Birmingham Central Heart Prospectus Regeneration

Birmingham Central Heart is a new city-centre investment prospectus for the blocks between the Bullring, Colmore Business District, New Street, Moor Street and HS2 Curzon Street — aiming to turn under-used retail and office land into a denser mixed-use core with thousands of homes, major commercial floorspace, new green routes and stronger walking/cycling links.

Birmingham Central Heart is a city-centre regeneration and investment prospectus launched in March 2026 by Invest West Midlands, Birmingham City Council and partners. It brings together eight strategic sites in Birmingham city centre: Martineau Galleries, Martineau Place, Cherry Street, Cannon Street, Union Street, Carrs Lane, City Arcade and 42 High Street. The prospectus positions these sites as a coordinated opportunity to reconnect Birmingham’s commercial core, retail core and future HS2 gateway. Invest West Midlands +1

The headline ambition is substantial: 4m+ sq ft / 400,000 sq m+ of commercial space, up to 5,000 homes, up to 8,000 jobs and more than 7 hectares of new or improved public realm. These figures are prospectus-level capacity estimates, not delivered outputs or guaranteed planning approvals. Invest West Midlands +1

Central Heart is strategically located between HS2 Curzon Street, Birmingham New Street, the Bullring, Moor Street, Colmore Business District and the existing retail core. The proposition is to shift a group of under-used retail, office and service plots into a more mixed-use, higher-density city-centre neighbourhood with homes, workspace, hospitality, leisure, active travel and green public spaces. Invest West Midlands +1

The prospectus sits within Birmingham’s wider regeneration architecture. It is referenced alongside the Central Birmingham Framework 2045, the emerging Central Heart Growth Zone, the Birmingham East Mayoral Development Corporation, HS2 Curzon Street, Metro extensions and wider city-centre transformation. West Midlands Growth Company says the prospectus was developed by Birmingham City Council with landowners, developers, Business Improvement Districts and regional partners. West Midlands Growth Company +1

Several sites already have their own development histories. Martineau Galleries has outline / reserved-matters planning history for a large mixed-use scheme with homes, workspace, hotel, retail, food and beverage and new public routes. Martineau Place is now moving through a fresh pre-application / consultation phase, with public reporting in June 2026 referring to proposals by Henley Investment Management and Sixth Street for up to 1,500 homes and office / retail space. Hammerson +2 eplanning.birmingham.gov.uk +2

For property investors, Central Heart is best understood as a city-core densification, transport and placemaking proposition. It could increase residential supply and tenant demand in the most central part of Birmingham, while strengthening links to HS2, Metro, Colmore, Digbeth and Eastside. However, investors should not assume automatic price growth. ONS data shows Birmingham’s average private rent at £1,088 per month in May 2026, up 3.3% year-on-year, while the average house price was £236,000 in April 2026, up only 0.7% year-on-year; flats and maisonettes were down 2.6% year-on-year. Office for National Statistics

Project snapshot

Snapshot sources: Invest West Midlands, West Midlands Growth Company, Birmingham Chamber, Gensler, Hammerson and Birmingham planning records. Invest West Midlands +2 West Midlands Growth Company +2

Location and strategic context

A central-core regeneration opportunity

Central Heart focuses on a highly strategic but fragmented part of Birmingham city centre. The eight sites sit between the established retail core, the office core, the Bullring, Moor Street, New Street and the future HS2 Curzon Street station. Invest West Midlands describes the proposition as a gateway between Birmingham’s historic business districts and the new HS2 station at Curzon Street. Invest West Midlands +1

The area has significant strengths: high footfall, central transport access, retail and leisure anchors, proximity to Colmore Business District, links to Eastside and Digbeth, and adjacency to Birmingham’s largest infrastructure project at Curzon Street. Its challenge is that some sites remain under-used, retail-led, service-led or disconnected by highways, inward-facing shopping blocks and weak pedestrian routes.

The prospectus responds to a broader shift in UK city centres. Gensler, which worked on the Central Heart vision, frames the project around the need for city centres to evolve beyond retail-led models toward mixed-use neighbourhoods with homes, workplaces, public spaces and active travel. Gensler

Connection to HS2, Metro and Birmingham’s eastward growth

Central Heart’s strategic logic is closely tied to transport and eastward city-centre expansion. HS2 Curzon Street is under construction and is intended to create a major new arrival point for Birmingham, with public squares, green spaces, cycle parking, pedestrian links and a tram stop beneath the station. HS2

