p01-16_Move Commercial 20/07/2015 16:07 Page 1
LIVERPOOL CITY REGION CHESHIRE MANCHESTER
AUG - SEP 2015
FREE
Issue 46
Taking the helm Cruise Britain’s Angie Redhead on the future of Liverpool’s port Special Report: Investing in commercial property Lime Pictures’ Claire Poyser on the region’s film industry Creative spaces: The changing face of office design
www.movecommercial.com
p01-16_Move Commercial 20/07/2015 15:08 Page 2
PUMACOURT TWO MODERN OFFICE INVESTMENT OPPORTUNITIES
INVESTMENT SUMMARY • Two modern detached office buildings within the popular Puma Court development • Well located next to junction 2 of the M57 Motorway, just off the A57 (Liverpool Road) - Unit 2 extends to 8,213 sq ft with the 1st floor (4,141 sq ft) being let to I-Paye Ltd on FRI terms until 31/10/16, at an annual rent of £63,750 - Unit 4 extends to 7,405 sq ft and is let in its entirety to Knowsley Primary Care Trust on FRI terms until 29/04/20, at an annual rent of £95,498 • The two properties extend to 15,617 sq ft in total • Modern buildings with no immediate or medium term capital expenditure required
CONTACT For further information or to arrange an inspection please contact Oliver Rowe
Dan Crossley
0161 819 8212 orowe@whrproperty.co.uk
0161 819 8221 dcrossley@whrproperty.co.uk
TWO HIGH YIELDING OFFICE INVESTMENT OPPORTUNITIES U N I T 2 & U N I T 4 , P U M A C O U R T , K I N G S B U S I N E S S P A R K , K N O W S L E Y , M E R S E Y S I D E , L 3 4 I PJ
p01-16_Move Commercial 20/07/2015 15:08 Page 3
Make work social Co-working captures the spirit of collaboration DW 7KH /RÆ° LQ /LYHUSRROÅ¡V &RWWRQ ([FKDQJH 1RW RQO\ GR ZH RÊ• HU DOO LQFOXVLYH ZRUNVSDFH ZLWK VXSHU IDVW ZLÊ– WKHUH DUH QHWZRUNLQJ HYHQWV H[HUFLVH FODVVHV D URRI JDUGHQ DQG SULYDWH PHHWLQJ URRPV 7KHUH DUH DOVR FRPPXQDO NLWFKHQV IXOO\ VWRFNHG ZLWK JUHDW FRÊ• HH WHD DQG HYHQ EHHUV RQ D )ULGD\ IURP MXVW e D ZHHN
&RPH DQG VHH IRU \RXUVHOI )RU PRUH LQIRUPDWLRQ RU WR book a tour call Lorna on
MOVE COMMERCIAL
3
p01-16_Move Commercial 20/07/2015 15:08 Page 4
READY NOW
3YV RI[ *PI\M 3ȝGIW EX +VEIQI ,SYWI (IVF] 7UYEVI EVI RS[ PIX 7YMXIW WXMPP EZEMPEFPI JVSQ SRI TIVWSR XS 6IWIVZI ]SYV SȝGI WTEGI RS[
Call us on 0151 707 2666
p01-16_Move Commercial 20/07/2015 17:13 Page 5
Issue forty six Move Commercial
Contents
Scale is needed to attract the big players
News 06 Fashion brand picks Liverpool for first UK store outside of London 07 Lime Street developers vow to reflect site’s history 08 Clock Tower Park nears completion
For residential landlords there has been little to celebrate of late with landlord licensing, proposed cuts to tax relief and the prospect of FCA regulation making the market a little less attractive. For some investors it could be time to look elsewhere for a home for their cash and commercial property may provide just that. Those looking to make a decent return on commercial investments need look no further than the North West for the best performing assets. Indeed, as our special report on page 24 shows, Manchester has been hailed the most popular destination for investors alongside Birmingham. And it’s not just individual investors and property funds in the UK that are seeing the region’s potential. According to the annual EY Attractiveness Survey the North West attracted £1 billion of investment from foreign shores in 2014. But is there room for improvement? As our feature on page 42 points out, to attract the attention of some of the most lucrative markets, namely China and the Middle East, the region needs to market itself more cohesively. Manchester alone doesn’t have the scale to attract the big players. Work is of course continuing to create a more united North. Let’s hope the rumoured delays in HS2 don’t scupper the progress being made.
09 Downing surveyor leaves to launch new business venture 10 Double lettings success for Manchester’s Citylabs 11 Digital agency takes fourth floor at Sevendale House
Features 14 Bitesize Thinking Food for thought 16 Appointments Who’s moving where
Christine Toner, editor christine@movepublishing.co.uk
19 My Month Ventilation Surveys and Services CEO, George Friend reflects on the company’s relocation to Liverpool 20 Interview Angie Redhead, chair of Cruise Britain 24 Special Report Investing in commercial property, and the North West’s opportunities 30 New Business Profile Gary Adlen from bistro and deli, Bretta&Co. talks about the growing business
24
34
42
move publishing ltd Advertising Director Fiona Barnet. Tel: 0151 709 3871 Advertising Manager Catherine McCarthy. Tel: 0151 709 3871 Editor Christine Toner. Tel: 0151 709 3871 Editorial Team Natasha Young, Stephen Hurrell and Eleanor Davies. Tel: 0151 709 3871 post@movepublishing.co.uk Design Mark Iddon. Email: mark@movepublishing.co.uk
Published by Move Publishing Ltd Directors David O’Brien, Kim O’Brien, Fiona Barnet. Printed by Precision Colour Printers Ltd Distribution Liaison Manager Barbara Troughton. Tel: 0151 733 5492 Mobile: 077148 14662 Credits: Liam Deveney - Move Commercial event / VSS launch event / Angie Redhead. Emma Bassnett – New Business Profile.
Copyright Move Publishing Limited. All rights reserved. No part of this publication may be reproduced copied or transmitted in any form or by any means or stored in any information storage or retrieval system without the publishers written permission. Although every effort is made to ensure the accuracy and reliability of material published, Move Publishing can accept no responsibility for the veracity of the claims made by advertisers.
34 Creative Spaces The North West is leading on office innovation 36 Event Special Move Commercial hosts its first business lunch 38 Interview Claire Poyser, managing director of Lime Pictures 40 Key Event VSS celebrates the launch of its new Liverpool base 42 Eastern Attraction Foreign investment boosts North West’s potential 45 Event Planner What’s on around the region 47 Ask the Panel The industry reacts to George Osborne’s Summer Budget
p01-16_Move Commercial 20/07/2015 17:07 Page 6
News Latest
New fashion signing hailed a ‘great accolade for Liverpool ONE’ Globally successful fashion boutique, SuperTrash will open its first UK store outside of London in Liverpool ONE. The brand, created in 2004, will occupy a 3,057 sq ft space on South John Street from early August. Announcing the retailer is heading to the city centre complex Grosvenor Fund Management (GFM), which is behind Liverpool ONE, confirmed the new shop will be situated adjacent to Zara’s regional flagship store. Miles Dunnett, director of portfolio management at GFM, says: “Securing the first SuperTrash outside London is a great accolade for Liverpool ONE, and a reflection of the strong demand from leading fashion and lifestyle brands to join in our success.” SuperTrash, which aims to ‘bridge the gap between high street and luxury’, currently has 15 stores worldwide as well as an online store and also sells through boutiques in 24 countries across Europe and America. Ahead of the brand’s Liverpool arrival, founder Olcay Gulsen says: “With its reputation as the region’s fashion focus, Liverpool ONE is perfect for our debut outside London. More than anywhere else in the UK at the moment, it has everything we look for when we open stores; character, a cosmopolitan mix of customers, a strong identity, and a great line-up of brands with a similar ethos and style to our own. This is reflected in the great online sales we already have from the region, centred on Liverpool, which gives us a great starting point from which to build our success.” Metis Real Estate Advisors and Cushman & Wakefield acted for Liverpool ONE. McKinnon Nelson represented SuperTrash.
SuperTrash will open its first UK store outside of London in Liverpool ONE
The North West Fund reaches investment milestone The North West Fund, which provides finance for growing businesses across Merseyside, has reached a milestone investment total of £125 million. More than 375 firms across the region have now benefitted from a share of the cash since the fund was established in 2010 and financed by the European Regional Development Fund and the European Investment Bank. With SMEs receiving debt and equity funding boosts ranging from £25,000 to £2m, The North West Fund is also said to have safeguarded more than 3,500 jobs and leveraged a further £95m in private sector finance along the way. This has had a significant impact on the North West economy increasing gross value added (GVA) to £60m - a figure that will continue to rise as 6
MOVE COMMERCIAL
The Fund’s investments mature. Cliff Maylor, CEO of The North West Fund, says: “This milestone is a fantastic achievement for the organisation, but what’s more impressive is the funds that have been invested into more than 375 businesses. “The number of jobs created is a reflection of how hard our sub-funds have been working to impact the region’s businesses at different stages in their lifecycles. “As the economy continues to grow and confidence remains high, it is important that we continue to provide an attractive alternative to lending. With more funds left to deploy, we look forward to working with more companies in Merseyside to support their long term growth objectives.”
Cliff Maylor
p01-16_Move Commercial 20/07/2015 17:07 Page 7
Latest News
Lime Street developers vow to reflect history in redevelopment The proposed Lime Street transformation
Neptune Developments, the company behind the £39 million regeneration of Liverpool’s Lime Street, says its new planning proposals will honour the history of the area. The developer’s original plans for the city centre street, which is home to Liverpool’s main railway station, were criticised for lacking vibrancy. Speaking to Move Commercial’s sister publication Your Move, Steve Parry, managing director of Neptune Developments, says the new plans reflect the history of Lime Street, albeit with a modern design. He says: “What we’ve tried to do is to really capture the excitement of Lime
Street in the past. It was a bit like a mini Piccadilly Circus or Time Square with a lot of illumination, adverts and vibrancy, particularly at night. Obviously the stretch of Lime Street we’re talking about was also the area for the city’s cinemas so what we’re trying to do is to look at ways of actually reflecting that in a modern design. We’ll be looking at the detail of the façade. “One proposal is to replicate the façade of the Futurist so you’ll actually see an image of the Futurist on the front façade and that will be backlit of a night”. Neptune is looking to start demolition towards the end of September with the project due to be completed for the summer of 2017.
Pension freedoms likely to impact on ‘lower end of commercial market’, says expert
John Tatham
“More interesting and innovative products” will be required to help potential commercial property investors make the most of the recently introduced pension freedoms, according to one industry expert. In April this year new rules came into force allowing savers over the age of 55 to access lump sums from their pension pots, with 25% of the cash being tax free. Speaking to Move Commercial about how new pension flexibility allowing savers to access lump sums are likely to affect commercial property investment moving forward, John Tatham, partnerships director at the Manchester-based Igloo Regeneration Fund, says: “I think [pension freedoms] will impact on commercial property because people will be able to draw sums out of
their pension funds and buy smaller commercial units. “You’ll see some quite interesting freedoms and liberations in the lower end of the market and the smaller £200,000 to £500,000 sized properties, and I think we’ll see more interest in structures where people want to club together in different ways in order to maximise their pensions.” He adds: “It’s quite a jolt to the pensions industry in a sense and they’ll need to be able to respond with more interesting and innovative products that perhaps speak to people a bit more.” For more expert insight on investing in commercial property, and why the North West is proving attractive to investors, see our special fourpage report on page 24. MOVE COMMERCIAL
7
p01-16_Move Commercial 20/07/2015 17:07 Page 8
News Development
Clock Tower Park nears completion
Clock Tower Park
The second phase of Next Big Thing’s regeneration of one of Liverpool’s largest Grade II listed building settings is nearing completion, the developer has announced. Clock Tower Park is Next Big Thing’s redevelopment of New Hall in Fazakerley, which was opened in 1890 to house children from the West Derby Workhouse. Next Big Thing is currently converting the buildings for commercial and residential use. Situated near the M57 and Aintree Racecourse, the estate consists of 27 Victorian buildings set around a large private tree lined boulevard. A range of serviced office suites from 105 sq ft to 260 sq ft are available. Phase two is expected to be completed by August while phase one of the serviced office scheme
8
MOVE COMMERCIAL
is already fully let. Miles Pearson, director of Next Big Thing, says: “The entire site is being re-invented to deliver a mix of high specification residential, managed office space and serviced office suites, alongside substantial landscaping throughout the park. A large nursery development is starting on site later this month and 12 projects are either completed or nearing completion so far. “The rents include all utility bills, free superfast internet, parking, meeting room use and on-site management. All office suites will be Metronet direct lease line enabled to provide a symmetrical superfast 100mbps download and upload that is also capable of utilising the latest cloud based VoIP phone & communication services.”
