The opening of Swansea’s significant office development at 71/72 The Kingsway faces further delays due to additional work requirements.
- Cllr Rob Stewart cites unforeseen construction demands and cabling issues as reasons for the delay beyond initial expectations.
- Approximately 70% of the office space is under provisional agreements, anticipating tenant-specific fit-outs by year-end.
- The Swansea Bay City Deal has been pivotal, supporting this project with a substantial financial contribution.
- Swansea is seeing robust office rental growth, with demand surpassing that of Cardiff, according to recent analyses.
The much-anticipated opening of the expansive office development at 71/72 The Kingsway in Swansea has experienced further setbacks. According to Cllr Rob Stewart, leader of Swansea Council, the project has been delayed due to additional work requirements that were not initially planned for, as well as the identification of damaged cables at the rear of the building. These obstacles led to pushing back the completion timeline from March to August.
Cllr Stewart explained that the extra work involved fitting out the office space by the contractor, Bouygues, which was tasked by the cabinet in April. The damaged cabling, which affected street lighting, was discovered on Picton Lane, and was an issue that predated the construction project. Steps have been taken to rectify this, ensuring efficient progress moving forward.
A provisional agreement has been reached for approximately 70% of the building’s office space, with formal leases expected to be signed soon. Cllr Stewart anticipates that successful lease closures will enable tenants to begin their specific fit-out processes by the end of the year, making the space operational in the near future.
The financial backbone of the development, the Swansea Bay City Deal, has played a significant role, offering a £13.7m contribution to support the £24.6m investment by the local authority. This partnership is designed to foster economic growth in the region, with the City Deal also backing other key initiatives, such as the Swansea Arena and proposed hospitality ventures.
Analytical insights have underscored Swansea’s strong office rental growth, currently outpacing Cardiff. Reports highlight a 3.5% office vacancy rate within Swansea, contrasted with Cardiff’s 8%. These developments, like the renovation of the Palace Theatre and the ongoing work at 71/72 The Kingsway, are drawing interest from enterprises keen to establish a strategic foothold in the area.
The development at 71/72 The Kingsway remains a beacon of economic potential for Swansea, despite the unforeseen delays encountered.