The first phase of the Birmingham Eastside Metro Extension opened to Millennium Point on Easter Sunday 2026. The wider 1.7 km route is intended to connect Bull Street to High Street Deritend, serve Curzon Street and Digbeth, and link into Birmingham’s wider tram network. Midland Metro Alliance

A key caution is timing. The UK Government’s May 2026 HS2 reset states that first trains between Old Oak Common and Birmingham Curzon Street are now expected in the 2036–2039 period, with the full scheme later. That means the HS2-related value proposition is long-term rather than immediate. GOV.UK

Relationship with BEMDC and the Central Birmingham Framework

Central Heart is one of the city-centre growth projects referenced within the wider Birmingham East regeneration agenda. WMCA describes the Birmingham East Mayoral Development Corporation as including major projects such as the Sports Quarter, Birmingham Knowledge Quarter, HS2 Curzon Street and adjoining Central Heart, Smithfield and Digbeth. West Midlands Combined Authority

BEMDC was legally established in 2026 under the Localism Act model. It is intended to help join up planning, land, investment and infrastructure powers, although the detailed transfer and operation of functions should continue to be tracked. Statutory Instruments +1

Central Heart also aligns with the Central Birmingham Framework 2045, which sets out a long-term direction for central Birmingham’s growth, public realm, movement, housing and economic development. In practical terms, Central Heart is the more market-facing investment proposition; the Central Birmingham Framework provides wider strategic policy context.

What is being delivered

Central Heart is not a single development site. It is a coordinated prospectus for eight strategic opportunities, many of which are expected to be delivered by different landowners, developers and investors.

Programme-level outputs

These figures are taken from the Central Heart prospectus and launch material. They should be read as development-capacity estimates and investment ambitions rather than confirmed planning permissions. Invest West Midlands +2 Invest West Midlands +2

Strategic sites

| Martineau Galleries | Large mixed-use redevelopment between the retail core and Curzon Street, including homes, workspace, hotel, retail / leisure, public square and boulevard-style links toward HS2 | Has planning history and reserved-matters approval. Hammerson describes a 7.5-acre site with up to 1,300 homes, 140,000 sq m workspace, hotel, restaurants and cafés. Other summaries describe broader commercial floorspace differently, so figures should be checked against live planning documents. Hammerson +1 | | Martineau Place | Major redevelopment / intensification of the existing shopping-centre block | Latest reporting in June 2026 says Henley Investment Management and Sixth Street are consulting on proposals for up to 1,500 homes plus office / retail space, with an outline application expected later in 2026. Prospectus summaries have referred to higher housing capacity, so the live scheme appears to be evolving. Place Midlands +1 | | Cherry Street | Redevelopment around the former Rackhams / House of Fraser area, with homes, offices and improved public realm | Construction media summaries of the prospectus refer to around 600 flats and 14,000 sq m offices. This should be treated as indicative until confirmed through planning. Construction Enquirer | | Cannon Street | Reuse / conversion opportunity above ground-floor retail, close to the tram network | Prospectus summaries refer to around 50 homes above refurbished workspace and retail. Site-specific planning status needs checking before investment underwriting. Construction Enquirer | | Union Street | Large commercial-led redevelopment opportunity, with possible hotel, student, co-living and retail elements | Prospectus summaries refer to up to 200,000 sq m commercial space and optional complementary uses. This appears to be an opportunity-stage site rather than a fully consented scheme. Construction Enquirer | | Carrs Lane | Residential-led mixed-use opportunity near HS2 / Eastside, with public-square potential | Prospectus summaries refer to around 480 flats above a reimagined church building and new public space. Treat as indicative until detailed planning documents are published. Construction Enquirer | | City Arcade | Heritage-led restoration / reuse of the Grade II arcade, reconnecting routes toward Great Western Arcade and Cherry Street | Smaller-scale commercial and public-realm / route improvement opportunity. Heritage condition, viability and conservation requirements will matter. Construction Enquirer | | 42 High Street | Gateway redevelopment linking the HS2 route into the city centre, with homes and ground-floor commercial space | Prospectus summaries refer to around 750 homes plus ground-floor commercial. Treat as opportunity-stage unless and until detailed planning is confirmed. Construction Enquirer |

Homes

The headline housing ambition is up to 5,000 homes across the eight sites. This is significant because Central Heart would bring residential density into the most central part of Birmingham, rather than focusing growth only on fringe locations such as Digbeth, Eastside, Jewellery Quarter or Southside. Invest West Midlands +1

Likely tenure mixes have not been confirmed across all sites. Based on comparable central Birmingham schemes, the pipeline could include a mix of build-to-rent, private-sale apartments, affordable housing, student accommodation, co-living and possibly hotel / aparthotel elements. That mix should not be assumed; each site will require its own planning application, viability assessment, affordable-housing position and management strategy.

