IPF Midlands Matters - Investment Property Forum

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IPF Midlands Matters
CGI OF PARADISE SQUARE VIEWED FROM PARADISE STREET, BIRMINGHAM
THE IPF MIDLANDS REGION NEWSLETTER
ISSUE NO. 3
INSIDE THIS ISSUE:
2 What the IPF is currently doing?
3 IPF Midlands Board changes
4 Focus on East Midlands
6 What is the IPF?
8 Snapshot of events
10 Membership update
11 IPF Research Programme update
12 “In conversation” with Gary Taylor
•
WINTER 2014
HOLD THE DATE!
IPF MIDLANDS LUNCH 1 MAY 2015
What the IPF is
currently doing?
IPF Midlands
Board changes
Focus on
East Midlands
What is
the IPF?
Snapshot
of events
JAMES CUBITT CHAIRMAN
I am delighted to take over the Chairmanship at such an exciting time for the
organisation and the Midlands region as a whole. The investment property
sector in the region has seen a resurgence in recent times and I am keen to
ensure that the IPF makes the most of the opportunities and challenges that
this upturn presents by attracting new membership and dealing with current
and topical issues.
I hope you will find this edition newsworthy. I am delighted to affirm that the Midlands IPF is in good
shape and I should like to introduce you to some recent changes to the Midlands Board. Earlier in
the year, we strengthened the East Midlands representation when we welcomed Matt Hannah of
Innes England to the Board. Matt has settled in quickly and is already making a great contribution. I
hope you enjoy his article on the East Midlands market in this edition. Sadly, we had to say goodbye
to Kitty Patmore who, as a result of a career move to London, felt that she could not continue to
make the commitment in the Midlands that she wished, particularly given her role on the IPF’s
Operations Board in London. However, I am pleased to report that Damian Lloyd at GVA in
Birmingham has accepted an invitation and further strengthens our market-facing and transactional
representation on the Board.
What the IPF is currently doing?
National events – dates for your diary
IPF National Annual Lunch
30 January 2015, London Hilton on Park Lane
IPF Scotland Annual Seminar and Dinner
September 2015, date and venue TBC
IPF Midlands Annual Lunch
1 May 2015, ICC, Birmingham
IPF Midlands Annual Dinner
15 October 2015, ICC, Birmingham
IPF National Annual Dinner
24 June 2015, The Grosvenor, Park Lane
IPD/IPF UK Property Investment Conference
19-20 November 2015, The Grand Hotel, Brighton
“In conversation
with”
IPF Research
Programme update
Membership
update
IPF MAIN BOARD
After nearly 10 years as a
director of the IPF, Andrew
Brazier stood down from the
the Management Board (now
the Strategic Advisory Group)
at the Annual General Meeting
in June.
He commented, “It has been
a rich and rewarding period
and it seems to have flown by.
I will continue in my capacity as a Midlands Board
member for the foreseeable future, as well as completing
the task of overseeing the creation of a new web-based
platform for the organisation. My thanks have to go to
the London executive for the support it has provided
throughout my time on the Board. I have made many
great friends through the Board over this period and I
shall hope to continue these friendships in future.”
2 IPF Midlands Matters
MEET YOUR NATIONAL
CHAIRMAN – MAX SINCLAIR
Max has been with Wells Fargo since August 2013,
having previously been with Eurohypo for 20 years.
He has been involved in Real
Estate finance for 30 years and
is a founder member of the
Association of Property Bankers
(now Association of Property
Lenders (APL)) where he was a
committee member.
He has been on the IPF
Management Board (now split
into the Strategic Advisory
Group and the Operational
Board) since June 2010. In Autumn 2010, Max became
the founder Chairman of the Property Banking Forum
(now Real Estate Lending Forum (RELF), a joint APL/IPF
initiative).
Max is a regular attendee at the Bank of England
Commercial Property Forum.
What the IPF is
currently doing?
