Affordable housebuilder, Orbit Homes, has appointed Ray Winney as its new Regional Managing Director for the East. Ray takes up the position after four years as Construction Director with Orbit Homes and succeeds Andy Doylend following his retirement. Ray brings with him over 20 years of experience in the construction
The Real Estate Data Foundation is a not-for-profit initiative bringing together the whole sector around the topic of data and to raise data ethics up the agenda and we are delighted that The Property Ombudsman is supporting this collaborative alliance. But what is ‘data ethics’, why should you care and
Millions of UK landlords will be adversely affected by proposed reforms designed to protect tenants against eviction from rental properties, a leading solicitor warns. The Renters Reform Bill will abolish the Section 21 notice which allows a landlord to evict tenants at the end of a fixed term without good
The Crown Estate is launching two pilot housing projects to test different approaches to building net zero homes. The projects have been identified to explore the opportunities and challenges of delivering industry-leading net zero housing developments. Both will draw on best practice in sustainable design and construction and encourage innovation
Research from property developer, Stripe Property Group, has shown that the Government needs to deliver an average of 67,500 new homes a quarter by the end of next year if they have any hope of delivering the one million new homes promised by the end of Parliament. Last week, the
This Monday saw Glenigan, one of the construction industry’s leading insight experts, release the August 2023 edition of its Construction Index. The Index focuses on the three months to the end of July 2023, covering all underlying projects with a total value of £100m or less (unless otherwise indicated, with
WISE LIVING has backed predictions that Single Family Housing Build-to-Rent (SFH BTR) real estate investment will continue to grow. Based on Wise Living’s own involvement with 50% of the UK’s existing SFH BTR stock, the experts agree with the JLL 2023 Investor Survey’s strong SFH BTR growth forecasts. However, Paul Staley, managing director of
London Councils has responded to the government’s announcement on building new homes and the Secretary of State’s speech on reforming the planning system and regenerating urban areas. Cllr Darren Rodwell, London Councils’ Executive Member for Regeneration, Housing & Planning, said: “Boroughs are ready and willing to help deliver the homes
Commenting on the Government’s announcement of an expansion of permitted development rights, Cllr Shaun Davies, Chair of the Local Government Association said; “There is no doubt that we need more homes as well as to reinvigorate our high streets and town centres. However, premises such as offices, barns, and shops
The latest research from digital property pack provider, Moverly, has revealed that cooling market conditions and the higher cost of borrowing have resulted in one property market silver lining, as the number of homes returning to the market following a scuppered sale have reduced by 60% when compared to the
Affordable housebuilder, Orbit Homes, has appointed Ray Winney as its new Regional Managing Director for the East. Ray takes up the position after four years as Construction Director with Orbit Homes and succeeds Andy Doylend following his retirement. Ray brings with him over 20 years of experience in the construction and housebuilding sector and will play a key role in continuing to drive Orbit Homes’ land acquisition, construction, HS&E, sales and marketing, and customer care in the region. Commenting on his appointment, Ray said: “I first joined Orbit Homes as I believed in its strong social purpose and commitment to delivering affordable, high-quality, sustainable new homes. I am looking forward to working with the team to continue to deliver on these values together, grow the business and have a positive impact across the region for our customers, communities, and colleagues.” Helen Moore, Group Director at Orbit Homes, added: “I am delighted to confirm Ray’s appointment as our new Regional Managing Director for the East. Ray has been instrumental in taking the business forward in his role as Construction Director and is a real asset to the team. “I would also like to thank Andy for his service over the last four years. Orbit Homes in the East has gone from strength-to-strength under his leadership, becoming the strong business and team we have today. I wish him all the best in his retirement.” Orbit Homes has recently unveiled a brand-new range of sector-leading house designs, all of which have been matched against the Royal Society for the Prevention of Accident’s (RoSPA) Safer by Design framework and include the introduction of new safety standards and Orbit Homes’ inclusive design specification. Orbit Homes currently has nine thriving new communities underway in East Anglia, comprising a range of affordable two-, three- and four-bedroom homes, including some rarely available brand-new bungalows. The homes are available to purchase either as market sale or shared ownership and the rented homes are for Orbit Group’s housing portfolio. To find out more about the properties on offer at your nearest Orbit Homes development, please visit: www.orbithomes.org.uk. Building, Design & Construction Magazine | The Choice of Industry Professionals
