Liverpool City Council and its development partner Kier Property choose contractor to build the previously stalled £55m 111,500 sq Pall Mall office complex in the city’s commercial district. Tony McDonough reports
VINCI Construction will be the design and build partner on Liverpool’s £55m Pall Mall office scheme.
Liverpool City Council and its development partner Kier Property have chosen VINCI, which is already working on major council-led projects in Southport, Bootle and St Helens, to take forward the 111,500 sq ft scheme.
This will provide desperately-needed grade A office space in the commercial district. There has been no significant addition to the district’s grade A stock since the construction of St Paul’s Square more than a decade ago.
A chronic shortage of grade A space has put Liverpool at a significant disadvantage to other regional cities, particularly Manchester, when it comes to attracting major blue-chip occupiers or Government departments to the city.
This issue was thrown into sharp focus this week when Andy Burnham, who is expected to become Prime Minister by the end of July, stated his intention to set up a ‘Number 10 North’ in Manchester. It is unlikely Liverpool would have the office space to accommodate it.
Despite a number of proposals there has been no speculative build in the commercial district due to Liverpool’s headline rent – at £29.50 per sq ft it is the lowest of the big UK city centre office markets outside London.
Developers and investors need headline rents to be high enough to offer a decent return for the risk. Pall Mall was originally due to go ahead in 2019 with a pre-let from telecoms giant BT.
However, following the pandemic BT reassessed its office needs and put the Liverpool letting on hold. In 2025 Liverpool City Council pledged £15m in gap funding towards the project and this has broken the deadlock. It has also committed to a rental guarantee scheme.
An as yet unspecified sum is also being put towards the build by Liverpool City Region Combined Authority via its new £2bn investment fund. However, there is still no start date for the scheme.
Cllr Liam Robinson, leader of Liverpool City Council, said: “Pall Mall is a transformational opportunity for Liverpool and a key part of our ambition to deliver the high-quality commercial space needed to support a modern, growing economy.
“It’s fantastic to be able to showcase the progress being made at Imagine Liverpool, bringing partners together and demonstrating the strength of our shared commitment to delivering this important development.
“This scheme will play a major role in attracting new businesses, supporting job creation and reinforcing Liverpool’s position as a leading destination for investment.”
This appointment of VINCI, following a two-stage tender process, marks an important milestone for the Pall Mall scheme, which will deliver net zero carbon-enabled office space alongside ground-floor retail and a new 0.5-acre green space.
VINCI is already busy in the city region. It is delivering the £106m Marine Lake Events Centre in Southport, the £100m regeneration of St Helens town centre and the regeneration of Bootle Strand.
READ MORE: Could £5bn project bring Lewis’s and ABC to life?
Gary Hughes, regional director for VINCI Building, added: “This represents a transformative investment in Liverpool’s commercial business district.
“Being based within Liverpool city region, we’re proud to bring the strength of our regional presence to the scheme through our skilled workforce, established local supply chain and strong long-standing connections across Merseyside.
“This will certainly enable us to deliver meaningful social and economic value alongside high-quality, sustainable development that reflects the city’s ambition and growth.”