IPF Midlands Board changes
We are also delighted to welcome
Matthew Hannah to the Midlands
Board. Matthew brings a wealth of
experience in commercial property investment and
will bolster our presence in the East Midlands
alongside David Smith and Darren Williamson.
Matthew has worked in the East Midlands for over
20 years, having previously qualified and made
Associate Partner at Knight Frank in London.
Matthew is an equity shareholder at Innes England
and has particular expertise in the retail, motor,
roadside and leisure area.
Damian has worked at GVA in Birmingham for the
past 14 years. Prior to that he was with Drivers
Jonas and James & Lister Lea.
His name has been linked with some of the largest
investment transactions in the region, including the
sale of Mailbox in Birmingham and the John Lewis
distribution facility in Redditch.
As well as a former football and rugby coach,
manager and referee with his children’s junior
sports teams, Matthew is a keen sporting
participant himself. He cycles, including an
appearance in the Tour de Nottingham, and enjoys
every form of boating. He can be found at most
Nottingham Rugby home games supporting the
Green and Whites.
Snapshot
of events
When he’s not at his desk, he has a busy family life
defusing the daily energy of three young boys.
When time allows, Damian is a keen hill walker.
His spiritual home (and that of his Parsons Terrier)
is on the various ridges of the Black Mountains,
enjoying some of the more challenging conditions
on offer.
What is
the IPF?
We are delighted to welcome
Damian Lloyd of GVA in
Birmingham to the Midlands Board.
Focus on
East Midlands
NEW MIDLANDS
BOARD MEMBER –
MATT HANNAH
IPF Midlands
Board changes
NEW MIDLANDS
BOARD MEMBER –
DAMIAN LLOYD
KITTY PATMORE
MEMBERS OF THE
MIDLANDS BOARD
The Board wishes her success in her new role at
DRC Capital in St James’s.
Not pictured: Andrew Brazier, Damian Lloyd,
Darren Williamson and Matt Hannah
IPF Midlands Matters 3
“In conversation
with”
left to right: Adrian Watson, Sue Forster (IPF Chief
Executive), David Smith, Mark Johnson, James
Cubitt, Tim Hurdiss, Gary Rouse, Kitty Patmore,
Mark Vernon and David Allen.
IPF Research
Programme update
Kitty joined the Board in June 2012
whilst working at Barclays and has
been an active member, both here and in her role
on the IPF Operational Board in London. A career
move to London has meant she cannot be in two
places at once.
Membership
update
It is with sadness that the
Midlands Board says goodbye to
Kitty Patmore.
What the IPF is
currently doing?
IPF Midlands
Board changes
Focus on
East Midlands
Following research into the regional commercial property market, IPF Midlands’ Board member and
director of commercial property consultancy Innes England, Matthew Hannah considers regional
investment performance.
An increased level of regional deals offers a clear sign
that conditions are improving in the occupier markets,
with investors being attracted by the perceived better
value offered by regional markets.
This movement is evidenced by the investment data
that highlights the level of office investment
transactions in Nottingham for the first half of 2014 is
equivalent to the total level of transactions in 2013.
Overall, investment activity in the East Midlands
increased by 50% in 2013, from £265m to £410m.
Approximately 50% of the total UK investment market
is from overseas investors who are predominantly
focused on the Central London market, encouraging
UK property investors to turn to the more attractive
regions – investors looking to add value or those who
may have been priced out of London opportunities.
Snapshot
of events
What is
the IPF?
Focus on East Midlands
The tight level of grade A supply now evident across
many cities has enhanced the prospects for rental
growth over the next 12 to 36 months. We anticipate
that investors will capitalise on this, focusing on stock
offering potential for active asset management.
Even though investment in London still takes the lion’s
share of the investment total, there has been a
significant increase in the volume of regional deals
done. The fundamentals in the region remain
unchanged; the largest transactions reflecting a strong
covenant with tenants on long leases. The examples in
the box below underline this point.
