Good morning. Here’s your daily round-up of the latest news and views from EG and a collection of real estate-relevant headlines from the national papers.
Industrial and logistics investor SEGRO says asset values “appear to be at an inflection point in the UK and bottoming out in continental Europe” as it posts a solid set of H1 numbers.
Chief executive David Sleath hailed a rising rent roll and a strong pipeline of pre-lets, saying the company is “well-placed for further growth through a combination of active asset management of our irreplaceable, prime portfolio of existing assets and our profitable development programme”.
At CBRE, chief executive Bob Sulentic is speaking Sleath’s language, telling analysts after the agency’s own results that its advisory business is “on the cusp of an inflection point” as real estate markets recover.
The agency has boosted its guidance for full-year earnings per share to a range of $4.70 to $4.90, up from $4.25 to $4.65.
The Crown Estate, Oxford Science Enterprises and Pioneer Group have signed an exclusive long-term life sciences mandate.
Under the deal, all future developments acquired by OSE will be delivered through Pioneer and financed by the Crown Estate.
The move is expected to build on the success of the trio’s collaboration earlier this year, which saw the Crown Estate committing £125m to help OSE and Pioneer turn a former Debenhams in Oxford into labs.
This week’s big interview is with Richard Shepherd-Cross, managing director of Custodian Capital. Earlier this year, a planned merger of Custodian Property Income REIT and Abrdn Property Income Trust was scuppered by the latter’s shareholders. Here, Shepherd-Cross reflects on why the deal made sense, why it didn’t happen and what it says about the state of the UK’s REIT market.
The residential sector has narrowly overtaken all other use types to become the highest value asset class for investments during the first half of this year, according to exclusive figures from EG Radius.
The total value of residential investment sales in H1 was £2.77bn across just 94 deals. This compares with £2.76bn spent on office investments across 582 deals and £2.75bn on industrial investments across 621 deals, and gives the residential sector a 23.8% share of the investment market by value.
There’s also news on John Lewis’s BTR sign-off in Bromley, a £170m refinancing at Supermarket Income REIT, and EG’s latest Dealmaker of the Month podcast.
All of the news from EG, plus a selection of headlines from the nationals:
SEGRO’s rent roll rises as market turns
CBRE sees ‘inflection point’ for advisory business
Custodian REIT boss: All the rage after Abrdn
Supermarket REIT refis £170m of debt
Beds beat all other asset classes in investment league
David Chipperfield Architects leases new Little Portland Street HQ
Lessons for Paris: legacy doesn’t stand still
John Lewis gets nod for Bromley BTR
Dealmaker of the month: Harry James, The Workplace Co
UK venture capital funding boom to translate into lab demand
Savills raises £52m in latest auction round
High streets lag as London offices outperform
Shaftesbury Capital signs eateries for Chinatown expansion
Top occupier deals grow or maintain office space
Southwark Council: we need the money to maintain momentum
Places for People steps in to bring affordable homes to Bradford
Guildford Council picks partner for £86m new neighbourhood
Crown Estate forms exclusive life sciences partnership
Fate of 280 Montreaux homes in hands of administrators
Royal London drafts £750m vision for Manchester’s Davenport Green
UK leads for CBRE as capital markets distress slows
Hilco nabs PGIM exec for business development role
Fiera and Danescroft buy London site for £68m logistics scheme
Hill Group tops £1bn turnover
Columbia Threadneedle offloads Superdrug’s West Yorkshire hub
URW offloads €300m of assets with €1bn more to come
Moorfield raises £330m for latest UK value-add strategy
Summer interest rate cut on a knife edge as traders ramp up bets (£)
UK mortgage rate surge pushed 320,000 into poverty, report shows
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