Provesta : property development management and strategy

New units on the Wicker, Sheffield

noreply@blogger.com (Tony Carroll) — Thu, 05 Aug 2010 13:08:00 +0000

A rare opportunity to occupy from 150 sq.ft. to 3,000 sq.ft. in the heart of the Wicker and Castlegate on Sheffield's Curry Mile.

The premises are located on the ground floor of an established hotel and are to be refurbished to shell finish with new shop fronts suitable for retail, restaurant or takeaway subject to planning permission.

Available for occupation from September 2010.

To arrange a viewing or for more details on availability and rents please contact:
Tony Carroll 07770 734186 tony.carroll@provesta.co.uk

Hyde Park Flats Sheffield 1988

noreply@blogger.com (Tony Carroll) — Fri, 16 Jul 2010 14:55:00 +0000

We were rooting through our image library a few days ago and came across a photograph taken around 1988 of the Hyde Park Flats complex in Sheffield.

It's a dramatic (if grainy) image that shows how aspirations for public housing have changed since the 1950's when Hyde Park was conceived and built as part of the post-war slum clearances. These huge schemes shamelessly followed the aspirations of Corbusier's Unité d'Habitation streets in the sky principles with large apartments (flats as they were once called) built to take families from the run down housing of the surrounding areas. The entire complex was designed to be almost self sustaining with homes, shops, pubs, clubs, offices and schools.

Sadly the inevitable social problems damned Hyde Park to demolition a few short years after this photograph was taken.

It's fun to imagine how Hyde Park would look with 21st century architecture, construction techniques and materials.

Housebuilding showing some signs of life

noreply@blogger.com (Tony Carroll) — Wed, 02 Jun 2010 15:50:00 +0000

Along with the improved weather, April saw some encouraging indicators that life some is being breathed back into the new homes market from the unprecedented lows seen over the last two years.

During the first quarter of 2010 a total of 31,038 new homes were registered during the period, up from just 17,859 during the same three months of 2009, according to the National House-Building Council (NHBC).

Private developers led the recovery, with the sector registering a 113 per cent jump in registrations year-on-year to 20,538.

Registrations by public sector builders, such as housing associations, rose by 28 per cent during the same period to 10,500.

Best wishes for 2010

noreply@blogger.com (Tony Carroll) — Mon, 04 Jan 2010 07:12:00 +0000

Many of us will be glad to put 2009 behind us as the worst property recession in recent history slowly moves into the past.

The coming year offers some reason for optimism with the banking sector slowly coming back to life and the housing market coming off life support.

However, UK government investment in the higher education sector needs further clarification if student accommodation providers are to have some clarity about what the market requires. The coming election should see that position become clearer as the new government lays out its proposals.

Sadly the VAT rate is now back at 17.5% with no indication of any future parity between new-build and refurbishment, making investment in existing property a fifth more expensive than it should be and discouraging enhancement and investment in sustainability measures.

So with a few things to think about we'll extend our best wishes to you for 2010.

Eyam Dale House in the Peak District

noreply@blogger.com (Tony Carroll) — Sun, 22 Nov 2009 10:43:00 +0000

Eyam Dale House in the Derbyshire Peak District is being undertaken by Provesta.

Nestled at the centre the famous 'plague village' of Eyam the site extends to over seven acres of landscaped grounds, gardens, grazing and woodland with amazing 360 degree views from the ridge.

Eyam Dale House itself operated as a nursing home until recently and remains in tremendous condition. In addition to the main house there is a barn, various outbuildings and two recently renovated cottages.

We are now looking at alternative uses that will complement the village and the property.

DeConstructing Excellence

noreply@blogger.com (Tony Carroll) — Fri, 20 Nov 2009 07:35:00 +0000

The long awaited DeConstructing Excellence discussion forum project has now moved into its public beta stage. It can be found online at www.decex.net.

Relocation, relocation, relocation

noreply@blogger.com (Tony Carroll) — Wed, 11 Nov 2009 13:39:00 +0000

Provesta has been appointed to manage the 2010 relocation of Technophobia, a major web development agency.

We're currently carrying out a market appraisal and site search for character premises in Sheffield up to 10,000 sq.ft. in line with one of the most interesting briefs that we've had for a while.

Details of potential properties should be forwarded directly to Tony Carroll 07770 734186.