Offices and commercial space

The prospectus identifies 4m+ sq ft / 400,000 sq m+ commercial space. This could include offices, workspace, retail, hospitality, leisure, hotel and other commercial uses, depending on each site’s design and planning route. Invest West Midlands +1

The office proposition is supported by Birmingham’s prime office market. JLL reported Birmingham prime office rents at £52 per sq ft in Q1 2026, with overall vacancy at 9.9% and Grade A vacancy at 4.6%. That supports the case for high-quality central workspace, but it also means secondary space and speculative schemes need careful demand testing. JLL

Public realm and green infrastructure

Central Heart is explicitly framed around new public space and greener routes. Invest West Midlands and West Midlands Growth Company identify more than 7 hectares of new or improved public realm, including new green routes, improved public spaces and stronger pedestrian links across the city core. Invest West Midlands +1

Gensler describes the vision as including linear urban green spaces, new active-travel routes and public spaces intended to make the city centre greener and more walkable. The Chamber of Commerce also reported the ambition to double green space in the area and create safer walking and cycling links. Gensler +1

The key investor caveat is maintenance. High-quality public realm can improve lettability and place perception, but only if long-term management, cleaning, landscaping, security and stewardship arrangements are funded and enforced.

Infrastructure and movement

Central Heart’s movement strategy is built around:

• better pedestrian connections between Colmore, Bullring, Moor Street, New Street, Curzon Street and Digbeth;
• safer cycling and walking routes;
• integration with Metro routes;
• better legibility between retail, commercial and transport zones;
• new public spaces and green corridors.

The transport context is strong but long-term. The Eastside Metro phase to Millennium Point is open, while further route sections toward Curzon Street and Digbeth remain critical. HS2 Curzon Street is under construction, but the 2026 reset pushes first passenger services into the 2036–2039 period. Midland Metro Alliance +1

Key partners, landowners, developers, public bodies and funding

Public-sector and regional partners

West Midlands Growth Company states that the prospectus was developed with Birmingham City Council, major landowners, developers, BIDs and regional partners. West Midlands Growth Company

Landowners, developers and advisers

Gensler says it worked with Birmingham City Council, Sphere Group and the landowner / developer partnership on the prospectus vision. Gensler

Funding position

There is no evidence in the public sources reviewed of a single ring-fenced public funding pot that will deliver all Central Heart sites. The prospectus is primarily an investment and development-partner proposition.

Funding and delivery are likely to combine:

• private development equity and debt;
• institutional forward funding for residential / build-to-rent;
• commercial development funding;
• public-sector public-realm and transport investment where applicable;
• Metro and HS2 infrastructure funding;
• BEMDC / WMCA / council support where statutory powers or funding routes apply;
• potential government-backed finance streams, subject to eligibility.

The Chamber of Commerce reported that Birmingham City Council, WMCA and government-backed finance institutions are seeking to link projects with funding streams, but specific site-level funding packages are not yet fully public. Greater Birmingham Chambers of Commerce

Planning, governance status and current delivery status

Planning status

Central Heart is a prospectus and growth-zone proposition, not a single planning permission. Each of the eight sites requires its own planning route. Some sites have advanced planning history, while others appear to remain at opportunity, design, consultation or pre-application stage.

Planning source basis: Birmingham planning portal, Invest West Midlands, WMCA, Midland Metro Alliance, HS2 and 2026 local development reporting. eplanning.birmingham.gov.uk +2 Invest West Midlands +2

Current delivery status

The most accurate current description is:

Central Heart is at investment-prospectus / site-pipeline stage, with some advanced sites but no complete area-wide build-out. Martineau Galleries has the clearest planning history; Martineau Place is actively moving through a new 2026 consultation / pre-application process; several other sites are best treated as opportunity-stage until detailed planning documents are published.

The surrounding enabling context is more advanced: HS2 Curzon Street is under construction, Eastside Metro has partly opened, and BEMDC has been legally established. However, the full Central Heart transformation remains a multi-year, phased programme dependent on landowner decisions, planning, infrastructure, funding, occupier demand and residential market absorption. HS2 +2 Midland Metro Alliance +2

Full timeline: earliest planning / announcement through today

Timeline sources: Invest West Midlands, Birmingham planning records, WMCA, HS2, Midland Metro Alliance, GOV.UK / DfT and local planning reporting. GOV.UK +3 Invest West Midlands +3 eplanning.birmingham.gov.uk +3

Property investor view

Investment relevance

Central Heart is one of Birmingham’s most important city-centre regeneration propositions because it targets the actual core of the city, not only fringe neighbourhoods. Its potential impact comes from:

• adding homes in the city centre;
• increasing high-quality workspace and mixed-use floorspace;
• improving public realm and walking routes;
• strengthening links to HS2 Curzon Street, Metro, Colmore, Bullring, New Street, Moor Street, Eastside and Digbeth;
• repositioning under-used retail and office blocks for a post-retail-dominant city-centre economy.