Plans to double co-working space at Liverpool development Bruntwood is looking to eventually double the co-working space at its Cotton Exchange site in Liverpool, following the successful launch of its first phase. The commercial property firm recently unveiled its first co-working facility in the city within The Loft, on the sixth floor of the Bixteth Street building. The concept, designed to appeal to entrepreneurs with a flexible need for office space, has become popular in America in recent years and has already been demonstrated by Bruntwood’s successfully implemented ‘Together’ scheme on Portland Street in Manchester. With plans for two areas of The Loft to eventually be occupied by coworkers, Colin Sinclair, director of property marketing at Bruntwood, says: “For most businesses, it's an opportunity to test the water and get a feel for their own needs. While many successful co-workers enjoy a sense of community with their peers, others prefer to cohabit without collusion and that freedom to choose reflects the essential beauty of co-working. "We expect our new space to be especially popular with digital nomads and creative wanderers, but professionals from all backgrounds are welcome." Current occupier Rebecca Keegan, owner and editor of Seen Liverpool magazine, says: “The nature of our business means we have a fluctuating need for office space depending on our publishing schedule, so co-working is an ideal solution for us in a really central location. “It’s also an opportunity for us to mix with like-minded businesses and explore new ways of Colin Sinclair collaborating.”
p01-16_Move Commercial 20/07/2015 17:07 Page 9
Commercial News
Downing surveyor leaves to launch new business venture Robin Ellis, senior agency surveyor at Downing, is to leave the property group following the launch of his new pop-up yoga business venture. Ellis, who has worked at Downing since 2007, has launched health and well-being company Yin Yan and will work with landlords and their advisors to help them manage vacant commercial space to best effect by providing yoga classes via pop-up studios. Ellis says: "I'm sorry to leave Downing but very excited about taking Yin Yan forward alongside Robin Ellis Property. It's fantastic to have a pop-up studio in Liverpool ONE, to be working with such a prestigious and proactive landlord so soon feels like a real endorsement for what we're trying to achieve with Yin Yan - using vacant spaces to provide health & well-being opportunities for as many people as possible." Alongside Yin Yan, Ellis is to set up his own property venture, Robin Ellis Property, which will see him continue to work with landlords and tenants across the region. Sally O’Brien, joint chief executive at Downing says:
Marketing agency expands team Robin Ellis
“Robin will be leaving his full-time position at Downing in August, however he will still be working with Downing on a freelance basis. We wish him the very best of luck with his new endeavour and look forward to continuing our professional relationship.” Chris Bliss, estate director at Liverpool ONE says Yin Yan is a welcome addition to Liverpool ONE. He adds: “It provides a great pop-up opportunity for people who live and work in the city centre to experience yoga and all the health benefits it brings. “Yoga practitioners of all ages and abilities will be able to take part in this great initiative during its time at Liverpool ONE and Yin Yan is one of the many exciting activities available to our visitors this summer.”
Liverpool law firm extends commercial services Paul Crowley & Co’s city centre team
A new mediation service has been launched by Liverpool law firm Paul Crowley & Co, as it extends its commercial offering. Based at One Old Hall Street in the city’s commercial district, the firm’s commercial department, PCSLaw, has introduced the service to complement its existing commercial, corporate and employment law as well as commercial property and debt litigation offering. Following an increase in court fees in April 2015, businesses are said to have been increasingly turning to mediation as a response to the escalating costs associated with going to court. The voluntary process uses an independent mediator to aid in the settlement of a dispute between two contending parties,
with common subjects including disagreements over property, land, rights and contracts. Daniel Rawcliffe, trainee solicitor and qualified mediator at PCSLaw, says: “We’re delighted to be able to offer mediation as part of our commercial service. Mediation is a highly cost effective alternative for any business wishing to resolve a dispute and avoid a court hearing. “Mediation is wholly impartial and there are no stringent rules of disclosure as there are in the court room. In the majority of cases, a mediator can quickly and effectively bring parties to a point of resolution whilst working to retain or rebuild personal and business relationships.”
A Liverpool-based digital marketing agency is expanding its team, after achieving a number of new clients. Fire Pineapple has appointed Danny Vickers as web developer in a move which the firm believes “indicates an ongoing commitment to leverage their existing client base and continue the growth that the business has experienced since launching in 2011”. Vickers’ full-time role follows the company’s recent instructions to redesign and rebuild websites for building surveyors Rowley Szilagy and C&D Properties in Liverpool. He previously joined Fire Pineapple through its ongoing apprenticeship programme. Steve Ingley, managing director, says: "It was an easy decision. As we look to grow our presence in the city and beyond, Danny brings digital-native level insight and will be an asset to the web development team.” Fire Pineapple has also previously carried out work for clients including Hanover Wealth Management.
Danny Vickers
MOVE COMMERCIAL
9
p01-16_Move Commercial 20/07/2015 17:07 Page 10
News Sales & Lettings
Double lettings success for Manchester’s Citylabs Two medical technology companies have signed nine-year lettings deals at Manchester city centre’s £25m Citylabs site. UK-based healthcare organisation MAC Clinical Research will turn a 16,000 sq ft space at the biomedical centre, situated in the Oxford Road Corridor, into a clinical research facility for neuroscience and translational medicine. On the same first floor of the building, not-for-profit organisation Nuffield Health has agreed to let 7,279 sq ft for a five-star diagnostic suite to deliver MRI, X-ray, CT, mammography, cardiac and ultrasound services. The organisation will also provide health assessments, physiotherapy services and private GP appointments when it opens the suite in November. Colliers International acted on behalf of ICON - a global provider of outsourced development services to the pharmaceutical, biotechnology and medical device industries which recently vacated space at Citylabs - to secure both deals. Peter Gallagher, director of national offices at Colliers International’s Manchester base, says: “The Oxford Road Corridor represents a world-class knowledge cluster of excellence in one of the fastest growing sectors of the economy and this space is proving ideal for clinical/bio-medical/research and medical support service related uses.”
Growing firm relocates to Meridian Business Village
Meridian Business Village
Building services supplier and developer, Technical Building Solutions has relocated to Meridian Business Village following a three-year lettings deal. The firm, previously based in Bootle, has taken a two-floor unit comprising 1,382 sq ft at Prospect GB’s Hunts Cross site to accommodate its ‘rapid growth’. Paul Hill, managing director of Technical Building Solutions says: “The Green Deal home improvement fund was introduced in 2014 and, although we are very active in other sectors such as education, housing and leisure, it has been a key driver in the company’s success – we achieved a turnover of £1.5m in the last financial year, 10 MOVE COMMERCIAL
compared to £470,000 in our first year of trading. “Meridian Business Village will be an ideal base for our continued growth with an excellent strategic location within minutes of the M57, M58, M62 and M6.” Following the deal Chris Walker, head of Prospect GB’s commercial division, adds: “Meridian Business Village has attracted a number of dynamic new companies which, like Technical Building Solutions, have moved from their original base after prolific growth in their first few years of trading. We still have a limited number of units available, offering business space in sizes ranging from 1,382 sq ft up to 9,467 sq ft.”
Citylabs
Mixed-use lot goes under the hammer at Merseyside auction A mixed-use property in Wallasey was among the highlights at Sutton Kersh’s latest Merseyside property auction. The lot, incorporating a ground floor retail unit and two residential apartments above, went under the hammer for £102,000, exceeding its guide price of £65,000 to £70,000. The July sale, which took place at the Marriott Hotel in Liverpool city centre, generated proceeds of more than £4.1m as 70% of the 85 lots on offer sold. With 19 of those having been purchased prior to the event, the auctioneer is also expecting the overall figure to rise further as the remaining properties continue to attract interest. Cathy Holt, head of auctions at Sutton Kersh, says: “We are already receiving numerous enquiries for lots which just failed to sell on the day. We will discuss any realistic offers with our vendors and advise them on the best course of action.” Sutton Kersh’s next auction will take place on 10 September at the Crowne Plaza, Princes Dock, Liverpool. The closing date for entries is 14 August. For more information call Sutton Kersh Auctions on 0151 207 6315. The Wallasey lot
p01-16_Move Commercial 20/07/2015 17:07 Page 11
Sales & Lettings News Language college heads for Graeme House
Sevendale House
Digital agency takes fourth floor at Sevendale House Sevendale House in Manchester’s Northern Quarter is nearing full occupancy, following a deal to let the whole of the fourth floor. Digital agency Code Computerlove has signed for 13,100 sq ft in the Grade II-listed building, which was refurbished last year to provide 65,000 sq ft of Grade A office space and 15,000 sq ft of retail space. The firm, set to relocate 84 staff from its Jutland House base, will join existing tenants including Ticketmaster, Liquid Personnel, Big Cloud Recruitment, Equitix, Couchbase and Foundation Coffee at the site. Meanwhile, Working Time Solutions and PPS Limited have recently taken five-year leases on the third floor’s remaining two units. Mark Davies, director of owner Philip J Davies Holdings, says: “Since launching nine months ago, we have let 86% of our office space. The high quality of the refurbishment,
which retained the building’s original character where possible, along with its location in the heart of the Northern Quarter, is proving to be the ideal combination for a lot of businesses, and we anticipate achieving full occupancy in the coming months.” Wini Tse, a founder of Code Computerlove, adds: “For the past couple of years we’ve had teams spread across two offices in Manchester, but the new space allows us to all be under one roof again. While we also opened a second office in London last year, which is similarly expanding with new team members, we’re continuing to invest in, and grow, our Manchester base that’s been home since our conception in 1999.” Daniel Harris & Co acted on behalf of the landlord, Philip J Davies Holdings and OBI Property acted on behalf of Code Computerlove.
New College Liverpool has signed a five-year lease for 6,047 sq ft of space at Downing’s Graeme House, following a final phase refurbishment of the city centre site. The English language tuition college, which already has a successful site in Manchester, will fit out the mezzanine floor of the building, transforming four existing Flexi-Office spaces to create nine classrooms, an IT suite, a library, admin offices, teacher areas and a reception zone. A new student entrance to the building will also be created from the walkway above Graeme House car park. Sadiq Basha, managing director from New College Liverpool, said: “It’s an exciting time for us and we’re looking forward to continuing to grow and develop the business and opening up our services in Liverpool. John Clegg, head of property management at Downing, adds: “We’re delighted to welcome New College Liverpool to Graeme House. The college will be joining a number of existing tenants which operate in the education and training sector - which should provide a great atmosphere for students.” The deal means half of the 12,405 sq ft of new office space which has been delivered through the final phase of refurbishment at Graeme House is now let, with just 10 suites left on the mezzanine and ground floor of the building, ranging from 170 sq ft upwards. Graeme House
Mason Partners to market Birkenhead office site 12 Quays House
Liverpool’s Mason Partners LLP has been appointed to market 12 Quays House in Birkenhead. The commercial agent will work alongside Legat Owen to continue marketing the fully refurbished office building, which had previously been occupied by Liverpool John Moores University’s Astro Physics Research Institute. The detached building, located on Egerton Wharf and in close proximity to the Wirral Waters regeneration scheme, features 10,689 sq ft of accommodation. Following the instruction, Jon Swain at Mason Partners says: “We’re pleased to be marketing 12 Quays House with Legat Owen. The building offers a modern, high standard of accommodation and we’re sure it’s going to attract a good tenant.” The appointment to the scheme comes at a successful time for Mason Partners, which has also recently secured new lettings for Liverpool’s Merchants Place. The agent is working alongside CBRE’s Liverpool office agency team on the site, within the Century Building at Brunswick Business Park, which has attracted new occupier DX Network Services Ltd on a five-year lease. The 5,377 sq ft deal is the largest so far at Merchants Place following its complete refurbishment two years ago and, along with current interest, is expected to bring occupancy above 50%. MOVE COMMERCIAL 11
p01-16_Move Commercial 20/07/2015 15:10 Page 12
EXPERT LEGAL SOLUTIONS FOR THE PROPERTY MANAGEMENT SECTOR OUR SERVICES • • • • • • • • • • •
Service Charge Arrears Recoveries Ground Rent Arrears Recoveries Complex and Defended Claims Forfeiture First-Tier Tribunal (Property Chamber) Appeals to the Upper Tribunal Right to Manage Lease Extensions and Variations Enfranchisement Breach of Covenant PRS
W : JBLEITCH.CO.UK T : 0151 708 2250
p01-16_Move Commercial 20/07/2015 15:10 Page 13
p01-16_Move Commercial 20/07/2015 15:10 Page 14
Bitesize thinking
Guy Butler director, Glenbrook Property
In my crystal ball... Central government claims to have the North's best interests at heart. Efforts to devolve and the spin on the Northern Powerhouse are impressive and we will undoubtedly see some sound progress. Fast train link investment, both north, south, east and west, are much needed and will improve the region; but London is charging ahead and will continue to gain ground at a faster rate than the regions. The brain and brawn of those in London will fight for, get and retain the investment. Crossrail opens next year and Crossrail 2 is getting investment far greater than, say, our east-west links. So for all the noise and interest in the North, my crystal ball sees London continue to get the investment and draw away from the regions, which will not change until someone in power genuinely has empathy with the North and properly champions the powerhouse hypotheses.
