Prologis UK, a leading investor, owner and developer of logistics property, has bought a highly sought-after Park Royal trophy asset, expanding its existing portfolio within the capital. The acquisition reinforces the company’s commitment to London and the South East, with the latest foreign direct investment taking Prologis’ Assets Under Management
Trowers & Hamlins is delighted to have acted for Malaysian developer Gamuda Land in relation to a £100 million joint venture with Singapore-based Q Investment Partners, to establish a platform for investment into the UK purpose built student accommodation (PBSA) sector. Alongside structuring and documenting the JV, we assisted with
Leading regional housing association Bromford has retained its A+ stable credit rating from S&P Global Ratings. S&P highlighted Bromford’s “solid management expertise”, “prudent cost planning and financial headroom”, and “very strong liquidity” as key factors in their decision to maintain the A+ stable rating. The agency carried out its latest
Chancerygate has sold two urban logistics in developments totalling 275,000 sq ft of Grade A accommodation to a private investor for an undisclosed sum. The developer has sold Vantage 41, which is located in Aston Clinton, near Aylesbury, and Broadway Central in Chadderton, near Oldham. Vantage 41 is a 165,000
“Labour’s housebuilding targets and planning reforms are welcomed, but pace, along with funding or incentives, will be needed to encourage SME developers to build on grey belt.” These insights come from Richard Nowell, Senior Relationship Director at Secure Trust Bank Real Estate Finance, a leading provider of finance for property development
Currys has announced a significant investment in its store portfolio, with 50 of the retailer’s stores set to undergo a revamp this year. The electronics retailer stated that a blended in-store and online omnichannel model remains crucial to its customers, with two-thirds using stores to make their purchases. Under the
Market insight from Material Information and digital property pack provider, Moverly, suggests that the proper implementation of Material Information across the estate agency sector could reduce the amount of lost or delayed commission due to fall throughs to the tune of £357.4m per year. Moverly looked at the number of fall
OakNorth, a digital bank tailored for entrepreneurs, has provided a £48.3m loan to Vabel, a London-based developer, for a new mixed-use project at 28-34 Queensway, West London. The project, set to complete by Q4 2025, will include 27 new homes, a 24-hour concierge service, landscaped communal gardens, and 251 sqm
On Tuesday 9 July, Cabinet members approved the proposed allocations for essential capital delivery, investment, and wellbeing projects for 2024-2026. The budget aims to address urgent and essential condition, health and safety, and service delivery issues within the Council’s portfolio of land and buildings, whilst facilitating a programme of refurbishments
The Frenchgate Centre in Doncaster, formerly known as the Arndale Centre, has been purchased by Frasers Group for an undisclosed sum. The shopping centre houses major brands such as Next, H&M, and TK Maxx, and is conveniently located near the main railway and bus stations. Frasers Group views this acquisition
Prologis UK, a leading investor, owner and developer of logistics property, has bought a highly sought-after Park Royal trophy asset, expanding its existing portfolio within the capital. The acquisition reinforces the company’s commitment to London and the South East, with the latest foreign direct investment taking Prologis’ Assets Under Management in the UK to $9.6bn (£7.4bn), of $199bn assets managed globally by the REIT. Located in the UK’s most sought after last touch market, Prologis Park Western Avenue is a highly prominent mixed-use logistics, industrial and retail park. Benefitting from exceptional transport links, the Park has an extensive frontage and direct access to the A40 dual carriageway, providing quick access to London’s inner orbital road, motorway network and the centre of the capital. Five underground stations are accessible within 15 minutes’ walking distance. Paul Weston, Regional Head of Prologis UK, said: “This acquisition is a significant milestone for Prologis. It reinforces our strategic investment commitments to the UK industrial and logistics market here in London, supporting the growth of our national economy. “Park Royal is the most successful logistics location in the capital. Through confident and swift work with everyone involved, we’ve secured a new park which will complement our existing portfolio, ensuring that we stay at the forefront of the UK’s logistics sector.” Totalling 288,523 sq ft across a contiguous site of 16.14 acres, the estate is currently leased to 21 customers. The acquisition increases Prologis’ presence at Park Royal, and features a mix of urban logistics and retail warehousing that will appeal to a broad range of customers. Kevin O’Connor, Senior Director at DTZ Investors said: “The asset was sold to fulfil the long term strategy of the Fund managed by DTZ Investors. This transaction reflects the continuing strength of demand for prime inner London Industrial estates required to serve the capital. The Fund acquired the West Five retail park in 2016, adding it to the existing Western Avenue Business Park holding and enhancing the overall attractiveness of the asset to potential investors.” The site offers potential for future redevelopment which could expand and increase density at the site, including data centres and logistics fulfilment centres. These plans could reinforce the digital and physical infrastructure needed to support London’s growth and be developed to Prologis’ high standards of quality and sustainability. Following the acquisition, two vacant units of 3,862 sq ft and 8,030 sq ft are immediately available. Prologis was represented by DTRE, DTZ Investors was represented by ACRE Capital Real Estate. Building, Design & Construction Magazine | The Choice of Industry Professionals