The Real Estate Data Foundation is a not-for-profit initiative bringing together the whole sector around the topic of data and to raise data ethics up the agenda and we are delighted that The Property Ombudsman is supporting this collaborative alliance. But what is ‘data ethics’, why should you care and what should you do about it? What is data ethics Ethics is important in all corners of real estate, but as the volume of data that we collect and use grows, it is important to make sure that we apply ethical thinking to this. Having the technology to collect data and being allowed to under law is not enough – we need to consider whether we should be collecting and using the data. Ethics is all about asking ‘should we?’ If buildings of the future are about the user’s happiness, health or productivity we can collect huge amounts of data on all of this – but should we? Where does the risk outweigh the benefit? Before COVID, the idea of having your temperature taken to assess your health to be allowed to enter a building seemed inconceivable, yet for a while it became the norm. At what point should we stop collecting and using this data? A more extreme example may be the decision about placing cameras inside buildings. This can allow all sorts of data to be collected and used to improve the experience for the resident, but there is a high risk that residents will resist it – and complain about it, as happened recently when North Ayrshire Council used Facial Recognition Technology in its school canteens. But what if the cameras are used to assist the elderly to continue living on their own by providing an automatic alert system for any falls or health problems? As long as data was suitably anonymised and secure and residents were fully aware of what was being collected and why, then this may feel like a more acceptable use case. Whatever your views on the examples above, we can see that the ethical use of data is not black and white which is why the real estate sector needs to be on the front foot. Why it matters Data ethics in real estate matters for 3 reasons: What to do about it The ethical use of data is complex and subjective, but the good news is that it is easy to take significant steps towards making sure that you are using data in an ethical way. The RED Foundation has developed 6 data ethical principles that we ask both people and companies to sign up to. Sign up to these today and build them into any decisions you make relating to data and you are well on the road to addressing it. For those who wish to take a step further, we have published a Data Ethics Playbook which builds on these principles and provides practical guidance on how to build data ethics into your thinking. Written on behalf of the RED Foundation by: Building, Design & Construction Magazine | The Choice of Industry Professionals
Millions of UK landlords will be adversely affected by proposed reforms designed to protect tenants against eviction from rental properties, a leading solicitor warns. The Renters Reform Bill will abolish the Section 21 notice which allows a landlord to evict tenants at the end of a fixed term without good reason. The changes to the law – designed to protect the UK’s 11 million tenants and provide them with safer, fairer and higher quality homes – will bring in greater restrictions on landlords whose reasons for wanting to evict their tenants do not meet a certain criteria. The Bill is currently going through Parliament and is expected to become law next year. Kristy Ainge is Solicitor-Advocate in the Litigation Team at Coventry and Warwickshire based Brindley Twist Tafft & James (BTTJ). She said the new laws were designed to crack down on no-fault evictions. “The main change is that a landlord cannot ask a tenant to leave if, for example, they want to move a friend into their property, or if for any reason they just don’t like them,” Kristy said. “The only way they can evict their tenants who are “not at fault”, is if they want to live there themselves, or move an immediate family member in, or if they want to sell the property. Even then, it will not be a quick process, because, if a landlord wishes to move into the property themselves, they cannot serve notice within the first 6 months of the tenancy. The changes will also allow tenancies to roll month by month meaning landlords who previously were entitled to six or 12 months’ tenancies will now be periodic and determined by the frequency that rent is paid. This gives tenants much more flexibility and removes the security for landlords knowing they have a tenant in situ for 6/12 months. The reforms will give more rights to tenants who want to keep pets too. Under current legislation a blanket ban on all pets is allowed. Most landlords take advantage of the ban for fear of potential damage caused by the animals to the property. Under new proposals, still to be discussed, a tenant has the right to request to keep a pet and the landlord will have no right to refuse the request without good reason. However, they may ask their tenant to cover pet insurance and home insurance to cover any damage. Tenants who fall behind with the rent or who are causing anti-social behaviour are not protected by the laws and may still be evicted by their landlord in the usual way under the section 8 notice regime. Kristy said: “The new reforms will give tenants more protection but restricts what landlords can do with their own properties. “There are expected to be some exceptions such as private student lets, though this is yet to be confirmed.” For further advice contact BTTJ at https://www.bttj.com/contact-us/
The Crown Estate is launching two pilot housing projects to test different approaches to building net zero homes. The projects have been identified to explore the opportunities and challenges of delivering industry-leading net zero housing developments. Both will draw on best practice in sustainable design and construction and encourage innovation to minimise operational and embodied carbon. The two projects are: The aim is to explore how new homes can be delivered using less than 300kg/m2 of embodied carbon alongside meeting ambitious energy efficiency targets. The Crown Estate is seeking partners for the pilot projects and will look to test different models for project delivery, including through incentives for achieving environmental and financial outcomes. Partners will be expected to follow market leading guidance and embrace circular economy and regenerative principles in their proposals. At Knutsford, there is an additional