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September 22, 2022

GAS TURBINE FOR SALTEND POWER STATION

The Collett Team safely deliver a 100Te gas turbine rotor to Saltend Power Station in Hull, East Yorkshire Touching down on board one of the World’s largest cargo aircrafts, the Antonov 124, the 100 Tonne gas turbine rotor arrived at Doncaster Sheffield Airport.  Utilising the 3,000 metre runway, one of

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NEXT STAGE OF FUNDING APPROVED FOR KIRKLEES CULTURAL HEART

The next stage of funding for Kirklees Cultural Heart has been approved at a cabinet meeting today, paving the way for Kirklees Council to carry out the next steps in the regeneration scheme’s programme. Cabinet agreed to release £10.5 million of funds to enable the next stage of works on

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Scotland dominates British new-build market

Research by Warwick Estates reveals that Scotland is set to continue its domination over Britain’s new-build market with the total number of annual sales once again dwarfing those of any other region in 2022.  In 2021, there were 54,788 new-build sales transactions in Great Britain. Scotland was, by far, home

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Next Stage of Kirklees’ Proposed Energy Network Heats Up

One of Kirklees Council’s key carbon reduction projects reached another milestone in its journey today. Approval of the outline business case by councillors at Cabinet will now enable the Heat Network project to progress to the next phase, which will include how the Council can achieve successful delivery of the

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Potter Space on course for major £18m expansion in Droitwich

Potter Space, which owns and operates five business parks across the UK, is on course to achieve its strategic five-year vision of investing £18m to double the size of its Droitwich site, as construction begins at pace on the first phase of the development.  The company had been granted planning

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Latest Issue

BDC 317 : Jun 2024

September 22, 2022

RICS: Demand for sustainable commercial property rises in the UK, but built environment must progress on decarbonisation

RICS Sustainability Report 2022 – UK Occupier and investor demand for green buildings continues to rise in the UK as nearly half of respondents report lower rents and sale prices for non-sustainable buildings. 55% note a rise in climate risk assessments by investors on their built assets, suggesting that climate issues could be influencing the behaviour of key market players. Lack of tools, databases, established standards, and benchmarks identified as key obstacles. Industry must, however, help drive the establishment of standards by adopting and utilising those that are available* Contributors also highlight high costs or low availability of low carbon materials and skill shortages as a challenge. Progress is being seen in some aspects of the built environment on the drive to be more sustainable, according to the latest annual sustainability report produced by RICS, however the rate of advancement needs to accelerate significantly and become more widespread. The 2022 RICS Sustainability Report, which collated sentiment from almost 4,000 chartered surveyor contributors, around 1200 of which are from the UK, across commercial and construction sectors globally, shows that some improvement in the push for sustainability has been made in the past year, notably in the commercial real estate sector as demand for green buildings continues to rise. However, the data also shows there has been little or no change in some important areas in the past 12 months. Indeed, in construction, a significant share of professionals say they do not measure carbon emissions on projects. Commercial Property: While the appetite to seek green buildings in the commercial property sector continues to rise in the UK, the change is modest. Looking at investors and occupiers separately in the UK, around 65% of contributors note that occupier demand for green/sustainable buildings has risen over the past 12 months, however the UK is falling behind Europe as a whole, with Europe leading the way with around 52% of contributors across the region seeing a modest increase in demand, and just under one-quarter stating that occupier interest in green/sustainable buildings has increased significantly. On the investment side around 45% of survey contributors in the UK report a modest increase in investor appetite for green/sustainable buildings over the past 12 months, which is 5% higher than the global average. A further 21% suggest there has been a more significant increase in demand. Comparing the UK to the rest of Europe where the pick-up in investor demand is again stronger, around 80% of those surveyed across the whole of Europe see an increase in investor demand for green/sustainable real estate in the past year. As demand for sustainable buildings continues to increase not just in the UK but on a global scale, it is impacting both rents and prices, with a significant share of contributors seeing a market premium for sustainable buildings, and citing that non-green real estate assets are subject to a ‘brown discount’.  For those buildings that aren’t classed as green or sustainable, 48% of respondents noted a reduction in rents, and around half also cited a reduction in sale prices in the UK, with both figures lower than as can be seen in the whole of Europe, with 57% of respondents noting ‘brown discount’ for rental properties, and 60% noting a ‘brown discount’ in prices. In another signal that people in the UK are placing more focus on sustainable property, the majority of respondents (55%) note a rise in climate risk assessments by investors on their built assets, suggesting that climate issues are now rising up the agenda and could be influencing the behaviour of key market players. The figures suggest Europe is seeing stronger progress on sustainability in the built environment due to the spotlight being turned on green buildings by the European Commission’s ambitious Green Deal. Policymakers in other regions turning their attention towards sustainable real estate will lead to market shifts elsewhere, the report notes. Construction: Survey respondents report that Construction professionals in the UK are beginning to embrace digital tools and technologies to complete sustainability-related analysis for construction projects, predominantly to assess energy needs and costs, but they are less likely to utilise these tools to reduce embodied carbon or to measure the impact on biodiversity. 47% of respondents in the UK report that digital tools and processes are used to complete sustainability assessments on less than half or none of their projects. By comparison, Europe’s figure is lower with 40% of respondents reporting that digital tools and processes are used to complete sustainability assessments on less than half or none of their projects, indicating that the UK is falling behind the rest of the region. This year’s results also show that there is much room for improvement in measuring carbon emissions. 76% of professionals in the UK state that they make no operational measurement of carbon emissions on projects, which is in line with the whole of Europe, but slightly higher when compared globally (72%). With more than half of the UK respondents also saying that they don’t measure embodied carbon, even for those that do, less than 14% use it to select the materials they use in their project. When probed on the barriers to reducing carbon emissions, around 38% of contributors identified both the lack of established / adopted standards, guidance and tools  and high costs or low availability of low-carbon products as the most fundamental issues. Alongside this, contributors also highlight cultural issues and established practices as a challenge. Kisa Zehra, RICS Sustainability Analyst, commented: “It is of benefit to all to embrace climate strategy, and we must reduce our impact as the built environment.  Behaviour change is happening, with higher rents and prices being seen for the more desirable sustainable properties, and climate risk assessments by investors on their built assets rising across the globe.  But, measuring all forms of carbon, is also critical to the changes we need to see from the built environment. “Barriers to progress cited in the report have included a lack of established standards, guidance and tools. However,