If only I’d known… When Glenbrook identified Queens Dock in Liverpool – our 240-unit PRS scheme we are delivering with funding from Moorfield - PRS was merely a glint in the eye of the property market. We never thought that the market would be so slow to mature in the PRS sector. If only we had known this we would have looked at development opportunities in other sectors whilst the market matured. The opportunity was first discussed in 2011 when HMRC was making plans to relocate to other offices, and we considered the building for residential. Getting people to fund PRS in Liverpool was a challenge, but as the market came back we thought this was deliverable. The lethargy, whilst London and then Manchester boomed, was frustrating. Stamina fought deal fatigue and the transaction was successfully funded with Moorfield, which is working well. If we had only have known that the momentum in the sector was going to be so slow to build, we would have focused our energies more widely.
Grant Erskine director, Grant Erskine Architects
Niterói Contemporary Art Museum, Rio de Janeiro I’ve been lucky to spend a bit of time travelling around South America and sitting on a rocky outcrop across the bay from Rio de Janeiro you’ll find Niterói Contemporary Art Museum which is by far and away my favourite building. Designed by architect Oscar Niemeyer and completed in 1996, the building provides not only a beautiful piece of sculptural architecture, but also a true piece of folly and fun. The MAC, as it’s known locally, should be described as a flying saucer resting in a reflecting pool, with a crimson red tongue licking down to the ground, greeting and enticing the visitor to enter. From within, the double height gallery space forms the heart of the space with a continual upper floor gallery running the perimeter. From the upper gallery, the viewer not only gains glimpse views back into the space, but also panoramic views of the bay and Rio de Janeiro beyond. 14 MOVE COMMERCIAL
“Completed in 1996, the building provides not only a beautiful piece of sculptural architecture, but also a true piece of folly and fun.”
Photo: Rodrigo Soldon
My favourite building with...
p01-16_Move Commercial 20/07/2015 15:10 Page 15
MOVE COMMERCIAL
Bitesize thinking
UNDER CONSTRUCTION
Cliff Maylor chief executive, The North West Fund
Curriculum VITAE Main duties: I assume responsibility for the day-to-day running of the company and the overall management of the fund. Education: I went to a tough comprehensive school in Liverpool, and initially I considered going into the building trade. For a few years after school I had dead end jobs but then decided I wanted to make something of my life, so I studied accountancy in London and qualified as a chartered accountant. First job: I spent a year of my working life as a showroom cleaner. At the time my friends were paid more in unemployment pay. Shortest job: Showroom cleaner. What is the best piece of professional advice you’ve received? Business is simply an extension of the playground; everyone is trying to pinch your bag of sweets, its 99% common sense and 1% knowledge. As a businessman I envy the right or wrong world of the professional advisor. For the entrepreneur, it’s about being comfortable in the grey, winning or losing and going right up to the wire (and sometimes beyond). Morals and ethics can be left to those who have to pay an annual professional subscription. When you are playing
with your own money, the rules are different. What’s the secret to your success? My proudest moment was getting away a rights issue in my first business in the early 90s against the backdrop of a hostile economic climate. It was my first job as a finance director and, during the week before, I thought I was going to lose everything. At no stage before had I felt that sort of pressure and I’ve never felt it since. We went on to build a great business over the next seven years. I’ve since gone on to deal with pressure extremely well and I’m often asked during stressful situations how I manage to remain calm, but I find it’s the best way to be. What advice would you give to somebody starting out in the industry? When money is at stake never be the first to mention figures, and keep a cool head in a crisis. Tell us about The North West Fund’s plans for the rest of 2015: Having invested over £125m of finance, we’re proud of the positive impact our funding is having on the region in terms of economic growth and employment. Throughout the rest of the year we will continue to work closely with our portfolio companies and regional stakeholders to ensure our investments drive growth and deliver prosperity for the North West long into the future.
One New Bailey New Bailey forms part of the 12-year, £650m Salford Central Regeneration Scheme. Owned by English Cities Fund (Muse, Legal & General and the Homes & Communities Agency) in partnership with Salford City Council it comprises office, leisure and residential developments across six schemes covering 50 hectares.
MAY
A planning application for the 143-bed Premier Inn hotel is submitted by English Cities Fund (ECf) – the first development in the scheme.
FEB
ECf agrees terms with Legal & General Property to create a 125,000 sq ft office building, called One New Bailey, and multistorey car park.
SEP
JLL appointed as joint agents with DTZ to market One New Bailey. Meanwhile, the Premier Inn is completed and opens its doors in November.
OCT
ECf appoints contractor Bowmer and Kirkland to deliver One New Bailey. Demolition of the Ralli Courts building at the site is complete.
DEC
The car park, which is let to NCP on a 35-year lease, opens.
2013
2014
2014
Tweet all about it The 5 best commercial tweets
1 2 3 4 5
@a_gateway: What an opportunity for Liverpool and UK to reach out to the world. Global business leaders united in support of @ifb2016 #OneYearOut @KnightFrankMcr: Manchester is proving attractive for institutional investors, demonstrating that the city is seen as excellent location to grow a business @ChrisHeyes_LV: Work starts on a programme to upgrade Liverpool’s commercial district to make it “the place to do business in Liverpool” @michaelingall: Launched @mcrMIPIM Made in Manchester, Manchester’s vertical village, @AlliedLondon delivering. #mcr @StJohnsMCR @MitCharlesworth: #Budget2015 discussions conclude @LpoolChamber, we need to play to our strengths #maritime #tourism and we need to be clear on devolution
2014
2014
SUMMER
One New Bailey is due to be completed.
2016
2018
The Salford Central Regeneration Scheme is due for completion, with three more sites and public realm works set to be developed.
p01-16_Move Commercial 20/07/2015 15:10 Page 16
Appointments
OBI appoints new senior designer A senior designer has been appointed to OBI Property’s workplace consultancy team. Andrew Andrew Crompton Crompton brings interior design and architecture experience to the commercial real estate firm, having previously worked as an interior project designer at Overbury Plc and, prior to that, at Aedas Architects for seven years. On his new position at the Manchester-based company, Crompton says: “I am thrilled to be joining OBI Property, it’s a growing company and a young team working on some very exciting fit-out and design projects.” James Scott, who leads the team with Anna Lysik, says: “We are delighted to have Andrew on board with the workplace consultancy team; we are working with some really exciting clients such as CarLoan4U, rentalcars.com and Citation and I know Andrew will fit right into the team at OBI.”
Rebranded Promenade Estates welcomes finance director Promenade Estates, formerly Neptune Investments, has welcomed a new finance Brian Meharg director. The appointment of Brian Meharg, who brings experience in property funding, finance and corporate governance, coincides with the rebranding and renaming of the company. On joining the Liverpool-based firm, which has spearheaded projects including the city centre’s Queen Square and Wirral’s £60 million Marine Point regeneration scheme in New Brighton, Meharg says: “This is a hugely exciting time for the company and I’m looking forward to getting to work, developing new business and identifying new funding opportunities in what is an extremely buoyant market.”
New graduate surveyor joins Liverpool agency
Technical director strengthens Zerum team
A graduate surveyor has joined Liverpool agency Hitchcock Wright and Partners. Sean Collins-Jones Sean CollinsJones recently completed a BSc Honours degree in Real Estate Management at Liverpool John Moores University, and has previously gained experience at commercial property advisors Matthews and Goodman. He will work across all sectors including office, retail and industrial. Following his appointment, Collins-Jones says: “My new role provides me with an exciting opportunity to work on a diverse range of properties on behalf of our clients.” Partner, Matt Kerrigan adds: “This latest appointment is testament to Hitchcock Wright’s growth in recent years. We’re pleased to have Sean on board as we grow our team and ensure we continue to strengthen our position in the North West marketplace.”
Manchester-based development and design consultancy, Zerum has recruited an experienced John Carroll technical director. John Carroll has accumulated more than 30 years’ experience with blue chip consultancy organisations, and has previously worked on North West projects including MediaCityUK, Liverpool John Lennon Airport, Liverpool International Business Centre and the Trafford Centre He has specialist knowledge in MEP (mechanical, electrical and public health engineering) design and is also a qualified university lecturer in the built environment, as well serving on several industry bodies. Paul Devine, partner at Zerum, says: “John’s pedigree and experience of working on some really high profile schemes across all sectors will greatly enhance our already strong technical offering. In addition, his passion for and knowledge of new technologies will be a great asset for clients that value innovation in their projects.”
16 MOVE COMMERCIAL
p17-32_Move Commercial 20/07/2015 15:04 Page 17
Recruitment
To advertise your job vacancies please call Natalie on 0151 709 3871
Liverpool London Manchester Are you a Property Lawyer looking for career progression? We are here to help make it happen Examples of opportunities we are currently working on: Property Litigation Solicitor up to £45,000 basic (dependant on experience) + competitive bonus Our Client is a successful North West based law firm who are currently looking to source a Property Litigation Solicitor to join their expanding team. The ideal candidate will have a minimum of one year post qualification experience and a strong academic profile. They will currently be practising in a recognised property disputes team or in a litigation team that deals with a significant amount of property litigation.
Assistant Team Manager / Qualified Property Lawyer Salary negotiable (dependant on experience) We are assisting in sourcing an experienced Property Solicitor to act as a mentor to junior members of the team and assist the Head of Department in the expansion and support of their rapidly expanding Property Team. Due to increased demand and work sources our client is looking for a qualified Property Lawyer to provide ongoing technical support whilst assisting in running a varied caseload of both residential and commercial property transactions. The successful candidate will need a strong background in both Residential and Commercial Property law and be able to demonstrate both technical knowledge and leadership skills.
If you are an ambitious Solicitor looking to develop your career with a highly regarded firm, please do not delay in contacting us on (0151) 515 3055 or e-mail info@elitelegalrecruitment.co.uk
Associate or Director - Retail Agency Leading Consultancy
Real Estate Head of Department Liverpool
North West Excellent Salary & Benefits
A boutique property firm based in Liverpool is looking to take on a senior level property solicitor.
My client is a multi disciplinary international surveying consultancy and their Retail Team are recruiting for an Associate or Director for the North West. The team provides a full national agency service to their strong client base consisting of major landlords, tenants and developers and are closely involved with the delivery of some significant high profile schemes and properties in the region. The candidate would ideally have a retail development and/or shopping centre agency background and have a credible network of contacts within the industry in order to successfully deliver and expand the current agency service. Contact Andrew Kingsley today andrew@kingsleyrecruitment.co.uk
0151 242 1630
The firm has an outstanding portfolio of existing national real estate and high value conveyancing clients and requires an experienced property lawyer to head up the department and help develop the business further. The firm is willing to pay up to £55,000 for the role and is willing to consider part time applicants provided they have sufficient pedigree. This is an outstanding opportunity for anybody looking to work for a smaller real estate practice and immediately be part of the management dynamic. The real estate work consists of property development, investment and landlord/ tenant work including leases. Contact Nick today nick@kingsleyrecruitment.co.uk
You seek, we find.
kingsleyrecruitment.co.uk
Online. Offline. Anytime. Get the north-west’s latest business and property news wherever you are. www.movecommercial.com
@MoveCommercial MOVE COMMERCIAL 17
p17-32_Move Commercial 20/07/2015 16:29 Page 18
We Build Brands A leading integrated communications agency delivering branding, design and public relations.
0151 709 1633 www.thefoundryagency.co.uk @Foundry _ Agency
TFA MC d i dd 1
30/3/1
09 08 49
p17-32_Move Commercial 20/07/2015 15:05 Page 19
George Friend, chief executive officer, VSS My Month UK ventilation hygiene and system surveying firm, Ventilation Surveys and Services (VSS) recently relocated from the south of England to a North Liverpool base and is pressing ahead with expansion plans, including a new industry training centre. Chief executive officer, George Friend reflects on how the company has been settling in to its North West base and is continuing to grow.
My goal at the start of the month was... My aim was to invite all of our staff and clients to the new company headquarters of Ventilation Surveys and Services (VSS) in Sandon Way, Liverpool and have it in a fully operational capacity. It needed to be completed so that we could show our staff and clients what we have built through our hard work and commitment together. I wanted a facility that we can be proud to call our new home.
My biggest achievement was...
My biggest challenge was...
VSS is a service company and as such our clients require us to be able to respond to short notice attendances to sites. This meant that the business still had to function in a normal day to day manner whilst myself and others in the team were also expending our time, energy and emotion on the new site. It was hard to keep the focus on the core day to day duties of the business when there were many more interesting and varied options to be diverted to during the HQ project. We appear to have delivered through this up to our customers’ expectations.