Trowers & Hamlins is delighted to have acted for Malaysian developer Gamuda Land in relation to a £100 million joint venture with Singapore-based Q Investment Partners, to establish a platform for investment into the UK purpose built student accommodation (PBSA) sector. Alongside structuring and documenting the JV, we assisted with the acquisition of the JV’s first asset, a site in Woolwich to develop a 299-bed PBSA scheme alongside Hurlington Capital. When complete, the project will be one of the first PBSA schemes within the Woolwich Royal Arsenal regeneration area. Jonathan Ding, Head of International Land Acquisitions from Gamuda Land commented: “We are delighted to have secured our first PBSA development project in London together with our joint venture partners, Q Investment Partners and Hurlington Capital. The Trowers team were dedicated to the project, showing expertise, tenacity and tact to bring a complex transaction to a successful closing.” Partners Geoff Allen and Tom Reynolds, who led the Trowers & Hamlins team between our Malaysia and London offices, commented: “It is fantastic and a privilege to have been able to support Gamuda Land as it continues to expand its UK real estate footprint across a range of asset classes. As the first international law firm to open an office in Malaysia many years ago, and having opened an office in Singapore earlier this year, our unique regional presence allows us to provide an enhanced offering to support the flow of capital from these two important markets into the UK. Supported by experts who have worked across our international and UK businesses for many years, this project also strengthens our long-standing track record of advising Malaysian developers and investors in relation to their UK real estate assets.” Specialist support was provided across our Malaysia, Singapore and London teams, in particular by Ian Dobinson, Sean Donovan-Smith (London), Abdulhaq Mohammed and William Barakat (Singapore) on corporate, financial services and structuring, Neil Biswas (London) on real estate, and Nicol Ong (Malaysia) on debt financing. Building, Design & Construction Magazine | The Choice of Industry Professionals
Leading regional housing association Bromford has retained its A+ stable credit rating from S&P Global Ratings. S&P highlighted Bromford’s “solid management expertise”, “prudent cost planning and financial headroom”, and “very strong liquidity” as key factors in their decision to maintain the A+ stable rating. The agency carried out its latest review of the Gloucestershire-based housing association earlier in July, examining the progress against its new strategy and business plan which sets out Bromford’s ambitions to build 11,000 new homes by 2032 and to invest £2 billion in maintaining and upgrading its existing homes, including improvements to make them more energy efficient. Bromford recently announced that it had entered into discussions with Flagship Housing Group to create one of the largest housing associations in the country, with 80,000 homes across the central belt of England and the capacity to build up to 2,000 new homes every year whilst maintaining a sector leading A+ / A2 credit rating platform. S&P Global have reviewed the combined organisation’s initial financial analysis and confirmed it continues to reflect an A+ rating, commenting: “Bromford’s currently strong financial indicators would mitigate pressure of the potential business combination, and hence we do not expect it to have an immediate impact on our rating on Bromford.” In the S&P report published yesterday, the agency pointed to the flexibility in Bromford’s robust financial plans around its investment in existing and new homes among the reasons for the housing association retaining its rating. The global ratings agency, said: “The affirmation of the A+ rating reflects our view that Bromford’s prudent cost planning and financial headroom, along with expected improvement in economic conditions, will support the group’s solid credit metrics.” The S&P report, added: “We view favourably Bromford’s flexibility over its investments in new and existing homes. With a proven track record, we expect the group to continue generating some cost efficiencies. This, along with the solid quality of the group’s existing assets, will provide Bromford the headroom to adjust costs, if needed.” Earlier in the year, the housing association held a dedicated workshop with the agency and a small group of its customers, who shared their experiences living in a Bromford home and discussed how this is taken into account by credit rating agencies. Bromford’s director of treasury Imran Mubeen said: “We’re delighted that S&P has recognised our performance over the past year by re-affirming our A+ rating with a stable outlook. The A+ stable rating is also testimony to the opportunity and capacity we can create through the proposed merger with Flagship, with £5 billion of new funding over the next 15 years delivering over 30,000 new, affordable, energy efficient homes perfectly curated within our existing financial framework and A+ rating envelope. We arrive here by design and through intent, with a full shadow credit analysis run on every iteration of the business plan we produce. This is particularly important at a time when we are seeing continued pressure in our sector and a migration