§ Mr. PoundTo ask the Secretary of State for the Environment, Transport and the Regions what will be the cost of the new building for the Greater London Authority; and if the rent will be at the market rate for similar buildings. [110064]
§ Mr. HillWe have reached agreement with the developer, CIT Group, on a rent of £36.50 per square foot, £393 per square metre. This is frozen until 2007. The fixed rent at practical completion of the contract will be £4.75 million per annum. There are no similar buildings in the area; however, the £36.50 compares favourably with current rents, for top quality space in prime locations, of typically around £50 per square foot in the City and the West End of London. The developer will meet the cost of the base building which is estimated at around £40 million.