The hardest challenge during the process was time management. I often joke with my team whenever they ask me if I need anything by saying ‘an extra two hours per day, and one more per week!’ In reality I was fortunate to have a strong supportive management team who all help enormously. Along with undertaking the recent HQ project, I also have two young boys, have had to move out of my house during some refurbishments and have been training for a tortuous cycle venture in the Alps. I am actually now sat writing this on the plane home from there.
The key meeting I had...
Photo: Lynne Featherstone
This month has been a pivotal month for the business. We secured a five-year contract with a large healthcare authority which will give the business a strong foundation to build upon, however it was an internal company meeting that I feel was the most important. We sat down and carefully reviewed the business’ strengths and weaknesses and have identified short and mid-term targets to reinforce our strengths and address our weaknesses. If we are disciplined and stick to this process we will be a much stronger business in six months’ time.
THE NEWS STORY THAT CAUGHT MY EYE... I cannot say there is a single story that caught my eye but what I read often at present is about the change in the focus on pushing everyone down the path of university education. There is a desire to improve the route to apprenticeships and more vocational skill bases. I have just been accepted onto the Building and Engineering Services Association (B&ES) panel to help write a new industry apprenticeship syllabus for ductwork cleaning technicians that should be available to study for 2017. I personally did not attend university as it was not right for me at that time in my life; I wanted to be working and earning whilst learning a trade and I believe there should be greater availability of this option for young people.
My plan for next month... Over the course of the next month I hope to secure two major clients that will add approximately 300 sites nationwide to our portfolio of coverage. We are also hoping to secure a renewal on a national hotel portfolio on a contract that we have been servicing for the past three years. I hope to recruit three to four new field staff over the next few weeks and we are hoping to interview for two available contracts manager positions that will help strengthen and grow the business. MOVE COMMERCIAL 19
p17-32_Move Commercial 20/07/2015 15:05 Page 20
Christine Toner christine@movepublishing.co.uk
Liverpool’s cruise manager Angie Redhead has seen the city’s cruise offering develop from an ambitious plan to a successful reality over the last 10 years. Now chair of member body CruiseBritain, she tells Move Commercial her plans for the industry, and the city.
Taking the helm When Angie Redhead left Liverpool for a spell working in the holiday industry it was supposed to be a shortterm plan. Having completed a Youth Training Scheme with Liverpool City Council and spent a year travelling the world she was struck with “a very real case of itchy feet” and so applied to airlines, cruise ships and holiday companies (“anywhere that facilitated being overseas”) looking for work. She was soon offered a job with Thomson as a holiday rep. “It was a familiar story,” she says. “I started with the intention of doing just six months and ended up staying there for 14 years. Thomson always identifies people who’ve got leadership skills and something about them so you do get promoted quite quickly.” In time Redhead became commercial manager for the company. It was during her time there that Thomson bought its first cruise ship – The Topaz. At the time Redhead was based in the Canary Islands and took on responsibility for port side excursions. “It was by default that I’ve ended up with port experience just because I happened to be working for Thomson at that time,” she says. After 14 years at the firm Redhead was keen to move back to Liverpool but was concerned about job prospects, given the niche nature of her career to date. By chance she spotted a job advert for a cruise development manager position at Liverpool’s soon-tobe-built cruise terminal in a local newspaper her sister sent her. She applied (“Just to see if I would make the shortlist”) and was offered the job. 20 MOVE COMMERCIAL
Liverpool’s cruise operation has since evolved and now facilitates turnarounds rather than just transit calls. “I’ve been here since 2005,” says Redhead. “We started on site in 2006. I watched the concrete being poured on the pontoons and watched them being floated into position. I always say, my blood, sweat and tears are literally on this site and I feel quite precious about it.” Redhead’s dedication to Liverpool’s cruise industry has not gone unnoticed. She was recently appointed to the prestigious role of chair of CruiseBritain, a joint initiative between CLIA UK & Ireland and VisitBritain. “I’ve been a member for a while and have become more actively involved,” she says. “I’ve been on the steering group in the past so this year when the organisation was looking for a change I got nominated by two people to be the chair. The vote was unanimous which is absolutely lovely. I am very vocal and I have been in the industry a long time, so in terms of representing CruiseBritain’s offering I knew I would be unbiased”. A key focus for Redhead during her term will be to position CruiseBritain at the same level as other wellrespected groups within the industry. “Cruise Norway, MedCruise and Cruise Baltic are really well respected by the cruise line itinerary planners, that’s where I want to see CruiseBritain,” she says. Redhead will continue her role as Liverpool’s cruise
“
I always say, my blood, sweat and tears are literally on this site and I feel quite precious about it.
“
manager and says her role as chair of Cruise Britain will give her the opportunity to engage with the right people to help the future development of Liverpool’s cruise terminal. “It takes me out of the operational stuff and puts me more in the long-term strategic stuff,” she says. “They’ll work very well side by side.” As part of those long-term plans is the intention to develop a new cruise terminal that is bigger and more fit for purpose for turning around large ships. When one looks at the figures, it’s not surprising that the city wants to increase its offering. Redhead estimates that every passenger that gets off the ship and visits the city will spend around £70. “That’s an average figure that we use to equate economic impact,” she says. “But there are things that we put in place in Liverpool to facilitate more spend. We provide a free shuttle bus that takes people to Albert Dock, Liverpool ONE, the cathedrals and Liverpool city centre. If we can get them to where they can spend their money then they’re more likely to spend more. “We work really well with partners in the city, they’re so supportive of what we do, we always know the big events that are going on so we are giving our passengers the best possible experience of Liverpool. That means they have a more enjoyable time, they’ll then fill in a questionnaire saying Liverpool was their favourite port and that ship will come back again.” Indeed, repeat visits are essential to the success of the terminal. On the day of our interview the Royal
p17-32_Move Commercial 20/07/2015 15:05 Page 21
Angie Redhead, chair, CruiseBritain Interview
Princess cruise ship is in the port, a ship which is scheduled to make seven calls to the city this season. With 3,600 passengers on board, 25,200 in total over the seven visits, going by the average figures that Redhead and her team use that’s a total spend of around £1,764,000. But for Redhead it’s not just about the money. “We’re here for the passengers but we’re here for the people of Liverpool as well,” she says. “It’s council tax money that built this place and it is the friendliness of the locals that is driving our satisfaction scores through the roof. It’s what passengers comment on all the time so we will always encourage and engage with our local people to say ‘We’ve got a ship in, we’ve got a firework display, come on down.’ There’s a really lovely atmosphere at the waterfront when we’ve got a big ship in and obviously no greater than when the Three Queens were in.” Liverpool’s Three Queens event, as part of the Cunard Line’s 175th anniversary, was both an economic and cultural success, generating £33 million for the local economy and attracting 1.2m people over the three-day celebration. “It exceeded my expectations in terms of the atmosphere and how people took it to their hearts,” says Redhead. “I knew we’d get the crowds because I know when we have a big ship the crowds turn out anyway, times that by three. What I didn’t expect was, not just how emotional I’d feel, but actually the emotions that other people felt.
“
It is the friendliness of the locals that is driving our satisfaction scores through the roof. It’s what passengers comment on all the time so we will always encourage and engage with our local people to say ‘come on down’.
“
“The city has been lifted. People are proud of Liverpool, they’ve got lots of reasons to be but it just seems to be that big ship visits are the catalysts for that pride. To see big passenger ships back on this river makes people think ‘Yes we deliver world class events but we’re also a world class port’. We were once the best in the world and we will be again. That’s the journey we’re going on. I think it’s fantastic.” Along with the success of the port Redhead has also achieved personal success within the last year, picking up one of the top shipping industry awards in the world. In October Redhead was named the Women’s International Shipping & Trade Association (WISTA) Personality of the Year (the first UK winner in 14 years) after winning the UK title last year. It’s an accolade Redhead has mixed feelings about. “It’s really lovely, however I don’t feel like I’m a woman in shipping,” she says. “I feel like I just work in shipping. I have never ever felt or been made to feel that I am in a man’s world.” Now Redhead hopes young girls with an interest in the industry are not put off by pre-conceived ideas. “I hope that young girls that think ‘That looks really exciting, I’d like to work in that world’. I don’t want them to not choose it because they think it’s too butch or dirty or too aggressive or masculine. Not once have I ever heard or been given any kind of comment about being a woman in this world. The only criteria for working in this environment is earning your stripes and proving that you’re a hard grafter. That’s it.” MOVE COMMERCIAL 21
p17-32_Move Commercial 20/07/2015 15:05 Page 22
Providing The Legal Foundations For Commercial Property Lease Grant / Assignment
Property Development
Commercial Property Sale
Business Sale and Acquisition
Commercial Property Purchase
Contact our Commercial Property experts today on:
0800 525 035 www.kirwans.co.uk
info@kirwans.co.uk @KirwansLaw
Kirwans is authorised and regulated by the Solicitors Regulation Authority (www.sra.org.uk) Prenton SRA Number 71723
We’ve We’ve supported more than
Through these investments
we have leveraged a further
£95m £ 95m
in private sector finance...
375 ...and created ated or safeguarded more than
3 3,500 ,500 jobs in th the he North Wes est. West.
North W West est businesses
£125m £ 125m
with over of investment.
All of our investments have one thing in common – they are helping to...
the North West economy.
Inspiring business growth in North West England.
Find out more at: www.thenorthwestfund.co.uk Supported by
The North W West est FFund und is a £155m investment fund, established to provide debt and equity funding from £25,000 to £2m to small and medium sized enterprises (SMEs) based in, or relocating to, the North W West est of England. All of our FFund und Managers are authorised and regulated by the Financial Conduct Authority Authority. horityy. W We e are unable to invest in retail businesses. Please check the website for a full breakdown of eligibility eligibility..
22 MOVE COMMERCIAL
TF
p17-32_Move Commercial 20/07/2015 16:30 Page 23
12 QUAYS HOUSE
EGERTON WHARF, BIRKENHEAD, CH41 1LD
TO LET MODERN DETACHED OFFICE BUILDING 5,350 SQ FT - 10,689 SQ FT. FULLY REFURBISHED
jonswain@masonpartners.com
willsadler@legatowen.co.uk
C E N T U RY B U I L D I N G B RU N S W I C K B U S I N E S S PA R K TOWER STREET LIVERPOOL L3 4BJ
NEW HIGH S P E C I F I C AT I O N OFFICES TO LET Available in suites from 1,521 sq ft (141.3 sq m) to 8,011 sq ft (744.2 sq m) • Raised floors
• Shower facilities
• Air-conditioning
• Ample car parking
• LG7 lighting • Kitchen facilities
• Excellent transport links close by
• Telecoms pre installed
• 2 miles south of the city centre
jonswain@masonpartners.com
neil.kirkham@cbre.com
p17-32_Move Commercial 20/07/2015 15:05 Page 24
Photograph by Mike Peel
Natasha Young natasha@movepublishing.co.uk
A return One Piccadilly Gardens
Since 2014, snapshots of regional commercial property investment performance have continued to show strength and increasing volumes compared to previous years, thanks to a number of major transactions. In October last year, a report by Lambert Smith Hampton (LSH) highlighted that activity in the North West was having a “significant impact” on total investment for the UK regions which, at the time, were said to have been outstripping inflows into London for the first time since the start of 2011. In the third quarter of the year large-scale deals had been seen across all sectors, with the £75 million purchase of Manchester’s One Piccadilly Gardens by Legal and General among those topping the list, prompting a view of ‘improved confidence’. “Competition among investors continues in the region for both prime assets and those that offer add value opportunities,” said Abid Jaffry, head of capital markets at LHS, within the report. “The North West is set to enjoy a record year in terms of returns and investment volumes. 24 MOVE COMMERCIAL
“
The returns being offered in some of the secondary markets remain attractive to investors wishing to take advantage of the higher yields and positive occupier sentiment.
