Around the market – Surrey, Sussex and Kent

Around the Market – Surrey, Sussex and Kent Agents pick the most significant deals (six months to end August) The Heights, Weybridge Developer M&G Real EstateSize 57,000 sq ftTenant Cameron OilsRent Not disclosed Chosen by Emma Goodford,Knight Frank Cameron Oil’s acquisition of 57,000 sq ft at M&G Real Estate’s scheme, The Heights, Brooklands, Weybridge is significant as a decision by a business based in the local area to consolidate its operations close to Heathrow. The firm is merging facilities in Egham, Hayes and Sunbury at a time when some sectors have considered a subdivision of operations, establishing a London presence with an M25 office. The deal represented another piece of activity within the energy sector, a sector now dominant in Surrey and Sussex and the west of the M25. This has played well into the hands of Rockspring and was well timed for its 105,000 sq ft Velocity scheme opposite, which completed just as Cameron did its deal and which now has no direct competition. Corinthian House, Crossways Business Park, Kent Developer Billings GroupSize 7,280 sq ftTenants Thompson Snell & Passmore and Handelsbanken Chosen by Raymond Amosso, Caxtons Billings Group took the bold move to construct these offices speculatively, which few developers are prepared to do at present. Especially where there are vacant offices on the estate, although varied floorplates.  There are often occupier requirements which are unable to wait for construction and need to be in within a very short time scale. Billings saw a steady level of take-up over the past few years, even during the early years of the recession. Location was the main driver, but also quality of product and a quick response from the developer. This has paid off, as within six months of starting construction terms have been agreed with two well-known names. More importantly, headline rents have kept high within Kent at £21 per sq ft. Following completion there are two more suites under offer. Terra Firma, Redhill, Surrey Size 47,000 sq ftLandlord ShadowTenant SantanderRent Not disclosed Chosen by Rhodri Shaw, Strutt and Parker The letting of 47,000 sq ft at Terra Firma in Redhill to Santander has been a key deal for Surrey in the past six months.  Like most Surrey towns Redhill’s office market is characterised by local ‘churn’ with most letting activity dominated by existing occupiers moving within the town.  This deal was prompted by Aviva’s pending redevelopment of 3 Princes Way which has led to more than 140,000 sq ft of requirements in the local market by displaced tenants.  Santander’s relocation was the first in what agents hope will be a flurry of deals for the town as RBS/Lombard, IHS Fairplay and Lactalis all have requirements which need to be satisfied.  This has triggered a new wave of activity in the market and as a result of this deal Balfour Beatty subsequently vacated Terra Firma to move to three floors in PPG’s Kingsgate.  The deal also represents the largest transaction in the town since 2006 which has certainly improved market confidence. Planning – 12 months to end of Q2 By sector Total number of applications up/down 3% on same period 2012 Biggest sector loser – hotels down by more than a quarterBiggest winner – retail up 43%Biggest number of applications – 393 residential   Top decision Lend Lease received planning consent for an extension of its West Village Who Blueco limitedWhere The West Village (and Adjacent Land) Bluewater Shopping Centre GreenhitheWhen 23 AugustWhat 380,000 sq ft   Refusal Peel was turned down in June for its reserved matters application to regenerate 14.6ha of the docks on design grounds Who Peel Land and PropertyWhere Chatham Docks, KentWhen 20 June What 1.9m sq ft of employment, residential (up to 950 units), student accommodation, hotels, leisure, conference, events and education facilities, and retail including a superstore. EG gauges the trials and tribulations of the Surrey, Sussex and Kent property market Going up Surrey thrills£125m plans for a mixed-used scheme in Woking go to public consultation Landsec for GuildfordLand Sec confirmed as M&G’s development partner for the circa 650,000 sq ft retail-led North Street development in Guildford. Lend Lease was the original choice. Harbour renew1,000 homes get the go-ahead as part of a masterplan for the 56-acre Folkestone harbour regeneration Going down Beauty to the forePlans to turn Cherkley Court in Surrey into a hotel, spa and golf course have been quashed by the High Court as it is an area of outstanding natural beauty. Down by the seaSome Sussex and Kent seaside resorts have been dubbed “Poverty by Sea” as boarding houses and hotels are turned into shared ownership accommodation and bedsits for the homeless, unemployed and ex-prisoners.