frogmore pitch

Property Management and Accountancy Service | 1

08449 02 03 04gva.co.uk

A Bilfinger Real Estate company

Property management and accountancy services

Responsible property management

Frogmore

August 2014

2 | Property Management and Accountancy Services2 | Property Management and Accountancy Services

Executive summary


We believe that our corporate accounting offer adds value to our clients,our client testimonials back that.

By GVA undertaking the corporate accounting this allows the senior experienced staff in the client organisation to focus on analysing performance of the asset against business plan, loan criteria and on strategy. This then improves the output of the reporting to investors/shareholders, as well as helping the asset managers model the financial performance of potentially new acquisitions and investments.

This service has given clients the agility to do more whilst maintaining/controlling the size of company which keeps the culture of their business.

We pride ourselves in our long term client relationships and our clients view our team as extensions of their own.

We would be delighted to work with Frogmore to develop their a financial resourcing model which will support a long term successful partnership and business performance.

”There is an open doors policy between GVA and RBS and we openly discuss risks and opportunities to the financials. Over two years ago the teams worked together to establish a rolling forecast model to remove any “surprises” from the financials. This provides a better understanding of lease renewals, rent review and service charge impacts on our monthly accounts” Carol McCormick Business Partner - Royal Bank of Scotland

Lisa Riva Head of Property Management Consultancy

”GVA agreed to work with us to design a solution that would allow us to outsource the preparation of our management accounts – and we are delighted that our vision is now bearing fruit. With the addition of the corporate level reporting to property level reporting, we are now in a position where our management accountants are checking asset reports rather than doing it themselves. This frees up time for the Moorfield finance team to work across a much broader range of assets and to spend time with the Asset Managers on deal analysis and to support our banking partners to deliver optimal capital structures, both of which over time will enhance our returns.” Nick Edwards Chief Financial Officer – Moorfield Group

4 | Property Management and Accountancy Services

Introduction


Following our recent discussions, we have created a proposal document outlining our approach and management capabilities including additional service lines which we feel may be appropriate for Frogmore.

We are one of the top five multi-disciplinary commercial consultancies in the UK providing a full range of property related services to clients across all sectors. We are committed to providing our clients with innovative, strategic solutions, focussed on helping them achieve their business objectives.

We can provide you with a joined-up, strategic approach to your property portfolio tailored to your requirements. In addition to property and facilities management we can provide a range of services including, agency, investment, rating, lease consultancy, valuation services, planning, development and regeneration and building consultancy.

GVA has dedicated property management, student housing management and shopping centre management teams focusing on responsible property management through quality, innovation and customer service delivered through a regional network of specialists in each of our UK offices which we feel will be ideally suited for Frogmore’s portfolios.

The property management team is led by, Lisa Riva, supported by national directors providing strategic support and regional directors managing the regional management teams.

Operating out of 10 UK offices, the 230 strong team has extensive experience of managing a wide range of properties and portfolios including mixed use developments, offices, shopping centres, development sites and industrial and distribution parks.


Our approach


Responsible property management is at the heart of our approach to property management services. Our responsible approach encompasses sustainability, customer service/engagement, best practice, compliance, service delivery, community projects, investment in our services, people and systems and innovation.

We believe it is important to work closeley with our clients to understand their business and form long term relationships with them to maximise delivery.

The property management consultancy division in GVA has grown by 15-20% p.a. in the last five years and now currently employs over 230 staff, including a dedicated property management accounts team, supported by a specialist regional facilities management team. The team works with leading funds, property companies and occupier clients collecting rent and other income in excess of £538m per annum and managing over £65m of service charge monies through 12,894 occupiers.

Service delivery

GVA’s property management service is a national business, providing the leadership team with control over the teams in all the offices across the country.

This ensures we have the right level and skill of staff available to meet the changing needs of your portfolio allowing for changes in the portfolio of either increasing or decreasing in a particular region or adding other geographic areas.

Our strength lies in our national coverage and full service delivery from all our regional offices. This means wherever and whatever assets the fund purchases are supported by our local knowledge. We add to this consistency through training and the central client team.