RICS report steady house price growth

noreply@blogger.com (Tony Carroll) — Tue, 10 Nov 2009 12:08:00 +0000

The RICS agent survey for October reports that house prices have risen once again.

Despite the plunges in the early part of the year, since the reversal in July 2009 the has been steady growth albeit within a quiet market.

Instructions have risen as vendors return to the market and this steady increase in supply should see the rises kept to modest levels in the near future as the demand and supply move closer together. Once again London sees the biggest gains but the rest of the UK also appears to be gaining confidence as home buyers return.

It seems that the low part of the market was seen around February so anyone making a transaction then can feel pleased with themselves for the time being. For now a mood of cautious optimism seems to be in the air.

Success in the YORbuild framework bid

noreply@blogger.com (Tony Carroll) — Mon, 09 Nov 2009 07:54:00 +0000

The announcement of the successful appointees to the YORbuild framework was good news for Hobson and Porter. They have been successful in all the work packages that they applied for.

Provesta consulted on the quality aspects of their bid.

Landlord and tenant - demand rising

noreply@blogger.com (Tony Carroll) — Tue, 27 Oct 2009 06:58:00 +0000

Have we seen the worst of the property recession? There is growing evidence to suggest that is the case.

The prime residential market in London is on the rise again, though it is still down on the 2008 peak. Knight Frank are reporting that:
- Prime house prices in central London rose 1.3% in September
- The annual rate of price change has improved to -8.9% (from -12.0% in August)
- Average prices are still 18% below their March 2008 peak
- Price growth in some areas has hit 9% since March this year

In the retail sector Land securities have been providing concessions to their tenants in the last year to help them through the worst property recession in living memory. The traditional quarter rent days have been a contentious tradition for years and retailers never looked forward to finding three months rent in advance. This pushed some retailers like Woolworths over the edge when the quarter day arrived.

Land Securities introduced their Clear Let lease that introduced monthly rent payments in an effort to keep hold of increasingly rare tenants. But they are warning that concessions might become increasingly difficult as they rebuild the value of the portfolio for their investors. A spokesman recently said

“British Land is seeing more demand from new and existing tenants. In a well-functioning market both landlords and tenants will push as hard as they can and try to get as much as possible out of the other before settling somewhere in the middle. It is a question of who has the upper hand, and where there is good demand from tenants and low vacancy rates, landlords do not need to give more.”

Things are changing for both landlord and tenant. Yields are beginning to harden with CBRE reporting that in September prime shopping centres yields saw a 25 point improvement to 6.85%.

Overall, the IPD report that property yields and capital values have been growing since December 2008 and in the last few months rentals have also begun to rise.

It's clear that with reducing stock (due to almost zero investment in the last 24 months)combined with a more stable retail environment, landlords will find fewer reasons to succumb to tenant demand for hard bargains and concessions.

Preaching to the (nearly) converted

noreply@blogger.com (Tony Carroll) — Wed, 21 Oct 2009 17:54:00 +0000

Today saw Provesta speaking at the Building Business For Our Region event in a windswept and wet Bridlington on the usually glorious Yorkshire coast.

Ven Management's Target initiative have organised a series of seminars aimed at SME's in the construction industry and the roomful of delegates that turned out at 9:00am in such miserable weather seemed determined to get something from the event. Hopefully the speakers left them with something to take away and utilise in their business.

Wendy Ashton from Target introduced the day after the obligatory bacon sandwiches.

Nigel Leighton, the Director of Environment and Neighbourhood Services at East Riding of Yorkshire Council discussed what motivates his local authority when they are procuring buildings from schools to offices. He was keen to get across the message that they are open to any business as long as fulfil the requirements of quality and protecting public expenditure. The frameworks now coming into play give the council more surety that they are partnering with and employing the right people for the job.

Wendy Ashton took the podium again to outline what Target is all about and how they were set up to bring together firms in the construction sector and provide them with tools and knowledge to improve their business and find their way into projects that they might not be able to easily access or find.

Lee Parkinson of Parkinson Procurement Solutions leads the YORbuild programme that is now leading all the construction procurement for the four local authorities in East Riding, Leeds, Rotherham and Scarborough, harnessing much of the £1.2 billion of public construction expenditure in the region. Lee provided the latest position on YORbuild with a detailed explanation of how contractors, consultants and suppliers can get involved in the framework arrangements that will be used to procure in future. Interestingly it seems that YORbuild is gaining itself a reputation as other public bodies outside the original organisations are approaching YORbuild to make use of the framework.

