The Portman Estate and Derwent London have unveiled exciting plans for Loxton Walk, a vibrant new retail and leisure destination in the heart of Marylebone. Set to launch in 2025, Loxton Walk will introduce 28,500 sq ft of cutting-edge retail and leisure space, spread across 17 units that will be
Plans have been revealed to transform the former Co-operative Group headquarters in Manchester’s NOMA neighbourhood into a luxury hotel and restaurant. The Grade II-listed New Century House, a landmark of 1960s modernist architecture, is set to undergo a major conversion to include a 196-room hotel with a rooftop terrace bar
In a landmark investment deal, US-based investment giant Blackstone has committed £10bn to the construction of one of Europe’s largest AI data centres in Blyth, Northumberland. The project is set to provide a significant boost to the UK economy, creating over 4,000 jobs, with 1,200 roles specifically tied to the
A UNIQUE piece of research commissioned by the Greater Manchester Combined Authority (GMCA) reveals the huge financial strain temporary accommodation costs are placing on local authorities. Each year, an estimated £74.6 million is spent on renting temporary accommodation across Greater Manchester. The number of people living in temporary accommodation in
A2Dominion has published its Annual Report & Accounts for 2023/24, recording a turnover of £399.6 million (up by 2.7%) and an operating surplus of £48.7 million (up by 12.2%). The housing association recorded an overall deficit of £21.0 million (2023: £12.8 million deficit) for 2023/24, which includes net interest charges
BDC 321 : Oct 2024
The Portman Estate and Derwent London have unveiled exciting plans for Loxton Walk, a vibrant new retail and leisure destination in the heart of Marylebone. Set to launch in 2025, Loxton Walk will introduce 28,500 sq ft of cutting-edge retail and leisure space, spread across 17 units that will be easily accessed from George Street, Blandford Street, Gloucester Street, and the iconic Baker Street. At the heart of the development will be a bustling central courtyard, designed to become a lively social hub for residents, workers, and visitors alike. The space will range from kiosk units to flagship restaurant spaces, with unit sizes spanning from 300 sq ft to 5,800 sq ft, offering flexibility for businesses looking to create anchor stores or boutique offerings. Outdoor seating areas and enhanced public spaces will further enrich the visitor experience. Loxton Walk will seamlessly complement The Portman Estate’s ongoing transformation of Marylebone, joining other landmarks such as Chiltern Street and Marble Arch. The area recently welcomed the opening of Moco London, the largest European outpost of the internationally renowned Moco Museum, further cementing Marylebone’s position as a key cultural and commercial hotspot. The development is part of a larger mixed-use scheme by The Portman Estate and Derwent London, which also includes 206,000 sq ft of modern office space on Baker Street and an additional 12,000 sq ft of workspace at 30 Gloucester Place. Tom Knight, Portfolio Director at The Portman Estate, commented: “Loxton Walk reflects our commitment to creating a thriving, commercially successful neighbourhood in central London. This exciting new retail and leisure offering, developed in partnership with Derwent London, will provide a valuable new public space and enhance the amenities available to those who live, work, and visit Marylebone.” Philippa Abendanon, Head of Leasing at Derwent London, added: “Loxton Walk is a perfect example of how we integrate design, connectivity, and high-quality amenities in prime locations. This vibrant new destination will offer exceptional spaces for people to enjoy and explore, embodying our shared vision with The Portman Estate for creating standout places in one of the world’s greatest cities.” Savills has been appointed to market Loxton Walk, which is set to become one of London’s most exciting new retail and leisure hubs. Building, Design & Construction Magazine | The Choice of Industry Professionals
Plans have been revealed to transform the former Co-operative Group headquarters in Manchester’s NOMA neighbourhood into a luxury hotel and restaurant. The Grade II-listed New Century House, a landmark of 1960s modernist architecture, is set to undergo a major conversion to include a 196-room hotel with a rooftop terrace bar and restaurant, along with conference and leisure facilities in the basement. Located in the heart of the city, the proposed hotel would offer prime access to Manchester’s key retail and business areas. Its central location is just a short walk from the AO Arena, which has a capacity of 23,000, as well as Victoria Station and Shudehill transport interchange, making it ideal for both business and leisure travellers. Originally built for the Co-operative Insurance Society, the 14-storey New Century House later became the headquarters of the Co-operative Group. Now, this iconic building is set to join