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 week ahead.
Grosvenor’s London office occupancy increased to 99% in the first half of 2024, driven by the success of its new flexible office offerings.
Vacancy in the company’s portfolio is now just 0.9%, down from 3.8% at the end of 2023. Over the past six months, Grosvenor has secured 64 leases across various sectors in its Mayfair and Belgravia portfolio, covering 127,000 sq ft and generating £8.5m in rent, some 11% above ERVs.
Amelia Bright, executive director of the London estate, said: “We are seeing ongoing strength in demand for our high-quality, sustainable places. With a substantial investment pipeline including South Molton – the largest mixed-use development on site in the West End – and further flex openings, we are confident about future performance.”
Less confident about offices is BCPT, which is getting closer to updating on the outcome of the strategic review of the business. The trust’s NAV continues to fall, with BCPT placing the blame firmly on offices. Its office assets – which it has been steadily offloading over the past six months – delivered a capital return of -9.6% in the three months ended 30 June, helping drag its NAV down from £752.5m at the end of Q1 to £737.3m at the end of Q2.
Some big people moves this morning. Will Bax, outgoing chief executive of AXA IM Alts-backed Retirement Villages Group, is returning to his landed estate roots and taking up the rather grand title of secretary and keeper of the records at the Duchy of Cornwall. He takes up the role of overseeing the Prince of Wales’ estate in November.
And as part of its evolution, GIA has appointed co-founder of building consultancy MHBC Antonia Belcher as a non-executive director on its board. Belcher, who is also known for her dedication to equality, will be tasked with providing independent judgment, unique perspective and support on issues across corporate governance, strategy, risk management and succession planning at GIA.
Looking ahead this week, expect more signs of improvement in capital markets as the big agents deliver their Q2 results. CBRE has already posted some positive figures and later today Cushman & Wakefield will share its trading figures for the past three months. Colliers is up on Thursday, with more to follow.
Elsewhere in the listed world, interim results from Shaftesbury Capital and Taylor Wimpey are scheduled to be released on Wednesday, with retail bellwether Next and takeover target Capital & Regional updating on trading on Thursday.
And in the world of planning, the new government is expected to announce its consultation on reforming the system later today, while on Thursday planners at Camden are set to give the nod to turn the former HQ of the Chartered Society for Physiotherapy at 14 Bedford Row, WC1, into a 65-bedroom aparthotel and allow Tudehope to push ahead with its refurbishment of the 160,000 sq ft 40 Bernard Street, WC1. In Liverpool, TJ Morris and South Liverpool Homes are hoping that on Tuesday planners give them the green light for a 250-bed student scheme in the city’s Knowledge Quarter and 92-home scheme in Speke.
All of the news from EG, plus a selection of headlines from the nationals:
UK leading global property recovery, says Abrdn
NAV continues to fall as BCPT prepares outcome of strategic review
Watkins Jones forward-sells Stratford scheme
EG’s news agenda: what to look out for this week
Workspace offloads Woking redevelopment site
Flex demand pushes up Grosvenor’s London office occupancy
Belcher joins GIA as non-executive director
Retirement Villages Group boss to lead Duchy of Cornwall
Trebor mints deal for £50m industrial development
COMMENT: Invest in innovation districts of get left behind
Labour launches fast-track consultation in bid to rip up England’s planning rules (£)
Rachel Reeves to slash spending and sell off empty buildings (£)
Build homes on ‘gey belt’ land, Rayner to tell councils (£)
Timpson brought to heel over planning permission (£)
Chinese developer Country Garden files new restructuring plan (£)
Generation Z favours office work, but not on Fridays (£)
Leonardo paints a pretty picture for the future of its hotels (£)
NatWest sues ex-GM unit for €155m over financial crisis-era deals (£)
Tottenham seek £3.75bn valuation in stake sale (£)
Ted Baker could disappear from British high streets (£)
Labour plans 50% increase in housing targets (£)
Cineworld reveals cinema closures as part of restructuring plan
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