The development could create up to 500 jobs during the construction phase followed by 2,500 permanent positions when complete.
The Balmoral Business Park plans include provision for more than 250,000 sq ft (23,225 sq m) of office space and other commercial facilities including a hotel. It is anticipated that first occupancy will take place in 2012.
Balmoral Park Ltd, a division of Balmoral Group, has planning, environmental and roads consents in place to develop an 18 acre site which sits adjacent to its HQ overlooking the Loch of Loirston and represents Phase 1 of a two stage development.
Morrison Construction has been appointed as partner contractor for the infrastructure, preparation and servicing of the site and brings with it extensive experience of delivering similar projects in Aberdeen including Chevron House and the Weatherford facility in Altens.
Mike Bruce, Morrison’s operations director, said: “We are delighted to have been chosen to deliver this major project and look forward to working closely with Balmoral. This appointment recognises our expertise in the design and delivery of sustainable, high-value state-of-the-art facilities, where we have established a very strong track record.
“As a local company we endeavour to recruit locally and this project will create significant job opportunities, most of them through our sub-partners”.
Jim Milne, chairman and managing director of Balmoral Group, broke first ground and said: “We aim to develop the business park to a very high quality bringing long-term high value sustainability and jobs to this part of the city.
“The development occupies a key location on one of the main access routes into the city and will be easily accessed from the Aberdeen Western Peripheral Route.
“The aim is to create an outstanding working environment with a panorama over the Loch of Loirston giving the highest priority to strategic landscaping. Traffic surveys have been undertaken and we will create a dedicated access road from the Wellington Road dual carriageway to minimise impact on the existing system.
“We are proud of our north-east roots; particularly so of the south side of Aberdeen where we have been based for more than 30 years. A large percentage of our 360+ personnel live in this part of town and we want to develop something that we can all be proud of.”
Non-executive director with Balmoral Group, Gary Gerrard, added: “This development has the potential to contribute significantly to the future of the north-east and the Scottish economy as a whole. We have received numerous enquiries from national and international businesses and are now in a position to develop these negotiations further.
“Bank funding is in place for the infrastructure works as well as the future development of the site, some of which may be progressed on a speculative basis if current demand levels are maintained. Balmoral Park Ltd has committed funding through until 2016.”
Consistently high oil prices are fuelling the demand for office and industrial space in Aberdeen and it is thought the current requirement is in excess of 450,000 sq ft.
Ryden is acting as property adviser for Balmoral Business Park and is offering tailored leasehold or outright sales packages. Bill Duguid, a managing partner at Ryden, said: “This is an excellent opportunity for companies looking to consolidate, relocate or establish a prestigious operation in Aberdeen.”
Neil Clark, managing partner of Clydesdale Bank's Aberdeen financial solutions centre, who are backing the development, said: "We look forward to working with the Balmoral team on this landmark project. There is strong demand for high quality office accommodation in and around Aberdeen and what is being proposed here is at the top end of the market and something the Clydesdale Bank is delighted to be involved with."
The development will provide parking for 754 vehicles and this will be supplemented by the proposed park and ride facility at nearby Calder Park. Frequent public transport complemented by cycle ways and footpaths provide environmentally-friendly access to the park. This, coupled with key decisions already taken within the project, allows any proposed facility to achieve BREEAM recognition.