Ballymore secures €250m for vast Birmingham office block
Sean Mulryan's property group Ballymore has secured €250m in funding from UK investment group M&G Real Estate to fund the construction of Three Snowhill, a 420,000 square foot office development in Birmingham city centre.
Ballymore said the scheme will be the largest ever speculative city centre development built outside of London.
The Snowhill area of the West Midlands city has been dubbed Birmingham's Canary Wharf. Three Snowhill consists of 385,000 square feet of office space and 35,000 square feet of retail and leisure, housing nearly 4,000 workers.
It will be completed by the end of 2018.
British Chancellor George Osborne commented on the deal, stating: "We want to make the Midlands Britain's engine for growth and this landmark announcement by Ballymore will play an important part in that plan."
As the name suggests, Three Snowhill is Ballymore's third major project in the area.
The group sold off the other two buildings with One Snowhill now owned by Union Investments Real Estate of Germany and Two Snowhill owned by M&G.
Sean Mulryan, chairman and chief executive of the Ballymore group, said: "Ballymore is delighted to announce a start on the third and final phase of our Snowhill scheme."
"Working with the city, our funding partner M&G Real Estate and our main contractor, BAM, we will deliver a landmark building and the final element of what is one of the largest and most prestigious commercial developments in central Birmingham."
Ballymore is currently involved in several large developments in the UK and Ireland as well as house-building in Ireland.
It is developing sites at North Wall Quay in Dublin's docklands, dubbed 'Project Wave', in conjunction with Singapore's Oxley.
Debts connected to the group were taken over by Nama in 2010. It has not yet left Nama but is in the final stages of a planned exit.
Nama retains some control of its Irish residential projects but the majority of its large scale projects fall outside of Nama.