The much-anticipated opening of the flagship office building 71/72 The Kingsway, backed by Swansea Bay City Deal, has faced delays and setbacks.
- Swansea Council leader, Cllr Rob Stewart, cites additional works and previously damaged infrastructure as reasons for the delay.
- Originally slated for completion by March, the project has been postponed to August, affecting tenant agreements.
- The council has invested heavily, with £24.6m allocated, including substantial backing from central government.
- Swansea is experiencing strong office rental growth, with new developments attracting significant interest.
Swansea Council’s flagship office development at 71/72 The Kingsway, a project supported by the Swansea Bay City Deal, has encountered unforeseen delays, extending its completion date. Cllr Rob Stewart, leader of the council, clarified that further construction work and previously unidentified damage to cabling infrastructure necessitated a rescheduling from the initial March deadline to August. The office scheme, aimed at bridging Swansea’s deficit in quality office space, promises to house 600 workers once operational.
The delay was publicly addressed by Cllr Stewart following inquiries from Uplands Party councillors regarding tenant occupancy. Initially, the project was due to open in March. However, contractual requests in April for additional work extended timelines. Damaged cables, affecting street lighting on Picton Lane, required immediate attention and repair despite pre-existing conditions before project initiation. These measures ensured project continuity without incurring further delays post-completion.
In terms of tenancy, Cllr Stewart mentioned that provisional agreements for approximately 70% of the building had been established, with tenants expected to commence their specific fit-out activities before year’s end. The building stands on the former site of the Oceana nightclub and represents a strategic enhancement to Swansea’s business infrastructure, emphasised repeatedly by the council due to the city’s historical shortage of high-calibre office environments.
This significant £24.6m investment by Swansea Council includes a £13.7m injection from central government, facilitated through the Swansea Bay City Deal. The city deal aims to spur economic growth by integrating public and private sector funding. In conjunction with this project, the deal also contributed to the construction of Swansea Arena and a proposed hotel, further stimulating Swansea’s economic landscape.
A commercial property consultancy recently highlighted Swansea’s impressive office rental growth, citing a low vacancy rate of 3.5%, a stark contrast to Cardiff’s 8%. As Swansea expands its office space offerings, including the refurbished Palace Theatre and ongoing Kingsway development, there is an expectation for increased local business interest aiming to secure their operations in the burgeoning city landscape.
The delayed launch of 71/72 The Kingsway is mitigated by strong future interest and significant investments bolstering Swansea’s economic framework.
