Aviva Investors has completed a forward funding agreement of £22.4 million for the first office facilities at Kildean Business Park, Stirling, which is currently being developed by the Stirling Development Agency.
The building, which will offer 77,000 sq ft of lettable office space, is scheduled for completion in mid-2022 and is pre-let to M&G on a 20-year lease which includes five-yearly reviews, linked to RPI.
Set on the outskirts of Stirling, Kildean Business Park will comprise approximately 39 acres (15.78 hectares) of mixed-use facilities and office buildings, ranging in size from small business units to large headquarters. The site is well-serviced by regional and local transport networks, sitting adjacent to Junction 10 of the M9. It is also linked with local cycle networks and the completed office will have high-quality facilities such as cycle spaces, lockers and showers within the building.
The Stirling Development Agency is a joint venture between Cromwell Property Group and Stirling Council, established over 20 years ago.
“We are pleased to add this office facility to our portfolio of investments and to be making the first significant commitment to the development of Kildean Business Park. The development has been developed with sustainability and ESG considerations featuring prominently in the design process, something we are particularly mindful of as we continue to decarbonise our Real Assets portfolio. Not only should this benefit the local community, we believe it should also add a layer of future-proofing and therefore offer enhanced income resilience for our clients over the long-term,” said Renos Booth, Head of Real Estate Long Income at Aviva Investors.
“The office development at Kildean Business Park is a great project, which we believe provides a template for future office development in the UK. On completion, it will incorporate a range of measures to ensure the wellbeing of staff in the workplace, as well as scoring highly against widely accepted environmental and sustainability benchmarks. We are delighted to have been able to complete this transaction with Aviva Investors, which marks another important milestone in our long-term involvement with Stirling Council and the Stirling Development Agency,” said Matthew Bird, Head of UK at Cromwell Property Group.