placeexpo future cities: mike horner, muse developments

Mike Horner

Regional DirectorMuse Developments

17 June 2014

Future Cities

Format

> An introduction to Muse

> City Place and Chester CBD

> A developer’s perspective

An introduction to Muse

Regional presence; national strength

> Established 1984

> UK development company

> Proven track record

> Experts in partnership delivery

> Four regional offices

Track record

3,600,000 sq ft 2,000,000 sq ft 1,500,000 sq ft 1,500,000 sq ft 3,000,000 sq ft 1,725 units

Commercial Offices

Public Sector Offices Leisure Retail Distribution Residential

Development partner of choice

Newcastle city centre

Quayside, Newcastle upon Tyne a new commercial quarter with offices, a hotel, leisure and car parks

Durham city centre

Durham Walkergate a new city centre venue with a hotel, restaurants, leisure, car park and residential

Manchester city centre

Barbirolli Square, Manchester canal-side office and leisure development 85% pre-let and forward funded

Some current city centre schemes

Stockport Exchange

Phase 1- new 1,000 space MSCP; Phase 2 – office/ retail

One New Bailey, Salford

Phase 1 commercial - offices, hotel and MSCP

Bridge Street Quarter, Warrington

Retail/ leisure, new market and Council offices

Sovereign Square, Leeds

60,000 sq ft office development for KPMG

Marischal Square, Aberdeen

A new mixed-use quarter fully funded by Aviva Investors

Talbot Gateway, Blackpool

Phase 1 - civic offices for Blackpool Council, Sainsbury’s supermarket and MSCP

One Smithfield Square, Manchester

77 new apartments and 6,000 sq ft ground floor commercial space

Merchant Gate, Wakefield

Office, retail/ leisure scheme plus new Council offices and MSCP

Doncaster Civic & Cultural Quarter

Residential and leisure scheme plus new Council offices and MSCP

‘Your New Town Hall’, Lambeth

Council offices, commercial space and up to 275 new homes

Chatham Place, Reading

Phase 2 - 184 apartments in two buildings with ground floor retail

Lewisham Gateway, London

Phase 1 - 193 apartments in two buildings with 5,500 sq ft retail

Summary

> One of the UK’s foremost developers

> Delivering in partnership

> Track record in regeneration

> Experts in mixed-use schemes

> Strong city centre portfolio

City Placeand Chester CBD

Location

Location

Masterplan summary

> Up to 10 buildings

> Up to 500,000 square feet of space

> c.200 canal side residential units

> c.£120m development value

> Enhanced gateway

> CW&C delivered public realm and relocated car park

Masterplan

New station car park

Work has started!

Gateway works

Making the place

> New station car park

> New gateway and pedestrian access

> Relocated police station

> New public realm

Phase 1 delivery

> Six storey, Grade A office building

> 70,000 square feet

> Minimum BREEAM Excellent

> Potential ground floor active use

> £16.5m value

> £19.50 - £21.00 psf rent (inc. parking)

> Evergreen and ERDF funding

Masterplan

Phase 1 office building

c.70,000 sq ft

View from the station

Phase 1 programme

> Complete new station car park May 2014

> Commence phase 1 building June 2014

> Commence public realm works August 2014

> Complete phase 1 building and public realm September 2015

> Commence residential development August 2015

A business location

City centres – a developer’s perspective

A developer’s perspective

> Transport hubs

> Regeneration/ Planning Policy

> Lifestyle choice

> Knowledge workers

> Investor demand

> The urban tendency is here to stay

CBDs

> Grade A supply very low

> Rents starting to climb again – slowly!

> Investment activity in Manchester, not in Liverpool

> Large corporates; large floorplates

> 2013 – 865k sq ft take up in Manchester

> Ownership challenges

> Viability challenges

Looking forward

> Investors increasingly focused on city centres

> City sub regions

> Lease length issues/ flexible work space

> Entrepreneurial landlords

> PRS – a new sector

> Mixed-use schemes

> Airport City

Summary

> Pull of city centres will get stronger

> Live, work and play – residential, commercial and leisure

> Challenges across the board

> Need expertise, strong back-up, patience, persistence and a long term vision

Mike Horner

Regional DirectorMuse Developments

17 June 2014

Future Cities