Hull Uni secures £130m accommodation scheme

hull-uni-secures-130m-accommodation-schemeUniversity Partnerships Programme (UPP) has been appointed as preferred bidder to deliver a new student accommodation scheme for the University of Hull valued at around £130 million.

The 43-year partnership between the University and UPP will provide a further 1,450 students with a room, helping to meet the growing demand for high quality, on-campus accommodation.

The scheme will comprise a mixture of new build and estate transfer and UPP will raise the required investment and handle the design, construction and operation of the scheme. The construction value of the project is more than £80 million.

This latest partnership boosts UPP’s portfolio to around 31,500 rooms through long term partnerships with 15 leading universities across the UK.

Once the transaction is complete, UPP will have invested approximately £2.2 billion in universities across the UK since 1998, demonstrating the appetite amongst long term institutional investment for the higher education sector.

Sean O’Shea, Group Chief Executive of UPP, said: “We are committed to driving investment into the UK’s higher education sector and plan to invest a further £1 billion into universities over the next two years that will help deliver world class infrastructure and continue attracting the brightest and best students from across the world.”

Stephen Willis, Chief Finance Officer at the University of Hull, said: “The bold transformation well under-way on campus is a critical element in ensuring an outstanding student experience and a huge statement of confidence in the future of both the University and the city of Hull. We’re proud to be investing so significantly in making Hull a highly desirable place to live, work, study, visit and invest.”

Carillion selected by Centrica for £90m scheme

carillion-selected-by-centrica-for-90m-schemeCarillion has been selected by Centrica plc as its preferred partner to deliver facilities management and project services for an initial period of five years, which can be extended to seven years.

The contract has an estimated value to Carillion of some £90 million over five years with service delivery scheduled to start in December 2016.

Carillion has worked in close partnership with Centrica for over a decade as managing agent, helping to deliver significant value to Centrica’s British Gas business.

The new contract builds on this successful relationship with an extension of scope to a Total Facilities Management (TFM) service.

Under the new contract Carillion will provide a wide range of hard and soft facilities management services, including asset surveys and planning, planned and reactive maintenance, cleaning, security and catering for Centrica’s 115 locations in the UK and Republic of Ireland, together with the delivery of certain construction projects for Centrica.

Carillion’s Chief Executive, Richard Howson, said: “We have worked closely with Centrica since 2005 and built a strong partnership. We are delighted to be extending this relationship, which is based on a one-team approach in which Carillion and Centrica work together to deliver award-winning standards of facilities management and customer service across all Centrica and British Gas sites.”

Apache in joint venture with Moda Living

apache-in-joint-venture-with-moda-livingApache Capital Partners has announced a joint venture with Moda Living to plan and build projects of approximately 5,000 homes and a gross development value of £1 billion.

This strategic joint venture makes Apache Capital the long term funding partner of Moda Living. The partnership is expected to create the largest owner of regional purpose-built PRS and one of the largest owners of PRS overall in the UK.

The portfolio concentrates on regional centres where population growth and an undersupply of residential accommodation looks set to trigger rental and capital growth over the next few years.

A focus on prime locations attracting the ideal tenant profile for PRS developments; 20-44 year olds with disposable income who demand locations and buildings that come with high quality services and amenities.

Richard Jackson, Co-Founder and Managing Director of Apache Capital Partners, said: “We at Apache Capital have seen a strong demand from our Middle Eastern investors in the UK’s Private Rented Sector.

This is partly because PRS is already an established sector in the region, the sector’s continuing supply/demand imbalance in the UK, but also coupled with the prevailing lifestyle shift toward flexible living that delivers high quality amenities and services.

“The 5,000 unit secured portfolio provides us immediate scale and Apache Capital and Moda Living will currently be the largest owner of regional purpose-built PRS and the second largest owner overall in the UK.

“This strategy builds on the success of Apache Capital’s Social Infrastructure investment platform, where we have aggregated an institutional grade portfolio of assets in the student accommodation and healthcare sectors.”

SES Engineering Services gets two London projects

ses-engineering-services-gets-two-london-projectsSES Engineering Services is building on its major success at the heart of the redevelopment of King’s Cross after winning a duo of central London new build projects.

The company was appointed to deliver mechanical, electrical and plumbing (MEP) services on the 12-storey S2 Grade A office building as part of the King’s Cross regeneration scheme.

The company has been awarded an £18.6 million MEP contract to deliver Barts Square Phase One, a new £110 million high-end residential development in the St Bart’s Hospital area in Farringdon.

SES will continue work with Carillion on the commercial King’s Cross project – and will be working with client Helical Plc for the first time to deliver 144 luxury apartments with a selection of one, two and three-bedroom apartments and penthouses located in seven property blocks.

The dual wins represent a major milestone for SES’ London and South East operation and are testament to SES’ reputation for delivering innovative, cost and time saving off-site manufacturing solutions on logistically challenging city-centre projects.

