1,000 people as part of its growth ambitions in the West Midlands and the 150 strong Birmingham team of international property company JLL.
A new boutique style hotel with 152 bedrooms and Three Chamberlain Square, offering 17,559m2 of Grade A offices and retail together with new public realm, including Ratcliff Square, will complete Phase Two by 2025.
Phase Three has outline planning permission to deliver a further five buildings and a new large public square, completing the improvements in pedestrian connectivity and public space across the city. This will encompass 64,855m² of Grade A office and ground floor retail space and the 49 storey, 370 unit Octagon residential tower, which will become the city’s tallest building and a world first for Birmingham.
The entire project lies within the Birmingham City Centre Enterprise Zone.
PROMOTER AND PARTNERSHIPS
The project promoter is a joint venture between Federated Hermes and Birmingham City Council. The Paradise redevelopment is being brought forward through Paradise Circus Limited Partnership (PCLP), a privatepublic joint venture.
PCLP is delivering the enabling works including the creation of serviced development platforms for the Building Developers. The private sector funding for the specific buildings is being managed by the international business of Federated Hermes, which has partnered with Canada Pension Plan Investment Board (CPPIB) on the first phase of the development and on One Centenary Way.
LOCATION
Paradise sits at the true heart of the city, between the Council House, Town Hall and Museum & Art Gallery and the business and entertainment zones further west.
Easily accessible, and with its own tram stop, the development is also just a few minutes’ walk from New Street station and Grand Central.