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GAS TURBINE FOR SALTEND POWER STATION

The Collett Team safely deliver a 100Te gas turbine rotor to Saltend Power Station in Hull, East Yorkshire Touching down on board one of the World’s largest cargo aircrafts, the Antonov 124, the 100 Tonne gas turbine rotor arrived at Doncaster Sheffield Airport.  Utilising the 3,000 metre runway, one of the longest and widest in the UK, the heavy transport airplane, with a carrying capacity of 150 Tonnes, landed ready to offload the cargo. Awaiting the arrival airside were Collett’s Heavy Transport and Heavy Lift Teams, complete with a mobile crane, escort vehicle, 10-axe flat top trailer and ballasted Mercedes-Benz 8×4 Arocs SLT.  Working on a full contract lift basis, and under CPA Contract Lift Conditions, Collett’s Heavy Lift Engineers utilised a 500 Tonne Leibherr LTM 1500-8.1 mobile crane to unload the cargo from the Antonov Aircraft’s skid track.  Having unloaded the 100 Tonne gas turbine rotor and integrated transport frame from the nose of the fuselage, Collett then loaded the cargo to their awaiting 10-axle flat top trailer ready for onward transport. Prior to delivery, Collett Projects Department were tasked with safely planning a viable route. The first three proposed routes proved unsuitable as the 100 Tonne gas turbine would have exceeded various bridge weight limitations. To overcome these limitations, the Collett Team mapped the route of the cargo, exiting the M62 at Junction 36, travelling North past Drax and Camblesforth before crossing the River Ouse at Selby and travelling through Howden to rejoin the M62 at Junction 37. Having liaised with North Yorkshire and East Riding Councils ahead of the project, Collett ensured any route modifications and necessary street furniture removals had been undertaken to allow the 4.5 metre wide cargo to safely navigate the route from collection in Doncaster to final delivery in Hull. Destined for Saltend Power Station, a CCTG (Combined Cycle Gas Turbine) CHP (Combined Heat & Power) power station located on the Humber Estuary, Collett began the 75 mile journey. Travelling under abnormal load permits, and escorted by Collett’s Code of Practice pilot cars, the 19 metre long loaded vehicle travelled via Hatfield, Goole, Howden and North Ferriby, before safely arriving at Saltend Power Station on the banks of the River Humber, ready for offloading by the client.