to the weaker single A or BBB. “Throughout the rating process, we believe it’s important to showcase how we are delivering for our customers. It is also our responsibility to explain our business plan and treasury strategy to them. That’s why we were pleased to give S&P the opportunity to meet our customers during the year, allowing the agency to hear directly from customers about their lived experiences in their homes and their engagement with our broader services. “The confirmation of this rating, along with our A2 rating from Moody’s will support us when we return to the market to seek additional funds, helping us achieve our goals of tackling the housing crisis by building more homes, investing in our existing properties, and progressing towards net zero, all underpinned by sector leading funding deals.” Bromford has retained its rating after a year in which it has successfully unlocked its balance sheet capacity to deliver new funding through expanding its portfolio of revolving credit facilities to £450 million, securing new private placements with UK and US investors worth £100 million, and co-creating a new pathway to funding with Legal and General Investment Management worth £50 million. In June 2024, Bromford also completed a £200 million sustainability linked loan with key funding partner NatWest. Read the full report from S&P Global Ratings. Building, Design & Construction Magazine | The Choice of Industry Professionals
Chancerygate has sold two urban logistics in developments totalling 275,000 sq ft of Grade A accommodation to a private investor for an undisclosed sum. The developer has sold Vantage 41, which is located in Aston Clinton, near Aylesbury, and Broadway Central in Chadderton, near Oldham. Vantage 41 is a 165,000 sq ft development is located four miles east of Aylesbury, sitting directly off the A41 with excellent road connectivity to the M25 and M40. The scheme comprises 16 units ranging from 4,800 sq ft to 43,600 sq ft. Located in Chadderton, near Oldham, Broadway Central has eight unit totalling 110,000 sq ft. It comprises seven units across two terraces ranging from 7,600 sq ft to 18,200 sq ft and one stand-alone unit of 27,000 sq ft. The development s six miles north of Manchester city centre and a short drive away from the M60 and M62. It is part of the wider 121-acre mixed use Broadway Green, which is delivering 700,000 sq ft of employment space and 500 new homes. Both Vantage 41 and Broadway Central achieved BREEAM Very Good rating and all properties have a mixture of EPC A and B ratings. In addition, all units benefit from electric vehicle charging points and are constructed from high-performance building materials and 15 per cent roof lights to reduce CO2 emissions and occupational energy costs. Chancerygate senior development director, Matthew Connor, said: “These deals are testament to the hard work and expertise to develop Vantage 41 and Broadway Central and will help satisfy the strong demand for urban logistics accommodation in the respective regions. “The sales are also further evidence of our product’s sustainability credentials, flexible sizing and proximity to key infrastructure and transport hubs, which are attractive to both investors and occupiers.” Founded in 1995, Chancerygate is the UK’s largest urban logistics property developer and asset manager and the only one operating nationwide. The company currently has around 1.16m sq ft of urban logistics space under construction or ready for development across ten sites in the UK ranging from Edinburgh to Croydon. JLL advised Chancerygate on the sale of Vantage 41. For more information visit www.chancerygate.com Building, Design & Construction Magazine | The Choice of Industry Professionals
“Labour’s housebuilding targets and planning reforms are welcomed, but pace, along with funding or incentives, will be needed to encourage SME developers to build on grey belt.” These insights come from Richard Nowell, Senior Relationship Director at Secure Trust Bank Real Estate Finance, a leading provider of finance for property development and investment. He hails the government’s ambitions as positive but believes one of the five ‘golden rules’ for developing on grey belt land may lock SME housebuilders out of being able to regenerate these sites. The grey belt refers to brownfield sites such as disused car parks and wasteland within parts of protected green belt land. Specifically, Richard says the aim to ensure 50% of the homes built on grey belt land are affordable housing will make it extremely difficult for local and regional developers to justify developing on these plots. Richard said: “If I were to sum up the events since Labour won the election in three words, those would be ambitious, pace, and delivery. The reinstatement of housebuilding targets and intent to reform planning is ambitious from Rachel Reeves, and we now need pace from the Chancellor and our new Housing Secretary, Angela Rayner, to deliver on these plans. “One of the key challenges I see is enabling small-to-medium sized housebuilders to rejuvenate these sites which include old car parks and petrol stations on the borders of our countryside. The costs of development are already sky high, and to effectively demolish existing structures for redevelopment will be another significant outlay that impacts the viability of a scheme. To then have 50% of the properties as affordable housing will further impact the feasibility and profitability for small to medium sized housebuilders, which may ultimately restrict grey belt development solely to larger or national developers.” To overcome this, Richard believes funding and support are required from the government to subsidise construction costs