Commercial property and investment company Evolve Estates has acquired two prime town centre parades in the North Yorkshire seaside town of Scarborough. It has added to its burgeoning retail portfolio The Balmoral Centre, a 57,339 sq ft covered retail centre anchored by Wilko, and Bar House, on Aberdeen Walk, which
Site Sold For Proposed New Major Employment Scheme Keyland Developments Ltd, the property trading arm of Kelda Group and sister-company to Yorkshire Water, has completed the sale of its Wakefield East site in West Yorkshire to Opus North and Bridges Fund Management for an undisclosed sum. A planning application for
GRAHAM has reported “strong and sustainable” financial growth in its latest published accounts for the financial year (up to 31st March 2022) as revenue reached £948m. This marks a £141.9m (17.6%) increase in the leading contractor’s turnover from the 2021 reporting period (2021 – £808.1m). In the same period, profit
Deal gives OSiT 100% ownership of portfolio and supports ambitions to grow value to £1billion by 2029 Leading London office provider Office Space in Town (OSiT) has today announced that it has successfully acquired Brightbay Real Estate Partners’ 80% share in their London Serviced Office portfolio. The joint venture between Brightbay
Leading independent property advisory firm, Lismore Real Estate Advisors today released its review of the Scottish investment market for the second quarter of 2022. Following a strong start to the year, Q2 has continued the momentum with transactional trading of circa £612m, up some 104% on Q2 2021. Activity for
Roma has extended the product ranges available on RomaFLOW and introduced electronic signatures to the process… Roma Finance has enhanced the RomaFLOW process following its unwavering success, resulting in a loan book that has doubled in size since the launch. The enhancements are being made with no increase to rates
Legal & General Investment Management (LGIM Real Assets) has acquired a 6.2-acre freehold estate in Horsham, West Sussex on behalf of its Industrial Property Investment Fund (“IPIF”). LGIM Real Assets and its development partner, Graftongate, plan to speculatively develop a prime multi-unit industrial/logistics scheme on the site of Wilberforce House
141 apartments will be built over the next three years, 40% of which will be affordable housing Loan marks Puma Property Finance’s first deployment from its £300m funding line with Waterfall Asset Management Puma Property Finance (PPF) today announces it has provided funding to finance a £65m GDV, 26-storey residential
Unprecedented economic and social changes threaten profitability A new survey commissioned by OGL Group reveals that Covid, Brexit and the continued reliance on manual processes are the greatest factors affecting profitability for architecture, engineering and building sector wholesale businesses in 2022. The research focused on those companies that stock products
Cole Waterhouse and Tonia Investments have successfully purchased a 3.8 acre brownfield site in Leeds city centre having recently secured planning for 1012 apartments, over five separate blocks. Currently referred to as ‘Leeds City Village’, the triangular site sits opposite Leeds’ cultural district, Quarry Hill. Bound by Marsh Lane to
Commercial property and investment company Evolve Estates has acquired two prime town centre parades in the North Yorkshire seaside town of Scarborough. It has added to its burgeoning retail portfolio The Balmoral Centre, a 57,339 sq ft covered retail centre anchored by Wilko, and Bar House, on Aberdeen Walk, which has 17,602 sq ft of retail and leisure space over three floors. It acquired the parades for an undisclosed sum, taking this year’s retail acquisitions to more than £48m. Sebastian MacDonald-Hall, of Evolve Estates, said: “Scarborough is a beloved seaside resort and we’re pleased to have secured these well-known, popular parades, bringing them into our in-house portfolio. “We are committed to focusing our efforts on regional retail centres and neighbourhood parades where we can see there is incredible potential. The Balmoral Centre and Bar House provide us with significant opportunities to add significant value and we are already looking to identify how we can revitalise these centres further. We hope to make announcements on how we can achieve this over the next few months.” The Balmoral Centre, which Evolve bought as freehold, comprises seven retail units on ground floor, with five fronting Westborough. There are also two further units, plus a vacant night club located on the first floor and a gym located on the second floor. An NCP car park has space for 480 vehicles. Bar House comprises seven shops fronting Westborough and Aberdeen Walk, with vacant first and second floors, which used to be a nightclub. The agents for Evolve Estates were Prime Retail.
