April 13, 2015

Approval granted for new 27-storey office building at Canary Wharf ⁰

by Sara Bean • Company news, News, Property

Planning permission has been granted for a new 27-storey office building at 1 Bank Street, Canary Wharf in London. The new 700,000 sq ft office building will comprise office space, three levels of trading floors, a retail unit at ground level, a free-standing retail kiosk on South Dock Promenade, public realm, planting and landscaping and basement car and cycle parking. There will also be public access to a new promenade along the South Dock. According to developers Canary Wharf Group, the new offices will provide capacity for an additional 5,837 full-time equivalent jobs. French bank Société Générale, has already agreed a lease for 280,000 sq ft of 1 Bank Street, covering the ground and first to seventh floors on a 25 year lease. Tower Hamlets also granted Canary Wharf Group outline planning permission for just over 1 million sq ft of space at 1 Park Place.

April 10, 2015

Central London occupiers prepared to pay more for upper floors and terrace ⁰

by Sara Bean • Facilities management, News, Property

There is a growing trend for London occupiers prepared to pay more for upper floors, particularly with access to a terrace, as according to the latest research by Cushman & Wakefield (C&W), unprecedented rental rates are being paid for tower floors and roof gardens. Central London office leasing activity overall, was 2.4 million sq ft for the first quarter of 2015, which equals the same period in 2014, which marked the highest first quarter volumes since 2007. Momentum in the City of London office market has also continued, with a total of 1.8 million sq ft let, up 34 percent for the same time last year. The West End recorded a relatively quiet quarter, with leasing volumes down to just over 600,000 sq ft – the lowest level since mid-2013. However, this is against a backdrop of falling vacancy rates, leading to the increasing migration of commercial occupiers out of the West End.

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April 7, 2015

New UK Green Building Council Chief Executive lists challenges ahead

by Sara Bean • Environment, Facilities management, News, Property

Julie Hirigoyen, the former UK Head of Sustainability for property consultants JLL takes over today as the new Chief Executive of the UK Green Building Council. Hirigoyen was previously Managing Director and founding partner of Upstream, a leading sustainability strategy consultancy, acquired by JLL in 2007. She said of her new role today: “Buildings and cities are at the heart of what we need to change if we are to achieve sustainable development. There’s been a huge increase in the importance of this agenda, since when I first started out, we were knocking on closed doors. But we must not kid ourselves – we are only at the early stages of the journey. We are still exceeding the limits of the planet, there are still very few genuinely net positive buildings or companies out there, and we are not achieving sustainability as a scientific concept yet – there is much more to do.”

April 7, 2015

New masterplan submitted for £5bn East London development

by Mark Eltringham • Cities, News, Property, Technology

Developers have submitted a revised masterplan for the £5 billion Greenwich Peninsula mixed use development in East London. The new plans not only increase the number of homes on site but also include a greater focus on digital arts and media studios as well as more high rise buildings in keeping with London’s current predilection for tall buildings and emphasising the shift in London’s centre of gravity eastwards. The original plan, created by Farrell & Partners and dating back to 2004 are described as outdated by developers Knight Dragon, who have submitted the new mixed use plan for around 15,000 dwellings, 59,000 sq.m. of hotel, retail and recreational space and 60,000 sq.m. of office space as well as a design district, space for healthcare buildings, educational facilities, transport hubs, visitor attractions, parking, cycling paths, community facilities and parks.

April 2, 2015

CIBSE launches updated guide to environmental building design

by Mark Eltringham • Architecture, Environment, Facilities management, News, Property

The Chartered Institution of Building Services Engineers (CIBSE) has published the latest edition of Guide A: Environmental Design which the organisation claims is ‘the premier technical reference source for designers and installers of building services, especially low energy and sustainable buildings’. As well as updates to legislation and new research, the edition includes a completely new chapter which identifies specific requirements for achieving quality in environmental building design: adopting a holistic approach as well as a system to assure the quality of design calculations and decisions. The other chapters deal with a specific aspect of design including criteria such as comfort and ambient weather and methods of calculation for performance, heating and ventilation systems, methods for thermal comfort evaluation, energy demand and so on.

April 1, 2015

New safety regulations to affect even routine building maintenance tasks

by Sara Bean • Facilities management, Legal news, Property

Any organisation which intends to contract for construction work could risk fines or imprisonment if they do not comply with new legal safety regulations covering site management. Pinsent Masons, the law firm behind Out-Law.com is warning that The Construction (Design and Management) (CDM) Regulations, which come into force on 6 April, will affect all construction work in the UK. The regulations give ‘clients’, meaning anyone for whom a project is carried out, a greater role. Once in force, the regulations will require commercial firms to appoint a principal designer and principal contractor whenever any work involves more than one contractor – even where the work involved is very limited and over quickly. The scope of ‘construction work’ under the regulations is wide, covering everything from major infrastructure projects to installing new showers.