for SME developers. He suggests that Labour’s ‘Freedom to Buy’ scheme, which sees the government act as a guarantor, needs to get off the ground as soon as possible to keep the property market moving. “Funding and support will, I suspect, be required. This is especially the case for smaller enterprises which have lost substantial time and money from not being able to get their projects off the ground because of ever-trickier planning processes. Meanwhile, more people must be able to realise that dream of being homeowners so that the market stays buoyant. For that to happen, first time buyers also need help. The Freedom to Buy mortgage guarantee scheme is a great initiative, and we trust that details will soon be coming out soon about how this will be implemented. “At Secure Trust Bank Real Estate Finance, we have years of experience working on grey belt schemes. One recent scheme saw us provide a £2m property development loan to Larkvale Homes, which turned an old, disused petrol station into a development that now houses nine luxury homes in the village of Cockfield in Suffolk. As property finance specialists, we stand ready to support developers with their real estate projects, and this wider movement from the government.” For more about Secure Trust Bank Real Estate Finance and its residential development finance products and solutions, please click here. Building, Design & Construction Magazine | The Choice of Industry Professionals
Currys has announced a significant investment in its store portfolio, with 50 of the retailer’s stores set to undergo a revamp this year. The electronics retailer stated that a blended in-store and online omnichannel model remains crucial to its customers, with two-thirds using stores to make their purchases. Under the new changes, the stores will introduce new categories and seasonal showcases, as well as an enhanced focus on revitalising entrance spaces. New categories will include health and beauty, pet technology, portable power, and fitness – which the retailer said aligns with current consumer trends. Seasonal ranges will encompass categories such as BBQs and gardening equipment in summer, back-to-school tech and supplies in autumn, and new gifting ranges and services in winter. Currys’ investment in its ‘megastores’ has already commenced, with its branches in Swindon, Merry Hill, Brentford, and Solihull recently relaunching. The retailer – which operates 301 stores in the UK and Ireland – recently announced that it would be reimagining the layouts of 65 of its medium-sized stores. Overall, this brings the total number of stores that Currys plans to transform this year to 115. Matthew Speight, Director of Stores at Currys, said: “The investment in these 50 megastores builds on what we’ve already achieved this year so far, and I can’t wait to hear the feedback from inside and outside of the business on the new categories and seasonal items. “I continue to be blown away by the incredible teams around the business who work tirelessly to make such milestones a reality for our customers. Yet again, kudos to the colleagues – let’s keep building on the UK’s leading omnichannel retailer position and pushing to provide a best-in-class, easy-to-shop experience for our amazing customers.” Building, Design & Construction Magazine | The Choice of Industry Professionals
Market insight from Material Information and digital property pack provider, Moverly, suggests that the proper implementation of Material Information across the estate agency sector could reduce the amount of lost or delayed commission due to fall throughs to the tune of £357.4m per year. Moverly looked at the number of fall throughs that take place across the property market on a quarterly basis, as well as the total amount of estate agent fees either lost or delayed as a result of these sellers having to return to square one. According to TwentyCI, 64,865 sales fell through across the UK market during the first quarter of this year alone. With estate agents earning £3,975 on the sale of the average home in the current market*, that’s a total of £257.9m in commission either lost, or at best delayed, until a new buyer is found. The figures from Moverly show that in 2023 alone, almost £1,1bn was lost or delayed in commission due to the number of fall throughs across the UK market. While fall throughs are unfortunately inevitable, there are steps that can be taken to minimise the potential of a sale collapsing. One such step is the proper provision of Material and Upfront Information early in the process. This provides agents, vendors, buyers and conveyancers alike, with better insight to the potential issues posed when purchasing a property and the opportunity to resolve issues earlier. Figures from Moverly show that not only does the provision of Upfront Information allow for transactions to complete up to 70% quicker, but it also reduces the chances of a sale collapsing by a third. If estate agents across the UK were to embrace Material and Upfront Information fully, this could have reduced the fees lost or delayed during the first quarter of 2024 by £85.9m. Over the course of 2023, reducing fall throughs by a third would have also seen agents benefit to the tune of £357.4m in fees that weren’t lost or delayed as a result of transactions collapsing. Gemma Young, Moverly CEO, says: “With the introduction of NTSELAT guidelines, agents now have a concrete framework to work towards with respect to Material Information. This provides them with a firm foundation upon which they can drive sector standards forward, whilst, at the same time, reducing the propensity for transactions to fall through Moverly’s mission is to support agents to deliver Material and Upfront Information with greater ease and without adding to their already substantial workload. In turn, Moverly works to connect the key stakeholders in the property transaction to the vital information which helps other stakeholders to progress towards exchange and completion. In embracing this, agents will not only be able to offer quicker transaction times to their sellers, this in turn will also reduce the amount of commission that is either lost or delayed as a result of fall throughs.” Data tables Building, Design & Construction Magazine | The Choice of Industry Professionals