the dynamic NOMA neighbourhood, home to major businesses like Amazon, Adanola, and BNY Mellon, which recently relocated its 2,000-strong Manchester team to nearby 4 Angel Square. The proposed development will complement the neighbouring New Century Hall, a refurbished music venue and food hall, and the DBS Institute, which offers degree and postgraduate courses in music technology and games design. Dan Hyde, development director at MEPC, the asset manager for the NOMA estate, expressed excitement about the project, stating: “New Century House is a Manchester icon, and we believe the time is right to revitalise it as a hotel. This is the next natural step in the ongoing growth of our vibrant neighbourhood, and it will sit perfectly alongside BNY at 4 Angel Square and the popular New Century Hall.” Jeremy Collins of Jenics, the hotel and leisure consultancy leading the search for a hotel operator, highlighted Manchester’s international appeal, saying: “With its global connectivity, world-class universities, and rich cultural and sporting heritage, Manchester is a magnet for visitors from around the world. New Century House presents an outstanding opportunity to enhance the city’s hospitality landscape.” MEPC and Jenics are currently exploring options to either sell the property or lease it, ensuring flexibility for interested hotel operators. A formal proposal is expected to be submitted to Manchester City Council in the coming months. Building, Design & Construction Magazine | The Choice of Industry Professionals
In a landmark investment deal, US-based investment giant Blackstone has committed £10bn to the construction of one of Europe’s largest AI data centres in Blyth, Northumberland. The project is set to provide a significant boost to the UK economy, creating over 4,000 jobs, with 1,200 roles specifically tied to the construction phase. This ambitious development will occupy the site originally planned for the BritishVolt battery plant, repurposing the space to house a state-of-the-art data centre critical to the burgeoning artificial intelligence sector. The facility will play a key role in managing the vast data sets required for AI operations, reinforcing the UK’s status as a global leader in AI technology and digital infrastructure. Construction is expected to begin next year, alongside a £110m investment by Blackstone into a local fund to support skills training and upgrade transportation infrastructure in Blyth. The initiative aims to create lasting benefits for the local community while enhancing the region’s appeal as a tech and innovation hub. UK Prime Minister Keir Starmer has heralded the investment as a crucial step in driving economic growth, saying: “The number one mission of my government is to grow our economy so that hardworking British people reap the benefits – and foreign investment is a key part of that plan.” This announcement follows Labour’s recent move to designate data centres as Critical National Infrastructure, demonstrating the government’s commitment to fostering secure environments for large-scale technological developments. By prioritising these projects, the UK seeks to position itself at the forefront of digital innovation and attract further global investment. Jon Gray, President and Chief Operating Officer of Blackstone, highlighted the UK’s investment appeal: “The UK is a top investment market for Blackstone due to its rich combination of talent and innovation, supported by a highly transparent legal system. This £10bn investment reaffirms our commitment to the UK, contributing to critical digital infrastructure and supporting the transition to a digital economy.” This agreement also serves to strengthen the UK-US trading relationship, which is already valued at over £340bn annually. With more global investments on the horizon, Starmer emphasised the importance of securing foreign partnerships: “Britain is back as a major player on the global stage, and we are open for business.” As the UK prepares to host the International Investment Summit next month, the Blackstone deal is a clear indicator of the country’s growing appeal to foreign investors. The new AI data centre will not only contribute to the UK’s digital and economic future but also solidify its position as a global hub for AI and technology innovation. Building, Design & Construction Magazine | The Choice of Industry Professionals
