South Gyle Trade Park offers investors asset management opportunities and an attractive income profile South Gyle Trade Park has been brought to the market by Lismore Real Estate Advisors for offers in excess of £12.8m, on behalf of abrdn. The quoting price reflects an attractive initial yield of 7.5%. This
Steve Muncaster and Rob Armstrong were appointed as Joint Administrators of Hounslow Property Development Limited on 28 September 2023. Alongside Steven and Rob, Kroll’s Real Estate Advisory Group will be supporting the insolvency process. Hounslow Property Development Company recently acquired an old Ministry of Defence site, Cavalry Barracks, near Heathrow
The future of twelve of the UK’s most historic buildings is to be secured with a £12.2 million investment from the National Lottery Heritage Fund. From Argyll and Cardiff to Belfast and Lowestoft the investment funding will breathe new life into historic spaces, which will be transformed into important assets
Commercial real estate firm CBRE is in talks to acquire leading asset management firm Sovereign Centros, according to reports. Sovereign Centros says it has 12.5 million sq ft of assets under its management, with an additional 4 million sq ft in the pipeline. Its current portfolio includes a number of
Screwfix is targeting 60 new store openings by the end of the financial year in the UK and Ireland, despite its parent company Kingfisher lowering its profit guidance for the 2023/24 financial year. The DIY retailer opened 12 new stores in the first six months of the year in the
American real estate group Realty is in has reached a deal with Ediston Property Investment Company to purchase its entire property estate for £200.8m. Ediston confirmed it had reached an agreement with RI UK 1 Limited, a subsidiary of Realty, over the sale of its 11 site-strong retail park estate.
Following a competitive tender process, Greater Manchester Pension Fund (GMPF) is pleased to announce that it will be appointing CBRE Ltd as the new investment advisor for its Greater Manchester Property Venture Fund (GMPVF). The Fund has an £840m investment allocation to local property development, focused on the North West
Kent-based Keaveney Plant Hire Ltd has added a state-of-the-art Suction Excavator to its fleet, thanks to financing from Paragon Bank. The plant hire specialist, based in Ashford, secured £450,000 from Paragon’s SME Lending Construction team to acquire the new asset, helping it to meet escalating business demands and expand its
Market analysis by debt advisory specialists, Sirius Property Finance, has found that while the volume of non-domestic rateable properties in England has crept up over the last year, there has been a marginal decline in their total rateable value. Sirius Property Finance analysed data on non-domestic properties – those not
The owner of Wagamama has said it is targeting between 200 and 220 restaurants in the long-term, up from its current estate of around 160 UK sites. The Restaurant Group said that strong returns from regional restaurants has given it confidence to accelerate its expansion plans, with the aim of
South Gyle Trade Park offers investors asset management opportunities and an attractive income profile South Gyle Trade Park has been brought to the market by Lismore Real Estate Advisors for offers in excess of £12.8m, on behalf of abrdn. The quoting price reflects an attractive initial yield of 7.5%. This rare and prime multi-let trade park investment is located within Edinburgh’s premier industrial location and offers an attractive income profile, as well as strong asset management opportunities to increase both income and capital value. Set on a site of 12.31 acres, the estate is split into four distinct components, with an overall floor area of 139,650 sq ft. This is set across eighteen terraced and solus trade counter units, three light industrial units and a single office building of 4,172 sq ft. The park also fulfils a “last-mile” function, given its critical location and excellent connectivity, being adjacent to key motorway infrastructure and Edinburgh’s arterial road network. Colin Finlayson, Director of Lismore Real Estate Advisors said: “This is a rare opportunity for investors to acquire a prime trade park asset, ideally placed in within the Edinburgh’s premier trade and light industrial location.” “South Gyle Trade Park offers a secure and well-diversified income profile, as well as significant opportunities to grow income through active asset management. “This asset has great potential and we anticipate strong interest from a wide range of investors.” The park offers an excellent and diverse mix of tenants, with good covenants, including Network Rail, Thistle Timber & Building Supplies, Wolseley, D&G Autocare, Geo Amey, Martin Plant Hire, Dofos and CityFibre. The contracted WAULT is 8.1 years to expiry and 7 years to the nearest breaks. South Gyle and its surrounding area comprise a mix of uses, including trade, light industrial, distribution, business, retail, leisure and residential. Nearby occupiers include G4S, UPS, Royal Mail, Wolseley, Screwfix, Halfords, Speedy Services, Virgin Media, RBS, Lloyds Banking Group, Tesco Bank and Aegon Asset Management. South Gyle Trade Park is situated both north and south of South Gyle Crescent, the principal arterial route through South Gyle Industrial Estate. Lismore Real Estate Advisors is the sole selling agent for South Gyle Trade Park. Building, Design & Construction Magazine | The Choice of Industry Professionals