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April 1, 2015

CBRE acquires facilities management business from Johnson Controls

by Mark Eltringham • Company news, Facilities management, Property

Property giant CBRE has reached an agreement to acquire the facilities management business of Johnson Controls for $1.47bn. The deal will see CBRE acquire the Global WorkPlace Solutions (GWS) FM arm of the business, allowing the new enterprise to manage nearly 5bn sq ft of commercial real estate worldwide consisting of 2.3bn sq ft in North and South America, 1.2bn sq ft in EMEA and 1.4 bn sq ft in Asia Pacific. GWS, currently employs around 16,000 people worldwide, and had a turnover of around $3.4bn in 2014.The deal also see the two firms enter into a ten year strategic relationship, with CBRE offering a range of real estate services with Johnson Controls offering HVAC equipment and a range of building automation systems and other products in return. Both firms will also share investment in research and development.

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March 27, 2015

The latest issue of the newsletter is now available to view online

by Mark Eltringham • Newsletter, Property, Wellbeing, Workplace, Workplace design

In this week’s issue; we glimpse the lives of Japanese workers who reject social norms and instead choose to live in Internet cafes; a new report explores how artificial light and the dark affect us in more ways than we might think; HSBC announces its plans to relocate a thousand employees from London to Birmingham; the civil service looks for better ways to meet the needs of disabled staff and overcome their current barriers to career progression; the Government reports on the state of its estate including a look at how it is introducing new ways of working to drive change; a new report lays out the challenges and opportunities of the much talked abut subject of workplace wellbeing; and Anna King offers some thoughts on this year’s MIPIM event. Sign up to the newsletter via the subscription form in the right hand sidebar and follow us on Twitter and join our LinkedIn Group to discuss these and other stories.

March 27, 2015

MIPIM demonstrated how property industry is moving with the times

by Anna King • Comment, Property, Workplace design

In its 26th year, the colossus conference that is MIPIM was back in full flow. With 93 countries were present, 4, 500 investors and 22, 000 registered delegates there were numerous developments presenting opportunities around the world. And crucially, there were more people apparently buying than selling, meaning that strong investment activity will follow. A dumbfounding prediction from property agent Cushman & Wakefield, that global real estate investment could rise 11% to 1.2 trillion euros – an indication of just how much healthier the market is. However, the renewed positivity isn’t simply a return to the ‘good times’, it is apparent that the pain the recession brought in 2008 hasn’t been forgotten and we are seeing a revised formula for property that includes sustainability, collaboration and – crucially – people.

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March 26, 2015

London remains world’s most expensive city in which to live and work

by Sara Bean • Facilities management, News, Property

London has retained its place as the world’s most expensive city for businesses to accommodate their employees. But according to the latest analysis from Savills, Hong Kong and New York are closing the price gap. The three cities have dominated the Savills Live/Work Index since its launch in 2008 and form a tight group of world class cities where it now costs over US$110,000 per employee per year to rent typical office and living space. London is now 7.3 percent cheaper in dollar terms than in June 2014, while 4th placed Paris has slipped below the US$100,000 per employee threshold for the first time since mid-2012 as a result of rental falls, dollar appreciation and euro weakness. Meanwhile, fuelled by an improving US economy and tech industry expansion, San Francisco has outpaced all other cities in the live/work index, with growth in rent and other real estate costs of 55.1 percent since 2008.

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March 25, 2015

HSBC to relocate its UK headquarters building to Birmingham

by Mark Eltringham • Cities, News, Property

Banking giant HSBC has announced the relocation of its core banking business for personal and business customers to the Arena Central development in Birmingham. The move will see the bank take a long term lease on a 210,000 sq. ft. office and relocate around a thousand employees to the new headquarters building from London over the next four years. The choice of location follows a review into the bank’s operations and its ability to service the needs of some 16 million customers in the UK. The West Midlands is the UK’s second largest financial centre after London, with some 220,000 employees across the region. Two years ago, Deutsche Bank completed a deal for 200,000 sq. ft. of new space at Brindleyplace and earlier this year, the local council announced plans for the Snow Hill area in an attempt to create an alternative to London’s Docklands.

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March 24, 2015

Government publishes its State of the Estate Report for 2014

by Mark Eltringham • Facilities management, News, Property, Public Sector

Yesterday, the Government published its State of the Estate report for 2014 detailing the size and cost, efficiency of use and sustainability of central government buildings. The report covers all central government property with the exception of the military estate, prisons, NHS, Defra rural estate, Foreign & Commonwealth Office and Home Office and overseas estate. The current Government has laid great store on its ability to rationalise and improve the estate and the report focuses on its achievements in this regard. The report claims that since 2010, the changes have resulted in the estate divesting some 2,000 properties (28 percent of the total), reduced the footprint of the estate by 2 million sq. m. (a 20 percent reduction). It claims that this has been achieved by “identifying underused properties and modernising buildings to make better use of a smaller number of properties and the space within them.”