Originally designed in 1911 as a ceremonial passage from Trafalgar Square towards Buckingham Palace it will be developed into a 100 bed five star hotel, residence and private members’ club.
The proposals will see the building sensitively renovated using architect Sir Aston Webb’s original drawings which were obtained through meticulous archival research by Montagu Evans’ heritage team.
The scheme represents the culmination of extensive work undertaken by a highly experienced project team including Michael Blair of Blair Associates Architecture and Sir Robert McAlpine.
Montagu Evans also provided pre-application advice through the highly competitive and rigorous bidding process that led to Prime Investors Capital acquiring a 99 year lease from the government for a premium of £60 million.
The redevelopment is part of the wider Cabinet Office strategy which has already seen it shrink by 16% since 2010 and raise over £1 billion for the taxpayer by selling buildings and land no longer needed.
The 99 year lease agreement signed between HM Government and PIC in October 2012 will raise an additional £60 million from the sale of Admiralty Arch’s leasehold, as well as creating jobs within the regeneration project.
‘Admiralty Arch is a Grade I listed building of national significance and the government’s decision to vacate the building presents an extraordinary opportunity to reveal its heritage values through imaginative conversion and re-use,’ said Chris Miele, equity partner at Montagu Evans.
‘The scheme has been guided by a commitment to enhancing the special interest of the building and securing essential investment in one of London’s most important historic landmarks,’ he explained.
‘In providing access to Admiralty Arch for residents, guests and the general public, the scheme offers new opportunities for the public to appreciate its significance for the first time,’ he added.
Admiralty Arch originally housed offices and residences for the Sea Lords of the Admiralty and was used by the Navy and the Ministry of Defence until 1994.
The 99 year lease for Admiralty Arch was sold for an agreed premium of £60 million to Prime Investors Capital (PIC), subject to a number of conditions to be satisfied within three years including planning permission. There is also an option for PIC to call for a 125 year lease before the lease is granted for an additional £5 million.
PIC is a London based investment management company, which specialises in real estate development and investment, acquiring and developing prime property worldwide.
It has brought together a unique team of 20 respected British companies for the Admiralty Arch restoration project. Each company has a considerable and successful track record in its particular field of expertise, and working with buildings of national importance.
After a very thorough and transparent public consultation process, where over 100 parties were notified of the planning application, not a single objection was received ahead of the planning committee meeting.
PIC said that it has received interest from a number of well known hotel operators, however no operator has been selected yet. Throughout the application process, the team at PIC have been in regular consultation with their in house team of hotel experts to assist in the design and operations of the hotel.