CEG plans 300,000 sq ft Glasgow office scheme
A 300,000 sq ft speculative office scheme is on track to hit the under-supplied Glasgow market in summer 2025, after developer CEG secured equity funding from its existing Swedish state pension fund investors.
The equity funding for the 33 Cadogan Street development will be sourced primarily from Swedish State Pension Funds AP1 and AP4, managing two of the buffer funds in the Swedish public pension system. AP1 and AP4 have a strong commitment to sustainability and have a track record of investing in UK regional cities with CEG.
CEG has appointed construction firm McLaughlin & Harvey to start work on the project, formerly known as The Grid.
A 300,000 sq ft speculative office scheme is on track to hit the under-supplied Glasgow market in summer 2025, after developer CEG secured equity funding from its existing Swedish state pension fund investors.
The equity funding for the 33 Cadogan Street development will be sourced primarily from Swedish State Pension Funds AP1 and AP4, managing two of the buffer funds in the Swedish public pension system. AP1 and AP4 have a strong commitment to sustainability and have a track record of investing in UK regional cities with CEG.
CEG has appointed construction firm McLaughlin & Harvey to start work on the project, formerly known as The Grid.
Paul Richardson, investment manager at CEG, said: “The city is suffering from an acute lack of grade-A office supply and 33 Cadogan Street will help to remedy that.
“As a best-in-class office development, targeting the highest sustainability credentials, it will respond to occupiers’ demands for net zero carbon in operation office space, as well as providing fantastic amenities and a healthy and productive place to work.”
Glasgow-based architects Cooper Cromar has helped CEG enhance the sustainability credentials in the design of the new development.
JLL and CBRE have been appointed as joint agents.
Andy Cunningham, senior director at CBRE, said: “The flight to quality has diminished the availability of top-quality office space in Glasgow and Covid-19 only accelerated this trend. With no new build development being delivered until 33 Cadogan Street completes in summer 2025, we anticipate pent-up demand from occupiers.”
Alistair Reid, director at JLL, added: “33 Cadogan Street has been designed with sustainability and occupier amenity at its heart, to further support the return of occupiers to the office in a post-pandemic world. Targeting net zero carbon in operation, the building aims to align with occupiers’ corporate carbon reduction goals.”
CEG bought the development from M&G in March this year.
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Image courtesy of CEG
