Calendar An icon of a desk calendar. Cancel An icon of a circle with a diagonal line across. Caret An icon of a block arrow pointing to the right. Email An icon of a paper envelope. Facebook An icon of the Facebook "f" mark. Google An icon of the Google "G" mark. Linked In An icon of the Linked In "in" mark. Logout An icon representing logout. Profile An icon that resembles human head and shoulders. Telephone An icon of a traditional telephone receiver. Tick An icon of a tick mark. Is Public An icon of a human eye and eyelashes. Is Not Public An icon of a human eye and eyelashes with a diagonal line through it. Pause Icon A two-lined pause icon for stopping interactions. Quote Mark A opening quote mark. Quote Mark A closing quote mark. Arrow An icon of an arrow. Folder An icon of a paper folder. Breaking An icon of an exclamation mark on a circular background. Camera An icon of a digital camera. Caret An icon of a caret arrow. Clock An icon of a clock face. Close An icon of the an X shape. Close Icon An icon used to represent where to interact to collapse or dismiss a component Comment An icon of a speech bubble. Comments An icon of a speech bubble, denoting user comments. Ellipsis An icon of 3 horizontal dots. Envelope An icon of a paper envelope. Facebook An icon of a facebook f logo. Camera An icon of a digital camera. Home An icon of a house. Instagram An icon of the Instagram logo. LinkedIn An icon of the LinkedIn logo. Magnifying Glass An icon of a magnifying glass. Search Icon A magnifying glass icon that is used to represent the function of searching. Menu An icon of 3 horizontal lines. Hamburger Menu Icon An icon used to represent a collapsed menu. Next An icon of an arrow pointing to the right. Notice An explanation mark centred inside a circle. Previous An icon of an arrow pointing to the left. Rating An icon of a star. Tag An icon of a tag. Twitter An icon of the Twitter logo. Video Camera An icon of a video camera shape. Speech Bubble Icon A icon displaying a speech bubble WhatsApp An icon of the WhatsApp logo. Information An icon of an information logo. Plus A mathematical 'plus' symbol. Duration An icon indicating Time. Success Tick An icon of a green tick. Success Tick Timeout An icon of a greyed out success tick. Loading Spinner An icon of a loading spinner.

Marischal Square still “generates tenant interest” despite downturn

Building work going on at Marischal Square earlier this year.
Building work going on at Marischal Square earlier this year.

Aberdeen’s £107million Marischal Square complex is attracting interest from tenants despite the north-east’s “difficult” property market, the developer behind the project said yesterday.

Muse Developments’ boss in Scotland was speaking after the firm’s London-based parent company, Morgan Sindall Group, revealed its revenues had increased 7% to £2.4billion in 2015.

Operating profits at the group’s urban regeneration division, which includes the activities of Muse Developments, increased to £12.9million from £10million a year earlier.

Muse appointed the group’s construction and infrastructure division to build the Marischal Square development, which will consist of 175,000sqft of office space, a 126-room Marriott hotel, and seven restaurants and bars.

The project has come in for criticism from protesters who say it will block the view of the historic Marischal College and Provost Skene’s House.

Doubts about the business case for the development have also been raised in light of the drop-off in hotel occupancy rates and demand for office space amid the oil and gas industry downturn.

But Muse previously insisted the complex will complement its surrounds, and said yesterday there has been no shortage of interest from prospective tenants.

Stephen Turner, Muse’s regional director for Scotland, said: “2015 was a positive year for Muse in Scotland, as well as across the UK.

“We continued to work closely with Aberdeen City Council to progress the transformative mixed-use Marischal Square development in Aberdeen city centre.

“Work started on site last April and the progress is generating tenant interest despite a difficult market in Aberdeen.”

Winebar chain All Bar One and high-end fast food chain Burger and Lobster are believed to have shown an interest in moving into the complex, which is slated for completion in 2017.

It is thought that no companies have signed on the dotted line, however.

Morgan Sindall’s construction and infrastructure division’s other Scottish projects include work on rail links between Edinburgh and Glasgow.

The group wrote down £46.9million in exceptional items relating to “old” construction contracts at the Faslane nuclear submarine base, giving it adjusted pre-tax profits of £34.3million for 2015, up 36% year on year.

The group put its dividend for the year up 2p to 29p. Its shares closed 2% higher to £7.20 on the London exchange yesterday.

Already a subscriber? Sign in