Lendlease chosen to lead £1.5bn Smithfield transformation

The international developer Lendlease has been chosen to lead the transformation of Birmingham Smithfield, the 17-hectare former markets site next to the Bullring, in a project worth £1.5 billion.

The city council announced on 9 January that Lendlease would be its development partner, forming a joint venture with the council to create a new urban quarter in the heart of the city centre.

What is planned

The scheme includes a new home for the city's historic Bull Ring retail markets, a family destination with leisure and cultural attractions, a new public square, integrated public transport and more than 2,000 homes with a public park and community facilities.

The site sits directly next to the Bullring and New Street station, and will be a short walk from the HS2 terminus at Curzon Street, which is due to open in 2026. It is twice the size of Brindleyplace, and the redevelopment is expected to take 15 years to complete. The first phase will include new homes, the new retail markets building and public spaces.

"Where Birmingham first developed"

Council leader Ian Ward said the council was extremely excited to be working with a developer with a proven track record. "Lendlease have committed to invest in the local community and create 1,000s of new jobs and training opportunities," he said. "This scheme will create a legacy for the citizens of Birmingham and become an exemplar for inclusive economic growth."

Waheed Nazir, the council's corporate director for economy, described Smithfield as the city's most important redevelopment opportunity. "The site is the location where Birmingham first developed and where its future will now be defined," he said.

Dan Labbad, chief executive of Lendlease in Europe, said: "Smithfield is the birthplace of Birmingham, known for its markets which have always been at the heart of the city. Our plans for the redevelopment will respect this heritage and bring more jobs, homes and environmental benefits to the area and the people of Birmingham."

Who are Lendlease?

Lendlease is an international property and infrastructure group headquartered in Sydney. In the UK, it developed the Bluewater shopping centre in Kent and the athletes' village for the London 2012 Olympics, and it is working on major schemes in London, including the International Quarter in Stratford and Elephant Park.

The company has already been chosen as the preferred contractor for the Perry Barr development, which includes the athletes' village for the 2022 Commonwealth Games.

International trade secretary Liam Fox welcomed the investment, saying it would bring jobs and prosperity to the city and create opportunities for local suppliers.

Next steps

The site became available after the wholesale markets moved to their new home in Witton last year. It is part of the Big City Plan, launched in 2010, which set out a 25-year vision to grow the city centre by more than a quarter, and it lies within the city centre Enterprise Zone.

The council and Lendlease will now finalise the terms of the partnership, begin preparing a planning application and draw up a business plan. The formal contract is expected to be awarded by late 2019, with building work expected to start in 2022.