LGP is forward funding a 125,000 sq ft office building and a new multi-storey car park.
Work starts on the car park this month, as a first phase, targeted for completion in December 2014.
Salford Central is made up of two areas, Chapel Street and New Bailey, occupying nearly 18ha. The scheme, being delivered through a development agreement with Salford Council, will provide 2.37 million sq ft of commercial space, 849 new homes and 390 hotel rooms. During 2013 ECf began or secured four phases of development with a combined end value of £95m, including the Vimto Gardens development of 97 homes on Chapel Street.
The New Bailey location currently consists of vacant land around Salford Central Station and the riverbank opposite Manchester’s Spinningfields business district.
ECf development director Phil Mayall said: “Legal & General's investment in New Bailey represents a significant milestone in the evolution of our scheme. It represents a clear demonstration that New Bailey is a high quality, deliverable development and we very much look forward to welcoming occupiers to the new office building.”
Legal & General Property managing director Bill Hughes added: “This is a significant investment in Salford and one that we believe will help to kick start the city’s wider regeneration. We believe that ECF’s plans for Salford Central will not only fundamentally reposition this city centre location, but provide much needed homes, jobs and office, retail and leisure space, as well as the improved infrastructure to support the city going forward.
“With significant volumes of patient capital under management, we believe that it is inevitable that the private sector in the form of long-term institutional investment plays a meaningful role in bringing about major regeneration and solving the UK’s chronic housing shortage. As such, we have already invested over £3bn in infrastructure and housing, and are part of the insurance industry group that has pledged to invest £25bn in UK infrastructure projects by 2018.”
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