Tony Carroll of Provesta (that's me) then gave a run down of some of the practical measures that firms can look at to improve the quality of their bids. By making their company more skilled, knowledgeable, visible and transparent they can become a more attractive prospect to potential employers by ensuring that they use the talents already within the firm, get new ability where required, and then engage with employers and clients and the community.

Andrew McCormick of Hobson and Porter provided an insight into where future work was to be found and what was required of suppliers that wanted to work with his firm, especially regarding accreditations and skills.

Anne Chamberlain, leads the project management team at East Riding of Yorkshire Council where they have adopted the NEC form of contract on most of their construction projects. Her potted run-down of the contract and how it is implemented explained how they used it to keep on top of project progress, expenditure and amendments.

Finally, Jonathan Cheng of Resource Efficiency Yorkshire / Groundwork UK outlined the myriad legislation and practice requirements that construction businesses need to be aware of in order to meet the current and forthcoming environmental standards. Groundwork are currently running a series of environmental management programmes targeted at helping SME's devise and implement their own environmental standards.

The slides from the "Connect With Clients - Give Them What They Want" presentation can be found on Slideshare.

Connect With Clients: Give Them What They Want

View more presentations from Provesta Development Management & Strategy.

Frozen peas (Does a client really need a building?)

noreply@blogger.com (Tony Carroll) — Tue, 20 Oct 2009 07:36:00 +0000

Tony Carroll
20.10.09

Many years ago when I designed buildings for a living I had a client, Tim Hopwell, who owned a frozen food distribution business operated from a string of cold stores around the UK. Hopwell's needed a new branch in Sheffield so after completing their Nottingham HQ our practice, Crampin and Pring, was employed to extend and refurbish an existing site that they had acquired on the outskirts of the city.

The scheme that I came up with for the building was quite innovative. The common problem of damaging ice build up in the inaccessible void between the inner insulated core and the outer weatherproof cladding was resolved by giving the building an external structural frame and creating high speed ventilation chambers between the wall and ceiling/roof layers.

So far so good. But this was a more expensive solution than Tim had been used to paying for so he rightly asked me why it was costing more than he expected. However, the solution made sense to him but he then went on to explain his thoughts on buildings and his business. It was an salutary lesson that has remained with me.

Tim explained that his business was selling frozen peas... and chips, fish fingers, etc. It paid the wages, and put roofs over staff heads and petrol in his Lexus. The only thing that made the profit was "selling frozen peas" and he didn't want a building. He didn't even want staff, computers or his distinctive orange lorries.

All he wanted to do was to sell frozen peas.

In fact, if he could sell frozen peas from the middle of a field he would. He needed a building, but he didn't want a building. My bubble was well and truly pricked.

There is a valuable lesson here for those of us in property when we consider what our clients and customers motives are for what we do. It is very easy to become tied up in the day to day issues of what is a complex business without ever seeing the core purpose that we are fulfilling.

Tim died a couple of years after that discussion but that it was a valuable lesson in what motivates the people who use and pay for our buildings.

Don't ignore the warnings from the OFT cover pricing investigation

noreply@blogger.com (Tony Carroll) — Thu, 01 Oct 2009 21:34:00 +0000

The unprecedented fines levied by the Office of Fair Trading on the 103 building companies declared guilty of involvement in cover pricing has sent a shockwave through a construction industry already reeling from the worst recession in memory. With individual fines up to £18m the firms involved have been hit hard.

Predictably the general media and their readers have latched on to the investigation and decided that the size of the fine represents the measure of guilt but closer examination shows that it isn't quite so straight forward. An unusual formula that includes the last three jobs involved in cover pricing and the proportion of that market sector in the turnover in the business means that one firm might have a million pound firm and another might have a hundred thousand even though the offences appear the same. On top of that some firms received leniency providing that they actually knew that they could apply before deadline expired, unlike Kier who at the time of writing is still 'considering its position'. We might not have heard the last of this affair.

