City Tower in Manchester to welcome two new tenants

The managers of the City Tower building in the centre of Manchester have secured two new lettings with headline rents of £25 per square foot.

Investment management firm Schroders has revealed that LG Energy (LGE), the energy procurement services provider, has taken out a 10-year lease on 3,549 sq ft of space at the site, while cloud payment company Access Pay has signed up for 2,759 sq ft on a six-year lease.

The deal will see LGE establish its first Manchester office and follows the launch of a base in Malaysia in July, as part of the firm’s plans to expand in Asia.

The lettings come in the wake of Schroders’ newly revealed plans to carry out a major refurbishment of City Tower’s ground-level reception area and atrium, as well as an office floor revamp programme designed by architecture firm Sheppard Robson’s ID:SR arm.

Discussing the latest deal, Schroders’ investment manager, Tom Newman, said: “City Tower is well positioned to respond to the ongoing demand for top quality space in the city with both of these deals demonstrating the depth of appeal on offer at the scheme.”

A mixed-use 30-storey skyscraper, City Tower comprises 350,000 sq ft of office space and is already home to organisations such as recruitment firm Hays and outsourcing specialist Aegis.

Commenting on the new additions to City Tower, a surveyor with Colliers International, Scott Shufflebottom, said: “These are both significant transactions and will complement the existing tenant mix at City Tower.

“The fact that LGE is a new entrant into the city centre and has chosen City Tower as its home is testament to the overall offer the asset provides and recognition that Schroders has made a commitment to invest and improve the asset since their acquisition.”