Kenmore dips toe in waterfront scheme

Published on Saturday 19 July 2008 14:47

SCOTTISH property group Kenmore has demonstrated its faith in Glasgow's commercial property market with plans for a large scale office scheme on the city's waterfront.

The Edinburgh company has submitted plans for a 200,000sq ft twin office block within the City's financial services sector in Broomielaw, close to the M8 and Kingston Bridge.

If successful, the scheme will help complete Glasgow City Council's ambition to see the north bank of the Clyde developed all the way from the city centre to the SECC. A new hotel is under development on the adjacent site at 236 Broomielaw.

A spokeswoman for the company declined to comment but confirmed a proposal had been submitted to the council. "Until a planning decision is reached, Kenmore does not wish to comment," she added.

The news that one of Scotland's largest commercial property firms is defying the credit crunch to invest in Glasgow's waterfront will be a boost for the area.

Last month Northern Ireland developer McAleer & Rushe paid more than 11m for a nearby site at Finnieston, against an asking price of 10m. Kenmore is a co-investing, trading and development property and fund management group active in the UK, Europe and Middle East.

It has 1.7bn of investments and developments in the UK and across Europe and is continuing to expand despite the credit crunch. In January it said its assets under management increased by 45% on the previous year.

It also saw a 10% increase in net assets to 85m. It currently manages more than 2,300 tenants with a rental income in excess of 115m.

In September 2006, shares in the first public fund managed by Kenmore – The Kenmore European Industrial Fund Limited – began trading on the London Stock Exchange following an oversubscribed placing and offer for subscription, raising 140m.

The company is still looking at greater European expansion and in May it opened its first German office.