THE ARC, NG2 BUSINESS PARK, NOTTINGHAM
“In conversation
with”
IPF Research
Programme update
Membership
update
Largest transactions in the region
Derby
£31m
73,000 sq ft Sainsbury’s supermarket in
Ripley by Henderson UK Property Unit Trust (4.8% NIY)
Leicester
£82.6m
900,000 sq ft M&S Distribution centre
at J24 M1 by Tritax for its listed Big Box REIT (5.2% NIY)
Hinckley
£40m
New Sainsbury’s supermarket at The Crescent
by Osprey Equity Partners
4 IPF Midlands Matters
What the IPF is
currently doing?
£m
Whilst the building has prestige tenants such as Coutts,
Geldards, CIS and HSBC, they are on short leases and
it required detailed knowledge of the occupier market
to understand the strong letting potential of the
building moving forward.
Value of investment transactions in Leicester
This has been followed by the sale of Newcastle
House, another multi-let office building, at 8.6%
highlighting the improvement in the investment market
in 2014.
Focus on
East Midlands
Based on a NIY of 9.5%, the transaction shows that
value can be achieved provided you have the market
knowledge.
IPF Midlands
Board changes
Value of investment transactions in Derby
£m
What is
the IPF?
Snapshot
of events
Value of investment transactions in Nottingham
£m
IPF Midlands Matters 5
“In conversation
with”
One of the most significant deals in the region saw the
London-based Boultbee acquire The Arc, a grade A
multi-let office on Nottingham’s NG2 Business Park.
IPF Research
Programme update
There is no doubt that for a certain type of investor,
Central London remains a draw. However, we are
now seeing an emerging trend of UK-based investors
seeking value in the regions.
Membership
update
Innes England’s latest Market Insite data is available via
the website www.innes-england.com covering five years
of takeup and supply for the office and industrial
markets, together with reference data on the retail and
investment markets.
What the IPF is
currently doing?
What is the IPF?
Focus on
East Midlands
IPF Midlands
Board changes
INDUSTRY ENGAGEMENT
PROPERTY INDUSTRY ALLIANCE (PIA)
OTHER ORGANISATIONS
PIA GROUPS:
PIA MEMBER ORGANISATIONS:
UK-BASED:
• OCCUPIER SATISFACTION
• ASSOCIATION OF REAL ESTATE
• BANK OF ENGLAND COMMERCIAL PROPERTY FORUM
• CFA SOCIETY OF THE UK (CFA UK)
• CHARTERED INSTITUTE FOR SECURITIES & INVESTMEN
• NATIONAL ASSOCIATION OF PENSION FUNDS (NAPF)
• REAL ESTATE FINANCE GROUP – PRODUCED THE VISIO
SURVEY (OSS)
• RESEARCH
• PROPERTY DATA REPORT
• REITS
• DEBT
• GREEN PROPERTY
What is
the IPF?
ALLIANCE (GPA)
FUNDS (AREF)
• BRITISH COUNCIL FOR OFFICES (BCO)
• BRITISH COUNCIL OF SHOPPING
CENTRES (BCSC)
• BRITISH PROPERTY FEDERATION (BPF)
• COMMERCIAL REAL ESTATE FINANCE
COUNCIL EUROPE (CREFCE)
• INVESTMENT MANAGEMENT
ASSOCIATION (IMA)
• INVESTMENT PROPERTY FORUM (IPF)
• ROYAL INSTITUTION OF
CHARTERED SURVEYORS (RICS)
• URBAN LAND INSTITUTE (ULI)
INTERNATIONAL:
• ASIAN ASSOCIATION FOR INVESTORS IN NON-LISTED
REAL ESTATE VEHICLES (ANREV)
• EUROPEAN PUBLIC REAL ESTATE ASSOCIATION (EPRA
• EUROPEAN REAL ESTATE FORUM (EREF) – COMPRISES
27 ORGANISATIONS ACROSS EUROPE
• INVESTORS IN NON-LISTED REAL ESTATE VEHICLES (IN
– EUROPE
• PENSION REAL ESTATE ASSOCIATION PREA) – US
IPF SPECIAL INTEREST GROUPS:
Snapshot
of events
FOR REAL ESTATE FINANCE
• SOCIETY OF PROPERTY RESEARCHERS (SPR)
GOVERNMENT & OTHER CONSULTATIONS
• INDIRECT PROPERTY
• INTERNATIONAL
• PROPERTY DERIVATIVES (PDIG)
PROPERTY DERIVATIVES
PUBLICATION & SIMULATION
Membership
update
• SUSTAINABILITY
• REAL ESTATE LENDING FORUM
( jointly with APL)
• RESIDENTIAL INVESTMENT
• IPF/IPD RESIDENTIAL PERFORMANCE
“In conversation
with”
IPF Research
Programme update
MEASUREMENT STEERING GROUP
• WORKING GROUP
WORKING GROUPS (CURRENT):
• GIPS
• SOLVENCY II
• REGULATION & LEGISLATION
• IFA GUIDE EDITORIAL
IFA GUIDE
• INVESTMENT AGENCY PROTOCOL
• IPF VISION REVIEW GROUP
WHAT IS THE IPF?