We have created a clear management structure with the advantage of our central core finance and data team located in Birmingham. Each operational team has line management in their regional office but operate on a client driven matrix management structure, taking instructions from the Client Relationship Manager and Account Manager.

This also ensures support of a senior director who has the power to call upon resources and take decisions as required to make certain that we deliver to our objectives without question.

The regional teams are supported by specialists including sustainability, health and safety, customer service and destination marketing.

The core estates team are supported further with roving facilities managers, assigned to clients properties on a regional basis.

Sustainability

GVA is helping lead the commercial property industry in understanding the implications of climate change, resource scarcity and changing societal expectations. Actively promoting sustainable management is fundamental to how we operate. Utilities and waste management are not the only sustainability issues that GVA consider in our management approach. From behaviour change and community engagement to local bio-diversity opportunities, we continually look at ways to improve the environmental and social sustainability performance of the buildings we manage.

GVA is a member and active contributor to a number of leading sustainable initiative organisations including the UK Green Building Council (UK GBC) and Better Buildings Partnership (BBP) being examples. 2011 saw the launch of an on line tool ‘The Managing Agents Sustainability Tool Kit’ which was produced by GVA for the BBP and has been warmly welcomed as a practical tool for the sustainable management of buildings. GVA was commissioned by BBP to update the toolkit and the new version is currently awaiting publication.

GVA’s sustainability team is closely aligned with the property management teams, ensuring staff and clients are provided with up to date information regarding sustainability. This takes the form of workshops, bulletins and bespoke advice on topics such as the Energy Act 2011, EPCs and the CRC. In autumn of this year all staff will undertake an e-learning module on sustainability issues and the risks and opportunities it poses to property.

The new sustainability database and reporting system, together with continuing education programmes will enable the proactive management of the Council’s portfolio in response to climate change and new legislation. Solutions will be provided by GVA’s sustainability group who include environmental consultants, building surveyors, and MEP (mechanical, engineering and public health) engineers.


Best practice

GVA fully embraces the RealService Industry Benchmarking Scheme as a founder of the Property Manager’s Group. Our Head of Property Management, Lisa Riva is a past Treasurer of the Best Practice Working Group and our National Director, Paul Harding has been Chairman for the past four years. Through our work with RealService Best Practice Group we have consistently focused on customer service improvements and have acknowledged the benefits to our clients, particularly where there is an increased focus on occupier retention. A high quality service, transparency and improved communications underpin our service, but RealService tests these qualities in our market and has helped us to develop new initiatives and improved communication.

Our Senior Director, John Jones has also taken leading roles as a member of the RICS Property Management Group looking at the Service Charge Code as well as other best practice issues and the Occupier Satisfaction Survey (OSS) steering group reviewing tenant satisfaction with landlord’s, leases and managing agent services.

Customer service/engagement

We undertake an annual customer service surveys with occupiers that aims to gauge overall customer satisfaction whilst giving our customers an opportunity to feedback on more general issues. In addition to our survey we are independently audited on our customer service approach through the RealService Best Practice index.

In addition to the annual survey we send out a general feedback form after specific issues have arisen and have recently introduced a “post licence application” feedback form that deals with the effectiveness of our licence applications process.

We use this feedback to reinforce our process or change it where necessary. These surveys allow GVA to measure and benchmark our performance, enabling us to improve our service to take it forwards. Our annual audits through RealService also qualify our developmental changes and their success. These audits require considerable time investment and are not required as an industry standard. Each year we undertake the following:

• Best Practice Index – Annual audit of best practice initiatives

• Service Charge Compliance Index – Annual audit of delivery, service charge budgets and year ends

• Customer Satisfaction Index – Annual audit of customer satisfaction returns

Compliance

To ensure continuity across all of our contracts we have one central quality management system which all of our surveyors, accounts staff and facilities management staff adheres to. The quality management system is regulated to RICS guidelines where appropriate and is certified to ISO 9001.

We also employ a full time consultant who continually checks and challenges the quality management system to ensure it is comprehensive, robust and meets goes beyond the regulatory benchmark.