challenge of delivering low carbon road infrastructure. The Crown Estate will look to apply lessons learned from these demonstration projects to their larger scale projects – and information will be made publicly available to inform best practice within the wider industry. Rob Chesworth, Head of Regional Residential at The Crown Estate, said: “Tackling housing supply and climate change are critical issues facing the UK. At The Crown Estate, we want to see how best we can be part of the solution by looking at the way we address these challenges through our Regional portfolio. By being bold and pushing existing industry standards through these pilot projects and sharing our learning, we hope to demonstrate that high quality, net zero carbon homes are deliverable at scale and can form the cornerstone of vibrant, sustainable communities. “We want to work with aligned SMEs and entrepreneurs who are putting innovation and sustainability at the forefront of housebuilding and community-focused development to raise industry standards and galvanise momentum to meet the sector’s decarbonisation challenge.” The projects represent an evolution in The Crown Estate’s regional strategy, as it seeks to leverage its national land and property portfolio to support regional economic growth, contribute towards housing supply and enhance its returns to the Treasury. Over the next decade, it will look to invest significantly in regeneration, delivering new, mixed-tenure residential communities and world-class locations for businesses to prosper. Building, Design & Construction Magazine | The Choice of Industry Professionals
Research from property developer, Stripe Property Group, has shown that the Government needs to deliver an average of 67,500 new homes a quarter by the end of next year if they have any hope of delivering the one million new homes promised by the end of Parliament. Last week, the Government revealed it was setting its sights on brownfield building in order to address the UK housing crisis and deliver the one million new homes promised over this Parliament. However, the analysis of new dwellings data by Stripe Property Group has revealed that in order to do so, they would need to deliver almost 68,000 new homes a quarter, a task they haven’t managed once during their time in power. Stripe Property Group analysed new dwellings delivery since the current Government took charge in December 2019 (after the 2019 general election) which shows that, in approximately three years and six months, just 594,805 new homes have been delivered across England. The best quarterly performance was seen during the final quarter of 2020 when just 51,370 new homes were delivered. With just a year and a half left for the Government to reach its target (by the next election which is scheduled to be held no later than Jan 2025), a further 405,195 new homes are required to hit the one million threshold by the end of Dec 2024. This means that, including Q3 of this year, the Government would need to deliver 67,532 new homes over the next six quarters to fulfil their promise – a task that looks extremely unlikely given their historic performance. Managing Director of Stripe Property Group, James Forrester, commented: “The Government is notoriously poor at keeping its promises when it comes to housing delivery and time and time again we’ve seen targets set, only for them to fall by the wayside further down the line. At the same time, local councils are making it harder and harder for housebuilders to comply with the masses of red tape, all of which increases the prices for the end user. Given the fact that less than 600,000 new homes have been delivered in the last three and a half years or so, we can’t imagine that the target of one million new homes by the end of next year will come to fruition either. So we can expect to hear more excuses from Rishi Sunak and co come the end of Parliament, as well as more smoke and mirrors around the delivery of new housing, no doubt fudging the figures with new additional dwellings data to make it appear as though they’ve delivered on their word.” Data tables Data tables and sources can be viewed online, here. Building, Design & Construction Magazine | The Choice of Industry Professionals
This Monday saw Glenigan, one of the construction industry’s leading insight experts, release the August 2023 edition of its Construction Index. The Index focuses on the three months to the end of July 2023, covering all underlying projects with a total value of £100m or less (unless otherwise indicated, with all figures seasonally adjusted). It’s a report which provides a detailed and comprehensive analysis of year-on-year construction data, giving built environment professionals a unique insight into sector performance over the last 12 months. Already well into Q.3, construction start performance continues to fall, tracking a consistent, downward trajectory which has persisted for over a year. Work commencing on-site dropped a modest 1% against the preceding three months to July, finishing 33% lower than 2022 figures. Although a less severe fall than the past few months, these scores are still poor, with higher inflation, fluctuating interest rates and labour shortages to blame. Looking forward, performance in the remainder of H.2 2023 will potentially be hindered by the recently enforced Parts F and L as well as the introduction of even tighter fire safety regulations. However, similar to the picture painted in the July Index, residential construction proved a rare bright spot in an otherwise gloomy industry landscape, with starts experiencing an upturn over the preceding three months. This was largely due to a spike in the private residential sub-vertical. Commenting on the findings, Glenigan’s Economic Director, Allan Wilen, says, “The disappointment continues as the market remains depressed, and given the unusual economic circumstances, this is hardly surprising. Uncertainty has stalled activity and many investors, public and