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NEXT STAGE OF FUNDING APPROVED FOR KIRKLEES CULTURAL HEART

The next stage of funding for Kirklees Cultural Heart has been approved at a cabinet meeting today, paving the way for Kirklees Council to carry out the next steps in the regeneration scheme’s programme. Cabinet agreed to release £10.5 million of funds to enable the next stage of works on the £210 million project to commence. This work will initially include the finalisation of the design – in line with the RIBA (Royal Institute of British Architects) design framework – and the submission of the relevant  planning applications, which are expected to be submitted to the Local Planning Authority in the Autumn. The funding will also cover securing possession of key buildings and units across the Cultural Heart site, various site surveys, partial building strip outs and asbestos asbestos removal. To support their decision, cabinet were presented with the latest business case for the project. This outlined how the Cultural Heart will deliver many long-term, strategic, economic and community benefits for Kirklees, including increasing the number of visitors; safeguarding heritage assets; creating new jobs; enhancing the town centre’s green credentials; and, acting as a catalyst for further private-sector investment – particularly in the retail, leisure and accommodation sectors. Councillor Graham Turner, Cabinet Member for Regeneration, said: “I think we, as a cabinet, have made the right decision for Kirklees in approving this next stage in the Cultural Heart programme. This is a significant step closer to delivering the transformational masterplan and I am excited to move towards the submission of a planning application in the coming weeks. “This comes on the back of several weeks of healthy public consultation and engagement, which is helping us finalise the plans. We are extremely confident in the Cultural Heart investment and can’t wait to deliver an amazing new landmark for the people of Kirklees. “This administration will not sit idly by and watch our once great towns slowly decline. We will invest across Kirklees to create thriving vibrant communities. The Cultural Heart will create an exciting and vibrant new chapter for Huddersfield which builds on its great history.” The Cultural Heart is the centrepiece of the wider Huddersfield Blueprint – Kirklees Council’s ambitious ten-year vision to create a thriving, modern-day town centre for Huddersfield. Plans for the Cultural Heart would see the refurbishment of the historic Queensgate Market and Huddersfield Library buildings to house a vibrant food hall and a dedicated museum space respectively. These new offers will sit alongside a new community-focused library, modern art gallery, multi-purpose live entertainment venue and a 350-space car park – all of which will be connected by a series of world-class public spaces and green parks. Two phases of public consultation on the Cultural Heart proposals, which began back in May, finished last week. In total, around 8,000 people engaged online and nearly 600 people attended the various in-person exhibition spaces and events to learn about the plans. All comments that were submitted as part of the consultation have been considered and are helping to shape the final plans.

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Scotland dominates British new-build market

Research by Warwick Estates reveals that Scotland is set to continue its domination over Britain’s new-build market with the total number of annual sales once again dwarfing those of any other region in 2022.  In 2021, there were 54,788 new-build sales transactions in Great Britain. Scotland was, by far, home to the largest proportion of these sales with a total of 11,677. The next closest region was England’s South East with 7,335 sales. Warwick can now reveal that Scotland is once again on track to dominate the market this year. Of an estimated 16,158 new-build sales in Britain in 2022, it looks like 10,914 will be in Scotland with the next closest region, the South East, far behind with 1,191 sales.  Scotland’s strong performance comes despite a forecasted annual new-build sales decline of -70.5% across Britain as a whole in 2022. In fact, Scotland’s annual decline of -6.5% is nothing compared to the rest of the British regions where annual declines have exceeded -80%.  However, when looking back over the last five years of new-build sales data, Scotland slips into second place behind the South East.  Of 473,630 new-build sales in Britain since 2017, 70,060 have been in the South East – an average of 14,012 per year.  In Scotland, there have been 56,669 – an average of 11,334 a year. And in London, there have been 53,957 sales which works out at 10,791 a year.  The worst performing new-build market over the past five years is Wales, home to just 13,721 sales – or 2,744 a year, followed by the North East where 21,357 sales equate to an average of 4,271 a year. Data tables Data tables and sources can be viewed online, here.

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Next Stage of Kirklees’ Proposed Energy Network Heats Up