Regular review, communication and feed back with teams is how we create a positive compliance culture. To test this we undertake annual audits for risk, compliance, quality assurance compliance and best practice. These audits are undertaken by internal and external assessors. In the case of the later these comprise of QA assessors, KPMG, RICS, our clients and their auditors.

The size and structure of our teams enables us to share and disseminate information and best practice easily ensuring that ideas are shared across the business to the benefit of our clients.

GVA holds ISO 14001 accreditation across all of its offices and is working hard with its suppliers to understand and manage the environmental impact of the supplies we procure and the buildings we occupy in order to reduce consumption where possible.

We are also working to the BS OHSAS 18001 for health and safety and are in the process of obtaining full accreditation. We currently hold OHSAS 18001 for all the properties we manage through our subsidiary GVA Facilities Management.

Most recently, GVA has achieved accreditation to ISO 5001 for energy management through the commitment of our energy reduction programme.

These accreditations and our reason for committing to them are communicated with staff during their induction and also through ongoing communication and training to ensure buy-in from our staff.


Community projects

We are committed to working with local and national community projects to give back to the community both financially through sponsorship but also through volunteering.

We are currently raising money for ‘Together for Short Lives’ a charity initiatives which directly benefits childrens hospices supporting children and families with terminal illnesses. Our staff have been raising money trough 2014 for the initiative including cycling, running, trekking and many other activities and will continue to do so to reach our aim of raising over £50,000.

In 2011, our London Property Management Consultancy Team started working with London Borough of Newham to provide volunteers to read with the reception year children at Ranelaigh Primary School in West Ham to help improve their reading skills. The project started off with 10 volunteers and since then has grown to over 20 staff with great benefit to the children we have read with.

At the beginning of 2014 we signed a three year contract with the Woodland Trust to become carbon neutral through the Woodland Carbon Initiative. The initiative, through the Carbon and Connect Programme allows our staff and our clients, customers and partners to make a meaningful contribution to the communities in which we live and work. As part of this we will be embarking on a tree planting and schools engagement programme which will include planting flower meadows and establishing bee colonies.

Our regional teams also take part in the national ‘Give and Gain Day’ initiative, volunteering in local community projects like creating ecology gardens and vegetable patches in schools.

Investment

We continue to grow and be at the forefront of best practice through investment in our people, systems and services.

We invest heavily in our staff because we believe they are the driving force of our business. GVA’s culture is one of a balanced work/home life which we believe is the key to retaining staff in the long term. Staff engagement is also important, we communicate regularly on a formal and informal basis across the business and provide comprehensive training and career development. This paired with our flexible working hours and benefits help us to ensure a happy workforce which in turn translates into good service delivery for our clients.

In 2013 we invested £1m into our property management business to streamline our systems to improve efficiencies for our clients, reduce procurement costs through our new procurement initiative, improve utility capabilities and develop a new data reporting system that allows our facilities managers to record at site level all data such as utility consumption, water and waste consumption as well as CSR initiatives across our managed portfolios.

Innovation

GVA continuously seek innovative ideas and solutions through stability and resourcefulness that will provide benefits to our clients. We aim to bring the vital insight to all your challenges, as well as the creativity to solve them.

There is a strong culture of constantly refreshing our practices and procedures to improve our offer. Through our agency colleagues we find out what different landlords are doing to get ahead of the competition using best practice wherever possible. We have an experienced national team who are able to adapt to regional trends and apply the correct solution for any particular market.

We share ideas through a number of forums including our Property Management Consultancy Exec Committee and have staff who are members of a number of best practice industry groups which help us keep up to date with current trends.

Delivering property management services



We can provide a comprehensive range of property management services tailored to your requirements which can be complimented by other property related services including building consultancy, planning and development, regeneration, investment, agency, project management, rating and valuation services as required that will be co-ordinated through a central reporting team led by Lisa Riva.

Property management

Our approach to property management is based on providing responsible property management through a clear delivery structure that provides accurate data, timely reporting and value for money as part of a best practice approach at all times.

