Search Results for: cities

December 2, 2015

Lack of talent will hold back any investment in infrastructure and building ⁰

by Mark Eltringham • Comment, News, Property, Workplace

When faced with inconvenient facts, there is always a temptation to just ignore them. It’s a temptation to which the big thinkers of the political class readily succumb, especially when they’re selling an idea. So it was with George Osborne’s Autumn Statement, which maintained the Chancellor’s commitment to using public sector spending on infrastructure to boost the economy. This intriguingly Keynesian way of thinking seems pretty seamless, especially while the memory endures of what happens when you use credit to grow the economy. But it rests on the assumption that there is a limitless supply of the right people to build things in the first place. The flaws in this way of thinking are already becoming evident with HS2, a project that continues to drain talent away from the rail network’s already disastrous investment programme. A growing number of voices are raised to point them out on other issues too.

December 1, 2015

Regional office market takes off, with Bristol and Manchester in demand ⁰

by Sara Bean • Facilities management, News, Property

Demand for prime office space in key regional business hubs is strengthening, driven primarily by the professional services sector, according to a review of market trends in the UK property markets by Cushman & Wakefield. Manchester is the strongest performing regional office market, with several large transactions recently completed, but a number of other cities, such as Bristol, are also in hot demand. The Thames Valley, South East and West Midlands have been the strongest performing regions in 2015, and prime rents in the top office locations have reached new highs, with further growth forecast. While overall take up is being constrained, to a certain extent, by the lack of prime stock new commercial property developments are picking up as a result, but are still some way below what is required to meet demand levels and cities such as Glasgow, Manchester and Birmingham have all seen reductions in availability rates.

November 25, 2015

Northern Powerhouse office market showing strong performance levels ⁰

by Sara Bean • Facilities management, News, Property

When the Chancellor of the Exchequer George Osborne announces the Spending Review today, he’s likely to mention the Northern Powerhouse, the programme to rebalance the UK economy by pushing growth in England’s northern cities. His vision of this form of one nation conservatism may have helped to increase occupier and investor confidence across the Northern Powerhouse office markets, as illustrated by the Northern Powerhouse Office Market Report 2015/16, published by Lambert Smith Hampton (LSH). It shows strong performance across the eight key markets so far in 2015 – with combined take-up expected to reach 5.2m sq ft by the end of the year compared with 4.6m sq ft in 2014. Manchester city centre is leading the way and is on track for a record year, with almost 1.4m sq ft of office space expected to be let or sold by the end of 2015 – well above the 10-year annual average of 966,000 sq ft.

November 9, 2015

Last chance to book next week’s Worktech London at a discounted rate ⁰

by Mark Eltringham • Events, Facilities management, Flexible working, News, Technology, Workplace design

In just over a week’s time, Worktech, the international conference series on the future of work, workplace and technology will return to Level 39 – Europe’s largest technology accelerator space. The event will bring together over 350 of the biggest and brightest names to debate, discuss and divulge the latest thinking on the future of work. Companies booked to attend include ANZ, AON, Allen & Overy, Arup, Barclays, Cabinet Office, Catlin, Central Working, Cisco, Deloitte, Deutsche Bank, Diageo, Discovery, Ebay, EE, Ernst & Young, GlaxoSmithKline, Goldman Sachs, IKEA, ITV, International Group for Environment and Development, Kings College London, Lenovo, McKinsey, Microsoft, National Grid, Royal Bank of Scotland, Schroders, Sonos, UBS, Vasakronan and Vodafone. Worktech15 takes place on 17th and 18th November and Insight readers can enjoy discounted tickets.

November 4, 2015

Commercial property owners not keeping up with changing needs of tenants ⁰

by Mark Eltringham • Flexible working, News, Property, Workplace design

A new study from Northumbria University, sponsored by serviced office provider Citibase, claims that the owners of commercial property in the UK stand to lose out on £4.8 billion over the next decade because they are failing to adapt to the changing needs of tenants for more agile spaces. The study claims that property owners in 27 towns and cities in England, Wales and Scotland are already missing out on £325 million annually and paying out another £170 million on holding cost and there are stark differences between the prime and secondary office sectors. The report, Taking Stock: Secondary opportunities and the agile future, claims that out of all total empty stock calculated, only 10 percent of vacant office space is prime, the other 90 percent is secondary. The secondary sector currently has an estimated 26.4m sq ft of office space vacant compared to just 3m sq ft of empty stock in the prime market.

October 2, 2015

For once and for all, please stop with this ‘death of the office’ stuff ⁰

by Mark Eltringham • Comment, Furniture, Property, Technology, Workplace design

I was involved in a meeting with an office fit-out company this week which involved a discussion of how their clients can develop misconceptions about the extent to which their contemporaries are introducing new office design and management models based on agile working, shared space, mobile technology and all that other good stuff. This presents a particular challenge for firms in the sector because their day to day experiences of what clients talk about and ask from them can be pretty removed from the things talked about in the media. If you were to judge the state of the office solely on the basis of what you read and hear and see at shows, it would be easy to conclude that the office is indeed dying and dragging down with it the markets for office furniture, commercial property and traditional technology. The problem is that the facts don’t support that notion at all.