One of Kirklees Council’s key carbon reduction projects reached another milestone in its journey today. Approval of the outline business case by councillors at Cabinet will now enable the Heat Network project to progress to the next phase, which will include how the Council can achieve successful delivery of the project. Huddersfield District Energy Network (HDEN), also referred to as the ‘heat network’, is considered key infrastructure to help the district achieve its ambitious target of net zero carbon emissions by 2038 – a target set by the council when it declared a Climate Emergency in 2019. The system, which features a network of underground insulated pipes, distributes heat in the form of hot water from a centralised heat generation plant to different buildings. These buildings are then provided with space heating and hot water from the network instead of via traditional individual gas boilers. Additionally electricity can also be delivered to buildings via a separate electricity network referred to as ‘private wire’. The existing Energy-from-Waste (EfW) plant, located in Huddersfield, presents an ideal opportunity as a central heat and electricity generation plant, harnessing the heat already produced there for the network. A separate energy centre, proposed to be located at a nearby council owned site, would house pumps (for pumping the water around the network) and vessels to store the heat, in the form of hot water, as well as helping to smooth any demand from the network. It will also contain back-up gas boilers for providing heat during periods when the EfW is offline due to planned maintenance or unexpected outages. Back-up electricity would be provided via the national grid. If the scheme is ultimately approved and constructed it is expected to achieve significant carbon emission savings of around 70% (when considered against typical individual gas boilers) over the lifespan of the scheme – as well as air quality improvements – through the removal of the need of natural gas-fired boiler plants at sites that would be able to connect to the network. Heat network piping can also last over 50 years and has the ability to accommodate different sources of heat, so if an existing energy source reaches end of life, it can be removed from the system and replaced by a new source. This makes the system even more sustainable adding to its environmental credentials.   The timing of the upcoming procurement process for the Recycling and Waste contract renewal has also been recognised as an important opportunity to the council and will play a key role in the heat network project. Work will be undertaken by relevant council officers to align these two projects to ensure mutually beneficial outcomes. Additionally other significant council-led redevelopments via the Huddersfield Blueprint and Station to Stadium schemes where possible would also connect to the network. Councillor Naheed Mather, Cabinet Member for Environment and Councillor Will Simpson, Cabinet Member for Culture and Greener Kirklees said: “District Energy Networks are recognised by central government as one on the most effective ways of decarbonising the local heat supply in urban areas. “We recognise the challenges of a changing climate facing the district and are making changes to meet the important target of net zero in 2038 for the benefit of Kirklees residents, its wildlife, landscape and biodiversity. “The scheme – managed by the Council’s Air Quality, Energy and Climate Change Team – would make a considerable dent in the decarbonisation of Huddersfield Town Centre and contribute significantly in making our district greener and carbon neutral by our 2038 target.  We would like to thank officers for all the work that has gone into the project to date to gain approval for the next stage of project.” Now approved, additional funding is required to progress the project to the next stage which the team hope to raise through a bid to the Green Heat Networks Fund (GHNF) – launched by the government in March this year. The council have previously benefitted from funding for the various stages of the project including £300k for the delivery of the outline business case from the BEIS Heat Network Delivery Unit who have since shown their written support of the scheme to progress to the next stage. With Cabinet approval the team await the outcome of the bid to the GHNF due later this year, and if successful officers would start work on developing the full business case.

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Potter Space on course for major £18m expansion in Droitwich

Potter Space, which owns and operates five business parks across the UK, is on course to achieve its strategic five-year vision of investing £18m to double the size of its Droitwich site, as construction begins at pace on the first phase of the development.  The company had been granted planning permission earlier in the year to speculatively build an additional 105,000 sq. ft. of industrial units at Droitwich, to add to the existing 286,000 sq. ft. occupying the 38 acres. With £10m investment committed to this initial phase, construction of the first two units, measuring 28,360 sq. ft. and 21,895 sq. ft., has begun in earnest with completion expected by Spring 2023. Although not a prerequisite of the original planning consent, all the new units will be targeting BREEAM ‘Very Good’ accreditation in order to provide top quality sustainable buildings for its customers and to further enhance the desirability of the site. Potter Space is also placing high importance on enhancing the amenity space on the park to help improve the wellbeing of its customers. This will include extending landscaped areas and creating both dedicated picnic areas and nature walks close to the site. Jason Rockett, managing director at Potter Space, commented: “Our commitment to investing £18m to double the size of Droitwich over the next five years represents a major milestone for Potter Space in the Midlands.  “Although we have had nearly 300,000 sq. ft. of buildings on site, we were close to 100% occupancy and recognised the need to meet demand and the growing number of enquiries we were receiving for high quality warehouse units in the region. We are therefore looking forward to the opportunity to develop the site further and bring new investment and jobs to the area.” Potter Space is now welcoming pre-let enquiries, with  Fisher German and Harris Lamb joint acting agents for this initial phase.  Rob Champion, partner at property agents, Fisher German, said: “As Jason and the team at Potter Space have witnessed, we have seen sustained occupational demand for industrial and warehouse facilities of this calibre in the Midlands and we anticipate interest to be extremely high.” Charles D’Auncey, director for property consultancy Harris Lamb, added: “Expanding the Droitwich site on this scale puts Potter Space in an enviable position at a time when warehouse space is in such short supply nationally, regionally and locally and there is limited competition in the area. “The added benefit is that the company will be creating a real home for business – delivering high quality, sustainable buildings on a well-managed, secure and highly accessible site.” To download a brochure and further information on Potter Space and its Droitwich business park, please visit https://www.potterspace.co.uk/developments/droitwich.

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