private, are reluctant to commit to new projects. Furthermore, 12 to 18 months out from a General Election, it’s likely the incumbent Government will adopt a more cautious approach, particularly to big infrastructure, in the lead-up. This will further slow activity in the short term. “On the other hand, it was encouraging to see that private residential construction continues to rally, suggesting developers are altering their plans after a drop in starts during H.1 2023. The Home Office’s easing of visa restrictions for construction trades may also improve staff recruitment and help lift activity further in the second half of the year.” Taking a closer look at the sector verticals and UK regions… Sector Analysis – Residential Residential construction experienced an uptick, rising by a fifth (+21%) during the three months to the end of July, but remained 26% lower than a year ago. Private housing, in particular, enjoyed a growth spurt, with starts increasing 40% during the Index period. However, this improvement was still not enough to balance-out a 26% drop on 2022 levels. Social housing performance was weak, 25% down on the preceding three months and falling back 21% on 2022 levels. Sector Analysis – Non-Residential Performance across almost all non-residential verticals was weak. Falling 23% during the previous three months and down 38% on a year ago. The health sector showed some signs of life, growing 23% against the preceding three months but remaining 25% lower than 2022. Retail project-starts remained flat against the preceding three months to stand 40% down on the year before. Offices and Industrial project-starts experienced a particularly poor period, both tumbling 50% and 51% compared 2022 levels, respectively and also falling 35% and 24% against the previous three months. Hotel & Leisure experienced a weak period, with work starting on-site declining 22% against the preceding three months to stand 41% down on the previous year. Education and Community & Amenity also crashed, dropping 34% and 36% against the preceding three months, to stand 7% and 40% down on the previous year, respectively. The decline in civils work continues, with starts on-site dropping 25% against the preceding three months to stand 46% down on a year ago. Infrastructure starts dropped 8% during the Index period, down 45% on the previous year’s figures. Utilities starts also declined 43% during the three months to the end of July, finishing 49% down on a year ago. Regional Analysis Regional performance was poor, with project-starts weakening UK-wide during the three months to July. The South West and East Midlands recorded a modest increase, rising 9% and 3% on the preceding three months, respectively, but slipping back 32% and 37% on 2022 levels. Likewise, starts in the East of England rose 4% in the Index period, yet fell 31% compared to last year. Wales experienced the heaviest fall, finishing 43% down on a year ago, and 30% against the previous three months. The North East also posted dismal results, decreasing 26% compared to the previous three months, declining 44% on 2022. Project-starts in the South East also experienced falls against both the preceding three months (-7%) and previous year (-32%). Yorkshire & the Humber and London weakened against the preceding three months, falling back 4% and 15%, respectively. Both regions were down on the previous year, remaining 35% and 30% lower than a year ago. This was also the case in the West Midlands, the North West, and Scotland, which all crashed compared to both the preceding three months and the previous year. To find out more about Glenigan and its construction intelligence services click here. 2023 sees Glenigan celebrate its 50th anniversary, commemorating half a century of delivering the highest-quality construction market intelligence. To find out more about its services and expertise click here. Building, Design & Construction Magazine | The Choice of Industry Professionals
WISE LIVING has backed predictions that Single Family Housing Build-to-Rent (SFH BTR) real estate investment will continue to grow. Based on Wise Living’s own involvement with 50% of the UK’s existing SFH BTR stock, the experts agree with the JLL 2023 Investor Survey’s strong SFH BTR growth forecasts. However, Paul Staley, managing director of Wise Living, queries the relatively low confidence expressed by real estate investors – with JLL reporting just 20% of those asked expecting SFH to provide the greatest opportunities over the next five years. Paul, said: “It is surprising that only 20% of real estate investors surveyed by JLL expect SFH to provide the greatest opportunities over the next five years. For me, the changes in the BTR space have been undeniable over the past decade, and increasingly we are seeing SFH being spoken about in its own right, and for good reason. “This talk has translated into real results, with the number of deals agreed in the UK’s Single Family housing market in Q1 2023 valued at £450m, surpassing the full-year 2022 investment total of £330m, according to the Knight Frank Single Family Housing Report. “The question now is can this be sustained and will it continue? My answers is yes. Our existing work and current development pipeline points to a flourishing SFH sector. Suburban family rental homes are replacing home ownership and with many private landlords exiting the industry due to economic pressures, institutional investment opportunity is only growing.” Wise Living has seen a 93% increase on new SFH BTR tenancies starting in 2022 compared with 2021, with 2023 set to surpass this figure. The business has also reported strong occupancy rates of over 98% and low arrears of 0.6%, which points to the success of the model as a reliable investment option going forward. Paul, continued: “The opportunity now lies in the hands of institutional investors. To truly unlock this sector’s potential, a forward-looking and long-term perspective is needed. As the industry continues to flourish, we are working with investors to align their investment strategies with this momentum.” For more information about Wise Living, visit: www.wiselivinghomes.co.uk Building, Design & Construction Magazine | The Choice of Industry Professionals
