This press release in fae ra cooncil
LANDMARK BUILDING ON GEORGE SQUARE IS TO BE REDEVELOPED
Councillor Steven Purcell, the Leader of Glasgow City Council, today (Monday November 28, 2005) officially announced that the former General Post Office building in Glasgow has been sold to developers.
Today's announcement has come after Councillor Purcell's personal intervention. It now paves the way for the long-awaited regeneration of the landmark building on George Square, Glasgow's principal civic space.
The current owner G1 Group Plc, the Glasgow-based property and leisure group, have agreed to sell the building to joint venture partners AWG and HF Developments, both of whom have extensive experience in commercial development.
The cost of the redevelopment of the building at No 1 George Square will be in region of £50 million. The development, which envisages the building converted into high quality office space, is due to be completed in 2008.
Councillor Purcell said:" I am delighted to make this announcement. Like many other Glaswegians, I have been worried that such an important building has remained vacant despite its prime city centre location.
"It was obvious that action was necessary to get the building developed. I used my influence as Leader to help facilitate negotiations to ensure that this 124-year-old building is given a new use in the Glasgow of the 21st century. Leaving it vacant was not an option for me or the Council. I'm delighted that Stefan King agreed and has worked with us for the good of Glasgow and this building.
"I have emphasised to both G1 Group and the potential purchasers how important the project was and impressed upon them that if a deal was to be struck it should be done so as soon as possible. I'm now happy to see that the proposals for the building will be of a very high standard and will reflect this listed building's importance to Glasgow and its citizens."
Stefan King of G1 Group, said: "When Councillor Purcell approached us regarding interest shown in the building, it was at a time when we still considered No 1 to be a long term property hold. However he encouraged us to meet with the interested parties, which persuaded us to review our strategy. We are delighted that HF/AWG share G1's aspirations for a top quality development for this key city centre site and wish them every success.
"The sale of No 1 creates massive opportunities for the G1 Group to continue its growth in Glasgow and the rest of Scotland. G1 has completed several award-winning projects in the city over the last few years. We look forward to generating further good news stories for Glasgow."
Notes to Editors
The 124-year-old Victorian building occupies a prime city centre site at No1 George Square opposite Queen Street Station and Glasgow City Council's headquarters at the City Chambers.
The property was the General Post Office city headquarters until 1995.
G1 Group has owned the former GPO building since 1999 and has pursued several development options in the interim. However, the Group was not able to identify any suitable redevelopment proposals, which would fit with G1's extensive leisure portfolio.