For many Midlands’ members the attraction of IPF membership is access to its high-calibre membership. In addition, the Forum is an
invaluable source of CPD to help meet the requirements of members’ respective professional bodies. However, most do not get the
chance to see the national reach of the organisation in its three main fields of research, education and networking.
The IPF is not a lobbying organisation so it does not crave the headlines in a way others do. Nevertheless, its contacts within industry,
education, the City and Government are extensive, and it is consulted regularly on industry matters.
This double-page spread tries to provide a visual representation of the IPF’s activities, not least some of the groups and committees
within the IPF that get very little mention but do so much of the organisation’s valuable work.
Over the coming issues of Midlands Matters, we will look at each of the three ‘pillars’ of the IPF’s activities and delve a little deeper into
what your organisation is doing.
CPD
GROUP
PROGRAMME
ADVISORY
COMMITTEE
(PAC)
E
G
I
P
A
What the IPF is
currently doing?
M
NT (CISI)
INDIVIDUAL PROJECT STEERING GROUPS
IPF
EDUCATIONAL
TRUST
H
C
AR
ON
Focus on
East Midlands
)
RESEARCH STEERING GROUP
RES
E
IPF RESEARCH PROGRAMME
AND OTHER INITIATIVES
NICK TYRRELL ANNUAL RESEARCH PRIZE
( joint with INREV & SPR)
D
IPF Midlands
Board changes
RESEARCH PROGRAMME 2011-15
£1.1m sponsorship from 22 organisations
OTHER IPF
PUBLICATIONS
• NET EFFECTIVE
RENTS
• READINESS
FOR SALE
IPF PRIZE FOR BEST MSc DISSERTATIONS
(from IPF recognised courses)
A)
LUNCHES & DINNERS
LONDON & REGIONS
NETWORKING
MEMBERS’ DRINKS RECEPTIONS
INVESTMENT PROPERTY
FOCUS
MEMBERSHIP
COMMITTEE
IPD/IPF ANNUAL
CONFERENCE
IPF REGIONS:
• MIDLANDS
• NORTH
NEXT GENERATION
COMMITTEE
LIFE MEMBERS
• SCOTLAND
ACADEMIC GROUP
IPF Midlands Matters 7
“In conversation
with”
PF EDUCATION
PROGRAMME
SITE VISITS
IPF Research
Programme update
EDUCATIONAL STRATEGY
GROUP
2,000+ MEMBERS
Membership
update
MEMBER OFFERS FOR
3RD PARTY
SEMINARS &
CONFERENCES
F
Snapshot
of events
EDUCAT
IO
N
RESEARCH
SPONSOR
EVENTS
M
RU
O
INDUSTRY ENGAGEMENT,
WORKING &
SPECIAL INTEREST
CHIEF
GROUPS
EXECUTIVE
OPERATIONAL
BOARD
STRATEGIC
ADVISORY GROUP
WORKSHOPS
IPF EXECUTIVE
RECOGNITION OF AND LIASION
WITH PROPERTY INVESTMENT/
SEMINARS IPF ONLY
FINANCE POSTGRADUATE
OR
UNIVERSITY COURSES
JOINTLY WITH
OTHER
ASSISTANCE TO
ORGANISATIONS
OTHER ORGANISATIONS
What is
the IPF?
