Work to begin on hotel tower at Gary Neville's £400m development

Construction is to begin on a 162-room hotel at Gary Neville’s £400m St Michael’s development in Manchester city centre in the coming weeks.

It will mark the start of the second phase of the scheme, which is set to transform an underused area of the city into a mixed-use development including office space, luxury homes, restaurants, and a hotel.

Phase one of the scheme began construction in January 2022 and is due to complete in 2024.

It will see the creation of nine floors of office space and a roof terrace that will house Nikkei restaurant brand Chotto Matte.

Two other food and beverage outlets will open at the top and base of the building, while the historic Sir Ralph Abercromby pub will remain open in the public square following a major refurbishment.

Builders are preparing to break ground on phase two, which includes a 41-storey tower set to house the hotel, 217 luxury apartments and an additional 75,000 sq ft of office space.

Neville’s Relentless Developments said it is in the final stages of signing a deal with an “upscale global hotel operator” for the tower, which will be announced in the autumn.

The development is expected to create more than 3,000 jobs and bring £120m worth of investment to the city by the time it completes in 2027.

Neville, a former footballer turned entrepreneur, said: “This is an extraordinary scheme that has been no less than 15 years in the making and we believe it to be the most sustainable commercial space in the city.

“I’d like to thank all our partners who have been with me on this journey and remained committed to the vision to transform this pivotal area of the city into a global landmark.”

The mixed-use scheme is being brought to the market through a collaboration between Relentless Developments and stakeholders KKR, Salboy and Manchester City Council.

No.1 St Michael’s is expected to be the first fully Net Zero Carbon commercial development in the city, both in operation and delivery.

Neville also co-owns hospitality management firm GG Hospitality with fellow former footballer Ryan Giggs and Singaporean real estate company Rowlsey plc.

The group’s portfolio includes Manchester’s Stock Exchange Hotel, Café Football and Hotel Football at Old Trafford stadium, and an events and catering arm.