Property giant says there’s good momentum in city’s property market
The global property giant owned by the Duke of Westminster that created the transformational Liverpool ONE complex has started work on its first directly managed flexible workspace outside London.
Grosvenor’s UK property business has started work on the property in the Northern Quarter under its £40m regional refurbishment programme. It has appointed premium property specialist and workspace provider x+why to operate more 22,000 sq. ft of flexible workspace within the Lever Street building.
The property group already works with x+why in London, where x+why has operated the social impact-led flexible workspace at Fivefields in Victoria since 2023.
The Manchester redesign will be led by x+why’s in-house design team, whydesign, and will include work from Manchester designers and artists including Aiden Donovan, Jesse Cracknell, Matt Dennis and Mima Adams. Fittings from former occupier The Arts Council will also be reused in the design to “preserve the connection to the Hive’s creative past”.
The redeveloped building, set to launch in August, will also include a new deli and restaurant fronting Lever Street.
The Hive is part of Grosvenor’s c.500,000 sq ft regional office portfolio, which launched in 2020 and today includes sites in Manchester, Birmingham, Bristol and Leeds. The company aimed to use its experience in the London market to “create best-in-class offices in the UK’s most economically active regional cities”, and says its regional estate is now 90% occupied.
The company said it has seen good momentum in the Manchester market, with Ship Canal House nearing full occupancy after several lettings and renewals.
Fergus Evans, office portfolio director at Grosvenor Property UK, said: “The Hive is a strong example of what our regional offices strategy is designed to deliver, taking a prime asset in a great location and repositioning it to meet the evolving needs of today’s occupiers.
“Across the portfolio, our ambition is to deliver best-in-class workspace that combines high-quality design, strong sustainability credentials, hospitality-style service and a compelling amenity offer. Manchester continues to perform strongly for us, and our investment in The Hive reflects sustained demand for well-located, high-quality offices, particularly from the city’s growing digital and creative economy.
“Combining x+why’s experience in creating design‑led, community‑focused workspaces with our approach to active asset management, we are well placed to deliver a distinctive, flexible offer that responds to local demand, broadens our occupier mix and strengthens the long-term resilience of our regional portfolio.”
Rupert Dean, CEO and co-founder of x+why, said: “We are delighted to be partnering with Grosvenor again to bring The Hive into its next chapter, following our successful partnership at Fivefields in London. It’s a building with a strong identity and history within Manchester’s creative community, and we see a huge opportunity to further that legacy.
“Our focus is on creating spaces where work, hospitality and community come together seamlessly. The Northern Quarter is one of the most exciting and entrepreneurial parts of the UK, and The Hive will reflect that energy, offering a workspace that is not only functional, but inspiring and socially driven.”
Grosvenor designed and built the huge Liverpool ONE retail and leisure complex, which opened in 2008. It sold its 23% stake in the development in 2024.
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