“
“Investment in the region has escalated significantly with improved confidence on values and the strengthening occupier markets. In addition, the returns being offered in some of the secondary markets remain attractive to investors wishing to take advantage of the higher yields and positive occupier sentiment.” In 2015, a Knight Frank summary of the investment market for the first quarter of the year focusing on regional offices in particular, hailed Manchester the most popular destination for investors alongside Birmingham as strong performance had continued. With the city attracting a total office investment volume of £182m, M&G Property Portfolio’s January acquisition of 3 Hardman Square in Manchester from CS Euroreal, for the price of £91.73m with a yield of 5.79%, featured among the major regional office investment deals for the quarter; as did Deutsche Asset & Wealth’s purchase of the city’s 7 Norfolk Street building from M&G Real Estate in March, at the price of £16.77m reflecting a 6.62% yield. “Birmingham and Manchester
now command a premium over the UK’s other core markets at 5%, closely followed by Bristol and Leeds, which both stand at 5.25%,” explained Knight Frank’s summary, adding: “The prime yields spread across the core regional office markets is now 175 basis points, which is the widest in over 10 years.” Meanwhile, as expressed by M&G Property Portfolio’s fund manager Fiona Rowley in a recent online insight, rents across the UK’s property markets are also currently on the rise, therefore increasing the expectation for positive returns for investors. “We anticipate that rental growth will become the dominant driver of future capital growth, rather than the yield ‘compression’ that has contributed to the robust returns experienced in recent months,” says Rowley. “Tenants are becoming more active, especially in the corporate sector, and a lack of development means that supply is still below the long-term average. “Rental growth is now spreading beyond central London to the rest of the South East and to the larger regional cities.”
p17-32_Move Commercial 20/07/2015 15:06 Page 25
Special Report
For private investors, commercial property has often taken a back seat to its residential alternative as higher quality offerings have traditionally come with much larger price tags. Be it office, retail or industrial space though, taking the commercial real estate route does hold some advantages over housing, not to mention potential for higher returns. Move Commercial explores commercial property investment as an option for a range of investors with small to large funds at their disposal, and why the North West in particular provides attractive opportunities.
to form Options to invest The likes of M&G Property Portfolio, an example of a property fund which takes cash from a number of investors and exposes it to commercial properties; and Deutsche Asset & Wealth, which puts money into a broad range of assets, being at the heart of such large scale investment transactions goes some way to highlight that investors don’t need to simply stump up enough funds to buy a property outright - a move which can prove much more costly in the commercial world than in residential and is therefore often left to property specialists and institutional investors. Instead there are a number of ways they can benefit from the current positive performance in the region’s commercial property sector, although the risk involved may vary. For instance Carl Cross, senior investment director at the Liverpool office of investment management firm Investec Wealth & Investment, suggests exposing investors’ funds to commercial property alongside a range of other assets to avoid “too
many eggs in one basket”. “The way we would gain commercial property exposure, and it is invariably commercial property rather than residential property, is normally through collective investment vehicles through unit trusts to investment trusts, because then in turn our clients are purchasing those products which, in turn, are then purchasing a direct range of commercial investments,” explains Cross. “They’re able to immediately get exposure to a whole raft of commercial investment opportunities by the interest they hold in that one fund.” According to Cross, a viable way to input money would ideally be via a “diversified portfolio of fixed interest investments” which would incorporate commercial property exposure alongside, for example, some exposure to the UK equity market, overseas equity markets spread across the world, and possibly some alternative investment such as hedge funds or infrastructure funds and cash balances. “It’s a very simple process of making sure people are exposed to a
whole range of different asset classes and a whole range of different geographic markets to try and mitigate the risk that’s inherent from being too overexposed to one area,” he says. “There’s nothing to stop anyone buying an individual commercial property if they wish to but, as with all [investments], the more
specialist you become the higher degree of risk you’re likely to be taking on so something which is a collective investment, investing into a whole range of properties, is hopefully likely to give you the benefit of the exposure without taking on too much of the additional risk of restricting your investment options.”
“
Investing into a whole range of properties is hopefully likely to give you the benefit of the exposure without taking on too much of the additional risk of restricting your investment options.
“
MOVE COMMERCIAL 25
p17-32_Move Commercial 20/07/2015 15:06 Page 26
Natasha Young natasha@movepublishing.co.uk
Longer term outlook Property funds are not only ploughing invested cash into individual existing commercial buildings, but whole mixed use schemes and major projects which are currently being developed across the region. For instance, Legal & General is in partnership with Muse Developments and the Homes & Communities Agency to form the English Cities Fund (ECF) – a body created by the government to “identify and break through the barriers of institutional investment and pave the way for higher levels of private investment in the re-shaping of our towns and cities”. The ECf previously developed 4 St Paul’s Square, now a key part of Liverpool’s commercial district, and is currently driving the major regeneration of Salford and its New Bailey area. Through the partnership, Legal & General Property – an open-ended investment scheme (OEIC) which allows investors to pool their money into a fund to be managed, and buy or sell their shares – has pledged tens of millions of pounds to the scheme. Meanwhile the Manchester-based Igloo Regeneration Fund, which is made up of pension, life and charity funds managed by Aviva Investors, focuses its investment on sustainable urban regeneration projects across the UK with the potential for large returns being a key consideration from the outset. “It’s not just environmental sustainability,” explains Igloo’s partnerships director, John Tatham. “It can be creating communities, places that people want to live in, so The BBC’s Roath Lock Studios, Cardiff
26 MOVE COMMERCIAL
“ “
The days when you had to have a massive server room with your wired infrastructure through the building and your IT have largely gone, so a lot of businesses now are able to be a bit more selective in the sorts of places they occupy.
it’s kind of self-fulfilling actually.” Given Igloo’s focus on ‘placemaking’, Tatham says its job is to “take on a bit more risk but manage it really well, or do things in a slightly different way” and deliver strong returns to investors in the long run. Igloo’s previous Bermondsey Square project in London, for example, saw it invest funds into an area “before it was cool”. It was therefore a move which was less able to assure success in the beginning but, in the end, has paid off. “Bermondsey Square is over 70 flats, 40,000 sq ft of commercial office space, some retail and a hotel,” says Tatham. “The kind of standard institutional approach was to put something like a budget chain hotel in there, make a decent return on your money and leg it, but we stuck it out and put an independent hotel in which would almost be a trailblazer to the corner of Bermondsey Street. “We needed to make a place and by building the hotel the way we did, it complemented the flats because
New Bailey
people wanted to live opposite a cool and funky hotel, not a budget one. The restaurant offer then complemented the hotel offer, and it all fitted together.” Considering a ‘sense of place’ not only makes whole regeneration schemes more successful, but can also have a more profitable impact on investments into individual commercial building developments. “We’ve seen a bit of a change in commercial property,” explains Tatham. “The days when you had to have a massive server room with your wired infrastructure through the building and your IT have largely gone, so a lot of businesses now are able to be a bit more selective in the sorts of places they occupy. “Rather than wanting to live in a business park out near a motorway junction, there’s still a home for that stuff but there’s a lot more interest and growth in well positioned office facilities next to transport hubs and close to local amenities. We’re seeing those sorts of places achieve rents which are exceeding the institutional stocks in the prime areas.” Igloo previously reaped major benefits for investors when it developed BBC studios in Cardiff,
which now accommodate filming for the hit television series’ ‘Doctor Who’ and ‘Casualty’. With a vision looking beyond a simple shed to solely provide studio space, Igloo instead looked at the longer term prospects of a development with an attractive frontage which still remained cost effective, and would once again build on that ‘sense of place’ idea. Since being brought to completion, the studios have prompted the relocation of the Doctor Who Experience attraction from London’s Earls Court, bringing a quarter of a million visitors per year, and the boost in footfall has, in turn, brought further tourist attractions as well as the development of a now fully occupied 40,000 sq ft speculative office space for creative businesses. “From the investors’ point of view they could have had a one-off hit with a good return off a cheap building, or they can have four or five chunks of return form different types of building all on the same site,” he adds. “So then the money’s recycled four or five times rather than it just going in once and coming out and looking for the next thing.”
p17-32_Move Commercial 20/07/2015 15:06 Page 27
Special Report
Freedom and the future
The Atrium within 4 St Paul’s Square
4 St Paul’s Square
Highs and lows As with all investment opportunities, there are both benefits and risks to the commercial property avenue. Whilst the main aim is to secure high returns for investors, it’s important to remember that property values can fall as well as rise and the industry is exposed to the impact of the wider economic climate. “If you experience a financial crash like in 2007/08, one of the big areas that is impacted straight away when companies are laying off staff is commercial property,” says Carl Cross. “It’s important to say it’s not something which is unique [to commercial property] but, like any kind of investment at all, there is going to be a return and there is going to be a risk.” Values of commercial properties
can also be difficult for investors to gage without seeking advice. “It is often more difficult for the lay investor to get an accurate line of sight on commercial property rather than residential as they tend to have a clearer appreciation of the residential property market,” says Stephen Morris, managing partner of Liverpool law firm Cassell Moore. “As such, surveyors and estate agents are important members of the team to plug the knowledge gap.” On a more positive note, though, lease durations in commercial property can provide greater security for investors than those in residential property. Longer by nature, they therefore narrow the risk of properties being left unoccupied for periods of time. “[Commercial] rent reviews are often upwards only too, which is positive from the investor’s perspective,” adds Morris.
“
I think we’ll see more interest in structures where people want to club together in different ways. It’s quite a jolt to the pensions industry in a sense and they’ll need to be able to respond with more interesting and innovative products.
“
Looking to the future of commercial property investment, 2015 has so far set about bringing some changes to the industry. New pension freedoms introduced by the government back in April now allow over 55s to access as much of their savings from defined contributions pensions schemes as they wish, with up to a 25% lump sum being free from tax. Whilst the full effect this will have on the commercial property sector still remains to be seen, some experts believe it will attract more direct investment in lower priced opportunities. “You’ll see some quite interesting freedoms and liberations in the lower end of the market and the smaller £200,000 to £500,000 sized properties, and I think we’ll see more interest in structures where people want to club together in different ways,” says John Tatham. “It’s quite a jolt to the pensions industry in a sense and they’ll need to be able to respond with more interesting and innovative products that perhaps speak to people a bit more.” Agreeing that the lower end is most likely to see more activity driven by access to pension lump sums, Carl Cross highlights that for those with higher levels of savings and therefore potential to go further up the commercial property ladder, it’s unlikely they’ll want to dissolve those pension benefits and “trigger the tax disadvantages of taking out money of a significant degree”. “The key thing is that, although those pension freedoms now exist, beyond certain limits there are going to be those tax considerations that come into play,” says Cross. “It’s not as straight forward as just saying ‘right I’ll take my pension pot and do what I like with it’. It’s important to take specialist advice before they request their entire pension pot is dissolved and land themselves with a huge tax bill.” MOVE COMMERCIAL 27
p17-32_Move Commercial 20/07/2015 15:06 Page 28
KNOWSLEY - L33 7SG Charleywood Estate, Charleywood Road, Knowsley Industrial Park TO LET - Substantial Warehouse / Workshop & Yard
NEED A WEBSITE THAT DELIVERS
REAL TRAFFIC? HOW ABOUT 100,000 HITS* IN 3 MONTHS?
WEB DESIGN AND DEVELOPMENT
MARKETING STRATEGY
GRAPHIC DESIGN AND PRINT
EVERY DESIGN MADE TO MEASURE. NO TEMPLATES. EVER. *BERNIEHOLLYWOOD.COM – 100,000 HITS IN FIRST 3 MONTHS AFTER LAUNCH
GET IN TOUCH FOR A FREE
NO OBLIGATION QUOTE
HIGHLY COMPETITIVE TERMS FROM £1.90 PSF INCLUDING ALL INTERNAL & EXTERNAL MAINTENANCE
• 41,019 SQ FT (3,810 SQ M) • Unobstructed Working Area • 7.7 Mtrs Eaves • Gantry Craneage and Substantial Power (375 KvA)
0844 357 9500 hello@firepineapple.com
FIREPINEAPPLE.COM
HIGH QUALITY SELF-CONTAINED OFFICE SUITE 2,560 SQ FT FULLY FITTED, FURNISHED & IT READY 71/72 Tradewind Square, East Village, Liverpool, L1 5BG East Village is situated at the heart of Liverpool 'Ropewalks Cultural Quarter', just off the upper part of Duke Street. The building was constructed about 10 years ago and has an independent entrance directly off Tradewind Square. ACCOMMODATION
FLOOR AREAS (Approx)
The suite comprises a ground and a mezzanine floor and has been fitted-out to a high standard including:-
Lower Ground 122 sq m (1,310 sq ft) Mezzanine 116 sq m (1,250 sq ft) TOTAL 238 (2,560) sq ft)
• Fully glazed 'polar' partitioning • Carpeting throughout • High quality fitted kitchen • High quality WC facilities • Full air conditioning • Fully network cabled & IT ready
RENTAL £27,000 per annum inclusive of service charges and business rates
LEASE Flexible lease term + incentives available
FOR FURTHER DETAILS PLEASE CALL ANDREW TAYLOR TEL: 0151 708 2250 EMAIIL: a.taylor@jbleitch.co.uk
28 MOVE COMMERCIAL
p17-32_Move Commercial 20/07/2015 15:06 Page 29
Success at Atlantic Park continues
Liverpool L30 4AB
Alaska House TO LET GRADE ‘A’ OFFICES 16,472 sq ft (1,530 sq m) Suites from 2,930 sq ft (272 sq m) to a single floor of 8,155 sq ft (757.6 sq m)
14,500 sq ft recently let to 4,951 sq ft recently let to
Caspian House TO LET 34,983 sq ft (3,250 sq m) Grade A refurbished offices capable of sub-division
TO LET 90,763 sq ft Warehousing/Manufacturing/ Storage
210,000 sq ft recently let to
Design and Build Opportunities Buildings available from 20,000 sq ft upwards Office enquiries
gva.co.uk 0151 255 1910
gva.co.uk 0151 255 1910 ian.steele@gva.co.uk jonathan.lowe@gva.co.uk
Industrial enquiries
neil.kirkham@cbre.com andrew.byrne@cbre.com
andrew.pexton@gva.co.uk
Development Managers
A Development by
INDUSTRIAL SECURITIES (MANAGEMENT) LTD
jatherton@savills.com
rob.currie@industrialsecurities.com
www.atlanticpark.co.uk
p17-32_Move Commercial 20/07/2015 15:06 Page 30
Natasha Young natasha@movepublishing.co.uk
New Business
“
I was working in New York and saw a similar style deli/bistro bar in Lower East Side about 10-12 years ago, and I thought ’I’d love to bring that back to Liverpool one day’.