But what about the other firms? Cover pricing is, or at least was, standard practice throughout the construction industry simply because contractors want to remain on clients and project managers tender lists. So in a way the OFT investigation has highlighted fundamental problems within the clients procurement process. The OFT has not been able to quantify any loss yet they are encouraging clients to sue the 'guilty' contractors. Controversially, the investigation was geographically and time limited meaning that those outside the area or a day past the deadline weren't included in investigations or sanctions. Contractors on the west of the Pennines escaped investigation while those on the east did not. This raises an obvious and deeply ironic point about the OFT actually creating an unfair market.

In their note to procurers the OFT themselves state that;

the endemic nature of the practice within the industry suggests that many other companies are likely to have been involved in bid rigging, even though such activity remained undetected. For this reason, it cannot be assumed that the Parties are the only companies that may have engaged in cover pricing.

Don't assume that those that received a fine were any more guilty than those who did not. They are now more likely to have strong internal procedures to avoid future problems. It might go against their natural inclination but clients and contract managers must take care when considering tender lists to ensure that firms aren't excluded without a valid reason. The OFT and Office of Government Commerce have been very clear.

Check the guidance issued by the OFT, OGC and and OECD and ensure that tendering contractors know that they can say no without fear of being excluded from the next tender list. A transparent and equitable contract procurement process should ensure that all parties get the best price, performance and ongoing relationship well into the future.

Window of opportunity to drive extreme value from projects

noreply@blogger.com (Tony Carroll) — Sat, 26 Sep 2009 06:25:00 +0000

The Building Cost Information Service are reporting that tender prices are not expected to return to pre-recession levels in the next five years. The next two few years were always expected to be tough but they predict that prices will continue to fall until growth returns in 2011. Worryingly though, building prices will rise steeply from then.

If their data turns out to be correct there is a small window of time to deliver extreme value on developments while build costs, land prices, interest rates and demand are all low. If developers are able to access funding the contracting industry is currently willing to price at cost just to stay in business. We would never advocate stripping out all profits because that is the road to disaster but open book tendering with pre-determined margins are increasingly attractive to both client and contractor alike.

We are seeing mounting evidence that clients are looking to dip a toe back in the market, so hopefully some of those unloved tower cranes will come back to life next year.

OFT cover pricing investigation results

noreply@blogger.com (Tony Carroll) — Tue, 22 Sep 2009 15:00:00 +0000

After five years the Office of Fair Trading has released a press statement and published the outcome of the investigation into cover pricing.

The decision follows an OFT Statement of Objections in April 2008 after one of its largest Competition Act investigations.

The OFT has concluded that the firms engaged in illegal anti-competitive bid-rigging activities on 199 tenders from 2000 to 2006, mostly in the form of 'cover pricing'.

Cover pricing is where one or more bidders in a tender process obtains an artificially high price from a competitor. Such cover bids are priced so as not to win the contract but are submitted as genuine bids, which gives a misleading impression to clients as to the real extent of competition. This distorts the tender process and makes it less likely that other potentially cheaper firms are invited to tender.

In 11 tendering rounds, the lowest bidder faced no genuine competition because all other bids were cover bids, leading to an even greater risk that the client may have unknowingly paid a higher price.

The OFT also found six instances where successful bidders had paid an agreed sum of money to the unsuccessful bidder (known as a 'compensation payment'). These payments of between £2,500 and £60,000 were facilitated by the raising of false invoices.

The infringements affected building projects across England worth in excess of £200 million including schools, universities hospitals, and numerous private projects from the construction of apartment blocks to housing refurbishments.

Eighty-six out of the 103 firms received reductions in their penalties because they admitted their involvement in cover pricing prior to today's decision.

The OFT has also informed nine companies originally listed in its Statement of Objections that it will not pursue allegations of bid-rigging against them as it considers it has insufficient evidence to proceed to an infringement finding.

Related guidance issued today by the OFT in conjunction with the Office of Government Commerce cautions procurers against excluding the infringing firms from future tenders, as the practice of cover pricing was widespread in the construction industry and those that have already faced investigation can now be expected to be particularly aware of the competition rules.

Simon Williams, the OFT's Senior Director for this case, said:

'Our investigation has uncovered significant infringements of competition law on nearly 200 projects across England. Bidding processes designed to ensure clients and in many cases taxpayers receive the best possible choice and price were distorted, creating a real risk of increased prices. This decision sends a strong message that anti-competitive and illegal practices, including cover pricing, must cease. The OFT welcomes initiatives by the leadership of the construction industry to add weight to that message through a clear compliance code which we hope will help to embed more fully a culture of competition within the construction sector.'

