Hotel Development Opportunity in Central London Southbank Area

Location and Description

The properties at 22 and 24 Southwark Bridge Road are located in the Southbank area of London, near London Bridge and Borough Market. The existing buildings comprise 79,431 square feet of net internal area (NIA) and 108,830 square feet of gross internal area (GIA) of office and ancillary accommodation. The freehold site covers 0.40 acres.

Planning Permission and Development Plans

A resolution has been granted for planning permission to partially demolish 22 Southwark Bridge Road and fully demolish 24 Southwark Bridge Road. The plan is to develop a new office-led scheme with 141,459 square feet NIA and 205,397 square feet GIA, spanning lower ground, ground, and 12 upper floors. The development is designed by Orms Designers & Architects Ltd. The consent allows for baseline massing with potential for further optimization.

Potential for Alternative Uses

The site has been identified as suitable for various alternative uses, including co-living, purpose-built student accommodation (PBSA), or hotel, subject to planning approval. Orms Designers & Architects have conducted high-level feasibility studies to explore these possibilities.

Current Buildings and Tenancy

Constructed in the 1980s, 22 Southwark Bridge Road includes 55,866 square feet NIA over multiple floors, while 24 Southwark Bridge Road comprises 23,565 square feet NIA. The properties are currently multi-let to five tenants, generating an annual rent of £161,400. All leases are outside the Landlord and Tenant Act, allowing for vacant possession by September 2025.

Investment Highlights

The investment strategy for the site is categorized as “Value Add.” Avison Young has prepared a detailed planning note that explores the potential for alternative uses on the site. The note suggests that, with appropriate justification for the loss of existing office space, alternative uses could be supported.

Inquire at JLL.