Site Sold For Proposed New Major Employment Scheme Keyland Developments Ltd, the property trading arm of Kelda Group and sister-company to Yorkshire Water, has completed the sale of its Wakefield East site in West Yorkshire to Opus North and Bridges Fund Management for an undisclosed sum. A planning application for the 31-acre employment scheme, now branded ‘City Fields’, was recently submitted by Keyland. The indicative layout proposes employment space totalling up to 500,000 sq ft, which could generate around 800 new jobs for the local area. The majority of the commercial site will benefit from Class B2, B8 and E(g) consent for urban logistics, as well as industrial accommodation in a varied range of unit sizes, whilst also offering scope for the development of a trade counter scheme and associated pub/restaurant/drive-thru options. Previously part of the redundant Yorkshire Water Calder Vale treatment works, the site will now form a key strategic element of the overall City Fields development which, at 375-acres, will play a significant role in creating a new, important, and sustainable primary employment hub to the east of Wakefield. The site runs adjacent to the £33m Wakefield Eastern Relief Road (WERR) which opened in 2017. Regeneration of the broader City Fields community also includes the construction or (re)development of around 2,500 houses, a primary school, health facilities, district and neighbourhood centres. Appointed agents Avison Young and Knight Frank facilitated the sale of the land on behalf of Keyland with Square One Law acting as legal team. Carter Towler and Walker Morris advised the purchaser. Peter Garrett, Managing Director of Keyland Developments, said; “We are delighted that the sale has now completed and look forward to the planned development forming the main commercial element of this significant regional regeneration scheme.” Ryan Unsworth, Development Director of Opus North, said; “The acquisition of this strategic site continues our strategy of sustained growth in the northern commercial sector. The surrounding area has witnessed a considerable surge in investment and regeneration and the development of this pivotal site will make a further significant economic contribution. We are looking to commence works on site in early 2023 with a targeted completion of the first units later that year. In addition to bringing about new jobs, the development will help ease the well documented shortages of high quality industrial/commercial accommodation in the region.” Guy Bowden, Partner at Bridges Fund Management partner, added: “The City Fields development will allow us to revitalise a previously redundant site and create over 800 new jobs for the surrounding area. Aiming to incorporate important sustainable features into the design, this development will both benefit occupiers and provide the wider Wakefield community with a high-quality commercial and industrial hub, contributing to the catalysing of local economic growth. We are looking forward to working with Opus North on delivering another successful project.” Iain McPhail, Partner at Knight Frank, said; “City Fields is an exciting new commercial opportunity which benefits from not only access to the region’s motorway network via the M1 and M62, but also to Wakefield town centre itself. The site is ideally positioned to capitalise on the significant demand in the current market for urban logistics and distribution as well as manufacturing and trade.” Rob Oliver, Principal at Avison Young, added; “‘Due to the range of plots across the development, we have considerable flexibility and are able to accommodate a wide range of unit sizes. We are already talking to a number of businesses, some already local and looking to relocate or expand, others would be new to the area. There is a severe lack of units available in the West Yorkshire area, particularly on the M62 corridor, and with continued occupational demand we are confident that the scheme will prove very successful. Occupiers are increasingly keen to occupy new premises which will meet their ESG agenda’s as well as staff wellness and retention in addition to presenting their brand positively, having lower operating costs and greater efficiency.”