The wording is interesting because while enormous fines have been issued, and the firms involved have undoubtedly been in involved in anti-competitive practices, the OFT does not appear to have quantified any losses. It remains to be seen if clients, especially the public bodies such as councils and health authorities, try to quantify potential financial losses and pursue contractors through the courts... if they are in a position to pay in these financially straitened times.

BPF says that town centre life support plan is not enough

noreply@blogger.com (Tony Carroll) — Mon, 14 Sep 2009 06:38:00 +0000

Retail spend has experienced something of a mixed bag recently with some high street traders like Next seeing reasonable increases in profits alongside the supermarkets while French Connection and John Lewis are manning the barricades in the face of worsening figures.

Overall the retail figures for August remain flat with traders looking towards a Christmas boost to lift them out of the mire.

The Homes and Communities Agency £3m initiative to rejuvenate 57 town and city centres is attracting plenty of criticism. The number of vacant shops has tripled and there seems to be little prospect of a take up in retail space in the near future as large city centre retail schemes fall victim to the recession.

Ian Fletcher from the British Property Federation recently said 'First we had Hazel Blears’ craft fair solution and now we have £50,000 hand outs that are barely a drop in the ocean compared to the extent of the problem.’

The intention seems to be to fill empty shops with amateur art galleries and community cafés. That might not impress the owners of commercial cafés and galleries and £3m isn't anywhere near enough to make a huge difference nationally but it might provide lots of small catalysts for arts and community groups to keep the high street a little more active until economic times improve.

This might not be much of a shot in the arm for the beleaguered owners of empty properties as they battle with empty rates bills but it will provide some benefit for the third sector.

Provesta is working with an art collective to set up a network of community art galleries in the South Yorkshire region. More of that in another post.

... and the bees stole the show

noreply@blogger.com (Tony Carroll) — Wed, 09 Sep 2009 07:07:00 +0000

I had a great opportunity to attend the From Bees to Best Practice event organised by BITC at the beautiful Temple Newson near Leeds. That's me far right, dressed to kill!

The purpose was serious though. The speaker from Leeds Beekeepers outlined the issues around colony collapse that has seen the European honey bee population decimated by half in Yorkshire, and more in some places. That might not sound like a problem but bees provide the pollination that's vital for food production. Without them our dinner table would be bare.

The problem of colony collapse seems to be complex, and the result of a number of factors. Since its appearance in the UK after WW2 the Varroa mite has affected hives, killing bees and their young. Wetter summers and warmer winters have affected how bees hibernate over the winter. Pesticides also play their part. The combination weakens the colony often resulting in the complete elimination of a hive of maybe fifty thousand bees.

A visit to the ICON Business Centre highlighted some of the environmental protection measures that have been included. From chilled beams to grey water recycling and the sedum roof we saw a well designed example of the current tools coming into use, though it has to be said that the actual execution occasionally left a little be desired.

So far so good but of more interest to me was how the operators of the centre had bought into the green vision that their building provides. By occupying the building they have taken a real interest, almost to the point of evangelism. It really matters to them and their enthusiasm is infectious.

It's still early days for the environmental building movement but these examples put it into the mainstream and people are absorbing the clues simply by being there. This can only help secure the investment potential of being environmentally responsible.

Agfa Graphics lithographic plate plant provided the last site visit. Recent improvements in technology have reduced energy and materials consumption, with significant reductions in waste, much of which is now recycled rather than going to landfill. They haven't found a viable solution to dealing with some of the chemical effluents, but for now it is being managed safely while they look for a solution.

All in all it was a fascinating day looking at best practice... but the tiny bees were still the stars of the show!

Simple ways to make your project meetings more effective

noreply@blogger.com (Tony Carroll) — Tue, 18 Aug 2009 07:10:00 +0000

People usually fall into two categories - those who enjoy project meetings and those who hate them. Both sets of people are right. The opportunity to get together with the rest of the project team is one of the most valuable events that you can schedule, but they have the potential for wasting huge amounts of time and money if they aren't managed correctly.

You will know how to adapt for your particular situation but we have a few principles for running a productive project meeting.

Have the right person as chair

It sounds so obvious but all too often the most senior person in the group takes the chair rather than the right person. Clients are rarely the right person as they usually have issues driving them from outside the project rather than the day to day issues of the matter in hand. Choose carefully so that the chairperson has an overview on all aspects and can draw the group together and move them forward while avoiding getting bogged down with minutiae.

