Brindleyplace deal could be Birmingham's biggest

Birmingham is on the verge of its biggest ever office investment deal, worth up to £200 million, with two major property companies said to be poised to snap up much of the city's Brindleyplace scheme.

And the deal could mean good news for the city's office market after a torrid time for commercial property in the West Midlands as a result of the credit crunch. Brindleyplace owners Argent have refused to name the parties interested in buying eight of the 11 city centre office blocks.

But they are believed to be major property investment groups Moorfield and Hines.

London-based Moorfield has around £3 billion of property assets under its management including shopping centres, hotels, industrial and business parks.

Hines is the UK arm of an international property group, based in Houston in Texas, with office blocks and developments across the UK including the Cadbury's distribution centre at Midpoint Park at Minworth.

They are understood to have teamed up to buy eight buildings at Brindleplace for nearly £200 million.

Work on the office development scheme was started by Argent 17 years ago and it is now home to some of the country's biggest names in banking, accountancy and the law as well as top restaurants such as Bank, Thai Edge and Edmunds.

The deal would not include the recently completed Brindleyplace Eleven office building, which has seen the development grow to provide 1.6 million sq ft of space.

Around 8,500 people now work at the offices and businesses based in Brindleyplace, which has helped revitalise the city centre since the early 1990s.

If the buyout deal does go ahead, it will show that regional office developments are again seen as being attractive to investors, who are confident that businesses are prepared to spend money to take top price space in them.

A major investment in office space in Birmingham is also a statement of faith in the future of the business sector that occupies it.