GRAHAM has reported “strong and sustainable” financial growth in its latest published accounts for the financial year (up to 31st March 2022) as revenue reached £948m. This marks a £141.9m (17.6%) increase in the leading contractor’s turnover from the 2021 reporting period (2021 – £808.1m). In the same period, profit before tax was recorded at £19m – a 54% increase from 2021 (2021 – £12.33m) – while the corresponding profit before tax margin rose by half a percent to 2% (2021 – 1.5%). Cash at bank and in hand also increased to £127m (2020 – £118.9m). This figure has enabled GRAHAM to further improve its supplier payment statistics and to continue to invest in the training and development of its 2,200+ staff cohort. Each business unit, comprising of building, civil engineering, interior fit-out, facilities management and investment projects, remained profitable throughout this latest financial year. Looking forward, GRAHAM has also secured a record work pipeline of £1.9bn, expanding its portfolio of major projects across the UK and Ireland, and earning selection to a number of leading national frameworks. The strong financial performance has been achieved despite the very many challenges faced by the construction industry as a whole, not least the reorientation of market conditions resulting from the Covid-19 pandemic and rising inflationary pressures. Concerted efforts Commenting on the latest figures, Andrew Bill, GRAHAM Group Chief Executive Officer, emphasised the disciplined approach to work winning, the continued cultivation of long-term client relationships and the concerted efforts of the workforce as instrumental to the Group’s performance. He said: “GRAHAM is pleased with these latest published accounts, which demonstrate our commitment to strong and sustainable financial growth in the face of considerable economic challenges for the construction industry and wider society. We have adopted a pragmatic, sensible and selective approach to winning work, coupled with a focus on risk management. Real collaboration with our clients and partners, based on trust and transparency, has also been central to realising our Group objectives. It goes without saying that the immense efforts of our staff, supply chain and subcontractors, who continue to innovate and strive for excellence, is the platform that underpins our continued high performance.” For more information on GRAHAM, please visit: www.graham.co.uk
Deal gives OSiT 100% ownership of portfolio and supports ambitions to grow value to £1billion by 2029 Leading London office provider Office Space in Town (OSiT) has today announced that it has successfully acquired Brightbay Real Estate Partners’ 80% share in their London Serviced Office portfolio. The joint venture between Brightbay (previously RDI REIT P.L.C.) and OSiT was established in 2018. The portfolio is now owned fully by OSiT. The buyout marks a major milestone for the future trajectory of the business, unleashing OSiT’s plans to increase the portfolio value to £500m in the next four years and to £1billion by 2029. OSiT is actively seeking new buildings in prime London locations to purchase to meet rising demand for flexible workspace, as well as partners to support its ambitious growth plans. The deal follows a period of exponential growth for the sector following the COVID-19 pandemic, which has seen demand for flexible office space up 82% on pre-pandemic levels.[1] In fact, as workers return to offices, 41% of occupiers are expected to increase use of flexible workspace as part of a post-COVID work strategy.[2] In light of this, defining an industry-wide valuation standard for flexible offices remains a major priority for the company in the next six months, with talks ongoing between OSiT and leading academics Professor Neil Dunse and Professor Michael White. RDI REIT acquired an 80% stake in the portfolio of four central London OSiT assets in 2018 from Forum Partners, Kailong Group and OSiT. The deal marked a continued move by mainstream institutional investors into the flexible office market. OSiT was advised by lawyers at leading City law firm RPC, led by Tom Purton. Giles Fuchs, Chairman of Office Space in Town, said: “This deal marks the beginning of an incredibly exciting chapter in OSiT’s growth. This new phase will enable the OSiT team to deliver on our ambitious vision for the future, including our active search to acquire new buildings and plans to grow the portfolio value to £1billion. “Our partnership with Brightbay showcased just how much value and potential institutional investors see within our rapidly growing sector and in OSiT as a business. I would like to thank the entire team, including Stephen Oakenfull and Adrian Horsburgh, for such an exciting journey.” Simon Eastlake, Managing Director of Office Space in Town, commented: “Full ownership of the OSiT portfolio marks an important milestone that now sets us on track for a new phase of exciting growth. “We are actively seeking new buildings and partners that share our vision and enthusiasm for the sector. We’re incredibly excited about what the future holds next for OSiT.” Tom Purton, Head of Commercial Team at RPC, commented: “We were delighted to act for OSiT on what is a very significant and transformational deal for them. I have known and acted for OSiT for a number of years, but this was the first deal we have done for them since my move to City law firm, RPC in 2021. “OSiT is a great business, has a very strong management team, a unique culture which inspires huge loyalty amongst its workforce with market leading serviced offices. I have no doubt this deal will help take the business to the next level”.
