Head of Land, Development and New Homes, Jonathan Rudge, gives his thoughts on the region’s residential property market and the firm's approach to supporting the development and housing industries.
It’s no secret that recently published government figures indicated that the number of new build homes under construction has dwindled. The ministry of housing, communities and local government (MHCLG), estimated new build home starts in England were at 37,220 in the latest quarter to be analysed (April-June 2019), a 2% decrease compared to the previous 3 months and an 8% decrease on the previous year. Annual new build dwelling starts totaled 160,640 in the year to June 2019, a minor 1% decrease compared with 2018.
From our observations across the industry, however, the inactivity reported is largely focused outside of our region and towards a narrow range of national corporations which are erring on the side of caution due to Brexit.
Thankfully, in the North East, development activity continued thanks in no small part to the growing range of independent builders who have begun to flourish. Previously, many of those who endeavored to enter the industry have had issues gaining funding or struggled to receive the correct advice. With the launch of funding and support from Homes England, as well as locally based fund managers such as FW Capital, Tier One Capital and Manchester-based Assetz Capital, access to funding is becoming more accessible for the right projects.
In addition, public and third sector bodies are channeling their efforts into delivering new opportunities for homeowners. Local Authorities, Housing Associations and even the NHS are highly influential in this industry, each providing different development opportunities.
Homes England are the government body responsible for delivering on the Government’s housing growth agenda and, within our region, are also a significant owner of residential development land.
Our ability to become involved in such projects was heightened recently as Bradley Hall is now appointed alongside a number of international property companies to help support Homes England in delivering on the government’s housing targets between now and 2022. In addition, this framework can be utilised by other public sector bodies to procure property advice efficiently and cost effectively. In addition, Bradley Hall has also recently been signed up to the NHS Commercial Solutions Framework for property and estates consultancy services.
Part of our ‘field to finish’ approach is supporting our clients with bank valuation reports for funding purposes. The experience and wealth of industry knowledge within our Land, Development & New Homes team, with support from our sister companies BH Planning & Design, as well as Bradley Hall’s Commercial Property department, allows us to comprehensively appraise new opportunities and identify their commercial viability.
The current climate, teamed with a variety of land opportunities and new, more accessible, funding options has encouraged dozens of developers to embark on new and exciting projects across the region. The growth in regional housebuilders has led to an important shift in developments, encouraging a range of variety and high-quality builds.
Independent and locally based house builders are now able to take advantage of land opportunities which haven’t been snapped up by the national housebuilders. Smaller developments, from more affordable houses to luxury and exclusive homes, are becoming increasingly popular both with builders and buyers alike.
Our mission is to provide project management from the initial concept stages to the very end stage of completing sales on the properties. We’re delighted to be acting on be supporting the region’s emerging, and established, housebuilders which not only provide outstanding opportunities for homebuyers, but also support our local economy with job opportunities and attracting inward investment.
For more information on our Land, Development and New Homes services please visit here or read it in Portfolio here