Steve Muncaster and Rob Armstrong were appointed as Joint Administrators of Hounslow Property Development Limited on 28 September 2023. Alongside Steven and Rob, Kroll’s Real Estate Advisory Group will be supporting the insolvency process. Hounslow Property Development Company recently acquired an old Ministry of Defence site, Cavalry Barracks, near Heathrow with the view to build over 1,600 homes and 2,673 square meters of non-residential floorspace for community and commercial use. At nearly 37 acres, the former Ministry of Defence site is one of the largest remaining undeveloped brownfield sites in London. The original development plan was to refurbish in total 14 Grade II listed buildings and nine locally listed buildings were to be refurbished. Rob Armstrong, Joint Administrator, said “It is clearly a challenging time for companies operating in the real estate sector. We are assessing all the possible options related to this site and the Company as a whole.” Annika Kisby, Managing Director, Kroll’s Real Estate Advisory Group: “This site is one of London’s largest remaining brownfield sites. Cavalry Barracks provides a major opportunity and is significant for a wide range of stakeholders across the capital. Kroll’s real estate team is looking forward to bringing our range of skills to maximise the realisation of the asset.” Building, Design & Construction Magazine | The Choice of Industry Professionals
The future of twelve of the UK’s most historic buildings is to be secured with a £12.2 million investment from the National Lottery Heritage Fund. From Argyll and Cardiff to Belfast and Lowestoft the investment funding will breathe new life into historic spaces, which will be transformed into important assets at the heart of local communities. Five projects have received a combined total of £10.4m in grants and a further £1.8m has been awarded to seven organisations to develop their plans to revitalise heritage. Chief Executive of The National Lottery Heritage Fund, Eilish McGuinness, said: “Saving heritage is core to what we do, and we look forward to seeing these fantastic projects improving the condition and understanding of the important heritage they guard, reducing the amount of ‘heritage at risk’, and delivering transformational projects for communities across the UK.” The five projects receiving heritage grants are: Historic Ice House, Great Yarmouth (£1,968,061) Built between 1851 and 1892, the site was once used to house freshly caught seafood ahead of transportation to London’s Billingsgate fish market. Led by Out There Arts, the site will be brought back to life as a Centre of Excellence in Outdoor Circus and Arts. The Strand Arts Centre, Belfast (£768,069) Led by Belfast City Council and the Strand Arts Centre, Northern Ireland’s oldest cinema will be transformed with our funding. Visitors will step back in time for a ‘living museum’ experience of a pre-war cinema. Victorian market, Cardiff (£2,091,500) The Grade II* listed market in Cardiff’s Castle Cultural Quarter will be restored by Cardiff Council, revitalising its structure and reducing energy costs. The site opened in 1891 and stands on top of the infamous Cardiff Gaol and gallows site. St. John’s Church in Chatham, Kent (£2,318,287) This ‘at risk’ building is set to become a thriving, sustainable Gateway Community Hub. The project, which will also receive £1m from the future High Streets Fund via Medway Council, will revitalise heritage in Chatham for generations to come. Lowestoft Town Hall, Suffolk (£3,257,512) Vacant since 2015, Lowestoft Town Council will restore the Grade II listed building. It will establish a community venue to engage local people, improve residents’ lives and transform the town’s historic heart. The funding is helping organisations develop their projects. Seven more organisations have been awarded development funding to finalise plans for creating community hubs for engagement, education, creativity and wellbeing: • St Conan’s Kirk, Argyll, Scotland (£93,792) • St Collen’s Church, Llangollen, Wales (£94,886) • Alice Billings House, Stratford, Newham, London (£467,172) • Rock Hall Revival, Bolton (£466,662) • Woodoaks Farm, Rickmansworth, Hertfordshire (£201,392) • Ellesmere Yard, Shropshire (£409,993) • Napper Cottage, Guildford – England’s first Cottage Hospital (£58,700) Building, Design & Construction Magazine | The Choice of Industry Professionals