Leading independent property advisory firm, Lismore Real Estate Advisors today released its review of the Scottish investment market for the second quarter of 2022. Following a strong start to the year, Q2 has continued the momentum with transactional trading of circa £612m, up some 104% on Q2 2021. Activity for the quarter was 56% above the five-year average, although the average is obviously skewed by a Covid hit Q2 2020. Excluding 2020, the Q2 2022 figure is 27% above the average. The standout deal of the quarter was HFD Property Group’s £215m sale (4.50% yield) of 177 Bothwell Street, Glasgow to Pontegadea, one of the biggest regional office deals ever concluded, with ESG credentials driving premium pricing. Other key transactions included the £30.2m sale of the Premier Inn, Sauchiehall Street, Glasgow, the £16m sale of 123-129 Buchanan Street, Glasgow and the sale of 124-125 Princes Street, Edinburgh for £15.8m. A number of significant deals, particularly in the PBSA market, are due to complete early in Q3 which should provide a pre-summer flurry before what could be a quiet summer as investors take stock of the macroeconomic environment. Pressure on pricing Pricing likely to come under pressure cross sector on assets which are not absolutely prime, particularly if they do not meet ESG credentials. This is further driven by increased cost of capital and more cautious decision making. UK pension funds and investment managers continue to seek secure long income defensive stock, particularly in the logistics and PBSA sectors. There remains a significant weight of capital from overseas investors, particularly from North America, the Middle East and Europe. UK based property companies continue to be acquisitive in the retail warehousing and industrial sectors, targeting the best locations with strong occupational dynamics where they can achieve optimum pricing/value. Colin Finlayson, Director of Lismore comments: “Cash remains king, asthe increasing cost of capital for debt backed investors is creating an advantage to cash investors – if they can move quickly then opportunities will arise in the second half of the year. “There remains a persistent strong demand for PBSA from sector specialists and funds, which is driving pricing. The Scottish BTR market continues apace in Glasgow and Edinburgh although build cost inflation is keeping the supply pipeline in check. “Aberdeen could see resurgence and be one of the winners over the next six months, with investors seeking out higher yielding stock to balance their portfolios. The Granite City may well begin turning heads, with a yield discount to prime central belt assets of circa 400-500bps. “After a strong Q1, caution in the market is leading driven by the war in Ukraine, rising inflation and more challenging debt conditions, has caused by investors to pause for breath.” Investors expect yields to soften for the remainder of the year Lismore investor research on the office market has shown that 61% of investors expect yields to soften over the next six months and it was noted that prime London yields have already begun to soften, with the regions traditionally lagging behind. Funds and investment managers were the most pessimistic with 100% of funds and 63% of investment managers anticipating yields cooling in the remainder of 2022. However, a quarter of investment manager expected yields to harden in the second half of the year. Property companies are more bullish with 64% expecting yields to stay the same. Lismore’s research findings showed that location was the key driver for occupational demand, accounting for 32% of responses, followed by total occupational costs by 26% and macroeconomic sentiment by 24% of respondents, with persistently high inflation and rising interest rates identified as key issues over the next six months. Post pandemic, 46% of respondents believe that the importance of the office has decreased, with investment managers being split 50/50 between the importance increasing and decreasing. For an expert view on the office market, Lismore spoke with Stephen Lewis, managing director, HFD Property Company, who said: “Investors’ considerations will mirror those of occupiers, especially for offices. The key factors are the flight to quality and ESG; however, well-being, connectivity and other attributes will also contribute to the selection of one building over another. “Our project at 177 Bothwell Street has delivered a range of market ‘firsts’, including the incorporation of Scotland’s first metro data centre, rooftop running track and drone landing pad. It’s about future-proofing and providing resilience.” “We are seeing all types of occupiers embarking on their own ESG journeys. Across our portfolio we are undertaking a significant decarbonisation project to improve energy efficiency, increasing the use of renewable energy and installing infrastructure to support electric vehicles. It’s important for us as a business, but more importantly, it’s something our occupiers are looking for. “Over the next 10 to 15 years, construction of modern workplaces will evolve and materials used will largely be driven by decarbonisation, both from an operational and embodied perspective. There are some myths to dispel around the choice of materials – it is possible to build a fully glazed building and still meet energy performance targets, however, it undoubtedly takes a lot of work. There’s also a need to balance both sides of the equation between operational and embodied carbon. “We can foresee is that there will an even greater focus on data and ‘smart tech’ in its broadest sense, including sensor networks to gather real-time information about how occupiers use buildings. “Looking forward, hybrid working is here to stay but we will see more changes as macro factors influence the way we work. What we haven’t been able to fully determine yet is the impact on the demand for office space. While overall occupational demand for space has reduced, it isn’t necessarily aligned to working from home with more space also being converted to alternative work environments. “Something that remains to be seen is how policies on remote working might change when the recession bites. During economic downturn, the need to maximise productivity, innovation and collaboration is never higher, and I suspect that will
