Key Points
- A £67.2 million finance deal has been secured for the construction of a 30-storey residential tower in central Cardiff.
- The development, situated on the site of Harlech Court, will deliver 340 purpose-built rental apartments.
- The overall scheme carries an estimated completed Gross Development Value (GDV) exceeding £100 million.
- Property developer Draycott Group has confirmed the tower as the largest single project in its portfolio to date.
Cardiff City Centre (Cardiff Daily) August 25, 2026 – A major £67.2 million debt funding package has been formally agreed to back the ongoing construction of a 30-storey residential skyscraper located in the heart of Cardiff city centre.
What are the main details of the £67.2 million Cardiff tower deal?
The funding arrangement will facilitate the construction of the Harlech Court development, a high-density residential scheme set to comprise 340 built-to-rent apartments. Upon completion, the project is projected to achieve a total valuation in excess of £100 million.
Developer Draycott Group, which is leading the build, has identified the landmark tower block as its largest undertaking since the company’s inception. Construction work remains underway on-site to transform the former commercial premises into one of the tallest residential structures in the Welsh capital.
How will this project impact the Cardiff housing market?
The addition of 340 high-density build-to-rent units represents a significant injection of dedicated rental stock into Cardiff’s urban core. Designed to cater to young professionals and city-centre workers, the scheme aims to address persistent demand for purpose-built private rented accommodation in key central locations.
Background of the Harlech Court development
The Harlech Court site was previously occupied by a multi-storey office block and commercial properties, which were demolished to make way for urban regeneration efforts in Cardiff’s business district. The shift from office space to high-density residential housing reflects broader post-pandemic planning trends across major UK regional cities, where underutilised commercial assets are increasingly repurposed to address urban housing shortages.
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Prediction: How will this development affect private renters and local businesses?
For prospective tenants and local businesses in central Cardiff, the completion of the 30-storey tower is anticipated to bring mixed outcomes:
- Increased Rental Supply: The addition of 340 rental units will provide greater accommodation choice in the city centre, which may help absorb local demand for modern high-rise living.
- Footfall for Local Enterprises: The residential influx is expected to boost daily footfall for surrounding retail, hospitality, and service sectors in the central business district.
- Affordability Considerations: Given the scheme’s £100m+ valuation and prime location, rental rates are likely to sit at the upper end of the local market, potentially maintaining upward pressure on average central Cardiff rent levels.