Think about your agenda

Any good agenda will have three key sections.

Section 1 - The basic information about the meeting.

Who should be there, where it is and the start and finish time. You can also put the date of the next meeting here.

Section 2 - What is being discussed.

By all means have a couple of regular items such as minutes from the previous meeting but remain focused on progress rather then past content or a rigid 'system'. If there is a major topic for discussion don't be afraid to put it down as a specific item and ensure that the group know that they should forward items for inclusion rather than waiting for the dreaded AOB. Consider which items are time critical and which require input from outside the meeting.

Section 3 - A schedule of attendees contact information and the future meetings.

Always set meetings dates as far in advance as possible, at least four weeks into the future. This should avoid those protracted discussions where everyone is looking at their diaries to try to find a day that works. A regular day, say every second Thursday at 10:00am, will allow the attendees to schedule the rest of their time. Including a contact schedule with minutes is just good old fashioned practice that will save plenty of time and excuses.

Accept that some people won't be able to make every single meeting and ensure that each person has a 'second' who can stand in for them. The project should remain the focus, not the individuals delivering it. If your project meeting demands detailed information then include it in sequence, not as an appendix.

Start and end on time

9:00am means 9:00am so if you need tea and bacon sandwiches beforehand then feel free to have refreshments as the 9:00am agenda item. It might find it useful for some attendees to have a meeting beforehand with people such as suppliers or subcontractors so you can gave the latest information to hand. You might also want to bring one of them into your project meeting if there is a key issue that concerns them.

End times are equally important. Most meetings can be dispatched in an hour but you will get a feel for how long you really need if the chair is adept at keeping it moving along.

Resolve each item

Before moving onto the next item make sure that each item has an action point, even if it is 'no action' or 'held over to next meeting'. Don't be afraid to reschedule items for a later date if it is not time critical.

Distribute minutes within twenty four hours

That sounds like an impossible challenge but trust us on this one. How often have you distributed minutes the day before the next meeting? Late minutes are no good to anyone except in court.

Minutes aren't a record for posterity, they a live working document that shows the decisions, actions and responsibilities held by the group. Unless they are with the people that are carrying out those actions they will not be focused or collaborative. Failure to get those minutes out will often mean that the next meeting is full of excuses, blame and panic about the delays that are stacking up.

All minutes will have an item number, the item itself, the required output or action and the person who is actually going to be responsible, not an organisation. Include a draft agenda for the next meeting with a request for any items for inclusion by a specific date.

One final point that is worth remembering; all too often meetings are where minutes are kept and hours are lost. It doesn't have to be that way.

Keep up to date with planning applications near you

noreply@blogger.com (Tony Carroll) — Mon, 17 Aug 2009 12:19:00 +0000

We've come across a useful service that enables you to create an email alert that flags up planning applications in a given radius around a postcode.

It can be found at www.planningalerts.com.

Are some radical changes in building design floating over the horizon?

noreply@blogger.com (Tony Carroll) — Mon, 17 Aug 2009 05:12:00 +0000

If the futurologists are correct we are about to see a huge shift in how our buildings work. Cloud computing is still in the formative stages but I can see a trend developing that will eventually be able to replace the traditional model of tethered desktop working.

There is endless geeky debate about what cloud computing actually is, but the key feature that affects the built environment is that by putting data and even the applications onto the cloud a business and its people will be able to free itself from the geographic restrictions and therefore the need for a building to carry out those traditional functions.

We've all seen laptops scattered around coffee shops. Whereas a few years ago those people were seen as either hardcore road warriors or sales reps far from home, the changes in accessibility mean that those meetings are now equally likely to be about business deals, job interviews, or even architects working on drawings.

Those people aren't just working remotely from the office. They have understood (even if they don't realise it) that don't actually need an office at all!

It's early days and this new-found flexibility could easily be mistaken as the death knell of the traditional office but I think that is a little premature. We are social creatures and the fact that coffee shops are providing meeting places says a lot about the desire to get together with colleagues.

What seems more likely is that there will be a shift in how commercial premises are used. Rather than being stuffed full of tethered technology a new model (models?) look like emerging where the building acts as a venue for the human network within.