NREV)
What the IPF is
currently doing?
IPF Midlands
Board changes
Snapshot of events
30 JANUARY –
INSOLVENCY UPDATE
Focus on
East Midlands
DWF hosted an enlightening update by John Cookson of Colliers
and John Kelly of Begbies Traynor attended by 50+ members.
Two main points to bear in mind were to be aware of the
changes on the law relating to distraint changing in April this year
and the impact of Goldacre/Lumniar cases for practitioners in
insolvency which has now been updated by the Game decision
in the Court of Appeal.
What is
the IPF?
6 FEBRUARY –
IPD 2013 RESULTS LAUNCH
Snapshot
of events
DTZ hosted the annual IPD/IPF results survey that examined
property performance in 2013, confidence is returning with a
total overall return of 10.5%. Malcolm Hunt of IPD noted that
during Q4 of 2013 the office sector was the best performer
with total returns of 5.8%, industrial property had total returns
of 5.6%, whilst retail gave a total return of 3.3%. Claire Higgins
of BNP Paribas gave a presentation as to the current state of the
UK economy and predicted that all sectors of the property
market would produce total returns of at least 10% in 2014.
Membership
update
14 FEBRUARY –
HS2, VALUE FOR MONEY?
“In conversation
with”
IPF Research
Programme update
Valentines Day saw the IPF host ‘Question Time’ on HS2 in the
East Midlands. Panel members included Andrew Brigden MP,
Property developer Peter Gadsby, HS2 board member Richard
Brown, Joe Rukin campaign manager Stop HS2 and Mike Froom
KPMG. There was no love lost between the panelists in the
heated debate on where, when and why.
2 APRIL – NEXT GEN BREAKFAST
DWF hosted a Next Generation roundtable breakfast with guest
speaker Max Sinclair of Wells Fargo. Debate in the room was lively and
provided an opportunity for Next Gen members to gain Max’s
valuable insight into topics such as the role of banks in lending, long
term global cycles and changes in valuation basis.
8 IPF Midlands Matters
SOURCE: RECENT COMMENT FROM A MIDLANDS IPF MEMBER REGARDING OUR SEMINARS
28 APRIL – SHARIA FINANCE
What is
the IPF?
IPF hosted a seminar on Sharia finance for property investment
professionals at JLL's Birmingham office at 45 Church Street.
Attendees heard from speakers Nick Sanderson of SGH Martineau
and Iain Crawford of Islamic Bank of Britain who put forward the case
for the use of Muslim finance in property investment.
Focus on
East Midlands
This was the first ‘workshop’ we have tried in the Midlands and the
format worked well. Mark Johnson chaired the workshop and Tim
Beresford explained the details of the new capital allowance rules.
The workshop led to a good interaction and discussion between the
attendees about the opportunities the new rules create and what we
all need to be aware of.
IPF Midlands
Board changes
9 APRIL – CAPITAL ALLOWANCE
What the IPF is
currently doing?
“The IPF can get event speakers that we otherwise couldn’t get to hear.”
13 & 22 MAY –
PLANNING APPLICATION/CIL
“In conversation
with”
IPF Midlands Matters 9
IPF Research
Programme update
The Midlands IPF hosted its annual property lending market seminars
for members at the Library of Birmingham, sponsored by GVA, and
also in Nottingham, hosted and sponsored by Freeths. More than 130
people attended the events to hear the key findings from De Montfort
University’s ‘UK Commercial Property Lending Market 2013 Report’.
