The first of a two-part look at the major developments and big names that made an impact in 2016. Lisa Pilkington and Stacey Meadwell report on the year’s highs, lows, name-makers and game-changers
JANUARY
People David Smeeton (right) jumps ship after nearly two decades at Colliers International as head of the firm’s Birmingham office, going to Cushman & Wakefield to head the investment team in the city.
Manchester Ares Management kicks off the new year by buying Carlyle Group’s Three and Four Piccadilly Place for around £118m – a 5.75% yield.
FEBRUARY
Birmingham Hammerson & Canada Pension Plan Investment Board enter a joint venture to acquire the 500,000 sq ft Grand Central shopping centre for £335m – a 4% yield. In the same month, M&G Real Estate acquires Three Snowhill from Ballymore. M&G will also fund the £200m construction cost of the 420,000 sq ft building.
Bristol Utility company EDF takes the remaining 81,000 sq ft at Bridgewater House, part of Cubex’s Finzels Reach development. It is the city’s largest letting this year.
South Wales Aston Martin revs up the South Wales industrial market by announcing it is to open a factory in the Vale of Glamorgan. A few weeks later, TVR announces similar plans for Ebbw Vale.
MARCH
Birmingham Hermes sells a 50% stake in the £150m office-led first phase of its Paradise development to CPPIB. Also at Paradise, PwC signs a 90,000 sq ft prelet and becomes the first tenant to sign up at the £500m city centre regen scheme.
Glasgow Accountancy body ACCA signs for 56,000 sq ft at CONNECT110NS, Queen Street, the largest grade-A office deal in the city since 2010.
Cardiff MotoNovo Finance takes 71,500 sq ft at One Central Square in the Welsh capital, becoming the largest deal there of 2016 so far.
Leeds Credit Suisse goes under offer to buy the 120,000 sq ft office building No 1 Leeds at 26 Whitehall Road from Triuva for close to £37m – yield 6.5% in what is one of the largest investment deals in the city this year.
APRIL
Birmingham Nikal strikes a deal for the £100m sale of the first phase of its Exchange Square build-to-rent development to LaSalle Investment Management. As one of the largest residential developments outside London, it comprises 603 flats spread over three buildings.
Bristol In what would go on to be a bumper year for the Avonmouth distribution market, Lidl buys a 33-acre site at Delta properties’
Central Park for a 600,000 sq ft distribution centre.
MAY
Reading Singaporean investor Mapletree completes its acquisition of Oxford Properties Group’s Green Park for £563m in possibly the largest investment deal in the South East for 2016.
Bristol Marvin Rees (right) is voted mayor for Bristol beating red-trousered George Ferguson who had served two terms and was expected to make a third.
Liverpool Incumbent Labour candidate Joe Anderson romps home with more than half the votes cast on Merseyside for his second term. Later in the year he proposes a council tax rise (which would require a referendum) to compensate for cuts in government funding.
People Michelle Steele, head of Deloitte Real Estate’s North West operation in Manchester, starts a small exodus when she moves to Select Property Group in the city as strategic planning director. She is followed out of the DRE door in August by Jay Patel who becomes a director in Savills’ Manchester planning team.
JUNE
Sheffield Queensberry is selected by the council as preferred developer for the £480m Sheffield Retail Quarter. It is the latest instalment of a long-running (non)- redevelopment saga in which Hammerson was ditched after failing to make a start on the Sevenstone predecessor project.
The B word Reactions in the regions to the EU referendum result are mixed, particularly in areas that had voted leave. Scotland is particularly vocal about its 62% margin in favour of remain.
Salford LaSalle Investment Management pays £110m for Renaker Build’s Greengate development. The deal is the most significant institutional investment into Manchester’s PRS market to date. The scheme comprises 497 build-to-rent apartments in twin towers of 21 and 31 storeys.
JULY
Brexit fall-out Many deals in UK cities slow down or pause in the wake of the referendum decision. Many later restart towards the end of the year – at the end of Q3, CBRE states that total take-up in the nine key UK cities is down just 1.5% on the five-year average for the first three quarters of each year.
Newcastle Convergys signs the city centre’s biggest deal since the recession, taking 35,000 sq ft at The Rocket, in the Stephenson Quarter (above).
AUGUST
Cambridge Much wringing of hands in the Silicon Fens when Japan’s SoftBank buys the last major UK technology firm ARM, in a deal that could be as significant as when AstraZeneca announced it was moving its HQ to the city. Also in August, Illumina announces it is pressing ahead with a new 250,000 sq ft European HQ at Granta Park, outside the city centre.
Manchester Deka Immobilien buys the 288,000 sq ft One St Peter’s Square (above) for £164m from Argent and the Greater Manchester Property Venture Fund.
PROPERTY’S POINT OF VIEW
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UK regions: The highs, lows and game changers in 2016 – part 2
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Looking ahead – the regional view of the UK in 2017
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2017 outlook: Risk and opportunity amid uncertainty
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2017: The shape of things to come