For residential investors, the strongest relevance is likely to be in central apartments and professionally managed rental stock near Martineau, Dale End, High Street, Moor Street, Corporation Street, Bullring, Colmore fringe, Eastside and Digbeth.

However, investors should not treat the prospectus as guaranteed uplift. It is a long-term development pipeline, and individual returns will depend on purchase price, building quality, service charges, leasehold terms, financing costs, construction competition, tenant demand and the timing of actual delivery.

Rental demand

Birmingham has a large rental base supported by universities, professional services, financial services, healthcare, public-sector employment, graduate retention, hospitality and cultural activity. Central Heart could add to this by increasing the number of homes close to the city’s main transport, retail and office nodes.

ONS data shows Birmingham’s average private rent at £1,088 per month in May 2026, up 3.3% year-on-year. Average rents were £821 for one-bedroom homes, £993 for two-bedroom homes and £910 for flats and maisonettes. These are local-authority averages, not Central Heart-specific rents. Office for National Statistics

Deloitte’s 2026 Birmingham Crane Survey reported a strong city-centre residential pipeline, with 4,594 homes completed in 2025 and 6,822 homes under construction. It also reported that build-to-rent accounted for 55% of homes under construction, reflecting ongoing demand for professionally managed urban rental accommodation but also signalling supply competition. Deloitte

Capital growth potential

Central Heart has credible long-term placemaking drivers: central location, public realm, transport connectivity, mixed-use redevelopment, stronger links to Curzon Street and the potential to replace tired or under-used assets with higher-value uses.

But capital growth should not be promised. ONS reported Birmingham’s average house price at £236,000 in April 2026, up 0.7% year-on-year. Flats and maisonettes averaged £147,000 and were down 2.6% year-on-year. That matters because much of the Central Heart residential opportunity is likely to be apartment-led. Office for National Statistics

A cautious investor case would focus on:

• buying at a price supported by today’s comparable evidence;
• favouring buildings with strong management and controlled service charges;
• checking EWS1 / building-safety status;
• avoiding over-reliance on future HS2 uplift given the revised delivery timescale;
• tracking actual achieved rents rather than asking rents;
• assessing whether new supply could dilute rent growth in the short and medium term.

Micro-location strengths

Micro-location risks

The same centrality that makes Central Heart attractive also creates risks:

• construction disruption could be prolonged across multiple sites;
• high-density schemes may increase service-charge and management costs;
• retail displacement could temporarily weaken footfall in some blocks;
• nightlife, hotels, deliveries and city-centre traffic may create noise or management issues;
• older buildings may carry hidden maintenance, asbestos, fire-safety or conversion risks;
• new-build apartment supply could create competition for tenants;
• some benefits depend on HS2 / Metro timelines and public-realm delivery.

Tenant demand

Likely tenant groups include:

Short-let and serviced-apartment strategies should be treated cautiously. Central location and event demand may look attractive, but investors must check lease covenants, building management rules, planning use, mortgage terms, insurance and any future local short-let regulation.

Transport and employment drivers

The strongest drivers to track are:

1. Eastside Metro — first phase now open to Millennium Point, with further Curzon / Digbeth links still important.

Midland Metro Alliance

1. HS2 Curzon Street — under construction, but passenger-service timing now extends into the 2036–2039 period.

GOV.UK

1. Colmore and professional services — proximity to Birmingham’s established office core remains a major strength.
2. Prime office demand — JLL reported tight Grade A vacancy in Q1 2026, which supports demand for high-quality space but not necessarily for all secondary stock.

JLL

1. Retail-to-mixed-use shift — Central Heart’s success depends on replacing under-performing retail and office assets with active, viable mixed-use schemes.
2. BEMDC coordination — the new statutory body may help coordinate land, infrastructure and planning, but operational details need to be proven.