A UNIQUE piece of research commissioned by the Greater Manchester Combined Authority (GMCA) reveals the huge financial strain temporary accommodation costs are placing on local authorities. Each year, an estimated £74.6 million is spent on renting temporary accommodation across Greater Manchester. The number of people living in temporary accommodation in Greater Manchester is now at an all-time high, with 5,649 households living in hostels, Bed and Breakfast and other temporary accommodation. These households include 7,679 children. Over the past four years the number of households in temporary accommodation in Greater Manchester has increased by 71% compared with 26% across England. Today the Mayor of Greater Manchester Andy Burnham and the leaders of the city-region’s ten local authorities confirmed the launch of a new Housing First Unit to tackle the roots of the housing crisis by: Housing First is part of the GMCA’s pioneering approach to delivering public services and tackling the problems that are hampering wellbeing and economic growth. It is based on the philosophy that good health, good education, and good jobs cannot come without a good, permanent home. The Mayor of Greater Manchester Andy Burnham said: “The £75m our councils are spending on these rents is just the tip of the iceberg. It doesn’t include the cost of finding that housing, let alone the human toll of living in such an insecure situation. “Our reliance on temporary accommodation has left thousands of families in a limbo that is blighting their life chances and damaging their health and wellbeing. Living in a hostel or B&B makes it harder to cook healthy meals, do homework, hold down a job, see friends and family or visit a doctor when you need to. “Our Housing First Unit will work to make sure that everyone in Greater Manchester has a home that is safe, secure and sustainable. Giving everyone a good, safe home would be one of the best investments the country could make and would take pressure off other public services and public finances.” Demand for social housing in Greater Manchester outstrips supply by 260 per cent. In 2022/23, there were 13,551 social lettings in Greater Manchester – half as many as ten years ago. There were 86,595 households vying for these properties, of which 35,177 were in a priority group for social housing The Mayor and Greater Manchester’s ten council leaders also approved a plan to work together to deliver better quality and better value temporary accommodation. The cost and demand for temporary accommodation has spiralled in recent years due to a lack of social and affordable housing and the high cost of private rentals. Local authorities must abide by strict rules around how they cover these rental costs and can only recover a fraction of what they spend from central government. In Greater Manchester, councils were only able to recover 42% of the £74.6 million they spent on temporary accommodation, creating an annual net loss of £43million. The GMCA will explore new ways of coordinating, delivering and preventing the need for temporary accommodation. It will also draw lessons from current best practice across the city-region, such as Manchester City Council, which has been able to buck the national trend, reducing the number of households in temporary accommodation and all but eradicating the use of Bed and Breakfasts. Portfolio Lead for Housing First, City Mayor of Salford Paul Dennett, said: “The spiralling cost of temporary accommodation represents an existential threat to local government. Following 14 years of previous Government-driven austerity, we’ve seen councils up and down the country going bankrupt, with temporary accommodation placing an ever-bigger burden on their budgets. “In recent years, the lack of social and council housing has massively increased landlords’ bargaining power, leaving our residents struggling to secure a place to call home. That market pressure has also made it harder for councils to negotiate rates and secure temporary accommodation. Without urgent and radical action, annual financial losses for local authorities will just keep growing, putting further pressure on overstretched budgets, continuing to push councils into bankruptcy. “There is no quick fix for this housing crisis which has been 40 years in the making. The Right to Buy has led to chronic under-supply of social and council housing. We’ve lost 24,000 homes to Right to Buy in the past two decades and not enough new homes are being built to replace them. Rising land values, an inability currently to capture land-value uplift in the National Planning Policy Framework, ongoing land assembly challenges, and skills and experiences shortages are also making it harder to build truly affordable housing. “We welcome the progress the new Government is making, including the introduction of the Renters’ Rights Bill, which will end no fault eviction and recent changes to the Compulsory Purchase Regulations to tackle issues with ‘hope value’ and the implications for the viability of developments. “Through regional collaboration and with the support of central Government, we can work to deliver Greater Manchester’s vision of Housing First and collectively work to mitigate the worst effects of the housing crisis. “By taking a collaborative, co-ordinated and evidence-based approach, we hope to realise economies of scale and deliver temporary accommodation that is better value for money, while reducing the need for temporary accommodation by significantly increasing & accelerating the supply of Truly Affordable Net Zero homes. “A good home is the cornerstone of a healthy, happy life for our residents. By working together, we can improve the standard of temporary accommodation and make sure they are consistent across Greater Manchester.” Building, Design & Construction Magazine | The Choice of Industry Professionals
