Aberdeen’s “booming” economy is reflected in new figures from city planners which show a seven-fold increase in approved office space in just 12 months.
Demand for office space rocketed in 2013 compared to the previous year, with a high level of interest in peripheral business park developments and major investment in a string of city centre projects.
“The number of major development applications being handled by the development team is incredible,” said planning management convener, councillor Ramsay Milne.
“Aberdeen is well and truly open for business, which is clearly demonstrated not only by the level of enquiries and planning applications we are receiving, but also by the amount of building work under way. All of which is great news for Aberdeen.”
Among the biggest construction schemes within the city centre are Titan Investors’ £60m Silver Fin project at the old Bells Hotel in Union Street and Dandara’s £20m Point development on the historic Triple Kirks site. Consent has also been granted for a 6,750sq ft Triple Kirks office project with another 9,180sq ft on the former Capital Cinema site on Union Street.
Last year the city’s planning authority gave the go-ahead for 873,448sq ft of office space, compared to just 124,000sq ft during 2012. Currently more a million square feet is under construction. A significant proportion of the new space is being built on the large new business parks on the edge of the city, but Aberdeen’s established business and industrial areas are also seeing considerable activity.
“There is no doubt that Aberdeen is booming,” said council leader Barney Crockett. “The city is seeing incredible levels of investment and development from the UK and beyond. We’ve recorded the UK’s highest level of business increases, are second only to London for new business start-ups, and are experiencing some of the UK’s fastest growth in private sector jobs.
“Rapid progress is also being made on the business parks, which are quickly attracting new tenants, many from very big players on the business stage. The city centre is also proving popular, with some very significant developments planned for the area. There is a soaring demand for office space and it is clear that the opportunities offered here are unrivalled elsewhere in Britain and many parts of Europe.”
Established business areas remain popular, with developments underway or in the pipeline at Altens, Pitmedden, and Kirkhill industrial estates. Several very large schemes are also earmarked for the up-and-coming North Dee Business District, just south of Union Square.
The city has also seen a surge in hotel developments. Two more hotels are planned for the ABZ business park, and construction work has begun on a 148-bedroom hotel at the Prime Four business park. Work has also started on serviced apartments on the upper levels of the Athenaeum building, while the former Bruce Millers building in Union Street is being redeveloped to create a nine-storey, 134-bedroom hotel with a rooftop restaurant.