Guest speakers Bill Maxted of De Montfort, author of the report, and
William Maunder Taylor, director at Kingfisher Property Finance, shared
their views on the survey, which found that the finance market for
property companies is beginning to ease with new lending up from
£25.5bn at the close of 2012 to £29.9bn in 2013.
Membership
update
2 & 13 JUNE –
UK COMMERCIAL PROPERTY
LENDING MARKET REPORT
Snapshot
of events
In May, the IPF in conjunction with the Birmingham office of DLA
Piper, held a seminar on the Planning System in the UK. Ian Green
and Amy Truman of DLA explored planning obligations, the risk of
legal challenges and the impact of the Community Infrastructure Levy.
David Smith and Mat Jones of Turley examined the financial incentives
now available to local authorities through the retention of business
rates, and the impact of Localism in recent appeal decisions.
What the IPF is
currently doing?
IPF Midlands
Board changes
Focus on
East Midlands
What is
the IPF?
Snapshot
of events
Membership
update
IPF Research
Programme update
“In conversation
with”
Membership update
230
226
Midlands members
as at 1.10.14
Midlands members
as at 1.10.13
up 2%
33
28
Midlands Next Generation
members as at 1.10.14
Midlands Next Generation
members as at 1.10.13
up 18%
JOINING THE IPF
Benefits of Membership
• Join in active debate with other senior property
professionals
• Gain full access to our Research Programme,
publications and market surveys
• Attend exclusive free member-only events held
throughout the year
• Attend free lectures, run almost on a weekly basis in
the Midlands and the rest of the country
• Attend, and bring guests to, the highly-successful
Annual Lunches and Annual Dinners held in the
Midlands and the rest of the country
• Attend the highly acclaimed annual IPD/IPF two-day
Property Investment Conference in November, held
each year in Brighton at a significantly reduced fee
• Receive your personal copy of the Forum’s journal,
Investment Property Focus, with industry insight and
in-depth research findings
• Further discounts and special offers on a range of
industry events and publications.
Membership Criteria
• Five years’ relevant experience, of which two should
be in property investment or finance, or property
investment
• Members are most likely to have achieved a relevant
professional and/or academic qualification or
equivalent
• You should have achieved a relevant position within
your organisation such as Associate Partner/Director,
Senior Solicitor, Fund Manager or equivalent.
Cost
• The annual subscription (2014-15) is £195.
New members joining now pay £97.50 for the
period up to 31st March 2015.
For more details or a membership application form
please go to www.ipf.org.uk
BOARD MEMBERS AND CONTACT DETAILS
James Cubitt (Chairman)
Tel: 0121 265 7580
Email: [email protected]
Darren Williamson
Tel: 0845 634 1742
Email: [email protected]
Matthew Hannah
Tel: 07831 319801
Email: [email protected]
Adrian Watson
Tel: 0845 404 2264
Email: [email protected]
David Allen
Tel: 07909 532 806
Email: [email protected]
Mark Johnson (Membership)
Tel: 0121 214 1977
Email: [email protected]
Andrew Brazier
Tel: 07771 886004
Email: [email protected]
David Smith (Press and PR)
Tel: 07545 082 825
Email: [email protected]
Mark Vernon
Tel: 0121 550 1841
Email: [email protected]
Damian Lloyd
Tel: 0121 609 8223
Email: [email protected]
Gary Rouse
Tel: 0121 352 6252
Email: [email protected]
Tim Hurdiss
Tel: 07753 872 780
Email: [email protected]
Kultar Khangura of Pinsent Masons and Kitty Patmore of Barclays have stepped down from the Midlands
Board. The Board thanks them for their large contribution and enthusiasm during their terms.
10 IPF Midlands Matters
Size & Structure of the UK Property
Market 2013: A Decade of Change
Carbon Penalties and
Incentives Report
Zombies and Beyond: A Further
Update on UK Real Estate Debt
“The energy performance legacy of
the existing commercial stock is a
challenge too large for the industry
or Government to face alone.”