SES’s engineering expertise was fundamental to its appointment on the King’s Cross S2 project, in response to the client’s requirement to deliver the very latest Building Information Modelling (BIM) technology.

Tim Cunningham, SES Regional Director, London and South East also said: “This is a truly exciting time for our London and South East operation and the growth of our business is down to our teams’ exemplary work and innovative off-site approach.

We’re tremendously proud of our work on The Plimsoll Building and the Gasholder residential schemes at King’s Cross so we’re thrilled to continue that relationship for the S2 office project.

Likewise, our ability to deliver these critical city-centre residential schemes on time and on budget has been essential to winning the innovative and prestigious Barts Square project.”

Birmingham signs £2bn scheme with Chinese developer

birmingham-signs-2bn-scheme-with-chinese-developerBirmingham City Council has signed a deal with the fifth-largest property developer in China that could be worth up to £2bn to the local economy.

As part of the agreement, the Hong Kong Stock Exchange-listed company Country Garden will explore large-scale investment opportunities in Birmingham, with particular focus around HS2.

It also agreed to work with the council to deliver large numbers of new homes.

Council leader John Clancy signed the joint statement of investment commitment with Country Garden on a week-long trade mission to China.

Cllr Clancy said: “The landscape has inevitably changed post-Brexit and Birmingham is already out of the starting blocks. That’s why I’m here selling our city to many of China’s leading investors.

This agreement is about bringing good jobs and quality homes to Birmingham.

Country Garden has a proven track record of building homes at pace and scale. They have played a major role over the last 20 years, as housebuilders have met the massive demands of China’s rapidly expanding economy.”

Founded in 1992, Country Garden has developed 300 high-end township developments, 54 five-star hotels and more than 2.5 million properties.

Country Garden founder and chairman Yang Guoqiang added: “I have been impressed with Birmingham’s ambition and huge potential.

We have a proven track record in delivering quality housing at a scale to match Birmingham’s ambitions and with major projects coming to the city, including the forthcoming High Speed two project, these are exciting times for Country Garden and Birmingham.”

New Bill will boost growth and house building

Government welcomes house building boostMeasures in the new Neighbourhood Planning Bill will support more house building and provide support to local developments, the Housing and Planning Minister announced this week.

The Bill will speed up and strengthen the popular neighbourhood planning process by simplifying how plans can be revised as local circumstances change and ensure that plans come into force sooner once approved by local people.

Housing and Planning Minister Gavin Barwell said: “The Prime Minister has been absolutely clear that we need to build more homes and this Bill is the first of a number of measures to deliver on that.

“We have already built more than 900,000 homes since 2010 and now this Bill will help speed up delivery of the further new homes our country needs and ensure our foot is still firmly on the pedal.

“We’re also going further than ever before to speed up neighbourhood planning which puts power in the hands of local people to decide where development gets built.”

There will also be a simplifying of the compulsory purchase order process to make it clearer, fairer and faster.

Further Bill measures will ensure that planning conditions which require developers to take action before work starts are only used where strictly necessary, but in a way that ensures important heritage and environmental safeguards remain in place, so that once a developer has planning permission they can get on and start building as soon as possible.

This government is determined to boost home building and is taking forward the boldest ambition for housing in a generation, with a pledge to deliver one million new homes and a doubling of the housing budget to £20 billion.

Kier launches new housing venture in the North

Kier LivingKier Living has launched a new venture designed to build a thousand of homes per annum within 3 years by creating long-term housing delivery partnerships in the north of England.

The first partnership to be confirmed is between Kier and leading northern HA Together Housing Group (THG); a JV relationship which will develop mixed tenure housing projects across Yorkshire, Humber and the North West, with the first new development site, for 113 properties for outright sale in Huddersfield, West Yorkshire.

The Northern Ventures model offers a full mixed tenure development partnership, enabling registered providers with development aspirations and revenue needs to share activity, transfer risk and tap into Kier’s mixed tenure development expertise, national presence and sales infrastructure.

Unlike other partnerships, this JV is for multiple sites rather than a single-site partnership, meaning the JV can work together more collaboratively, harnessing regional expertise, investment momentum and innovation and developing a range of potential sites.

Kier Living has put in place a specialist Northern Ventures senior team, as it is expected that this approach will appeal to a wide range of land owners, from private land owners where a high output of affordable housing is required to achieve planning, through to public sector land owners who want to meet mixed tenure housing targets.

Paul Moore, managing director of Kier Living North said: “We are looking at a joint venture model that provides a longer-term sustainable relationship with a 3 -5 year business plan, giving both partners diverse and sustainable benefits.

“By working together, we can look at larger scale opportunities that are not only attractive financially for both parties, but contribute extra mixed tenure new homes to meet the current UK shortage.

With Government focus on home ownership, the joint venture gives our partners opportunities to build housing stock of all tenures, as well as generating a commercial return on their investment that can be re-invested in the sector.”

Mark Dunford, finance director of Together Housing Group added: “THG is excited to enter into this partnership with Kier Living to ensure we continue to meet the aspirations of both the Government and our own growth strategy.

