04 NOVEMBER 2024
c£197m Skanska contract will deliver world leading new build offices at 60 Brook Street and 56 Davies Street.
The premium Grade A offices, partly set behind historic façades, will be delivered alongside vibrant ground floor activations and the refurbishment of an historic pub.
Completion targeted for Summer 2027.
The joint venture (JV) between Grosvenor and Mitsui Fudosan UK has today announced that Skanska has been appointed as the main contractor to lead the delivery of its 267,000 sq. ft scheme at South Molton.
The scheme encompasses two exceptional new office buildings at 60 Brook Street and 56 Davies Street and restoration of the Running Horse Pub, together with ground floor retail, restaurants, cafés and a basement gym.
At the heart of the West End’s largest mixed-use development, 56 Davies Street and 60 Brook Street, comprising 71,000 sq. ft and 78,000 sq. ft respectively, are set to become two of Mayfair’s finest new build offices.
The state-of-the-art offices will feature world-class office design and facilities, including large modern floorplates, roof terraces, outstanding amenities and leading environmental credentials. At ground level, they will be activated by a dynamic mix of retail and food and beverage outlets alongside attractive, greener streets.
Designed to complement the distinctive character of Mayfair, 56 Davies Street and 60 Brook Street will feature a mix of new and existing façades.
At 56 Davies Street alone, 4,750 blocks of Portland stone totalling 550 tonnes have been carefully disassembled and are set to be reconditioned and reused, providing part of the new Grade A office with an attractive and historic stone exterior.
The Running Horse, which will undergo an extensive refurbishment and extension, is set to benefit from additional dining space and six new guest bedrooms.
Skanska has been working with the Grosvenor and Mitsui Fudosan UK JV since October 2022 to evolve the design and construction methodology for South Molton, including identifying sustainability and carbon reduction strategies. This process has reduced steel usage by 200 tonnes, with the re-use of existing steel elements, pre-fabrication of façades and in situ construction of the concrete base slab all contributing to a reduction in carbon emissions.
In line with the sustainability commitments of Grosvenor and Mitsui Fudosan UK, the project will target carbon savings in operation and construction, minimising embodied carbon and waste wherever possible, with offsetting strategies in place to ensure the development is net zero at practical completion.
Enabling works started onsite in November 2023 via McGee and are progressing at pace. Skanska will now lead the delivery of the project, including enabling works, installation of the mechanical, electrical and public health (MEP) systems and data network, with all phases of South Molton on track to complete in Summer 2027.
Rachel Dickie, Executive Director of Investment and Development, Grosvenor said:
“We have made superb progress at South Molton since works started last year. Appointing Skanska as the main contractor is an exciting milestone for the project, continuing the momentum and providing certainty of delivery.”
“The opportunity to deliver this scale of new, world-class offices in Mayfair is exceptionally rare. Benefiting from the new amenities and public spaces we’re creating at South Molton, they are set to be some of the capital’s most prestigious addresses.”
Tatsu Imamura, Executive Director, Mitsui Fudosan UK said:
“South Molton is a development of exceptional design and quality and we are delighted that construction is now being taken forward and the scheme will be delivered over the next few years. When complete, it will be one of central London’s premier commercial developments, while also providing significant benefits to the wider community it serves.”
Terry Muckian, Managing Director for Skanska UK’s building division said:
“We have enjoyed a fantastically collaborative working relationship with the Grosvenor and Mitsui Fudosan UK JV team over the past two years. This has led to a design and method of construction that both reduces carbon and de-risks programme delivery in what is a complex working environment in the heart of London’s West End.
“We have a long history and deep understanding of the London commercial office market and we are delighted to be continuing this with South Molton.
“South Molton is an exciting development for this internationally recognised part of London and I know our team are really looking forward to playing their part in bringing it to life.”
Find out more about South Molton here.
About Grosvenor:
Grosvenor is an international organisation whose activities span urban property, food and agtech, rural estate management, and support for philanthropic initiatives. With a 340-year track record, we are committed to delivering lasting commercial, social, and environmental benefits, meeting today’s needs while taking responsibility for those of future generations.
Our UK property business supports around 1,000 businesses and thousands of residents and workers across London’s West End, while also investing in sustainable neighbourhoods in Liverpool and across England. As a company aligned with the 1.5°C climate target, we pioneer change and innovation in urban development, ensuring our places benefit both people and the planet in the long term.
About Mitsui Fudosan UK
Mitsui Fudosan UK is the UK subsidiary of Japan’s largest real estate company, Mitsui Fudosan Co., Ltd. which is headquartered in Tokyo and listed on Tokyo Stock Exchange. Mitsui Fudosan UK is responsible for Mitsui Fudosan Group’s real estate investment and development activities in Europe.
The company is renowned as a pioneer of innovative development schemes and has delivered award-winning developments in various asset types including office, retail, residential and mixed-use schemes globally. Mitsui Fudosan established a London office in 1990 and has developed – or is developing – a number of significant mixed-use and commercial projects including:
5 Hanover Square, W1
Television Centre, White City
Angel Court, EC2
White City Place, White City
Edge, Shoreditch
South Molton, Mayfair
About Skanska
Skanska Group uses knowledge and foresight to shape the way people live, work and connect. More than 135 years in the making, we’re one of the world’s largest development and construction companies, with 2023 revenue totalling SEK 157 billion (around £11.9 billion). We operate across select markets in the Nordics, Europe and the United States.
Together with our customers and the collective expertise of our 30,000 teammates, we create innovative and sustainable solutions that support healthy living beyond our lifetime. Together with our customers and the collective expertise of our 30,000 teammates, we create innovative and sustainable solutions that support healthy living beyond our lifetime.
Skanska in the UK
Established in the UK in 2000, Skanska has more than 3,300 local experts delivering projects across sectors including real estate, defence, education, highways, rail and water. Our work today includes:
Connecting communities across the UK, with major highways improvement schemes including A428, A46, M42 Junction 6 and Lower Thames Crossing (Kent Roads).
Delivering complex water infrastructure projects for Anglian Water as a member of the @one Alliance that create capacity and resilience in a changing climate.
Improving the rail network by building a low-carbon, high-capacity railway that increases reliability and enables faster journeys.
Creating inspiring places to work such as 105 Victoria Street, London.
Taking care of critical facilities for major organisations, including the Ministry of Defence and City of Edinburgh Council.
Providing sustainable homes for the many, with developments in Bristol, Worthing and Littlehampton. (Delivered by BoKlok, a 50/50)
Matthew O'Connell
Senior Public Affairs & Communications Manager
+442073126153
matthew.oconnell@grosvenor.com