Property Merchant Group’s plans for a 150,000 sq ft mixed-use development on Regent Street were given the green light by Westminster Council last night.
The Cavendish Gate development, at 289-293 Regent Street, was given consent for two different development options.
The first option would see 126,450 sq ft of offices, 4,000 sq ft of retail space and 17,800 sq ft of apartments at the new building, which is near the BBC Radio 1’s headquarters on Great Portland Street.
The second option would provide 127,700 sq ft of offices, 4,000 sq ft of retail and 16,550 sq ft of residential – totalling seven flats.
The two options were submitted because there is currently a restrictive covenant in place preventing the northern part of the site being used for residential accommodation.
If the covenant is lifted the company will go for the second option which will put all the apartments on the sixth floor.
If the covenant remains in place the southern half of the fifth and sixth floors will be developed into eight apartments with the northern end given over to offices.
The plans increase the commercial floorspace in the building by around 30,000 sq ft.
Under Westminster Council guidelines the increase in commercial space should be met with a corresponding provision of residential space.
But Property Merchant Group has only planned for around 50% of the required residential space but has agreed to pay either £900,000 or £1.1m, depending on which option they develop, to offset the shortfall.
The development site is made up of three buildings on the corner of Regent Street and Margaret Street.
Property Merchant Group will totally demolish the building which fronts Margaret Street and will demolish the grade-II listed building on Regent Street behind their facades.
The company is also paying over £700,000 in section 106 benefits – payments to benefit the local community.