A2Dominion has published its Annual Report & Accounts for 2023/24, recording a turnover of £399.6 million (up by 2.7%) and an operating surplus of £48.7 million (up by 12.2%). The housing association recorded an overall deficit of £21.0 million (2023: £12.8 million deficit) for 2023/24, which includes net interest charges and a reported downward movement in the valuation of investment property totaling £14.5 million. The result reflects the Group’s decision, outlined in its new Corporate Strategy, to refocus finances on improvements to services and customers’ homes, as well as investing in building safety work. The last year saw a continued increase in investment in maintaining and improving properties to ensure customers’ homes are safe and comply with new regulations (£96.8m – 2023: £86.1m). The Group will also be investing approximately £612 million in customers’ homes over the next five years, in line with its 2030 vision to provide homes people love to live in. The Group’s end-of-year performance has also been impacted by impairments on schemes in development and the costs of aborting potential developments as the Group continues to assess schemes’ feasibility. This reflects the Group’s new approach to property development, which focuses on regeneration and redevelopment of existing homes and neighbourhoods, and moves away from its previous emphasis on private sale homes via its FABRICA by A2Dominion brand. In addition, the 38,000-home housing association decided to write-off the costs of a legacy IT programme and introduce a new approach to improving systems for customers and colleagues to drive service improvements and efficiencies that will be more cost effective in the medium term. The change in direction for the London and South-East association is one of several initiatives that is helping to underpin work to improve its services and outcomes for customers, as well as return to a compliant regulatory grading after its regulatory downgrade in January 2024. The Group continues to review its cost base with several initiatives put in place to reduce costs and improve income generation. Operating costs increased by 8.6% (2023: 17.1%) and continued to be affected by the rise in inflation including higher utilities and insurance costs of £4.8 million, with increases in: the costs of housing management including decants (£9.8m); leasehold (by £6.1m) and service charge (by £4.7m). Repairs costs increased by £7.7 million, driven by higher inflation, increased volumes of repairs and the cost of transitioning to a new joint venture repairs partnership. In commercial activities, the Group’s end-of-year results were impacted by the planned reduction of its sales and development programme. Construction costs and delays also increased with some schemes rolling into 2024/25, leading to impairments on some current schemes (£12.6m). A2Dominion’s balance sheet remains strong, with a Fitch A credit rating, more than £3.5bn of fixed assets and investments, and a reserves position of over £1bn. With significant liquidity and a strong asset base, the Group has been taking the tough calls now to reset the business to ensure it is well prepared to meet the significant challenges faced across the wider housing sector in years to come so that we can do more to support customers and alleviate housing needs. Ian Wardle, Chief Executive Officer of the A2Dominion Group, said: “Over the last year we’ve been open and transparent about the need to improve outcomes for our customers, all while dealing with the pressures of financial and regulatory change to the housing sector as a whole. “Since I arrived at A2Dominion in 2022, the Board has been clear we needed to simplify the organisation and return to the roots and beating heart of a housing association, moving away from being a residential property group. “This means we have had to take some tough calls to reset and pivot the organisation. These difficult decisions are being taken for the right reasons to support service improvement, adjust our development focus and write off some historic costs that we don’t believe will deliver what we need for customers and colleagues. “Our strategic priorities outlined in this report look set to help achieve value for money, working first and foremost with – and listening to – customers, as well as other stakeholders to prioritise investment in our core services and communities. “Although the Group’s profitability continued to come under pressure from economic constraints, we’ve already taken action to reduce costs and improve income generation. But there is still work to do. “Our underlying financial strength and potential is strong, and we will return to profitability as part of the improvements we are making.” Building, Design & Construction Magazine | The Choice of Industry Professionals