Commercial real estate firm CBRE is in talks to acquire leading asset management firm Sovereign Centros, according to reports. Sovereign Centros says it has 12.5 million sq ft of assets under its management, with an additional 4 million sq ft in the pipeline. Its current portfolio includes a number of shopping centre and retail park assets, including Gateshead’s Metrocentre, Merry Hill Shopping Centre in Dudley, and Basingstoke’s Festival Place. The firm also works with a number of global institutions, pension funds, and public bodies on various town centre projects with partners such as Blackstone, Morgan Stanley, Wells Fargo, and BNP Paribas. It also works with Tesco and Frasers Group. CBRE operates from over 500 offices in more than 100 countries, working across multiple facets of real estate, including investment, planning, design, and portfolio management. The firm was recently appointed as investment advisor for the Greater Manchester Property Venture Fund. Building, Design & Construction Magazine | The Choice of Industry Professionals
Screwfix is targeting 60 new store openings by the end of the financial year in the UK and Ireland, despite its parent company Kingfisher lowering its profit guidance for the 2023/24 financial year. The DIY retailer opened 12 new stores in the first six months of the year in the UK and Ireland, and is also eyeing further expansion into Europe. Kingfisher had also revealed that B&Q has expanded its trade-focused banner, TradePoint. The retailer opened 18 new counters in the first half of the year, extending its presence within B&Q’s estate to 207, over two-thirds of stores. This comes despite Kingfisher lowering its pre-tax profit guidance for the year from a previous estimation of £634m to £590m. During the first half of 2023, the group’s statutory pre-tax profit fell by 33.1% to £317 million. Despite an increase in like-for-like (LFL) sales in the UK and Ireland of 1.7%, the group saw poorer European performance in France and Poland, where LFL sales fell by 3.8% and 10.9% respectively. The group’s total sales increased by 1.1% to £6.88bn. Thierry Garnier, chief executive officer, said: “Our LFL sales in H1 were slightly ahead of expectations, against a backdrop of unseasonal weather and ongoing macroeconomic challenges in our markets. We saw good growth in our UK banners, with Screwfix gaining significant market share.” “Trading in the UK & Ireland continues to have positive momentum. However, to better reflect our performance in H1 and the trading environment in our markets, we have updated our profit guidance for this year and are proactively managing our operating costs accordingly. We remain very positive on the medium-to-long term outlook for home improvement growth in our markets, and confident in our ability to grow market share and deliver on our medium-term financial objectives”, he added. Building, Design & Construction Magazine | The Choice of Industry Professionals
American real estate group Realty is in has reached a deal with Ediston Property Investment Company to purchase its entire property estate for £200.8m. Ediston confirmed it had reached an agreement with RI UK 1 Limited, a subsidiary of Realty, over the sale of its 11 site-strong retail park estate. Eidston currently invest in retail parks in Stirling, Haddington, Sunderland, Widnes, Barnsley, Prestatyn, Hull, Wrexham, Glasgow, Daventry, and Rhyl. The group said its portfolio has a value of £208.4m with a contracted rental income of £16.5m. William Hill, chairman of Ediston, said: “The board was very pleased with the interest shown in the company, with proposals being received from a number of potential counterparties. Having considered multiple options, and after detailed analysis, the board determined a sale of the property portfolio to Realty Income was the best means of maximising shareholder value. “The board unanimously considers the disposal to be in the best interests of the company and its shareholders as a whole and recommends that shareholders vote in favour of the resolution at the general meeting.” The group’s general meeting will be held on 26 September. If the acquisition is accepted unconditionally, Ediston’s board will look to seek shareholder approval to voluntarily liquidate the company and distribute all of its assets – which would consist entirely of cash – to shareholders. It was recently reported that Florida-based Realty is eyeing the purchase of Inverness Shopping Park, the Kingston Centre in Milton Keynes, and Serpentine Green in Peterborough from British Land. Also included in the deal is a portfolio of six data centres and offices based in London, which are currently leased to Vodafone. The New York-listed company entered the UK property market in 2019 when it formed a joint partnership with British Land to take ownership of 12 Sainsbury’s supermarkets, in a deal worth £429m. It now has a British portfolio worth over £2bn, having invested in a number of supermarkets, DIY stores, and retail parks. Realty previously told its investors that it sees the UK as an attractive investment hotspot. Building, Design & Construction Magazine | The Choice of Industry Professionals
