January 18, 2018

Occupiers concerned about lack of innovation from commercial property sector

by Mark Eltringham • Coworking, News, Property

The UK’s productivity is lagging behind other G7 countries and property directors are concerned that landlords’ lack of proactivity around commercial property innovation may hamper efforts to move the UK up the productivity league table, according to the newly published results of a survey carried out at the Property Directors Forum in December 2017, hosted by Avison Young. Attendees at the event held at The Royal Society of Chemistry, Piccadilly, were asked to provide their thoughts on property innovation and the role that landlords have in leading the way. The survey revealed that not one of the property directors have been approached by their landlord(s), proactively, to discuss property innovation and, in fact, 40 percent of directors reported their landlord as being reluctant to innovate.

(more…)

January 18, 2018

Germany loses favour as corporate real estate investment hotspot

by Mark Eltringham • News, Property

Germany is no longer the most popular global destination for corporate real estate investment, according to BrickVest’s latest commercial property investment barometer. Formerly the most popular location in Q3 2017, Germany has now fallen in favour among investors behind the UK, US and France. Germany saw a drop in popularity from 34 percent to 23 percent in the last quarter, marking its lowest rating since Q2 2016. The UK, however, rose from 27 percent to 29 percent in Q4 2017, managing to sustain its general popularity by consistently ranking above 25 percent.

(more…)

January 12, 2018

European commercial property market in good health as coworking phenomenon takes hold

by Neil Franklin • Coworking, News, Property

European commercial property markets have started 2018 in a positive way, with provisional data for 2017 from Knight Frank suggesting that investment volumes were higher than in 2016. If 2017 beats 2016’s total of €216 billion it will still remain well below the market peak of 2015 when over €250 billion was invested, according to the latest commercial property outlook report from Knight Frank. The real estate firm expects 2018 transaction volumes to be similar to those of 2017 and the report says that significant amounts of capital continue will be allocated to real estate. The report also highlights how flexible workspace and coworking is now a Europe-wide phenomenon, with London, Berlin and Paris witnessing the strongest growth. The sector will continue to expand, as new styles of workspace are developed to service a growing variety of occupier needs, says the report. Last year Baptiste Broughton reported for us on the state of the coworking market in France.

January 12, 2018

The seven must-reads that were on our radar this week

by Mark Eltringham • AI, Features, Flexible working, Property, Technology, Workplace

What to do when you’re feeling distracted at work

The essential truths of management books distilled to 25 words

The past and present future of corporate real estate

A new approach to the design of work

How to tackle impostor syndrome in 2018

Managing an integrated government estate: lessons from the UK

Autonomous car hype is way ahead of reality

Image: Mercedes

January 12, 2018

BSRIA launches urbanisation megatrends report

by Mark Eltringham • Cities, Facilities management, News, Property

The Building Services Research and Information Association (BSRIA) has launched a new report called Megatrends – Urbanisation (registration needed) which claims to look at the major forces that are shaping the ‘world in which we live and do business’. The report cites as inspiration a 2015 McKinsey report called No Ordinary Disruption, which examined ‘The Four Global Forces Breaking all the Trends’. The four key trends which McKinsey pointed to as already impacting on almost every society, or will do soon, are urbanisation, an ageing population, globalisation and the technological revolution. Since 1950 there has been a massive global movement towards urbanisation. In 1950 fewer than 30 per cent of the world’s population lived in urban areas. By 2010 this had reached 50 per cent and by 2050 the share is forecast to exceed two thirds of the world’s population. This represents one of the biggest and fastest human movements in history and the report sets out to explore its implications.

(more…)

January 11, 2018

Culture shift needed to drive a better gender balance in property and construction

by Niki Fuchs • Comment, Property

Despite compelling evidence of the bottom line benefits of gender diversity, too many sectors remain stubbornly male dominated. This is certainly the case with the property and construction industry where women still represent only 15 percent of the workforce. The growth of prop-tech, entrepreneurialism amongst women and a growing emphasis on service, demonstrated by the growth of the flexible office and serviced apartment sectors, which tend to have more balanced gender ratios, is helping to address this balance. However, many women in the industry still do not occupy managerial roles, and so the gender pay gap stubbornly remains. For these imbalances to be addressed a cross-industry, cultural shift needs to occur, and individual companies must work to drive change from the top down.

(more…)

January 8, 2018

Seven stories to get your week (and 2018) off to a flying start

by Mark Eltringham • Architecture, Features, Property, Technology, Workplace design

How PropTech will change in 2018

China’s supernova cities

Video: Capitalism without capital

The State of the (property management) nation

Ten workplace trends you’ll see in 2018

Deconstructing the high rise

The best ideas and inventions of 2017

Image: CCTV headquarters in Beijing by OMA

January 4, 2018

Demand for office space in Central London continues to grow steadily but falls elsewhere

by Mark Eltringham • News, Property

A new study from commercial property advisors Savoy Stewart based on UK government data claims that demand for office space in Central London has continued to grow at a steady rate for a number of years, but that the trend is not always matched elsewhere in the UK, including for areas on the outskirts of the capital. The report, based on an analysis of data from the Valuation Office Agency, covers the period from 2000 to 2016. It found that the total floorspace of 21,092,000 square metres in Central London accounts for nearly one quarter of the total office floorspace in England and Wales (89,037,000 square metres) and more than twice the total floorspace of the top 10 office hotspots outside London combined.

(more…)

January 3, 2018

UK commercial property volumes to exceed £50 billion for sixth consecutive year

by Mark Eltringham • News, Property

Despite 2017 being a year of political surprises and, seemingly, never ending Brexit negotiations, both the UK economy and commercial property market have shown demonstrable resilience with transaction volumes reaching £55 billion. With recent announcements suggesting more certainty about the post Brexit relationship between the UK and the EU, renewed business confidence will increase demand for quality commercial real estate. Global real estate advisor, Colliers International, predicts that 2018 volumes will exceed £50 billion for the sixth consecutive year.

(more…)

January 3, 2018

Flexible space and smart tech to grow this year, while occupiers decide on Brexit

by Sara Bean • Coworking, Facilities management, Flexible working, News, Property, Technology

The proportion of flexible space within occupier portfolios will continue to increase in 2018; a growing adoption of technology will redefine buildings, workplaces and portfolios; and it will be a year of decision for many businesses regarding Brexit. These are among the ‘UK Property Predictions 2018’ report from JLL which covers a range of different topics, with a particular focus on UK corporate occupiers. The report claims that traditional static portfolio concepts are being redesigned to incorporate new formats of space, co-working and a more fluid and diverse range of space options that support creativity, innovation and collaboration. (more…)