“ A niche market
p17-32_Move Commercial 20/07/2015 15:07 Page 31
Gary Adlen, co-owner, Bretta&Co New Business
Nine months ago, bistro and deli Bretta&Co launched in the heart of Liverpool city centre. Positioned amongst Bold Street – the area’s now thriving foodie hub – and the city’s promising mixed use Central Village development, the independent business is increasing its profile and already keeping a watchful eye on possibilities for expansion. Move Commercial caught up with co-owner Gary Adlen to find out more about the venue’s steady success and what makes it tick.
For Gary Adlen, it was his eye for a business opportunity and an enthusiasm to help his home city of Liverpool grow that brought about the idea for a new food and drink venture more than 10 years ago. Whilst his background may not lie in the restaurant, hospitality and retail industries, his somewhat varied professional experience has still provided Adlen with the contacts and know-how to finally progress the dream to a reality. Adlen previously spent around 15 years working in environmental protection around the world, focusing on projects in Africa, South America and the Middle East with the likes of the World Bank and the UN, before taking on a Paris-based commercial director position with a firm called Seche Environment for three years, and its such globetrotting that originally inspired the idea behind Bretta&Co. “When I was in Paris we had an office in New York,” he explains. “I was working in New York and saw a similar style deli/bistro bar in Lower East Side about 10-12 years ago, and I thought ‘what a fabulous idea, I’d love to bring that back to Liverpool one day’.” Whilst the idea still remained just that - an idea - Adlen at least took the initial step of basing himself back in his native Liverpool, where he then spent six years heading up an investment agency for the city region before moving on to a foundation director position at Liverpool Football Club. His work in the city only made him more determined to go ahead with the new business. “Watching the city grow and being involved in investment over the years I thought Liverpool’s ready for something like this - a high end deli and nice wines, combined with fresh, organic local food and a quality environment,” he adds. “When I saw the opportunity I thought
‘I’m going to do it’.” Bretta&Co is the creation of Gary and his sister, Bretta Adlen, and with a focus on “modern European food with a local flavour” the duo promote the use of locally sourced produce in the bistro, while its adjoining deli looks to seek out and sell niche and quality food and drink items that aren’t currently widely available in the North West, from hangover-free Champagne and vegan wines to black garlic from the Isle of Wight. “We want to bring that produce to Liverpool and enhance the lifestyle offer of Liverpool,” adds Adlen. “If we’re successful, other companies will open up and start doing something similar to build on the niche we’ve made.” Located on Heathfield Street, off the city centre’s Bold Street which is renowned for its selection of independent retailers and current boom of new bars and restaurants, Bretta&Co is somewhat tucked away from the hustle and bustle but, according to Adlen, the chosen unit for the business was crucial to achieving both the bistro and the deli. “It took about two years to find the site,” he explains. “Because of the style you couldn’t have one of the narrow shops on Bold Street because that wouldn’t really work so you had to have something that was more square. “When this site came up I approached the developers and asked if they’d be interested in talking to me about it. Obviously with Central Village not being completed yet we’re still in the midst of a new development that’s going to be developed over the next couple of years.” Despite previous delays on parts of the major mixed use Central Village scheme, it is set to enhance the area with new offices, leisure and retail units, a cinema and residential apartments as each of its sections take shape over the coming years. With Bretta&Co situated
on the edge of the development area, Adlen is optimistic about the benefits it will bring for Bretta&Co in the future. “It’s going to be great because there’s going to be a plaza deck outside our shop which will have outside dining and we can have music and things outside. “When the cinema is open with Odeon and the apartments are done and there’s shops on the other side it’ll create a really nice village feel in the middle of the city centre.” Taking a “hands on” approach to the business, Adlen explains that whilst his sister and the restaurant’s head chef take care of designing the menu and
where we’ve put on corporate wine, gin and food tastings, and then we do speciality nights where we’ll bring a wine producer from Italy, France or Germany into the shop. The corporate market has liked that because it’s something different for the clients.” Whilst the business is still young, its successful start has prompted Bretta&Co to have expansion in its sights, with Adlen saying opportunities are already beginning to open up elsewhere in the North West. “We said we’d give ourselves 18 months before we started looking at
ordering stock, his focus is on “looking at where the business is going and the future”. Bretta&Co has already been making waves amongst the region’s corporate sectors, as it hosts special taster events and welcomes food and drink experts from the likes of distilleries to international wine producers, and Adlen says his previous corporate experience helped to equip him with strong contacts. “I was working with a lot of the banks, legals and accountancy firms, and I’ve kept in contact with them,” says Adlen. “We’ve obviously offered nights
other sites, although there are developments going on in Manchester for which they’ve come to us and said ‘would you take that concept on’ but it’s early days for us really.” For now though, Adlen’s priority lies in Liverpool. “Being part of the growth in the city is one of the real privileges and honours that I feel because I love the place so much and sticking around, growing and contributing to the business culture in the city by bringing another offer, I think is really, really important and that’s what I’m most proud of for me and my sister.” MOVE COMMERCIAL 31
p17-32_Move Commercial 20/07/2015 15:39 Page 32
Register now … www.architex2015.com Free-to-attend, 2 day exhibition, 24 speaker conference programme and complimentary 2 hour champagne drinks reception & networking evening ƒArchitects, Specifiers, Building Designers, Surveyors & Engineers ƒCommercial, Industrial & Residential Property Developers ƒTown, City & County Councils, Local Planning Authorities, Town & City Planners ƒConstruction Companies, Builders & Contractors ƒProducts & Services Industry Suppliers
p33-48_Move Commercial 20/07/2015 15:28 Page 33
p33-48_Move Commercial 20/07/2015 15:28 Page 34
Eleanor Davies post@movepublishing.co.uk
Long gone is the need for a simple desk and computer, a space where you sat from 9-5, got on with your work, then went home. Now, it’s more about an accessible atmosphere, with innovative and communal office spaces cropping up across the North West to harbour employees’ creativity and create a more relaxed working environment. Move Commercial looks at how the face of office space has been changing.
Creative spaces A well-designed office nurtures creativity and is a machine for productivity, and businesses across the region are following in the footsteps of the likes of Google and Red Bull when it comes to design. Breakout spaces and relaxed seating areas are ideas which more North West companies are beginning to take on board – but does it work? Less conventional needs have prompted developers to devise new office spaces, with an increase in mobile technology leading to accessible offices where employees don’t have to rely on a desktop computer. Work can be done anywhere these days, and Colin Sinclair, director of property marketing at Bruntwood, agrees.
“Work place practices are changing,” he says. “There’s becoming a trend away from hard-wired equipment like phones and computers because people use wifi now. If you don’t need those things you’re not tied to a desk and you’re thinking ‘I could be working on a sofa right now’.” Sinclair also adds that creative offices are good for a business; they are actively engaging and play a big part in the recruitment and retention of staff. The BBC recently redeveloped two floors of its Broadcasting House after creative staff felt they weren’t provided with an inspiring enough environment, and although this is a large corporation, smaller companies can take note. Not only does staff retention make a strong
The need for downtime has been addressed with breakout spaces 34 MOVE COMMERCIAL
business case for furnishing offices, but it also lends itself to PR too. “As companies emerge from recession competition for employees is becoming ever more ferocious and recruiting and retaining talent has become critical to any growing business,” says Jamie Wood, director and head of the commercial team at Pozzoni architects, which has an office in Manchester. Alastair Shepherd, director of Liverpool-based architect practice Falconer Chester Hall, believes the North West lends itself to great creative offices, with its mix of historical buildings and modern multi-purpose offices. “There are some great historic buildings that lend themselves to conversion to interesting workplaces,” explains Shepherd. “The mix of new build offices with historic urban fabric could be a real point of difference for Liverpool and is something that really excites us as architects.” The Baltic Triangle in Liverpool, dubbed ‘the creative playground’, is an example of this, as some of its Grade IIlisted buildings provide a nod to the city’s historical docking past. “The character office spaces allow companies to showcase what their business is about,” adds Sinclair.
Productivity is key in office design and, according to Atul Bansal, founder and partner of commercial interior designer Sheila Bird Group, “companies need a space that enables people to work in a more project focused environment, space that can be changed at will, space that can be adapted and space that staff can reconfigure.” Jamie Wood of Pozzoni notes that the need for downtime is increasingly being recognised as a genuine requirement. “It has become the norm that breakout spaces are part of our brief,” he explains. “We have seen a recent surge in the requirement for outside space with the roofs of office buildings being converted to ‘chill out’ areas for employees. Pool tables and ‘Big Brother’ style kitchens with central island units for seating are also popular.” Open plan offices are also becoming the trend across the North West. Bruntwood is currently developing a new scheme at 16 Queen Avenue in Liverpool which will be a mixture of coworking space plus private offices, therefore facilitating the buzz of an open office alongside an environment to concentrate in. With creative and open plan offices seemingly on the rise across the North West, some complexes also blur the line
p33-48_Move Commercial 20/07/2015 15:28 Page 35
Creative Office Space Focus
“
There’s becoming a trend away from hard-wired equipment like phones and computers because people use wifi now. If you don’t need those things you’re not tied to a desk and you’re thinking ‘I could be working on a sofa right now’.
“
between public and private space by incorporating features such as café spaces that are used by people from inside and outside of the buildings. For instance, the reworking of Exchange Station in Liverpool includes a café and is a social hub as much as an office space, while Warrington’s Bank Quay House has developed this idea further by creating an art gallery and café on its ground floor for its business tenants. Companies are becoming more design conscious, and Sinclair says he has noticed a change in the requirements companies are looking for. “People don’t want grey carpets and desks anymore, they’re asking for character lighting, exposed brick and even blackboard paint to write on walls,” he explains. Employees are also becoming more active and companies are concentrating on becoming ‘green’, prompting features such as a host of cycle parks to be continually developed across different firms. “The employee driven work space increasingly demands facilities to assist green travel methods,” adds Wood. “Showers and clothes storage are standard fixtures in the modern office environment.” So what does the future hold for evolving office design? Sinclair
Employees are no longer confined to their desks
“ “
‘Skype rooms’ will become more of a common fixture, providing space for people to make conference calls in private when being based in open plan offices.
Private video conference room
suggests features such as ‘Skype rooms’ will become more of a common fixture, providing space for people to make conference calls in private when being based in open plan offices. Overall, it seems, the future looks bright for the region, with further schemes in the pipline continuing to demonstrate innovative uses of space. “There are lots of exciting office projects in the North West, many of which are leading the way forward in design,” adds Wood. “The North West market is very buoyant with a lot of interest from London and internationally wanting to invest.” MOVE COMMERCIAL 35
p33-48_Move Commercial 20/07/2015 15:43 Page 36
Move Commercial Networking Lunch Key figures from across the North West came together for Move Commercial’s first networking lunch, which this month had an investment theme. Guests heard from speaker David Sayer, a director of Bilfinger GVA and an adviser to the Chrysalis Fund, while NYL Liverpool provided a two-course lunch. Catherine McCarthy, head of commercial business at Move Publishing, says: “Move Commercial has been at the forefront of the North West commercial property market for over eight years now yet, despite creating this
community of like-minded property professionals, we rarely get the chance to get together; to share ideas and discuss the issues affecting the market, the challenges it faces and the opportunities on offer. “With these networking lunches we wanted to give our readers and supporters the chance to get together, to chat, to enjoy a delicious lunch and to hear an expert’s views on a topic that we know will be of interest. Our first lunch went fantastically well and we’re already planning the next.” 1
2
3
5
8
4
6
9
7
10
1. Move Commercial’s Catherine McCarthy 2. Robin Ellis (Downing) talks to Ann Hopper (Liverpool Vision) 3. Chris Walker (Prospect GB) with Chris Hennessy (Matthews & Goodman) and David Sayer (Bilfinger GVA and Chrysalis Fund) 4. Matt Kerrigan (Hitchcock Wright & Partners) 5. David Sayer (Bilfinger GVA and Chrysalis Fund) and Chris Walker (Prospect GB) 6. Danielle Garrigan (NYL Restaurant & Bar) 7. Andrew Byrne (CBRE) 8. Chris Walker (Prospect GB) with Rebecca Fan and Derek Dawson (Paul Crowley & Co) 9. John Barker (Hitchcock Wright & Partners) 10. Ann Hopper (Liverpool Vision)
p33-48_Move Commercial 20/07/2015 15:44 Page 37
Key event NYL Restaurant and Bar No.1 North John Street, L2 Situated in the grand setting of the former Royal Insurance Building, NYL Restaurant and Bar offers a menu of high quality food and drink to match its stunning surroundings. Inspired by New York bistros, the menu features an eclectic range of dishes to suit any occasion from a business lunch to a ďŹ ne dining experience. For more information visit www.aloftliverpool.com/NYL. 11
12
13
14
15
16
17
18
11. Guests tuck in to a delicious two-course lunch 12. Ann Hopper (Liverpool Vision) and John Barker (Hitchcock Wright & Partners) 13. Alastair Shepherd (Falconer Chester Hall), Andrew Byrne (CBRE), Robin Ellis (Downing) and Chris Hennessy (Matthews & Goodman) 14. Conversation flowed at the event 15. Guests listen to David Sayer’s insight 16. David Sayer (Bilfinger GVA and Chrysalis Fund) 17. Bobby Johnson (Primesite Developments) 18. Alastair Shepherd (Falconer Chester Hall) and Neil Kirkham (CBRE)
p33-48_Move Commercial 20/07/2015 15:29 Page 38
Stephen Hurrell stephen@movepublishing.co.uk
Claire Poyser has had a hand in thousands of hours of the country’s best-loved television. Now managing director at Liverpool-based Lime Pictures, she is aiming for growth locally and internationally, as well as new commercial space to benefit the region.