With focus now on home ownership, we needed to work closely with an experienced developer not only to share the risk and reward but also to learn from their experience and knowledge.

“The intention is to build 500 new properties per year and establish site specific limited liability partnership for each scheme. Any profit returned to the Group will be used to fund our affordable housing programme.”

UK remains number one investment destination in Europe

UK remains number one investment destination in EuropeNew FDI figures show the UK had a record number of inward investment projects and created second highest number of jobs ever in 2015 to 2016.

Britain has benefitted from record-breaking inward investment by foreign companies, International Trade Secretary Liam Fox has announced.

Across the country, 2,213 inward investment projects were secured in 2015 to 2016, an 11% increase on the previous year. This lead to around 116,000 jobs being created or safeguarded – the second highest number on record.

Almost 1,600 new jobs a week were created by foreign direct investment (FDI) in 2015 to 2016.

UK Trade & Investment (UKTI), now part of the Department for International Trade (DIT), helped to secure 4 out of 5 of the projects that created these jobs.

Since 2010, nearly 390,000 new jobs have been created through foreign direct investment in the UK.

Read DIT inward investment results for the tax year 2015 to 2016.

The department has recorded more foreign direct investment projects than ever before and, according to the EY UK Attractiveness Survey, the UK’s strong performance sees it retain its spot as the number one place in Europe for foreign investment.

Responsible for promoting British trade across the world, DIT helps secure investment from overseas companies for projects in the UK. The department’s annual FDI figures are based on UK job creation and number of projects secured.

International Trade Secretary, Liam Fox, said: “These impressive results show the UK continues to be the place to do business.

We’ve broadened our reach with emerging markets across the world to cement our position as the number one destination in Europe for investment.

This continued vote of confidence in the UK will help attract foreign investment to create jobs, security and opportunities for people across the UK.

Dr Adam Marshall, Acting Director General of the British Chambers of Commerce, said: “Keeping the UK attractive to overseas investors is important for our future success. Last year’s up-tick in foreign direct investment is a welcome boost to business, and a good indicator of underlying confidence in the UK economy.”

 

Cheltenham office scheme to create new jobs

Cheltenham office plan to create new jobsA £15 million office development set to bring up to 500 jobs to Cheltenham has been submitted for planning.

Property investor Formal Investments wants to create more than 80,000 square feet of prime offices as the new HQ for a major international business keen to relocate to the town.

Honeybourne Place has been pre-let to the global company and, subject to the plans receiving permission, construction could begin in 2017 with the occupier moving to Cheltenham in 2019.

Previous plans for Honeybourne Place, at Jessop Avenue, have been revised in this new application because the occupier wants more office space than originally envisaged.

The desired office space has been boosted by more than 20 per cent by removing other elements, including residential units. A detailed planning application has this week been made to Cheltenham Borough Council for the high quality six-storey landmark building.

Nicholas King, a director at Formal Investments, said: “The striking landmark building will help deliver economic growth and bring further major inward investment in a location that has cemented itself as a key business district for Cheltenham.”

Jeremy Williamson, managing director of Cheltenham Development Taskforce, said: “It is always pleasing to bring forward a brown field site, but even more so when it has such job creation potential and is promoted by local investors such as Formal Investments.”

Steve Jordan, Cheltenham Borough Council leader, said: “Securing this investment in the centre of Cheltenham is a real coup, given the high value jobs that it will generate.”

Michael Ratcliffe, chief executive of Cheltenham Chamber of Commerce, said: “We are delighted at the investment in town centre office accommodation, as employment is the lifeblood of the economy.”

Kier secures £5bn hat-trick of major construction schemes

Kier 2Kier’s construction arm has confirmed it has secured places on a trio of major construction frameworks with a potential spend of £5bn that will create new jobs and boost the trades.

These include:

•    A place on the four-year £4bn Department of Health Procure22 framework as one of six principle supply chain partners which commences in October.  Kier Construction is a leading provider in the health sector having delivered over £170m of health projects over the last twelve months.

•    A place as one of five suppliers on two five-year construction frameworks worth up to £750m at Gatwick Airport. The frameworks cover building and civil engineering projects up to £10m as well as a smaller works framework for building projects up to £1.5m. The award reflects Kier’s increasing profile in the aviation sector with a place recently secured on the framework at Glasgow airport focused on infrastructure improvements.

•    A place on the two-year £500m University of Cambridge Framework to provide a range of facilities including laboratories, teaching and lecture spaces and sport facilities. This construction framework provides opportunity to build on our established working relationship with the University.

Kier Group chief executive, Haydn Mursell, said: “These awards demonstrate the breadth of our offering and the strength of our relationships with clients across a wide range of sectors, including healthcare, aviation and education.

Such awards, which account for approximately half of our UK regional building revenues, enable us to work closely with our clients to deliver on their long-term requirements and they further bolster our strong Construction order book.”