Roma has extended the product ranges available on RomaFLOW and introduced electronic signatures to the process… Roma Finance has enhanced the RomaFLOW process following its unwavering success, resulting in a loan book that has doubled in size since the launch. The enhancements are being made with no increase to rates since the Bank of England base rate increase. Rates with Roma start at 0.59%. RomaFLOW, which already significantly speeds up the bridging and auction application to completion process, will now be available on light refurbishment products too. In addition, Roma is introducing electronic signatures to speed up the process even further. The streamlined processing channel has fewer stages, reduced documentation and enhanced technology to help move cases smoothly to offer and completion. RomaFLOW ensures 80% of bridging cases are completed in under 28 days. Roma requires just three things from brokers on submission and will use cutting edge technology to do the rest, while maintaining the expectations of a dedicated underwriter, case processor and that intelligent touch. On straightforward cases, solicitors will be instructed within 24 hours. Steve Smith, sales director at Roma, said: “ We announced that speed was back with RomaFLOW in September 2021. We’ve worked really hard to maintain this improved process for straightforward cases and continue to enhance it. We know that brokers love Roma for our lending less ordinary approach but speed continues to be a major factor in the bridging market. We love to lend and are delighted we can now offer an enhanced RomaFLOW and also on more products. “Brokers don’t need to do anything different. Just send in the case and, unless it’s particularly complex, we’ll put it into RomaFLOW and provide brokers and borrowers with much quicker turnaround times.”
Legal & General Investment Management (LGIM Real Assets) has acquired a 6.2-acre freehold estate in Horsham, West Sussex on behalf of its Industrial Property Investment Fund (“IPIF”). LGIM Real Assets and its development partner, Graftongate, plan to speculatively develop a prime multi-unit industrial/logistics scheme on the site of Wilberforce House in Southwater, south of Horsham town centre. The proposed scheme would see the development of seven new warehouse units totaling almost 100,000 sq ft, including integral office space. The scheme will target EPC A+, BREEAM Excellent and operational net zero carbon. Wilberforce House is currently let in its entirety to the RSPCA, which is relocating to smaller premises. LGIM Real Assets and Graftongate plan to develop the scheme on receipt of vacant possession in Q1 2023. Jonathan Holland, senior fund manager for LGIM Real Assets, said: “The purchase presents an excellent opportunity to acquire a development site to provide Grade A industrial stock in a supply constrained market and a sector where occupational demand is booming, and rental growth is set to follow. On expiry of the lease, this will be one of the most strategic development sites in West Sussex.” Alex Thomason, development manager at Graftongate, said: “The redevelopment of the Wilberforce House estate offers an excellent opportunity to deliver high quality industrial/logistics accommodation in an established commercial location. The property occupies a prime position on Wilberforce Way and benefits from excellent transport links, being easily accessible via the A24 dual carriageway. We expect the scheme to generate significant interest from prospective occupiers.” Savills and Clay Street acted on behalf of LGIM Real Assets and Graftongate, the vendor was represented by Carter Jonas.
141 apartments will be built over the next three years, 40% of which will be affordable housing Loan marks Puma Property Finance’s first deployment from its £300m funding line with Waterfall Asset Management Puma Property Finance (PPF) today announces it has provided funding to finance a £65m GDV, 26-storey residential apartment block in Stonebridge Park, North West London. The development will create 141 apartments over the next three years, of which 56 will be affordable housing. The project is being developed by a joint venture featuring Latimer Developments, the development arm of the UK’s largest provider of social housing, Clarion Housing Group, together with developers Londonewcastle and Cervidae, and aims to address the acute housing shortage in the capital. The development will transform currently derelict office site and is part of the wider regeneration of the Stonebridge Park area. The apartments are being developed with sustainability credentials front of mind, including a zero-carbon target and enhancing biodiversity through new habitat creation. Kevin Davidson, Managing Director, who led the deal for Puma Property Finance, comments: “We’re delighted to support this development and to be working alongside such prestigious and experienced residential developers and social housing provider parties. Demand for new affordable housing with high sustainability credentials remains high; we hope this development will help not only to address the ongoing shortage of properties, but also to deliver genuine social value as cost of living increases continue to bite while rents across the capital rise. Working with established partners in the industry, it should be an exciting three years