What investors should track

1. Site-by-site planning applications — especially Martineau Place, Union Street, 42 High Street and Cherry Street.
2. Martineau Galleries phasing — whether reserved-matters approvals convert into construction and pre-lets / funding.
3. Martineau Place consultation and outline application — scale, height, tenure, public realm, affordable housing and viability.
4. BEMDC powers and governance — planning powers, board structure, delivery plan, CIL / Section 106 treatment and land-assembly approach.
5. HS2 and Metro milestones — distinguish between operational Metro, under-construction station works and long-term HS2 services.
6. Residential supply absorption — monitor build-to-rent, co-living, student and private-sale supply across the city core.
7. Achieved rents — compare actual lettings, voids and incentives, not just advertised rents.
8. Service charges and building safety — central high-rise and mixed-use buildings can carry high running costs.
9. Public-realm maintenance — green routes and squares need long-term stewardship.
10. Ground-floor activation — retail, hospitality and leisure occupancy will determine whether the area feels like a neighbourhood rather than a construction corridor.

Risks and watch points

Source links and references

1. Invest West Midlands — Birmingham Central Heart: official investment page, eight sites, location, 4m+ sq ft commercial space, up to 8,000 jobs, up to 5,000 homes and 7 ha+ public realm.

Invest West Midlands

1. Invest West Midlands — Central Heart launch at MIPIM: March 2026 launch, under-used retail / office land, site list and gateway role.

Invest West Midlands

1. Invest West Midlands — Central Heart prospectus resource page: prospectus description, partnership approach and headline opportunities.

Invest West Midlands

1. West Midlands Growth Company — Central Heart launch: Birmingham City Council, landowner, developer, BID and regional partner involvement.

West Midlands Growth Company

1. Greater Birmingham Chambers of Commerce — Central Heart launch coverage: homes, jobs, commercial floorspace, public realm, green routes and funding-stream context.

Greater Birmingham Chambers of Commerce

1. Gensler — Central Heart Birmingham: design vision, mixed-use rationale, active travel and public-realm concept.

Gensler

1. Hammerson — Martineau Galleries: site scale, homes, workspace, hotel, retail / leisure and HS2 gateway role.

Hammerson

1. Birmingham planning portal — Martineau Galleries reserved matters: application 2023/03036/PA, registration and approval status.

eplanning.birmingham.gov.uk

1. Place Midlands — Martineau Place consultation: 2026 pre-application / consultation reporting, Henley / Sixth Street ownership and emerging scale.

Place Midlands

1. Construction Enquirer — Central Heart site summaries: indicative site-by-site capacity descriptions from prospectus coverage.

Construction Enquirer +1

1. WMCA — Birmingham East Mayoral Development Corporation explainer: MDC powers, geography and relationship with Central Heart / wider east Birmingham regeneration.

West Midlands Combined Authority

1. UK Parliament / Statutory Instruments — BEMDC Establishment Order 2026: legal establishment of BEMDC.

Statutory Instruments

1. HS2 — Birmingham Curzon Street station: station design, construction, public realm and transport connections.

HS2

1. GOV.UK / DfT — HS2 project reset 2026: updated delivery and cost context, including 2036–2039 first-train expectation.

GOV.UK

1. Midland Metro Alliance — Birmingham Eastside Extension: Metro opening to Millennium Point and wider route to Curzon / Digbeth.

Midland Metro Alliance

1. JLL — Birmingham office market dynamics Q1 2026: office take-up, prime rents and Grade A vacancy context.

JLL

1. Deloitte — Birmingham Crane Survey 2026: residential, office, student, hotel and retail / leisure construction pipeline.

Deloitte

1. ONS — Housing prices and private rents in Birmingham: April 2026 house prices, May 2026 rents and data caveats.

Office for National Statistics

Source links

• investwestmidlands.com
• wmgrowth.com
• hammerson.com
• Office for National Statistics
• investwestmidlands.com
• Gensler
• HS2
• Midland Metro Alliance
• GOV.UK
• West Midlands Combined Authority
• statutoryinstruments.parliament.uk
• investwestmidlands.com
• hammerson.com
• placemidlands.co.uk
• Construction Enquirer
• JLL
• gensler.com
• metroalliance.co.uk
• West Midlands Growth Company
• Greater Birmingham Chambers of Commerce
• eplanning.birmingham.gov.uk
• hs2.org.uk
• investwestmidlands.com
• Deloitte
• Invest West Midlands
• Invest West Midlands
• Invest West Midlands
• Hammerson
• eplanning.birmingham.gov.uk
• Place Midlands
• constructionenquirer.com
• Statutory Instruments

Rental impact note

Rental impact is qualitative and should be treated as directional only. It depends on delivery timing, the final mix of uses, local supply, affordability, employment conditions and wider market cycles; it is not a guarantee of future rents or capital growth.