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Skanska appointed to build new flagship commercial offices at South Molton, London

Press release 04/11/2024 08:40 CET

Skanska has signed a £197M contract with a Grosvenor and Mitsui Fudosan UK joint venture to construct the office, retail and leisure space in Mayfair.

New flagship commercial offices at South Molton, London

Skanska will lead construction of two new category A office buildings that form part of the wider mixed-use redevelopment of South Molton in Mayfair, London, being led by Grosvenor and Mitsui Fudosan UK.

The project involves the demolition of existing buildings and construction of two new office buildings at 60 Brook Street and 56 Davies Street, comprising 71,000 sq. ft and 78,000 sq. ft respectively. The project also involves the restoration of the Running Horse Pub, together with ground floor retail, restaurants, cafés and a basement gym, covering a total of 267,000 sq. ft.

In addition to main construction, Skanska will deliver CAT A mechanical, electrical and public health (MEP) systems, including the site wide data network, security and smart building solution, with all phases of South Molton on track to complete in July 2027.

Skanska has been working with the Grosvenor and Mitsui Fudosan UK JV since October 2022 to evolve the design and construction methodology for South Molton, including identifying sustainability and carbon reduction strategies. This process has reduced steel usage by 200 tonnes, with the re-use of existing steel elements, pre-fabrication of façades and in-situ construction of the concrete base slab all contributing to a reduction in carbon emissions.

“We have enjoyed a fantastically collaborative working relationship with the Grosvenor and Mitsui Fudosan UK JV team over the past two years,” said Terry Muckian, Managing Director, Building. “This has led to a design and method of construction that reduces carbon and de-risks programme delivery in what is a complex working environment in the heart of London’s West End.

“We have a long history and deep understanding of the London commercial office market and we are delighted to be continuing this with South Molton.

“South Molton is an exciting development for this internationally recognised part of London and I know our team are really looking forward to playing their part in bringing it to life.”

The building is targeting environmental standards BREEAM Outstanding for offices and Design for Performance to secure a NABERS 5* accreditation. It’s also targeting WiredScore Platinum certification, which recognises best-in-class digitally connected buildings across the globe.

Rachel Dickie, Executive Director of Investment and Development, Grosvenor said: “We have made superb progress at South Molton since works started last year. Appointing Skanska as the main contractor is an exciting milestone for the project, continuing the momentum and providing certainty of delivery.

“The opportunity to deliver this scale of new, world-class offices in Mayfair is exceptionally rare. Benefiting from the new amenities and public spaces we’re creating at South Molton, they are set to be some of the capital’s most prestigious addresses.”

The state-of-the-art offices will feature world-class office design and facilities, including large modern floorplates, roof terraces, outstanding amenities and leading environmental credentials. At ground level, they will be activated by a dynamic mix of retail and food and beverage outlets alongside attractive, greener streets. 

Designed to complement the distinctive character of Mayfair, 56 Davies Street and 60 Brook Street will feature a mix of new and existing façades. 

Tatsu Imamura, Executive Director, Mitsui Fudosan UK said:

“South Molton is a development of exceptional design and quality and we are delighted that construction is now being taken forward and the scheme will be delivered over the next few years.  When complete, it will be one of central London’s premier commercial developments, while also providing significant benefits to the wider community it serves.”

Construction has started and is expected to be complete in July 2027.