London Councils has responded to the government’s announcement on building new homes and the Secretary of State’s speech on reforming the planning system and regenerating urban areas. Cllr Darren Rodwell, London Councils’ Executive Member for Regeneration, Housing & Planning, said: “Boroughs are ready and willing to help deliver the homes our communities need, but this requires more local powers and resources for housebuilding. “Despite massive challenges, boroughs are working hard to accelerate housebuilding and have made solid progress in recent years. London saw more council-built homes started in 2022 than any year since the 1970s. “There are at least 143,000 potential new homes we could begin building immediately in London if the funding was in place, and we would welcome the prospect of enhanced government support for housing development and regeneration. We are calling for reform of Right to Buy receipts, increased grant allocations, and investment in new infrastructure so that we can truly turbocharge affordable housebuilding. “The chronic shortage of affordable housing is the critical factor behind London’s skyrocketing homelessness figures. The situation is utterly unsustainable. There are 166,000 homeless Londoners living in temporary accommodation, including on average at least one homeless child in every London classroom. “The focus must be on boosting delivery of affordable, high-quality homes. The government’s pledge to expand permitted development rights does not guarantee this will happen – in fact it brings serious risks. Boroughs must retain the ability to ensure housing is built to the right standards, in suitable locations, and with the necessary local infrastructure such as GP surgeries and transport connections.” Building, Design & Construction Magazine | The Choice of Industry Professionals
Commenting on the Government’s announcement of an expansion of permitted development rights, Cllr Shaun Davies, Chair of the Local Government Association said; “There is no doubt that we need more homes as well as to reinvigorate our high streets and town centres. However, premises such as offices, barns, and shops are not always suitable for housing. “Further expanding permitted development rights risks creating poor quality residential environments that negatively impact people’s health and wellbeing, as well as a lack of affordable housing or suitable infrastructure. “It is disappointing that the Government have ignored their own commissioned research that concluded that homes converted through a planning application process deliver higher quality homes than those converted via permitted development rights. The proposals are also at odds with their ambitions to give local communities greater control over developments where they live. “Building the homes the country needs should be delivered through a locally-led planning system, and in the right places supported by the right infrastructure. Only this ensures a mix of high-quality, affordable housing that meets the needs of local communities, while also giving those communities the opportunity to shape and define the area they live in.” Building, Design & Construction Magazine | The Choice of Industry Professionals
The latest research from digital property pack provider, Moverly, has revealed that cooling market conditions and the higher cost of borrowing have resulted in one property market silver lining, as the number of homes returning to the market following a scuppered sale have reduced by 60% when compared to the start of the year. Moverly analysed data on the current number of homes to have returned to the market following the collapse of a previously agreed sale and how this level of market instability has changed since the start of the year (July versus February 2023). The figures show that currently some 2,118 homes have returned to the market across England, -60% fewer when compared to the start of the year, with every region of the nation seeing a reduction. Yorkshire and the Humber has seen the largest reduction in the number of homes returning to the market, down -67% since the start of the year. The West Midlands (-63%) and North East (-63%) also rank within the top three in this respect. The South East is the region where the most homes are currently returning to market, accounting for almost a quarter (24%) of the national total. London also accounts for a considerable proportion of these homes (14%) along with the East of England (14%). In terms of the property type that is most likely to cause sellers to return to the drawing board, detached homes top the table, accounting for 38% of all homes returning to the market. Flats are the second most common (26%), followed by semi-detached homes (22%). Moverly co-founder Ed Molyneux, commented: “The current property landscape is far from desirable, with increasing interest rates pushing up mortgage costs and deterring many buyers and existing homeowners from making their move. In recent months, this has led to a reduction in market activity, with house prices also cooling due to declining buyer demand levels. However, one silver lining to these cooler market conditions is a fall in the number of homes returning to the market having previously agreed a sale. This demonstrates that those buyers who are moving forward with a purchase are doing so after a far greater degree of consideration than was shown during the erratic highs of the pandemic market boom. As a result, fewer transactions are collapsing due to the fact that buyers are in a proceedable position and aren’t being found out further down the line.” Data tables Data tables and sources can be viewed online, here. Building, Design & Construction Magazine | The Choice of Industry Professionals