Whilst considerable progress has been
made to clean up legacy commercial
property lending, the latest IPF update on
the state of the UK property debt market
concludes that it may be another 4-5 years
before legacy loans (zombies) fall to more
normal levels as the quality and locations of
underlying assets securing this debt are
unlikely to be as good as those loans that
have been worked out already. Available
now on the IPF website.
“What lessons can investors and
policymakers learn?”
Residential Investment Survey 2014
“Social housing plays a vital role in
fulfilling the country's housing needs,
but, despite its large scale, the sector
currently receives very limited
support from institutional investors in
the UK“
The IPF has commissioned Cambridge
Centre for Housing Planning and Research
to investigate whether institutional
investors can be attracted to expand the
social housing sector in the UK or if there
is a fundamental mismatch between
investors and providers. Publication –
December 2014.
“Government still needs to focus on
planning and tax issues”
This survey is in its third year of
publication. Amongst the key results are
that the volume of investment is increasing
and 62% of contributors anticipate their
investment will increase over next 3 years.
Whilst a major barrier remains low
income yield, and political risk has reemerged as an issue, most of those
surveyed who do not currently invest in
the sector have plans to do so.
IPF Midlands Matters 11
“In conversation
with”
There is a broad consensus that
government bond yields will rise over the
next few years as central banks halt
quantitative easing and other extraordinary
measures. This newly-published research
(available on the IPF website) considers
what implications a rise in long-dated UK
gilt yields might have for UK property
yields.
Prospects for Investment in Social
Housing in the UK
IPF Research
Programme update
“With interest rates looking set to rise
sometime in 2015, this is a timely and
welcome piece of research from the
IPF”
Membership
update
A team, led by Professor Piet Eichholtz of
Maastricht University and Finance Ideas,
investigates why residential investment
makes up a more significant proportion of
institutional real estate investment in many
other markets than it does in the UK. This
report was recently published as part of
the Short Papers series.
Snapshot
of events
Implications for Property of Rising
Bond Yields
Residential Investment in
International Markets
“Almost £60bn of the debt secured on
commercial property has LTVs
exceeding 70% and nearly 20% of all
current borrowers are still in negative
equity.”
What is
the IPF?
The value of the UK’s commercial
property stock in mid-2013 was £647bn,
an increase of 11% on 2003. The amount
of real estate held as investment totals
£364bn, an increase of 27% over the last
decade. Whilst overseas investors have
come to dominate certain sub-sectors of
the market, with almost 75% if their
holdings in London, UL investors’ holdings
have increased by 12% over the last
decade. Available now on the IPF website.
Focus on
East Midlands
“Value of UK Stock Rises more than
10% over the Last Decade and
Property Investments by over 25%”
Jointly commissioned by the Property
Industry Alliance (of which the IPF is a
member) and the Green Construction
Board, this report identifies the inefficient
distribution of policies, their perceived
complexity and poor enforcement as the
main barriers to achieving green growth
and reducing emissions. Publication –
imminent.
IPF Midlands
Board changes
RECENT & FUTURE PUBLICATIONS
What the IPF is
currently doing?
IPF Research Programme update
What the IPF is
currently doing?
In conversation with Gary Taylor
“In conversation
with”
Research
update
Membership
update
Snapshot
of events
Focus on
East Midlands
What is
the IPF?
IPF Midlands
Board changes
Partner, Altitude Real Estate LLP
Prior to establishing Altitude with
two ex-colleagues in 2011, Gary
was a director of Argent and with
responsibility for Brindleyplace
and Paradise Circus in Birmingham.
Gary is a chartered engineer with
27 years’ experience in property
and construction. Graduating
with First Class Honours in Civil and Structural Engineering
from Sheffield University, Gary joined Arup as a graduate
trainee in 1988. During the following six years, he worked
on a variety of major projects in the UK and overseas.
In 1994, Gary joined Argent on the first phase of
Brindleyplace as a construction project manager.