We maintain an ongoing plan of improvement for all aspects of our service including data management and sustainability to ensure we are at the forefront of new initiatives, ideas and legal compliance that can improve the way in which we manage a property.

We will bring together a team of specialist property management professionals to work with our property management accounts team and facilities managers in a tried and fully audited approach to deliver a best practice service.

Regular inspection and reporting ensures we react promptly to management issues, lease compliance and keep in regular contact with occupiers.

We take a pro-active approach to communicating with occupiers as customers through regular communication, transparency of information and responsiveness to enquiries.

Due diligence

We use our property management expertise to identify issues during acquisition and advise your solicitors and negotiating teams, giving them the leverage they need to ensure you achieve the best deal.

We work with your legal and negotiating teams to generate a crossflow of ideas, raising queries from the due diligence exercise that can be asked in precontract enquiries. With detailed property information you can make informed decisions and the purchase can proceed in a timely way, with no surprises.

The areas we can advise on during acquisition are lease audit, approval of income streams, insurance, pre-purchase inspections, non-recoverable costs, review of service charges, maintenance, on-site staff, health and safety and receipts, energy management, sustainability, and covenant analysis.

Shopping centre management

We have a specialist shopping centre management team who manage over 2,000,000 sq ft of retail space across the UK. Our team looks to maximise and enhance assets through commercialisation, development opportunities, marketing, communitiy initiatives and working closely with retailers.

Our skill is to work with stakeholders to add value and help enhance the asset whilst delivering a high quality service to the client, retailers and visitors.

We offer a service that is flexible and responsive to new legislation and retail trends, delivered by a forward thinking team striving for efficiency, quality and innovation.

We can then focus on building relationships with retailers, supporting lease re-gearing, improving the existing tenant mix, effective service charge management, creating additional income, marketing, dealing with retailer applications and identifying refurbishment and development opportunities.

Student housing

GVA has experience of managing a wide range of assets including those considered as alternative sectors assets such as student housing.

We have a dedicated student housing team who work closely with the wider student housing sector team and Head of Student Housing, Roger Lown.

The team can provide a comprehensive management service including on-site staff, set-up, due diligence during acquisition and marketing. We currently manage over 2,900 student housing beds across the UK for a range of clients and have also advised on the set-up of over 1,000 beds for Generation Estates for prestigious new developments in London and most recently we have advised Singaporean investor, Centurion on the acquisition of 1,900 in the North West which we are now managing for the client.


Asset management

From our experience, the property manager is focussed on delivering the basics of rent collection, service charge administration, compliance and risk management, but, the property manager is often the first point of contact for tenants and other stakeholders and with a detailed understanding of the property is well placed to spot opportunities to enhance income or improve value.

As part of our management for many of our clients we positively highlight asset management initiatives to create additional income through lettings and licences, use of vacant space and the completion of works to allow the space to become ‘lettable’. The property management team supports formal marketing and letting, but also focuses on short term income opportunities.

For each site or property we prepare an outline business case or asset management plan and work with specialists to undertake any professional work required to achieve the objective of increased rent and added value.

Leisure expertise

GVA’s Holiday Property team operates from 8 offices across the UK and can offer clients the benefit of detailed knowledge and experience at a local level.

Clients include private proprietors, small, medium and large companies including quoted PLCs, as well as solicitors, government agencies, trade associations and property owners or their advisers.

We have extensive experience in holiday villages, cottage letting and club membership resorts. GVA are also national property advisers to the British Holiday and Home Parks Association.

Sustainability

GVA believes that property assets which operate in a demonstrably more sustainable manner will generate better returns for our clients and reduce the risks of rising energy and climate change costs.

Carbon costs and increasing legislation around building performance are areas we know are of concern so we have developed this suite of practical and cost effective surveys to support our clients’ demands:

• pre-acquisition energy and carbon due-diligence survey

• metering survey

• energy data analysis

• operational improvement plan

• EPC risk profiling

• EPC improvement plan

Our sustainability services are additional services to bolt on to our core property management service as required by our clients. We would be happy to discuss our sustainability services with you in more detail and how these could benefit your portfolios or individual properties as appropriate.