as the development takes shape.” “I would like to thank our valued professional partners on the deal, Hollis (Project Monitors), Charles Russell Speechlys (Lawyers) and Savills (Valuation) for all their support in closing this important transaction.” David Barnett, CEO of Londonewcastle comments: “Argenta House is an incredibly exciting project for us in a key regeneration area of Brent. The planning permission that we have secured is unique within the London market and will deliver over 141 private and affordable homes adding to the already dynamic transformation of North West London. We and our JV partners have enjoyed working with Puma to secure the funding for the development and we have been impressed with their pragmatic, can-do attitude. We look forward to working with them in the future and seeing this project come to life in the built environment.” Richard Cook, Group Development Director of Clarion Housing Group, said: “We are delighted to enter into this exciting joint venture with Londonewcastle and funders Cervidae to deliver a sustainable residential scheme which will kickstart the wider regeneration of the Stonebridge Park area. “We are passionate about providing homes for those who need them most and last year we built nearly 2,000 affordable homes across the country. This scheme will provide vital affordable homes for local people in area of acute housing need.” Alex Hamilton, CFO of Cervidae comments: “Puma’s new funding line offers us the flexibility and deliverability to be confident of a successful financing and a positive relationship throughout the loan. We are pleased to continue our relationship with Puma.” Puma Property Finance offers capital and expertise to experienced property professionals across all sectors and locations. In addition to financing residential and commercial developments, Puma Property Finance has a strong track record funding essential social infrastructure from care homes to retirement living and student accommodation. The alternative lender offers fixed rate loans, providing long-term certainty amid rising interest rates. The development also marks Puma Property Finance’s first loan from its funding line with Waterfall Asset Management – a £300 million facility secured earlier this year. The funding is attractively priced, allowing Puma Property Finance to provide increasingly competitive rates to prospective borrowers.
Unprecedented economic and social changes threaten profitability A new survey commissioned by OGL Group reveals that Covid, Brexit and the continued reliance on manual processes are the greatest factors affecting profitability for architecture, engineering and building sector wholesale businesses in 2022. The research focused on those companies that stock products that support these sectors, from handheld laser distance meters, architect scales, power tools, ladders to trolleys, and provide equipment including welding machines, workwear and safety equipment, to providers and commercial businesses. The market size of the architectural industry is £6.5 billion in revenue in 2022, with the UK construction sector contributing more than £110 billion per annum and nearly 7% of GDP. The engineering and building sector is one of the UK’s broadest with 5.5 million people working in those industries, accounting for 18% of all UK employment. With the rapid increase in the need for housing, there is continued demand for architecture, engineering and building services, made more prominent by the return to work after 2020’s extended lockdown period. Both the Covid pandemic and Brexit have hit supply chains hard. Exacerbated by stock management pressures, architectural, engineering and business wholesale firms are citing top technology priorities for the next 12 – 24 months as business performance reporting 50%, linking ERP with eCommerce 33%, website creation/update 33% and order management software 33%. Insecurity around Brexit is affecting profitability at 58%, but this is now being overshadowed by Covid as the top factor at 67%. The pandemic has led to supply chain shortages with some architecture, engineering and building sector businesses stockpiling products and parts to ensure delivery to clients. Manual processes are still plaguing businesses, leaving them behind the curve with regards to digital transformation, since 75% cited them as a problem that can lead to potential loss of revenue, and inability to correctly assess performance and sales. Entering another potentially uncertain economic period with continuing supply-chain issues, the Ukraine-Russia war, cost of living and fuel price rises, wholesalers’ efforts to increase profitability are critical. Technology is at the heart of this. 92% of respondents agreed that automating business processes helps their companies stay competitive, up from 70% of engineering companies pre-pandemic. A key finding of the research was the wide spread of technologies used and the disparate nature of systems that are not necessarily “talking to each other” to provide a full view of operations. Wholesale businesses use a range of software systems to function: more than 95% of respondents use one or more software systems to run their business. Finbarr Creeney confirmed that his firm, Express Cutting & Welding Services, replaced accounting software, manual processes, inventory/stock control, and sales order/enquiry management with an integrated ERP system. 67% of respondents saw benefits from integrating disparate systems. 