September 23, 2015

European commercial property markets set to hit eight year high ⁰

by Mark Eltringham • Cities, News, Property

Activity in Europe’s commercial property markets is at its highest level since 2007, according to a new report from Knight Frank. Transaction volumes hit €104.9 billion in the first half of 2015, an increase of nearly a third on the previous year, while investment for the whole of 2015 is forecast to exceed €230 billion. The study claims that these increases are being felt in local markets across Europe, with the two largest markets in the UK and Germany performing especially strongly, accounting for around a half of total investment. There were also major improvements in levels of investment Italy and Portugal as well as more activity in both Spain and Ireland (above). However, the report concedes that rental growth remain ‘patchy’ across the continent but forecasts that this will improve as pressure grows on the availability of space in major cities like Paris.

September 15, 2015

Rapid growth in the number of offices converted to residential use ⁰

by Mark Eltringham • Cities, Knowledge, News, Property

The 2013 introduction of new laws which allow greater scope for the conversion of UK offices to residential use is now beginning to have a major impact on the commercial property market, according to a new report from the British Council for Offices (BCO). According to the study, which focuses in particular detail on London and Bristol, more than 6 million sq. ft. of office space was converted to residential use last year following the launch of Permitted Development Right (PDR). This is likely to increase dramatically over the next few years, especially in the capital. A report published last year by Lambert Smith Hampton claimed that there had been a huge leap in applications following the introduction of the new laws and the BCO study confirms the existence of pent up demand from the number of approved schemes yet to be implemented.

September 12, 2015

Productivity myths + Gen Y shun London + Wellness & Work ⁰

by Sara Bean • Environment, Facilities management, Flexible working, Newsletter, Wellbeing, Workplace

In this week’s issue; Mark Eltringham says when it comes to productivity, not everything at work is a motivator and lists five ways your colleagues might be driving you mad. Researchers say that green cities could result in global savings in the trillions; the allure of London for Generation Y appears to be fading; and business leaders in the Capital are concerned about retaining employees and improving the infrastructure. The number of people working excessive hours in the UK increases by 15 per cent since 2010; US workers admit that that when they need to get important work done, they avoid the office completely; and wellness policies are overlooking the effects of the workplace on health. Check out our new events page, subscribe for free quarterly issues of Work&Place and weekly news here., You can follow us on Twitter and join our LinkedIn Group to discuss these and other stories.

September 10, 2015

Rental growth continues across UK’s core commercial property markets ⁰

by Mark Eltringham • Cities, News, Property

The recent growth in prime headline office rents has continued across the UK’s regional commercial property markets with an average increase of 4.3 percent across the UK’s ‘Core 8’ markets in the 12 months to June 2015, according to a report from property consultants JLL. The Core 8 cities are the UK’s largest metropolitan economies and are a distinct group from the Government’s definition of core cities. In the JLL study they comprise Birmingham, Bristol, Leeds (above), Manchester, London, Cardiff, Edinburgh and Glasgow. Reflecting the solid outlook for demand and tight supply of new space, the report claims that headline rents are expected to continue on an upward curve with average growth of 2.9 percent per year in the Core 8 region over the period. One of the key drivers for rent growth remains a mismatch between demand and supply. More →

September 10, 2015

Shared office ruling could cost Scottish firms millions more in rates ⁰

by Sara Bean • Facilities management, Legal news, News, Property

Large firms that occupy several separate floors in a prime office may need to pay tens of thousands of pounds more in rates, property managers have been warned. The decision by the UK Supreme Court on business rates in shared office buildings will lead to higher fees for many businesses in Scotland, according to commercial property experts at Colliers International. The firm says that the case of Woolway Valuation Office v Mazars, in which the Supreme Court held that businesses occupying space across several floors should pay separate rates for each, will lead to changes in valuations across the country that will cost firms millions of pounds. Up until now, such arrangements were charged as a “single occupation” and benefited from economies of scale. Paying for two separate sets of rates is likely to be more expensive, and the court decision even allows for the changes to be implemented retrospectively.

September 9, 2015

London firms optimistic, but want improvements to infrastructure ⁰

by Sara Bean • News, Property, Workplace

The number of firms planning to expand in London is at its highest level (50 percent) since 2012, though retaining employees and improving the capital’s infrastructure remain key concerns. According to the re-launched CBI/CBRE London Business Survey, over half of companies (55 percent) are increasing head counts, although three in five firms (60 percent) only hire where essential. London firms’ optimism has rebounded from last year, with almost half of companies (47 percent) feeling more positive about the UK’s economic prospects in the next six months – reversing the steady decline seen since the first quarter of 2014 – and 40 percent feel more positive about business prospects. Nearly four in five businesses (76 percent) highlighted improving the capital’s transport infrastructure as the number one issue the new Mayor of London must get down to tackling when they enter City Hall next year.