Subsequently in 1998, his role was widened to lead the
delivery of the whole scheme. Gary became a director of
Argent Group PLC in 2000 and went on to lead teams
responsible for the acquisition and development of Paradise
Circus in Birmingham and at St Peter’s Square in Manchester.
What is your favourite building?
Tough one, can I have two very different choices? I think that the
new tall buildings in London are the most architecturally interesting
collection of tall buildings in the world, however, I am going to pick
one of the earliest tall buildings as my first choice – The Chrysler
Building in New York. My second choice is completely different –
Frank Lloyd Wright’s incredible house, Fallingwater, is just the most
beautiful object (www.fallingwater.org).
What is your sporting passion?
If it’s what I actually do then it’s cycling in Summer, skiing in Winter.
But in terms of watching sport, for some reason I am big on sports
of pain and suffering (I am an avid follower of the Tour de France
and the suffering of being a season ticket holder at West Brom is
similar!!!)
the value of good design. Both are complete gentlemen and
incredibly humble. Roger Madelin always displayed great vision,
energy and enthusiasm. He always has time for everyone and is
the model for leading people. Finally, the late Alastair Ross Goobey
who was a board member of Argent from 1998 until he died in
2008. Alastair was always gently challenging and taught us how to
think about opportunity and risk in completely different ways. I
have been so lucky to have spent time with all four of them in the
prime of their careers.
What was your favourite deal?
The ones that no one has a clue about until they are done – the
letting to Andersen’s in Four Brindleyplace and the sale of
Brindleyplace to Hines/Moorfield are particular favourites of mine.
What do you appreciate about the Midlands
property market?
I have enjoyed the friendliness and the banter of most people that I
have come across. I like the fact that people just want to see things
get done, and are generally willing to help and support, which is not
the case in other places!
Which is your favourite Midlands restaurant?
Simpsons in Edgbaston for a treat. The food is exceptional and
there is something really special about being in a wonderful
Georgian Villa in a lovely setting.
Which property sector do you think will
outperform the market in the short term?
Clever ideas always outperform any sector so we are always
open-minded to anything. The shortage of housing is not going
away – and will provide opportunity in the short, medium and
longer term. I wouldn’t want to be involved in the central London
residential market though – a classic bubble has formed.
How did you end up in the property profession?
I studied Civil and Structural Engineering at university and then
became a chartered structural engineer with Arup in Birmingham
before joining one of my clients, Argent as an assistant project
manager in 1994 at the start of Brindleyplace.
Ski or beach?
Which is your favourite place?
Ski every time! Just the best way of travelling from one great view
to the next. There is a reason that the business is named Altitude!
Bryant Park in New York – a wonderfully green, tranquil spot
surrounded by tall buildings.
http://www.wikipedia.org/wiki/Bryant_Park
Which property company do you admire?
Anyone who really cares about what they are creating and thinks
beyond simply doing a deal. As an industry, we have yet to find a
successor to the old landed estates trusts that have shown how
value can be created with a careful patient approach over many,
many years.
Who has influenced you most in your career?
I have not had any formal property education or training but I have
been very fortunate in working with a series of people at Argent
who were patient enough to share their knowledge and
experience. Peter and Michael Freeman – two of the most
intelligent people in property who each have a completely
different approach: Peter for his entrepreneurial ability and his
ability to calculate IRRs in his head; and Michael for his ability to
spot the problems before anyone else and also his appreciation of
12 IPF Midlands Matters
Burgundy or Bordeaux?
Banks’s – I was born in Dudley.
What will be the key driver for UK property
going forward?
As always, the occupier or resident – without them, property has
no value!
Who is your favourite architect?
I’m going for an architect that saw the light and re-trained as a
structural engineer – Santiago Calatrava for his amazing use of
sculptural structures in buildings and bridges. I just wish he would
do something in the UK – Birmingham’s HS2 station perhaps?
http://www.calatrava.com
Would you encourage any of your family to go
into property?
Yes, but the kids (18 & 16) never listen to me as I know nothing!!!