Destination marketing

Destination marketing and placemaking is key to the success of managing mixed use developments as we look at new ways of establishing a community, ensuring a high quality environment and thinking about the highly discerning end-users at all times.

We help our clients and management companies to establish a placemaking strategy by pulling together a bespoke marketing plan which includes community schemes, environmental initiatives and a diary of events which engage the community and generate income.

Our destination marketing team has a wealth of experience of working on a number of high end and exclusive mixed-use developments including Brindleyplace, St Katharine Docks and Temple Quay.

Facilities management

GVA formed a strategic partnership with Bilfinger Europa in 2014 to undertake GVA’s facilities management services. Bilfinger Europa will carry out the service for GVA for the next three years as a white label product for our clients working to agreed delivery KPI’s.

Bilfinger Europa’s team work closely with the GVA management teams to ensure that a property/portfolio is managed efficiently in support of property asset management plan objectives.

The team focuses on key issues such as formal property inspection and risk assessment, health & safety compliance, tenant liaison and the professional self-delivery of total facilities management (TFM) services, bundled services and single facilities management services which include security, cleaning, catering, workspace services, energy management, mechanical, electrical and building fabric maintenance.

Health & safety

In order to ensure a best practice approach to statutory health and safety responsibilities we have stringent policies and procedures which are regularly subject to scrutiny. These are backed by our quality assurance procedures and our commitment to the principals of OHSAS18001. The system and approach is managed by a dedicated Group Health & Safety

We can provide a comprehensive range of property management services tailored to your requirements which can be complimented by other property related services including building consultancy, planning and development, regeneration, investment, agency, project management, rating and valuation services as required that will be co-ordinated through a central reporting team led by Lisa Riva.


Utilities management

GVA has entered into a partnership with Inenco and created bespoke reporting at property and portfolio level on the core metrics.

The system is fully integrated with the purchase and invoicing of utilities. Utility and waste data are the core components of the reporting system but further sustainability aspects of the properties will also be captured, such as EPC scores, refrigerant gases and community initiatives. Where meters allow, consumption data will be captured at a level of granularity that shows where in the property the energy was used, along with the area size, and what was using the energy, such as HVAC, lighting, small power.

Reporting will be at the level of meter, property, site, portfolio and client. Standard reporting will be on a quarterly basis, but monthly is also possible, as is down to the level of half-hourly usage where metering allows. The data will be analysed to identify where there are possibilities to improve performance and a pro-active attitude taken to providing solutions. The quarterly reports incorporate an overview of actions taken and planned actions that will impact performance. Examples of the standard and advanced reports that will be available can be provided.

Reporting will be in a format that enables reporting to mandatory and industry frameworks, including the CRC and GRESB (Global Real Estate Sustainability Benchmark).

Opposite is an example of two of the reports.

USER GUIDE

ENVIRONMENTAL TRAFFIC LIGHT REPORT

As part of our commitment to help with your continuous improvement we have created our new energy reports. They are a valuable operational tool to support your energy management in best practice.

The Environmental Traffic Light Report is a consolidated view of cost & consumption, issued in pdf format. It is run at Site/Property level, either monthly or quarterly & is capable of showing all utilities available including:

• Electricity.

• Gas.

• Water.

• Waste.

• CO2e consumption only.

MONTHLY COST & CONSUMPTION REPORTS

OVERVIEW

The left hand side of each box shows:

• Previous YTD (year-to-date) total values.

• Current YTD total values.

• Colour-coded variance of current YTD values against previous values.

• Traffic light to match variance text.

The top row shows consumption & the bottom row shows cost. CO2e shows consumption only.

The right hand side of each box shows:

• Previous monthly/quarterly total values.

• Current monthly/quarterly total values.

• Colour-coded variance of current monthly/quarterly values against previous values.

• Traffic light to match variance text.

The top row shows consumption & the bottom row shows cost. CO2e shows consumption only.

INFORMATION SHOWN

PAGE 1/2Contains a box per utility containing 4 traffic lights (2 for CO2e) with the data that has been used to calculate them.

