Gary Neville’s Relentless to redevelop Deansgate’s famous Kendals, creating new ‘district’

One of Manchester’s most recognisable and historic buildings is set to become the centrepiece of a major new city centre neighbourhood.

The former Kendals department store on Deansgate – currently operating as House of Fraser – will anchor a new mixed-use quarter being dubbed the ‘Kendals District’, with plans unveiled by Relentless Developments — the property company co-founded by Gary Neville.

The scheme will bring together six major development sites in the surrounding area, combining office space with hospitality, leisure, a luxury hotel and branded residences, alongside new ‘public and cultural’ spaces.

At the centre of the plans is the transformation of the historic Kendal Milne building itself. The landmark structure will be retrofitted to create around 230,000 sq ft of office space, alongside new food, drink and retail.

The House of Fraser branch – which has experienced multiple threats of closure over the years – has employed as many as 600 people in the past. It’s not been confirmed whether the store will remain open, or be part of the future plans of the development.

First opened in 1836 by drapers John Watts and Thomas Kendal, the business later became Kendal, Milne & Co and grew into one of the most important department stores in the north of England. The current Deansgate building, designed by prominent Manchester architect Thomas Worthington, was constructed in phases between the late 19th and early 20th centuries as the company expanded.

Constructed in late-Victorian commercial style, it became a retail landmark in the city, operating as House of Fraser after the brand was acquired in the 1950s.

The project is being delivered through a partnership between Relentless Developments and Investec, with support from the Greater Manchester Combined Authority. Last year the GMCA confirmed £44m in funding from its Good Growth Fund, which developers say will act as a catalyst for the wider regeneration of the area.

Anthony Kilbride, CEO of Relentless Developments, said: “Kendals is a complex heritage retrofit that has demanded real conviction, not just in the building itself, but in the wider vision for this part of the city. As one of Manchester’s most recognisable landmarks, this high-impact site is perfectly positioned to anchor district-scale regeneration and act as a true gateway to a new neighbourhood.

“What we are bringing forward with the Kendals District is not piecemeal development; it is a coherent, carefully planned quarter that brings together workspace, hospitality, culture and public realm in a way that creates long-term value for the city. It demonstrates how effective public-private collaboration can unlock growth, accelerate delivery and create places of genuine economic and social impact.

“The retrofit of the former Kendal Milne building will set the tone for what follows: thoughtfully designed, highly sustainable space that prioritises wellbeing and flexibility, meeting the evolving needs of modern occupiers while respecting the heritage of the site.

“Relentless is proud to be leading five of the six transformational sites within the district and looking forward to playing a central role in shaping what will become one of Manchester’s most dynamic and recognisable new quarters.”

Cllr Bev Craig OBE, Leader of Manchester City Council, said: “Good Growth is about creating investment opportunities that create a lasting impact to the fabric of our city. While this is often about supporting new development to create growth, it is as much about using the incredible assets we already have in Manchester.

“Kendals is a prime example of this approach – breathing new life into an iconic heritage building to not only ensure its long-term future, but to create a platform for a new city centre district to deliver growth at scale and with ambition.”

It follows news that Relentless is to refurbish the historic Sir Ralph Abercromby pub, which sits at the foot of former United star Neville’s St. Michael’s development, on the opposite side of Deansgate – what will eventually be a 43-storey tower housing a 162-room W Hotel and 217 branded residences, alongside offices, a rooftop restaurant and ground-floor hospitality space.

Neville said: “The Sir Ralph Abercromby is one of Manchester’s most treasured pubs and an important part of the city’s social fabric. A big part of our ambition for St Michael’s has been to celebrate Manchester’s heritage and restoring this iconic building is central to that vision.

“Our proposals carefully retain and enhance the features that give the pub its character while sensitively integrating it into the wider St Michael’s scheme. We’re proud the pub has been able to remain open throughout construction and this next phase will secure its future for generations to come – ensuring it continues to serve the community while sitting confidently alongside a truly world-class development.”

The refurb is set to commence soon, and be finished by summer 2027.