September 19, 2014

England’s local authorities acting like property developers, claims report

by Mark Eltringham • Knowledge, News, Property, Public Sector

England’s local authorities are responding to the country’s ongoing austerity measures by behaving more like property developers as they seek to redevelop property and land valued at £13.5 billion by 2019, according to a new report from local government think tank Localis in conjunction with developer Cathedral Group. Rather than simply selling off assets, the research claims that councils are increasingly looking to develop property to provide them with revenue streams as a way of shoring up their shrinking budgets. The report claims that the proportion of projects slated for redevelopment is currently a third of all disposals but will make up the majority in five years time. The report has received cross party support and links to other high profile public sector initiatives, especially the One Public Sector Estate scheme. The Cabinet Office recently reported that the UK public sector estate had shrunk by 2 m. sq. ft. since 2010.

September 17, 2014

Avanta Serviced Office Group to open Shoreditch business centre at heart of ‘Tech City’

by Mark Eltringham • News, Property

Avanta Serviced Office Group has signed a deal to establish a new business centre in the heart of London’s Tech City at The Eagle, a 27 storey art-deco-style development on City Road, EC1, from Mount Anvil – Central London’s specialist residential-led developer. The centre is set to open on the 1st March 2015. The new centre will provide over 26,000 square feet of flexible office space over two floors, with approximately 400 desks. Set within a mixed-use development comprising retail, affordable accommodation, offices and high-end residential, it is located within TFL’s Zone 1, approximately five minutes’ walk from Old Street Rail and Underground Station, just two stops from Kings Cross.bThis is Avanta’s first site within Tech City, also known as Silicon Roundabout, which is the third largest technology start-up cluster in the world and home to over 15,000 growing businesses.

September 15, 2014

Key to successful BIM implementation is collaboration, says RICS

by Sara Bean • Architecture, Facilities management, News, Property, Public Sector

The need for collaboration between all the professions working within the built environment was the overriding theme of a free seminar on BIM, hosted by RICS last week, reports RICS’ Schemes and Accreditation Manager Jon Klahn. The event featured speakers from quantity surveying, engineering and architecture, and was designed to help delegates learn more about BIM and RICS’ role in establishing BIM industry standards. Addressing the 80 plus attendees, Dr Anne Kemp FRICS, Director of BIM Strategy and Development at Atkins and Chair of ICE’s BIM Action Group said the various professions can no longer be driven by self-interest. BIM in itself is not the solution. But the change required to make BIM successful will ultimately allow for better construction, better buildings and a better environment. Successful BIM implementation requires a partnership of people, process and technology and for project teams to understand and appreciate each other’s roles as professionals. More →

September 12, 2014

Rate of UK commercial property activity slows to weakest for 15 months

by Sara Bean • Facilities management, News, Property

The UK commercial property sector grew for the 24th consecutive month in August, but at its weakest rate since May 2013. According to the latest Total Commercial Development Activity Index from Savills, which monitors the overall performance of the UK commercial property sector, the rate fell from +27.7% to +11.9% in August, the weakest expansion in 15 months. Commercial work continued to rise in the private and public sectors however, and despite growth slowing substantially in both cases, commercial developers in the UK remained optimistic. Anecdotal evidence linked this to positive expectations of increased public sector activity and client interest in new projects. Although solid overall, the growth of refurbishment activity in August was the least pronounced since May 2013 and following 17 successive months of growth, panellists reported stagnation in office fit-out activity as well. More →

September 10, 2014

The latest issue of Insight is now available to view online

by Sara Bean • Facilities management, Newsletter, Property, Workplace design

In the latest edition of the Workplace Insight newsletter available to view online; Colin Watson argues the urban environment is an increasingly important part of the ‘virtual’ workplace; Nigel Sikora describes how we’re learning to strike a better balance between distraction and privacy, between noise and quiet; and Justin Miller bemoans a lack of balance in the way the media wants to expose ‘waste’ in public sector purchasing. In news, why London offers the best returns on office refurbishment of any city in the world; the publication of two reports from the UK’s National Audit Office alleging poor management and a low priority given to the country’s public sector procurement function and we report on a discussion document by the BIM2050 Group on the digital future of the built environment. We also include a link to the new issue of Work&Place, the journal we publish in partnership with Occupiers Journal.

September 8, 2014

Overdevelopment leads to bad building design, claim Carbuncle Cup judges

by Mark Eltringham • Architecture, News, Property

Building Design magazine has announced this year’s winners of its annual Carbuncle Cup competition, which aims to name and shame the UK’s ‘unforgivably bad’ buildings. As well as identifying problems with specific buildings, the judges also raised concerns about the catalysts for poor buildings, especially overdevelopment. The judges this year included Owen Luder, former president of the Royal Institute of British Architects, and Prince Charles’s architectural adviser, Hank Dittmar. While the main prize went to Tesco’s ‘inept, lumpen, arrogant and oppressive’ new supermarket in Woolwich in South East London, and the runners up prize went to the 50 storey residential Vauxhall Tower at St George’s Wharf, the most nominated building following the call for entries earlier this year was the Walkie Talkie skyscraper in London. However this office building was deemed ineligible because it is yet to complete. It now looks a shoe-in for next year’s prize however.