That might mean smaller buildings with more flexible layouts. Perhaps hot-desking principles will see a resurgence or perhaps we'll see more collaborative office layouts where groups form and disband quickly around projects rather than corporate structures.

Using the construction industry as our example, we've already seen on-site design offices. In the same way project teams from different disciplines and different firms could come together in a place to work together - maybe even for only a couple of days a week if they are engaged on multiple projects, with multiple teams. The physical closeness of the people in the team should lead to a better output in a shorter time with fewer problems, delays and future defects.

The key factor is the flexibility to form groups, sub-groups and then disband them within the project context.

It follows that the building will need to adapt to follow suit. Most of us would recognise that a building in no more than a container for what goes on inside. If the insides don't need lots of technology, plant, equipment, HVAC, wiring, etc then the requirements for that container will change fundamentally.

Cloud computing might be the driver of the next great leap in workplace trends.

Unite go ahead with new 3rd party investment

noreply@blogger.com (Tony Carroll) — Sat, 15 Aug 2009 08:05:00 +0000

There is a some good news in the student accommodation sector as Unite PLC sign up to a joint venture with the Bahrainian Oasis Capital Bank. They will fund the development of three new student accommodation properties in London with a completed value of £194m. For their part Unite will provide the pre-fabricated accommodation module at market value and manage the project for a 5% fee. After completion Unite will manage the schemes.

It's a creative way to keep student development going forward and while the London schemes are very much in the elite segment of the market they will help to sustain the modern student accommodation model, further improving the living standards of residents.

The schemes are:

Lavington Street: a 230 bed development situated on the South Bank near the Tate Modern and in close proximity to Southwark underground station. Planning consent was granted in July 2008 and practical completion is scheduled for August 2010.

James Leicester Hall: a 573 bed development situated in an established student area adjacent to Caledonian Road underground station. The site was acquired in November 2008 with a detailed planning consent in place. Practical completion is scheduled for August 2010.

301 Holloway Road: a 316 bed development situated in Islington, adjacent to Holloway Road underground station and 200m from London Metropolitan University, North Campus. Planning consent was granted in August 2008, and practical completion is scheduled for August 201

5 planning pitfalls to avoid

noreply@blogger.com (Tony Carroll) — Sat, 08 Aug 2009 18:14:00 +0000

All too often when we get carried away on a wave of enthusiasm for a new development but there are lots of traps for the unwary seeking a planning permission for their property.

These five common pitfalls are all too easy to fall into, especially when you are concentrating on running a business that earns the money to pay for your proposal. Planning is largely procedural with an equal amount of changeable opinion thrown in but be prepared to commit time and resources if intend to succeed. No two proposals are ever the same but the pleasure given by a positive decision always feels fabulous.

1. Don't delay, speak to the planning department early

Planners get a bad press, but it isn't always deserved. Most local authorities will support their planning departments getting involved in pre-consultation for schemes because it saves time later. The trouble is that planners receive lots of calls about ideas that go nowhere, impossible or improbable uses and people who just want a letter to increase the value of their land.

You need to present yourself credibly to the planner. Find out who is dealing with your area and importantly make sure that you speak to the right officer for your project. Some officers have particular specialities, briefs or interests and finding the right one can make your dealings a pleasure. The wrong officer can lead to a whole world of heartache.

Most will welcome a call and a meeting so be prepared to have a meaningful dialogue that you both benefit from.

3. Don't do it all yourself

This goes without saying for most people but you would be amazed at the number of times that somebody turns up at the planning department without a clue about what they are doing.

Being a captain of the widget industry doesn't help when plotting a route through the complexities of creating buildings that meet the myriad laws. policies, occupier requirements... and let's be honest - opinion! Get yourself an architect, planning consultant, project manager or development consultant and let them deal with it.

3. Don't assume that planning policy is what it seems

Planning policy - it's a minefield. Laws are handed down from central government which are then interpreted and implemented by local authorities after interminable consultations, councillor meetings, votes and very occasionally catering for public opinion.

But even when it is published in the local plan / framework / policy it can change for seemingly bizarre reasons. It's important to keep yourself up to speed with changes and again it's back to speaking to the planning officials. Just be sure that you are speaking to the right ones because all too often in local authorities the right hand doesn't know what the left is up to.

