MORNING NEWS: Single-family homes in favour as Hines plans £500m drive

Good morning. Here’s your daily round-up of the latest news and views from EG and a collection of industry-relevant headlines from the nationals, all perfectly curated to set you up for the day ahead. Hines is set to make a big push into the burgeoning single-family housing sector with plans to build an initial £500m portfolio. The US-based group sees potential in building a rental proposition in the UK through its value-add fund, Hines European Real Estate Partners 3, before pushing the concept into Continental Europe. “The UK is the focus right now,” UK head Ross Blair told EG, “but if we can crack it here in the UK, I would be surprised if we don’t get more active elsewhere across Continental Europe.” There are fewer than 15,000 single-family rental homes in the UK currently, compared with more than 100,000 build-to-rent flats. However, the sector is fast capturing the attention of investors, attracting half of the £1.3bn invested in the BTR sector in Q2 2024. Pension Insurance Corporation and Patrizia have also announced plans to build major single-family housing portfolios, while Kettel Homes has this morning launched an initial £150m fund raise for a rent-to-buy concept in the sector. In the world of flex, EG can exclusively reveal that Instant Group has partnered with the International WELL Building Institute to bring a new healthy workspace benchmark to the co-working and flex industry. The new rating, derived from the health strategies in the WELL Building Standard, includes more than 50 features spanning all 10 concepts in WELL, such as air and water quality, light and thermal comfort, and physical fitness and nourishment. The WELL Coworking Rating serves to “validate and showcase” how co-working and flexible workspaces meet evidence-based health and wellbeing measures. Sam Pickering, executive director and head of sustainability at Instant, said: “By working with IWBI to develop the WELL Coworking Rating, Instant was able to leverage the science and evidence behind WELL and introduce the first rating tailored specifically to the co-working and flex office market.” Flex operators Koba, Landmark, Clockwise and Iconic Offices have already signed up to the rating. Elsewhere, leasing activity continues to pick up. M&G has bagged Primark owner Associated British Foods for 31,000 sq ft at the Fitzrovia office redevelopment just off London’s Tottenham Court Road, while Gary Neville’s Relentless has filled the final slice of a floor at his £400m No.1 St Michael’s, securing Channel 4 on just shy of 13,000 sq ft of space. And in west London, SEGRO has sold a 10-acre industrial estate to Imperial College London for £115m. The college plans to utilise the park to provide commercial science innovation facilities to early-stage companies with interests aligned with the university’s academic mission. It will form part of a new “WestTech Corridor”. All of the news from EG, plus a selection of headlines from the nationals: SEGRO sells west London park in £115m dealOccupancy dips as higher churn hits WorkspaceInstant teams up with WELL to drive healthly flex spacesM&G bags ABP for The FitzroviaFrom popcorn to pillows – Oxford Odeon set to become aparthotelKettel hunts £50m for rent-to-own strategyChannel 4 signs for new Manchester officeHines homes in on single-family sectorSanctuary seeks buyer for £400m PBSA portfolioCriterion secures £25m for Zedwell hotel expansionNido appoints new chair to spearhead growth driveEuropean retailers eye portfolio expansionTech firms commit £6.3bn to UK data infrastructureCOMMENT: Buyer-beware warning for influx of auction investorsPocket Living trio launch development advisory businessVistry acquires multiple plots at Finchwood Park for £70mNational deals round-upHollis signs for new HQNewham data centre tipped for go-aheadBarnet resi scheme set for approvalBlackstar and Novara eye £100m shopping centre spreeBarking Riverside submits application for 10,000 more homesHow big is the real estate ‘stranded assets’ problem? (£)Crunch time for offices with prime blocks up for sale (£)Hotel redesigned by Sir Arthur Conan Doyle faces demolition (£)Donald Trump’s Turnberry resort makes profit in rough conditions (£)Government’s push towards net zero could lead to increased cost of upgrading buildings (£)