The one to watch Claire Poyser has a CV that reads like a directory of the biggest television companies in the UK. Her roles include work experience and then full time employment at the BBC and a stint working for British Forces Broadcasting for six years. “I spent it travelling the world, into some conflict areas,” says Poyser. “I spent six wonderful years going around the world. That was a fantastic learning experience because you literally were thrown in the deep end and you did the whole cross genre, scripted and nonscripted, which stood me in good stead.” She followed that with a role at the BBC in Manchester before taking on a role as director of production at ITV Studios, where she was responsible for 3,500 hours of original content across Manchester, Leeds and London. “All of my experience has been within the production arena and that’s what I do – the operational production, building the teams around me and then selling the programmes onto broadcasters and other formats.” Poyser is now managing director at Lime Pictures alongside fellow managing director Kate Little. Having joined in 2012, her first 38 MOVE COMMERCIAL
priority was to stabilise a company known for its soap, Hollyoaks. “Lime is a company with massive opportunity and potential but there’s always been a sense that it probably wasn’t doing as much as it probably could do,” explains Poyser. “What we’ve tried to do, and I think we have done, is imbue in people a sense that anything is possible and give people the confidence to try things and not be afraid of failure. “Kate and I have put in place a business strategy of stabilise, rebuild, grow. We needed to do this as the media sector changes so rapidly the juggernaut needs to be there at the forefront of innovation. So we needed to stabilise Hollyoaks, rebuild it from a modernisation point of view and then grow out.” With programmes such as Channel 4 soap Hollyoaks and becoming a market leader in ‘scripted reality’ such as The Only Way is Essex, Lime Pictures has experienced quick growth, cumulating in a deal with Disney to produce a live action children’s TV programme series, Evermore. Produced in Warrington, it is the first time the company has worked with Disney. Despite international growth, Poyser is keen for Lime Pictures to
offer local opportunities for its 350 permanent employees at its Childwall base. “I would say 80-85% of our employees come from within a 10mile radius,” she says. “We’re passionate about providing local employment.” However, the local factor does present problems. Poyser and Lime Pictures have been at the centre of a campaign to bring production space to Liverpool. The company found space in Warrington for Evermore but says it is essential Liverpool can provide the facilities companies need to invest in the region. “Of course, one of the things that I’ve gone on record as saying is that Liverpool is in real danger of missing a massive opportunity with regard to the next step into being a global content provider,” she says. “I think in order to unlock the potential of other projects in the region we are in desperate need of some warehouse type spaces like the Sharp Project in Manchester, which is phenomenal. We are in danger of missing a real opportunity.” Neptune Developments has recently announced plans to build a production facility in the former ABC Cinema near Lime Street, and
“
There is more than enough production from a series of companies within this region who could put together 50 weeks per year utilisation.
“
while Lime Pictures is not involved in the scheme, it is keen to work with the local council to be involved in any potential production facility. “Now we’re in very positive dialogues with Liverpool City Council but we need space really quickly,” she says. Poyser says the industry does not want ‘something for nothing’. Instead, a 10,000 to 30,000 sq ft space needs somebody to bear the overarching liability of a lease. “There is more than enough production from a series of companies within this region who could put together 50 weeks per year utilisation, but they’ve got to do it quickly. Warrington has been brilliant for us but we producers don’t need knocking back too many times before you go elsewhere. “I’d love something like the Sharp Project in Liverpool because that absolutely got what the market needed.” In the meantime, Lime Pictures will continue to grow and break the mould with innovative programming, says Poyser. “We want to only make very good content, as well as to grow the business in an innovative way. I would always like the company to be known as the people to watch”.
p33-48_Move Commercial 20/07/2015 15:29 Page 39
Claire Poyser, managing director, Lime Pictures Interview
“
I think in order to unlock the potential of other projects in the region we are in desperate need of some warehouse type spaces like the Sharp Project in Manchester, which is phenomenal.
“
MOVE COMMERCIAL 39
p33-48_Move Commercial 20/07/2015 16:44 Page 40
Key event VSS launch VSS launches new Liverpool base Ventilation Surveys & Services (VSS) welcomed customers, suppliers and staff for a tour of its new Liverpool headquarters, having relocated from the south of England. Guests enjoyed Champagne and cake during the event and heard about the company’s future plans at its 6,000 sq ft Sandon Way premises. The firm celebrated the occasion as it was also preparing to launch a new industry training centre. Chief executive officer of VSS, George Friend highlighted that the company has
already expanded its team and range of contracts locally, adding: “All of our staff, customers and partners who we work with regularly have been hearing about plans for our new head office for such a long time, so it was fantastic to be able to invite them along and show off our new facilities.” VSS received help from The North West Fund for Loans Plus, managed by FW Capital, and Liverpool’s Mayoral Investment Fund, using Regional Growth Fund money for the relocation, along with Liverpool City Region Local Enterprise Partnership funding.
1
2
3
5
4
6
8
7
9
10
1. Brian Welsh, George Friend and Nick Umfreville (all VSS) 2. Helen Duffy and Brian Churchill (both Titanic Hotel) 3. Peter Pownall (Moorcrofts), Kathy Roche (VSS) and Tony Hayes (DSUK) 4. Gary Guest (FWP Capital) Jackie and Roy Munford (both HML) 5. Paul Radcliffe (The Local Enterprise Partnership), Julie Johnson (Moorcrofts) and Johan Branbt (Lifa Air) 6. Outside the new premises 7. Jim Miller (VSS), Geoff and Dom Hunt (SB Hygiene) 8. Zydrunas Ubartas , Joe Curran and Nathan Price (all VSS) and Ian Gregory (IAQ Services) 9. Guests were handed gifts by VSS 10. Andrew Hart and Jennifer Legler (both Liverpool Football Club), Chris Heyes (Liverpool in London) and Tricha Campbell (Elliot Fletcher)
p33-48_Move Commercial 20/07/2015 15:30 Page 41
Ductwork Cleaning &ŝůƚƌĂƟŽŶ ^ƵƉƉůLJ ĂŶĚ &ŝƫŶŐ Mechanical Maintenance /ŶĚĞƉĞŶĚĞŶƚ ĚǀŝĐĞ sĂůŝĚĂƟŽŶ ĂŶĚ ĞƌƟĮĐĂƟŽŶ ^ƵƌǀĞLJƐ ĂŶĚ ZĞƉŽƌƚƐ
EVERYONE HAS A RIGHT TO CLEAN AIR
ǁǁǁ͘ďƌĞĂƚŚĞǀƐƐ͘ĐŽ͘ƵŬ Ϭϯϯϯ ϱϬϬ ϴϯϲϴ hŶŝƚ Ϯ͕ ^ĂŶĚŽŶ tĂLJ /ŶĚƵƐƚƌŝĂů ƐƚĂƚĞ͕ >ŝǀĞƌƉŽŽů >ϱ ϵzE
p33-48_Move Commercial 20/07/2015 15:30 Page 42
Stephen Hurrell stephen@movepublishing.co.uk
The North West is one of the UK’s top destinations for foreign direct investment (FDI). With one major deal secured, an increased focus on attracting investors from China could reap rewards for the region in future.
Eastern Attraction There were 47 North West projects in the past year delivered through foreign direct investment (FDI). That figure is ahead of the 10-year average and places the region sixth out of 12 UK regions, according to the annual EY Attractiveness Survey 2015, which measures the level of FDI across the UK. From MEPC’s Birchwood Park in Warrington being sold to funds managed by US firm Oaktree Capital Management and German investor Patrizia Immobilien, to multi-million pound investment into Manchester City’s Etihad Stadium and surrounding complex courtesy of Abu Dhabi, the North West is attracting investment from across the world. In total, there was £1 billion of investment in the North West from foreign shores in 2014 alone, according to Deloitte’s Cross Border Deals Radar. Meanwhile the EY Attractiveness Survey says individually the city regions in the North West are also thriving. For example, Manchester is the third most successful region in terms of FDI with 19 projects, a figure only bettered by London and Belfast. Experts believe the North West is benefiting from the idea of a Northern Powerhouse, which is bringing investment to other areas and not just Manchester. “As momentum continues to build 42 MOVE COMMERCIAL
around the chancellor's Northern Powerhouse vision, and plans for improved transport links and additional infrastructure investments across the North of England become clearer, the North West's popularity amongst investors could gradually grow – driven by the prospect of an even more productive, better-connected region,” says Simon Allport, North West senior partner at EY. The growth of the Northern Powerhouse has begun to turn heads in one of the most lucrative markets for FDI. A study by international law firm Pinsent Masons and the Centre for Economics and Business Research (Cebr) predicts that China will invest $169bn (£105bn) in UK property and infrastructure between now and 2025, and the North West is keen to take advantage of the promised riches. The 2014 Attractiveness Survey came with a warning for the region; all but two of the FDI projects secured in 2013 originated in Europe or the US. For the region to continue its prosperity it must secure investment from other lucrative markets. “Given that an even greater focus on internationalisation will be fundamental to Manchester’s future prosperity, it should work to build even stronger links with growing markets such as China, India and the Middle East,” says Allport.
“
The cities in China dwarf the size of the cities in the UK. If Manchester and other cities combined for a Northern region, that would present itself as a much better proposition for Chinese investors.
“
Since then, a major deal has been secured at Manchester’s Airport City, an £800 million development being delivered by Manchester Airports Group (MAG), which has partnered with Beijing Construction Engineering Group (BCEG), Carillion PLC and the Greater Manchester Pension Fund to create 'Airport City'. But for the North West to ensure the investment is not a one-off, it now has to think beyond Manchester. “The cities in China dwarf the size of the cities in the UK,” says Josh Wong, partner at DLA Piper. “So an offering from Manchester, for example, wouldn’t necessarily attract the attention of the biggest Chinese investors because of the size of Manchester as a city. Whereas if Manchester and other cities combined for a Northern region, that would present itself as a much better proposition for Chinese investors.” Chinese investors are keen on investing in infrastructure. The major urban conurbations in China are connected by rail and the Chinese see themselves as experts in the field. However, big commercial property projects are also on the radar of investors. “Industries which Chinese investors are interested in include real estate – particularly big commercial property developments. That has been focused
p33-48_Move Commercial 20/07/2015 15:30 Page 43
Foreign Direct Investment Focus Beijing Construction Engineering Group is one of the key partners delivering Manchester’s Airport City
In numbers
47
“
on London but I think increasingly investors are looking further afield. Large commercial ventures outside of London and any big residential estates will be really attractive to Chinese investors.” Liverpool Waters and Manchester’s Airport City are huge projects spanning several years and several billions of pounds. But Chinese investors could be attracted to the North West because of something else. From Baltic Creative and Capital & Centric’s recently completed Tempest in Liverpool to Hello House and The Sharp Project in Manchester, the North West is a significant hub for start-ups and SMEs. At the latest count by Santander Corporate & Commercial, Manchester had 78,665 SMEs, Lancashire had 38,345 and Liverpool had 30,645, with an average growth of 4.3% across the region in the year to March 2015. The availability of new start-up space in the North West could help to entice a growing number of Chinese companies keen to test the waters of the UK market. “Chinese investors are perhaps looking to set up a manufacturing operation in the UK to sell products to the UK population,” says Wong. “When they are looking to do that they’re very interested in starting in an incubator to test the market and to do some market research. In order to attract companies
incubators are an excellent way to get them into the UK and into the North to start their business.” If the North West can attract investors seeking major infrastructure projects and smaller start-up hubs, it can grab a slice of the estimated £1bn on offer. “I think we’re likely to see one or two large investments from some of the big Chinese investors in the next few months,” says Wong. “The big trick is to see that go well and on the back of that we hope to see more investments across the board from a range of companies in future. That’s the hope.”