September 4, 2014

London ranked the best city to invest in major office refurbishment

by Sara Bean • Facilities management, News, Property, Workplace design

London offers the best returns on office refurbishment of any city in the world, according to a new report from ARCACDIS. The firm’s survey of buildings more than 20 years old in thirteen cities found that returns on capital invested in major refurbs (which extend the life of the office by up to 20 years) in London were nearly ten percent, significantly higher than second placed Warsaw (7.5%) and Milan (6%). However, London was only ranked second for return on investment in minor office refurbishment, defined as a refurbs that aims to extend the life of the building by up to 5 years. Top place in this instance went to Madrid (9.6%), followed by London (8.5%) and Shanghai (7.9%). The least attractive market for office refurbishment was found to be Dubai, which the report claims is due to the large supply of new office space.

September 1, 2014

BIM’s impact on future of built environment mapped out by construction experts

by Sara Bean • Architecture, Facilities management, News, Property, Technology

A new report by an influential group of young construction professionals has been published today which illustrates the need for organisations to consider new skills, new processes and develop strategies around emerging technologies that will ensure that the UK stays ahead in embracing the digital construction future. The report by the BIM2050 Group, comprises a compilation of essays authored by BIM2050 work stream leads, and focuses on three key areas; education and skill; technology and process; and the culture of integration. Built Environment 2050: A report on our digital future, highlights the risks and challenges and the opportunities and benefits that come with large scale innovation and game-changing new technologies. Commented Graham Watts OBE, CIC Chief Executive: “It is an important discussion document of ideas and concepts that will, I hope, spark debate in the wider construction community.” More →

August 27, 2014

Lack of regional commercial property could hamper UK growth

by Sara Bean • News, Property

Although construction is on an upward trend, the development of commercial property lags behind, and the situation is particularly challenging in the West Midlands. According to JLL and Glenigan’s inaugural Commercial Construction Index, total construction starts by value, year end Q2 of 2014 were 15 per cent down compared to Q2 of 2013 at £2.03 billion. Graham Taylor, director of JLL’s Birmingham Buildings & Construction team, explained that the volume of commercial property being started has not risen substantially since the recession. Birmingham, Leeds and Manchester are already experiencing a shortage of Grade A office space – with much of the shortfall due to a drop in construction activity compared to the early to mid 2000’s. He said: “Rising corporate confidence means that many companies are looking to upgrade their workplaces. The corporate world is increasingly recognising that well-designed modern offices can be a key driver of productivity and staff retention, two major strategic concerns.”

August 14, 2014

Sustainable buildings are not more costly to construct, finds report

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

The widely held belief that sustainable buildings are more costly to construct is dispelled in a new report which shows that achieving lower BREEAM ratings can in fact, incur little or no additional cost. Researchers from Sweett Group and BRE examined the actual costs and savings associated with a wide range of sustainable building strategies. The research team applied cost data from real construction projects to three case study buildings – an office, secondary school and community healthcare centre – to produce detailed capital and operational cost information. The report; Delivering sustainable buildings: Savings and payback also reveals the associated payback to be gained from reduced utility costs and finds that even where achieving higher BREEAM ratings incurs some additional costs, this can be paid back within two to five years through the reduced costs of operating a more sustainable building. More →

August 11, 2014

Government extends public estate scheme as DCLG moves in with Home Office

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

The UK government has announced that it is to extend its groundbreaking One Public Estate scheme to a further twenty local authorities. The programme aims to divest and consolidate government-owned land and property to cut public sector spending and boost economic growth and regeneration. The government believes the initial phase will save £21m in running costs and £88m in capital receipts, generate around £40m for local economies and create an estimated 5,500 jobs and 7,500 homes over the next five years. The Cabinet Office is now looking to build on this with the extension of the schemes to councils including Liverpool and Birmingham city centres as well as six from Greater Manchester and Cornwall, Southampton and Plymouth. The Government Property Unit will provide funding and training to the participating authorities.

July 23, 2014

Three major UK office developments get green light following months of talk

by Mark Eltringham • Architecture, News, Property

Plans for the new Astra Zeneca facility in Cambridge by Herzog & de Meuron

Three of the most talked about UK office developments have been given the go ahead within the space of a few days. The Government has finally announced that the new construction headquarters for HS2 will be in Birmingham, rather than London. Meanwhile, following all of the wrangling about its proposed takeover by Pfizer, Astra Zeneca has announced that the controversial move of its research facility from Cheshire to a new base in Cambridge will involve the creation of a new £330 million complex designed by Swiss architects Herzog & de Meuron. Finally, planning consent has been granted for the 4.9 million sq ft Wood Wharf development in docklands including nearly 2 million sq ft of office space which the developer claims will be aimed at the thriving London technology, media and telecommunications (TMT) sector.