Following a competitive tender process, Greater Manchester Pension Fund (GMPF) is pleased to announce that it will be appointing CBRE Ltd as the new investment advisor for its Greater Manchester Property Venture Fund (GMPVF). The Fund has an £840m investment allocation to local property development, focused on the North West and West Yorkshire. The prestigious seven-year mandate will see CBRE provide strategic advice to the Fund to help it invest in direct and lending opportunities across the full range of commercial and residential property sectors, whilst meeting its other core investment objectives. These include generating income for the Fund whilst contributing positively to the economic growth and environment of the region through the generation of employment opportunities, improving long-term job prospects, advancing environmental and residential living standards, stimulating further investment, and regenerating urban areas. GMPVF has invested in property development across the North-West for over 30 years, both as a developer in its own right, and also by providing development debt and equity, alongside other developers in the region. Notable developments supported by GMPVF over recent years include: One St Peter’s Square, 8 First St, Airport City, Circle Square, Manchester New Square, Leonardo Hotel, Crusader Mill, Colliers Yard, Mailbox Stockport and Island Manchester. Colin Thomasson, Head of Northern Investment, CBRE commented: “We are honoured to have been appointed to service this significant mandate on behalf of the Greater Manchester Pension Fund. The investment potential across the north of England is exceptional and the scope of this investment programme will enable us to draw on the full power of the CBRE platform, bringing together experts from our Capital Markets, Asset Management, Development Advisory, Lending and Direct Investment Advisory teams to deliver significant value to the Fund over the next seven years. We are excited to build a powerful partnership with GMPF that will drive social, economic and community impact.” Will Church, Executive Director, Lending, CBRE added: “Our Lending team within Capital Advisors has originated and deployed over £1.6bn into debt investments across the North West and Yorkshire in the last 12 years, and manage some of the most successful Impact Funds in the UK. We consider GMPF’s ability and commitment to invest in schemes that benefit local communities to be fundamental to the ongoing success of the region and we are delighted to be able to build on our track record of delivering impact outcomes.” Councillor Gerald Cooney, Chair, GMPF added: “On behalf of the Fund, we would like to acknowledge the contribution made by the retiring manager, Avison Young (formerly GVA Grimley), in the successful expansion and deployment of the GMPVF allocation over the past 15 years. We now look forward to building a strong and effective partnership with CBRE to successfully deliver against our strategy and drive social, economic and community impact through our real estate investments across the north of England.” Building, Design & Construction Magazine | The Choice of Industry Professionals
Kent-based Keaveney Plant Hire Ltd has added a state-of-the-art Suction Excavator to its fleet, thanks to financing from Paragon Bank. The plant hire specialist, based in Ashford, secured £450,000 from Paragon’s SME Lending Construction team to acquire the new asset, helping it to meet escalating business demands and expand its service offering. The firm’s Managing Director, Andrew Keaveney, developed a strong rapport with Paragon’s SME Lending team having previously secured financing from the bank. Keaveney Plant Hire Ltd is a division of the wider family-run business founded in 2007, The Keaveney Group. It’s recognised as a key supplier in the industry and combines family values and innovative technology, resulting in a cost-effective service with strong client partnerships. The newly acquired ESE 6 RD RSP Suction Excavator is mounted on a Mercedes Benz Arocs 8x4x4 Chassis Cab with cutting-edge features, such as a fully hydraulic articulated hose carrier, and is the ideal solution for working at distances ranging from zero to six metres. Thanks to the support of Paragon’s Construction team, Keaveney Plant Hire Ltd can further commit to providing an array of equipment to its clients. Tracey Cronin, Business Development Manager in Paragon’s Construction team, led the deal on behalf of the bank. Commenting on the funding secured from Paragon, Andrew Keaveney said: “Thanks to the support from Paragon Bank’s SME Lending division we have secured the necessary financing to elevate our operations. The acquisition of the Suction Excavator enables us to meet the growing demand for this asset.” Commenting on the support provided to Keaveney Plant Hire Ltd, Tracey Cronin, Business Development Manager in Paragon’s Construction team, said: “We are thrilled to assist Keaveney Plant Hire Ltd in its journey of growth and fleet expansion. Our partnership withAndrew Keaveney andhis dedicated team has been further strengthened, and we take pride in continuing to provide financing solutions that drive its success.” Building, Design & Construction Magazine | The Choice of Industry Professionals