[Investors] are very interested in starting in an incubator to test the market and to do some market research. In order to attract companies incubators are an excellent way to get them into the UK and into the North to start their business.
Number of North West projects delivered through FDI in the past year
£1bn Foreign investment in the North West in 2014
19 Number of projects generated from FDI in Manchester, making it the third most succesful region in the UK behind only London and Belfast
£105bn Predicted investment from China in UK property between now and 2025
4.3% Average growth in SMEs across the North West in the year to March 2015
“
Liverpool’s Baltic Creative is just one example of the North West’s start-up spaces enticing overseas investors keen to test the UK market
MOVE COMMERCIAL 43
p33-48_Move Commercial 20/07/2015 15:30 Page 44
CALL NOW TO ENSURE YOU ARE A PART OF THIS YEAR’S MAIN EVENT AND MERSEYSIDE’S MOST PRESTIGIOUS PROPERTY AWARDS SHOW
2015 CATEGORIES BEST COMMERCIAL AGENCY BEST COMMERCIAL SCHEME BEST COMMERCIAL RETAIL LET BEST COMMERCIAL OFFICE LET REGENERATION AWARD BEST STUDENT HOME AND LANDLORD SERVICE PROPERTY APPRENTICE OF THE YEAR CONSTRUCTION APPRENTICE OF THE YEAR OUTSTANDING CONTRIBUTION TO PROPERTY
THURSDAY 15th OCTOBER 2015 LUYTENS CRYPT, LIVERPOOL METROPOLITAN CATHEDRAL @YMPA2014 YMPROPERTYAWARDS
Y MPA 2 015 ASSOCIAT E SPONSORS
FOR SPONSORSHIP OPPORTUNITIES PLEASE CALL CATHERINE ON 0151 709 3871 WWW.YOURMOVEPROPERTYAWARDS.CO.UK
p33-48_Move Commercial 20/07/2015 15:45 Page 45
Move Commercial Events Jul-Sep
EVENT PLANNER
Our pick of the best local events
22 JUL
23 JUL
5 AUG
Action for Business, Macdonald Kilhey Court Hotel, Wigan 12-2pm
Greater Manchester QS & Construction Summer BBQ, The Rain Bar, Manchester 6-9pm
Charity networking, Blackburne House, Liverpool 5.30-7.30pm
Attracting businesses from Greater Manchester and further afield, the event will give members and nonmembers the opportunity to make new contacts and renew existing ones. www.gmchamber.co.uk
North West construction professionals take the opportunity to network and enjoy a BBQ, drinks and a Champagne business card draw. RICS members and nonmembers welcome, and tickets are priced £5. www.rics.org
16-17 SEP
22 SEP
BCSC 2015, Manchester Cathedral
Venturefest Manchester 2015, The Point, Lancashire Country Cricket Club, Old Trafford 9am-5pm
The British Council for Shopping Centres brings you the UK’s largest B2B marketplace for UK retail real estate, featuring influential players from across the sector as well as access to retail networking and deal making opportunities. www.bcsc2015.co.uk
Listen to inspirational speakers, attend interactive workshops and network with the region’s business leaders. Organised by the Business Growth Hub, this event is all about technology and innovation and the ways in which they can help companies to grow. www.venturefestmanchester.com
9 SEP
Importing and Customs Procedures, Egerton House, Birkenhead A chance to network with peers and 9.15am-4.30pm PICK OF THE MONTH
8-9 SEP
Venue Expo 2015, Exhibition Centre Liverpool The North’s largest exhibition for the MICE (meetings, incentives, conferences, exhibitions) industry. Featuring three networking areas, a business lounge and a VIP area for meetings, the event will also showcase exhibitors from venues, destinations and event support services. www.thevenueexpo.co.uk
Fundraising success for St Paul’s Square golf day
develop business contacts. A must for charitable organisations, particularly fundraisers and marketers, as well as businesses wanting to work with charities. The event is free but booking is essential. Email events@liverpoolchamber.org.uk.
The one-day course is designed to introduce small and large businesses to the principles of importing and customs controls. Topics covered will include controlling importing costs, how to use freight agents, and ways of maximising the importer’s relationship with the customs authority. www.wirralchamber.co.uk
23 SEP
24 SEP
Wirral & Chester Business Fair 2015, New Brighton Floral Pavilion, Marine Promenade 10.30am-3.30pm
RIBA Manchester CPD Roadshow, Marriott Victoria & Albert Hotel, Manchester 9.30am-4pm
In its 10th year, the business to business exhibition is expected to attract 50 exhibitors and over 600 visitors. It will feature free business seminars and ‘how to’ workshops, expert advice and one to one marketing and business clinics. www.businessfairsuk.com
A full-day free event for construction and design professionals to gain up to date knowledge on a wide range of CPD subjects, with RIBA-approved presentations. Places can be booked in advance. www.architecture.com
Accelerate 2015 line-up revealed The author of bestselling book ‘The Chimp Paradox’ will be motivating delegates at the entrepreneurial Accelerate conference, when it returns to ACC Liverpool this autumn.
Neil Kirkham with ADT Workplace, who took home the trophy for the winning team
A minigolf day helped raise more than £1,000 for the housing and homelessness charity Shelter when it took place in Liverpool’s commercial district. Neil Kirkham, Andrew Willoughby and Sarah Fitzpatrick from the Liverpool office of commercial agents CBRE invited teams of clients to take part in the St Paul’s Square event. The square was transformed into a mini fun golf course, with help from portable minigolf specialists UrbanCrazy, and participants battled it out for the winners’ trophy. Team members from ADT Workplace were triumphant in securing first place on the day, while CBRE’s golfers were the runners up followed by the Publiship team in third place.
Acclaimed sports psychologist Dr Steve Peters, who helped Olympic cyclists Chris Hoy and Victoria Pendleton to medal success, shared his teachings and principles in the book which became popular among businesspeople. Ahead of the 9 October event, in which attendees will be able to tailor the programme to suit their needs by choosing from categories including ‘Passion’, ‘Performance’, ‘Power’ and ‘Accelerate’, Dr Steve Peters says: “Accelerate aims to encourage businesspeople by promoting and developing innovative thinking and offering strategic choices, so it is sits well with the Chimp Paradox. I’m looking forward to working with delegates to explain how they can apply the principles and develop skills that have helped many successful people to achieve their goals.” Other big business names on the line-up include coding expert Kathryn Parsons, CEO and co-founder of Decoded; and Dan Germain, the man who created the tone of voice and brand culture of drinks company Innocent. Meanwhile Jim Lawless, who has implemented cultural change programmes in companies including Apple, Barclaycard and BT, is among the first speakers to be announced for the event, which will be hosted by Wayne Hemingway. For more information visit www.echoarena.com.
Tell Move Commercial about your commercial property and business events. Email post@movepublishing.co.uk MOVE COMMERCIAL 45
p33-48_Move Commercial 20/07/2015 15:31 Page 46
Business Directory
To advertise on this page please contact David 0151 709 3871 / david@movepublishing.co.uk
COMMERCIAL GAS/HEATING Service, Installations & Repairs Fully qualified, including TPCP1A Tightness Testing, Gas Safety Certificates and testing for insurance purposes
COVER MERSEYSIDE & NORTH WEST
ALSO PROVIDING COMMERCIAL CATERING & LPG For help and advice on your gas & heating
CALL 07778 80 40 60 or email commercialgasman@gmail.com W W W. B I G H H E AT I N G . C O . U K
· · · · · · · ·
Commercial carpets Carpet tiles Built in entrance matting Bespoke designs for hotels All work fully guaranteed Safety flooring Fully insured Contact Graeme 0151 480 1212 Stair nosings
www.carpetdesignandflooring.co.uk
City Window Cleaning Co.
ALL ASPECTS OF COMMERCIAL BUILDING WORK UNDERTAKEN
T/A Specialist Support & Facilities Services (UK) Ltd.
Service, Civility & Satisfaction
COMMERCIAL CONTRACTOR OFFICE / RETAIL / INDUSTRIAL
Unit 2, 64 Kremlin Drive, Stoneycroft, Liverpool, L13 7BZ
Call for a quote
Tel. 0151 427 1325 Mob. 07807 557 723
Email: office@pbs-northwest.co.uk
manufacturers of all types of blinds
Kirkby Blinds Direct Ltd • Industrial / Commercial / Domestic • Free Quotations • Vertical / Venetian / Roller • Free Measure & Fitting
BH PLASTERING Commercial Plastering · · · · · ·
Time Served Plasterer Plaster over Artex All aspects of Plastering Painter and Decorator Services Free Quotation on all work All Work Guaranteed
Call 0151 547 3570 or 0151 547 3677
TEL 0151 291 0930 MOB 07951 062 187
www.kirkbyblindsdirectltd.co.uk
Find us on Facebook! Search BH Plastering
Suppling High Quality Commercial & Industrial Decorative Finishes
CO U LT PA I NT E R S A ND D ECORATORS TEL: 0151 546 4995 / 0151 546 3395
MOB: 07777 643 394
EMAIL: sales@coultdecorators.co.uk ADD: 2 Elliott Drive, Brookhaven, Kirkby, Liverpool, L32 9SS
46 MOVE COMMERCIAL
coultdecorators.co.uk
p33-48_Move Commercial 20/07/2015 15:31 Page 47
Expert views Ask the panel Chancellor George Osborne’s Summer Budget, the first all-conservative budget for 19 years, had wide ranging implications for the business community with corporation tax, devolution and the introduction of a national living wage taking centre stage. But will the lasting effect be positive or negative? We asked four industry professionals their view.
Q: Will the measures outlined in the Summer Budget help or hinder the North West business industry and why? I'm a huge supporter of local powers and devolution but the potential relaxation of Sunday trading hours and devolvement of this to a local level is fraught with issues from a personal viewpoint and could hinder business in the North West. How do you reconcile those people who would like to work with those who do not? Safeguards are one thing but the reality can be very different. Supporters say it will add to the economy but should we be judging everything from an economic output position? One would like to think not. The existing six hours of opening would seem to strike the right balance with those smaller traders able to open for longer. Why change a system which seems to respect varied viewpoints, at least to some extent? Mark Rawstron, regional senior director, Bilfinger GVA
On the face of it, the Budget did not appear to be as bad as might have been expected for the North West in view of the anticipated austerity measures following the Conservative majority at the General Election.
However, it seems to me that not enough has been done to support small businesses in the region particularly as the SME sector has been the mainstay in the market. The hike in minimum wage, the relatively low tax concessions and the delay in much needed reform to the business rates has all hindered the sector. Elsewhere the future prosperity of the North was highlighted by the Chancellor with the opportunities presented by devolution. This seems dependent on the major North West cities co-ordinating themselves and ensuring that there is a concerted campaign to put the government to the sword such as the relocation of more back office services through the ‘North shoring’ campaign. Stuart Keppie, partner at Keppie Massie and head of Professional Liverpool
George Osborne’s Summer Budget will certainly help support economic growth and encourage businesses to hire, with measures such as the apprenticeship levy and getting people back to work with benefits cuts. Whilst the Northern Powerhouse may not progress at the speed we had originally hoped, what is encouraging is the city that is spearheading devolution in the UK is in the North West. Manchester is to gain control over its fire services, land and children’s services and there was also encouraging signs that some powers are to be devolved to Liverpool. It remains to be seen if other cities like Chester and Preston will follow suit but at least the impact of devolution will now not be solely confined to Greater Manchester. Key measures such as the £30m funding for Oyster card-style public transport payments is positive for the
region and will encourage greater public transport usage, making it easier and hopefully cheaper to use public transport, and alleviate pressure off roads. Conrad O’Neill, director, Canning O’Neill
Big businesses did relatively well out of Osbourne’s first Conservative Budget. Promises to devolve powers to cities such as Liverpool, will be key to the strength of the Northern Powerhouse and it is encouraging to see this push to support the North from Whitehall. The cut in corporation tax over the next five years has been heralded as a way to boost UK competitiveness and businesses. I welcome this measure; the reduction will support inward investment, increase jobs to add to the one million benchmark that has been set for 2020, and overall it will enhance the business industry in the North West. However, despite promises that £30m will be dedicated to Transport for the North, there was no further mention of HS2 and HS3, which is worrying as both schemes will increase connectivity and business interactions between the North West and South. Brian Meharg, finance director, Promenade Estates
p33-48_Move Commercial 20/07/2015 15:31 Page 48