An artist impression of the new office block to be constructed at Bold Lane.
Following the successful Connect Derby model of providing managed workspaces for small and medium-sized businesses, there has been a demand for larger spaces than is currently offered.
Market research shows that there is a demand for office spaces of up to 10,000 ft2 / 929 m2 in the city centre which the private sector has been unable to provide.
The findings also show that there is a lack of Grade A office space in the city centre, that new 15 year leases sought by developers and their funders were unaffordable to growing businesses and that companies could not wait for 18-24 months for new offices to be built for them which meant they would take their business elsewhere.
The report also reveals that one of the main reasons for this market failure is that there is not sufficient return on investment for the market to deliver.
Grade A offices are the most prestigious buildings competing for premier office users. Buildings have high quality standard finishes, state of the art systems, exceptional accessibility and a definite market presence.
The new £6.39 million four-storey office block will lease entire floors to larger businesses for their own management and configuration and is expected to generate as many as 200 new city centre jobs when completed. It will generate income and over-time will be self-sustaining. The total floor area is 31,000 ft2 / 2,880 m2. Total net lettable space is 27,000 ft2 / 2,500 m2.
Construction is expected to start in autumn 2018 and completed in 2019/2020.
The move has gained the support of the business community.