4. Don't forget to speak to the natives

When we're tied up in negotiations with officials it's all too easy to forget that your development will affect somebody. It might be one neighbour or it might be the entire district but it's guaranteed that somebody will be interested and the supporters rarely make themselves known so you might well have to face the wrath of the locals.

Consider holding a public meeting on neutral territory, be open about what you are doing. It's difficult to pull the wool over peoples eyes when you are erecting a building. By engaging you have the opportunity to demonstrate that your scheme isn't a blight and that it can bring real benefits to the area. Supporters are as rare as hens teeth but if you have some invite them along too.

Letters to neighbours or maybe a phone call to explain will give you great PR. Even if they don't agree with your plans they can't say that they didn't know or get a chance to have their say. This kind of open consultation does make a difference when presenting your case to the planning committee.

You will probably be pleasantly surprised at the outcome of local consultations because most people are just worried about the unknown. By presenting the scheme properly and professionally you will probably allay many fears that would otherwise have turned into objections.

Councillors and MP's can be helpful but don't forget that they have an eye on the next election and they can change their mind right up to the time of the vote in the chamber. MP's tend to go with the flow but take care, if you do decide to speak to councillors as you might find that they declare an interest and abstain from voting. That abstention might have been the casting vote in your favour.

5. Don't underestimate the impact of delays

8 weeks -that's the government's stipulated period for determining planning applications. You might get lucky but if your project is of any size it's probable that they will extend that period with your grudging permission.

That might not be the last of it though because it is quite possible that your application might take a year or more to determine so have a close look at what the effect will be in terms of time, money and the knock on problems caused by extended or unexpected delays.

Some planning departments are better than others but don't underestimate their potential to make life a misery while you are going through the process. The costs of delays could affect your entire business and the bank might not hold open a finance offer.

Why sharing is good for business

noreply@blogger.com (Tony Carroll) — Sat, 01 Aug 2009 14:40:00 +0000

After the success of the blog network that we created for Hobson and Porter they asked Provesta to look at a number of ways of further improving how they communicate to the outside world.

Andrew McCormick, H&P's business improvement manager, is an advocate of giving clients what they want and he's seen it improve client confidence and satisfaction as a result. Instead of being overly cautious and afraid of negative feedback he actually asks clients what they really think of H&P and how well they did on their projects. The results are then fed back into further improving the business.

Transparency has become increasingly important to industry and local authorities are taking up the challenge and encouraging their suppliers to do likewise. Provesta created a new website using the free tools at Google Sites. Hobson and Porter Share is loosely based on a wiki format which allows anyone with permission to create web pages, post documents and information that is pertinent to the company or projects. The level of openly available data far exceeds what most companies make available online which reinforces the transparent future that H&P see for their business as projects become more focused on long term partnering and framework agreements.

Already Hobson and Porter are seeing that their approach to bidding for work is having dividends as they are selected increasingly for the quality of their bid rather than just the price.

Video game buildings

noreply@blogger.com (Tony Carroll) — Fri, 24 Jul 2009 05:16:00 +0000

Buildings don't have to be boring. How about a game of snake or tetris?

Property confidence hits a new low

noreply@blogger.com (Tony Carroll) — Tue, 21 Jul 2009 19:28:00 +0000

Not much happens in the summer but it does give people time to take stock. Grant Thornton have just published their latest International Business Report which among other things takes a snapshot of business confidence. It makes grim reading:

The level of optimism amongst UK privately held businesses (PHBs) has plunged by 57% in the past twelve months, taking the Grant Thornton International optimism/pessimism barometer to an all-time low.
The figures released today form part of Grant Thornton's International Business Report (IBR), which canvassed 7,200 business across 36 countries. In the UK it sought the opinions of CEOs, MDs, Chairmen and senior executives of 600 large and medium business.
67% of UK PHBs have a slightly or very pessimistic outlook for the economy in 2009 compared to a mere 20% that declare any optimism. The UK's result is the most pessimistic recorded since the survey began in 2003 and places it firmly in the bottom ten internationally.
The number of senior executives expressing pessimism was highest in construction and real estate companies (80%), retail (72%) and manufacturing (67%).

Not surprisingly construction and property is furthest into the doldrums with little to get excited about until at least the autumn.

We can probably expect that September will see some relaxation of finance to business and consumers but it looks like being a long heard slog and it's difficult to predict if there will be any recovery. It's quite likely that this is it for the foreseeable future so we had better get used to it.