The City of London’s first co-living development, Cornerstone, is moving forward with JJ Rhatigan appointed as main contractor. Equity for the project is provided by Bridges Fund Management, via Bridges Property Alternatives Fund V, alongside development partner, HUB.
Located at 45 Beech Street on the edge of the Barbican Estate, the adaptive reuse scheme will convert and extend a 1950s office building into 174 co-living homes, designed by Stirling Prize-winning architects, Allford Hall Monaghan Morris (AHMM).
This landmark scheme will provide much-needed accommodation for City workers, and it will be the first project in HUB and Bridges’ expanding co-living portfolio that the partners plan to build and hold, drawing on Bridges’ experience of owning and operating real estate assets.
With the strip-out of the existing building complete and enabling works underway, construction is expected to start following Gateway 2 approval. An application to the Regulator will be submitted in the coming weeks, with practical completion targeted for 2028.
To support this next phase of delivery, Firma Partners has provided a £78.1million development loan for the project, with BBS Capital advising the parties in securing debt.
Sustainability is central to the project, which will reuse 90% of the existing building’s substructure and 65% of the superstructure, delivering a 34% embodied carbon saving compared to a new build scheme of a similar scale.
Cornerstone will deliver the first professionally managed co-living homes in the City of London. In addition to 49,000 sq ft of living space, Cornerstone will offer residents 8,000 sq ft of shared amenities including co-working spaces, a gym, café, laundry, communal lounges and a roof terrace.
Damien Sharkey, managing director at HUB, said: “We’re starting the year with strong momentum behind this landmark project and look forward to seeing it progress throughout 2026. Not only is Cornerstone our first co-living scheme in the City of London, but it is the first asset within our ultra-urban co-living portfolio that Bridges and HUB plan to retain beyond PC and operate. We see enormous potential in the sector and its role in shaping the future of urban living. Cornerstone will deliver the UK’s most centrally-located co-living homes, and we are excited to see the benefits it will bring to the City of London upon completion.”
Simon Ringer, head of Bridges Property Funds, commented: “We are delighted to be undertaking this environmentally focused refurbishment project with our long-term partner HUB. Our funds have now secured positions in a platform of co-living schemes in prime locations in London, and we look forward to building these out for operation in a market that is starved of high-quality, flexible residential accommodation. By converting redundant office space to modern standards, we are also able to implement an environmental strategy that will significantly reduce carbon emissions, in accordance with our Fund objectives.”
Victor Librae, chief executive of Firma Partners, said: “We’re delighted to support Bridges and HUB on this landmark scheme. They are very experienced and have a strong track record. 45 Beech Street is a well-located, residential-led scheme that reflects the type of transitional, planning-led development we are set up to support. The structure of this facility has been designed to align with the realities of delivery and leasing in today’s market, while providing the sponsor with the flexibility needed to navigate the complexities of the Gateway system.”
Tom Neylon, UK managing director of JJ Rhatigan, said: “Cornerstone is our fifth project with HUB, which is a credit to both teams consistently delivering at a high level. HUB has done an excellent job in shaping this landmark City scheme, with sustainability and quality at the heart of its approach. We bring significant co-living experience and a strong design and build track record, including the successful progression of projects through the Gateway process, and are currently in the design stage ahead of submission. We are delighted to have been selected to deliver Cornerstone and to continue our relationship with HUB as the project moves into the next phase.”