Market analysis by debt advisory specialists, Sirius Property Finance, has found that while the volume of non-domestic rateable properties in England has crept up over the last year, there has been a marginal decline in their total rateable value. Sirius Property Finance analysed data on non-domestic properties – those not used for living accommodations such as shops, offices and warehouses – looking at the rateable value of this commercial real estate in current market conditions. The rateable value is an estimate of what it could cost to rent a property for a year based on a set valuation date. The analysis shows that there are just over 2m non-domestic rateable properties located across England, with London home to the highest proportion (16%) with 319,300. This marks a marginal increase of 0.2% versus 2022, which may sound insignificant, but equates to an increase of 3,750 properties. In the current market, the rateable value estimated totals over £63.5bn, a marginal reduction of -0.1%, but again, one that equates to a drop of almost £77m. As a result, the average value per rateable property currently sits at £31,488 per year. Of the three primary non-domestic sectors, it’s the industrial sector that boasts the highest volume of commercial rateable properties (532,680), however, the retail sector sits top with a highest total rateable value of £15.9bn in 2023. This is despite both an annual reduction in the volume (-0.3%) and total value (-0.9%) of these properties when compared to last year. The office sector has also seen a year on year decline in both volumes (-1%) and total rateable value (-1%). In contrast, the number of industrial rateable properties is up 0.7% annually, with the total value of these properties also climbing by 1.1%. Managing Director of Sirius Property Finance, Nicholas Christofi, commented: “Overall, the rateable value of non-domestic properties across the nation has declined marginally over the last year, despite the challenging landscape facing the commercial sector. At the same time, volumes have also crept up, which suggests an underlying air of confidence within the commercial space. Of course, this marginal reduction in values still equates to a notable £77 million versus last year, which really demonstrates the sheer size of the sector in England. While retail remains the most valuable non-domestic core sector, it’s the industrial space that has gone against the wider grain to register an uplift in both volumes and rateable value.” Data tables Data tables and sources can be viewed online, here. Building, Design & Construction Magazine | The Choice of Industry Professionals
The owner of Wagamama has said it is targeting between 200 and 220 restaurants in the long-term, up from its current estate of around 160 UK sites. The Restaurant Group said that strong returns from regional restaurants has given it confidence to accelerate its expansion plans, with the aim of now opening between eight to 10 sites from the 2024 financial year onwards. This comes as the group, which also owns the Frankie & Benny’s chain and the Brunning & Price pub group, releases its interim results for the first half of the 2023 financial year. The group said it was also aiming to open between one to three “high quality” Brunning & Price pubs from the 2024 financial year onwards. During the 26 weeks ending 2 July 2023, the group’s total revenue increased by 10% to £467.4m, up from £423.4m the previous year. Whilst the group’s Wagamama, pubs, and concessions businesses had all seen year-on-year increases in like-for-like sales of 7%, 8%, and 29% respectively, its leisure business saw a fall in sales of 3%. The Restaurant Group said that despite more resilient trading in the third quarter, it has continued to rationalise its leisure estate. It now expects to reduce the size of this business to around 76 sites by the end of the financial year, down from 116 sites previous year. This would mean that the group’s two-year rationalisation programme would be delivered in 12 months. The group will hope to achieve this through: the exercising of lease expiries or break clauses on 14 sites; the sale of eight freehold sites; the conversion of three sites to Wagamama restaurants by the end of the 2024 financial year; and the acceleration of the disposal of between 12 and 17 sites through agreements with landlords or alternative tenants. The Restaurant Group expects to exit the vast majority of lease obligations on the circa 40 closed sites by the end of the 2024 financial year. Building, Design & Construction Magazine | The Choice of Industry Professionals