58% listing the main reason to use a single system as removing duplication of work across different departments, followed by 58% citing reduced administration time. 50% stated a single system helped achieve growth plans and future proofed their business, while 33% cited enhanced customer service and efficiencies by improved accuracy of information. Single systems are beneficial for online stores, where stock checks and reporting ensure that customers have a good understanding of delivery timescales and product availability. Survey respondents confirmed that eCommerce has grown exponentially, with 83% stating that being able to sell products online easily is really important to them. As the pandemic accelerated digital transformation, cloud computing continues to be a driver for change, with 83% of industry respondents agreeing that hosting applications and data in the cloud have improved efficiencies and productivity (or would improve them if cloud were implemented). Despite the benefits of cloud, concerns about security remain, though have reduced marginally from 55% in 2019 to 50% in 2022. This reflects the growing acceptance of moving core applications and data to the cloud. Critically ERP systems are a key technology with 92% agreeing that ERP systems give greater visibility and control of stock. ERP refers to a suite of integrated software that businesses use to manage day-to-day business activities, such as sales order management, stock control, warehouse management, CRM and more. One survey respondent comments on implementing a single ERP system: “Since installing an ERP system, the integration has led to far better customer service and efficiency. We can now store customer details and contacts centrally; raise orders based on sales and re-stock to min, max or optimum. This has transformed our stock and also improves customer service by cutting down lead times. Something that became apparent during the pandemic was that during times of reduced staff levels, we were still able to cope in an efficient manner because of the automation built into our ERP system.” The main barriers to deploying an integrated software solution were cost, with 58% citing it as a factor, followed by 50% with data security and 33% finding a solution that’s right for their business via a reputable provider. Cost is often associated with the misconception that ERP systems are only for larger businesses, and the lack of information about affordable subscription-based models. Charlie Grant, Head of Operational Product Development, OGL Software commented: “The business model for architecture, engineering and building firms has evolved quickly, with our 2022 survey identifying several changes, including the pandemic and stock availability, that impact profitability; the drop in concerns about security of cloud computing, and the growing realisation that ERP systems are not solely for large enterprises. Digital transformation has no doubt saved many businesses that have pivoted to online sales and it’s heartening to reveal that 92% agreed that ERP systems provide greater visibility and control of stock, especially as part of a multichannel sales strategy.” NB: survey conducted in March 2022 and any comparison is to the same questions in September 2019. Respondents were given a number of options for each question.
Cole Waterhouse and Tonia Investments have successfully purchased a 3.8 acre brownfield site in Leeds city centre having recently secured planning for 1012 apartments, over five separate blocks. Currently referred to as ‘Leeds City Village’, the triangular site sits opposite Leeds’ cultural district, Quarry Hill. Bound by Marsh Lane to the west and Shannon Street to the north. It was formerly home to the Marsh Lane Goods Yard. The joint venture sees Cole Waterhouse and Tonia Investments working in partnership for the first time. Speaking about plans for the development, Damian Flood, CEO at Cole Waterhouse, commented: “We seek to build developments where placemaking is central to the design to help deliver places that are desirable destinations as well as great places to live.” Commenting on the acquisition, JV partner Tonia Investment Principal Charlie Qian said: “Tonia is excited to work with Cole Waterhouse. We hope the delivery of this impressive scheme will add to the continued expansion of the City Eastwards. It will provide an acre of new public realm that we hope will complement the success of the neighbouring cultural quarter.” The JV partnership now aim to progress the scheme with Leeds City Council. They plan to make a series of design changes to enhance the residential offering and public realm space. The revisions to the submitted planning application will ensure that the development meets occupiers’ expectations now and in the future; proposed changes include adjusting the balance of studio apartments for larger 1-bed apartments as well as providing a sharper focus on the communal areas and the overall scheme design. Enhancements to the public realm will seek to address functional improvements that enable better use of outdoor spaces for entertainment, exercise and leisure. Damian Flood said: “Understanding the area’s culture and the community’s future ambitions is crucial and we will be appointing a local cultural lead to help us shape the scheme to ensure it meets the aspirations of local residents. This community-first approach has been hugely successful for us at other schemes, helping to really connect and engage with the local market from the earliest stage of the development. “We’re really excited to be working in Leeds at a time when it is undergoing a significant period of transformation and we will be appointing a primarily Yorkshire-based team to deliver the project over the next 6 years. We will be submitting the revised planning application by the end of 2022 with the intention to start on site as soon as planning is granted.” Cole Waterhouse has a strong track record in the residential and BTR sector and has a current pipeline to deliver over 2000 residential units across its sites in Leeds, Birmingham and Manchester. Building Design and Construction Magazine | The Home of Construction & Property News