OakNorth, a digital bank tailored for entrepreneurs, has provided a £48.3m loan to Vabel, a London-based developer, for a new mixed-use project at 28-34 Queensway, West London. The project, set to complete by Q4 2025, will include 27 new homes, a 24-hour concierge service, landscaped communal gardens, and 251 sqm of ground-level retail space. Vabel, founded by Daniel Baliti and Jeremy Spencer, aims to revolutionise the quality of new build homes through an integrated approach that combines in-house architecture, interior design, project management, and construction. The company employs approximately 40 professionals who collaborate within this innovative model. Vabel’s projects are distinguished by their focus on sustainable construction. They utilise renewable technologies such as LED lighting, aerated taps, heat recovery ventilation systems, solar panels, and thermally efficient glazing. Their upcoming Blackheath development will feature a ground source heat pump system, and they aim to recycle building materials and retain existing building fabric whenever possible. Co-founders Jeremy Spencer and Daniel Baliti expressed their excitement about the Queensway project: “We are thrilled to contribute to the area’s evolution through exceptional architecture and homes. Queensway is re-energising as a vibrant community, and we’re proud to be part of this transformation. This is our largest project to date, and we appreciate OakNorth’s support and understanding of the London real estate market.” Deepesh Thakrar, Senior Director of Debt Finance at OakNorth, added: “Vabel has a proven track record of successful projects across London, even during challenging market conditions. Their integrated operational model and responsible development approach stood out to us. We’re delighted to support their growth and bring new homes to a revitalised central London area.” Building, Design & Construction Magazine | The Choice of Industry Professionals
On Tuesday 9 July, Cabinet members approved the proposed allocations for essential capital delivery, investment, and wellbeing projects for 2024-2026. The budget aims to address urgent and essential condition, health and safety, and service delivery issues within the Council’s portfolio of land and buildings, whilst facilitating a programme of refurbishments and remodelling and in some cases rationalisation to ensure that council owned operational buildings can remain fit for use and make essential savings where necessary. The programme of works will address the modernisation of key council buildings and enable more local based services to operate from them. This Investment will cover many areas across the councils current building stock, undertaking urgent condition and health and safety works to ensure that public spaces remain safe for use and within legislation, and that the council can continue to serve their local communities across Kirklees. Some of the upcoming works include venues such as Oakwell Hall, Tolson Museum, The Walsh Building in Dewsbury, Huddersfield Upperhead Row Bus Station car park. Now this item has been approved the council will look to develop, design and where necessary procure the delivery of this programme of works for the next financial year. David Shepherd, Executive Director of Place, Kirklees Council, said: ‘’The council is committed to making sure its portfolio of buildings is safe, secure, and sustainable for the future. Providing appropriate spaces for service delivery and community activities. ‘’We have a large portfolio of buildings, which have come into our ownership over many years and over time the services we deliver and the needs of the communities we deliver them for have changed. By continually reviewing our properties, investing in those that continue to meet our needs and looking at a more appropriate future for those that do not, we can make sure we are making the best use of our resources for the benefit of Kirklees.’’ For more information please contact chelsey.warvill@kirklees.gov.uk Building, Design & Construction Magazine | The Choice of Industry Professionals
The Frenchgate Centre in Doncaster, formerly known as the Arndale Centre, has been purchased by Frasers Group for an undisclosed sum. The shopping centre houses major brands such as Next, H&M, and TK Maxx, and is conveniently located near the main railway and bus stations. Frasers Group views this acquisition as a testament to their confidence in the future of physical retail. Michael Murray, CEO of Frasers Group, stated that acquiring the Frenchgate Centre underscores the company’s commitment to investing in brick-and-mortar stores. The group intends to use the space to expand their current Sports Direct store and to introduce other brands they own, such as USC and Evans Cycles. The shopping centre, which opened in 1968, saw a significant extension in 2006, linking it to a new transport interchange. One of the largest stores in the expansion was a Debenhams, which closed in 2021. However, plans were approved last year to convert the space into a cinema. Building, Design & Construction Magazine | The Choice of Industry Professionals