THE KEY

USER GUIDE

GRESB QSR (QUARTERLY SUSTAINABILITY REPORT)

As part of our commitment to help with your continuous improvement we have created our new energy reports. They are a valuable operational tool to support your energy management in best practice.

The GRESB QSR is a graphical, consolidated view of consumption, issued in pdf format. It is run at Client/Portfolio level & is capable of showing all utilities available including:

• Electricity.

• Gas - both Degree Day corrected & absolute.

• Water.

• Waste - split into Recycled, Incineration & Landfill.

QUARTERLY CONSUMPTION REPORTS

OVERVIEW

PAGE 1 - CONSUMPTION PER FT2 BY GRESB SECTORContains a section per utility. Each section shows:

• Graph per GRESB Sector.

• Graph contains YTD (year-to-date) consumption totals per ft2 for current, previous & baseline years.

• Data table per GRESB Sector.

• Table contains YTD (year-to-date) consumption totals per ft2 for current, previous & baseline years.

• Table data is colour coded. Data for sites with more than 15% estimated data is shown in red and italics. Data that is more than 15% based on estimated bills is blue and underlined. At 95% estimated (data or billing) or greater the foreground and background colours are reversed.

PAGE 2 - ABSOLUTE CONSUMPTION BY GRESB SECTORContains a section per utility. Each section shows:

• Graph per GRESB Sector.

• Graph contains YTD (year-to-date) consumption totals per for current, previous & baseline years.

• Data table per GRESB Sector.

• Table contains YTD (year-to-date) consumption totals for current, previous & baseline years.

• Table data is colour coded. Data for sites with more than 15% estimated data is shown in red and italics. Data that is more than 15% based on estimated bills is blue and underlined. At 95% estimated (data or billing) or greater the foreground and background colours are reversed.

Delivering accountancy services



Property management accounts

From the collection and payment of rents, rates and services charge, to the collection of income from sub-let properties and the set up and maintenance of lease management databases on individual properties, our property management accounts team are leaders in this specialist field.

Good property accounting requires a mix of skills and expertise. From management accountants and property accountants to database managers, our teams are highly qualified and experienced across a variety of market sectors, and are fully compliant with RICS regulations.

Our services are totally client driven. Our property management accounts team work closely with our clients’ accountants, investing time in understanding and analysing their environment, culture and approach. We operate within agreed work practices, reporting formats and timescales – building in opportunities for review – and developing close, long-term relationships to support a client’s business strategies.

Corporate accounting

GVA’s corporate client accounting team takes the pressure of financial reporting out of your hands. Your account will be headed up by a dedicated management accountant who takes full responsibility for your account and will be your key contact. They oversee a dedicated team that prepares the accounts and works with your own finance and asset teams to meet accounting deadlines.

The corporate accounting services our team are able to undertake will mean that your team do not have to spend time reviewing transactions at a granular level leaving them with time to look at the performance of the asset against the business plan and lending criteria, working closer with their asset management team on the strategy for each asset going forward.

We will work with your auditors as part of the annual audit and account preparation in order for them to review all the transactions. We can also provide the data for the tax computations to be done acting as an extension of the inhouse team.

Compliance - Our corporate client accounting team works to rigorous financial standards and removes the need for duplication by your in-house finance team.

RICS Service Charge Audit

US GAP ISO 9001

SOX Investors in Excellence

Client’s KPI’s GVA corporate standards

Our management accountants span a number of teams, promoting consistency and communication. They work with the Property Management team as well as attending account review and management meetings. With better access to transactional information and original documentation, they can be more efficient and effective on your behalf.

Our services include:

• profit and loss

• balance sheet

• detailed general ledger reports

• VAT reports

• cash flow forecasts

• budget preparation

• draft annual accounts

• business plan completion

• maintain records for client fund specific bank accounts

• payment of expenditure on behalf of client/fund

• audit assistance.

This is an additional service that we can provide for you as required. Having met Sharon Reilly, our Director for Corporate Accounting she would be happy to discuss this in more detail with you.

Credit control

Our work over many years has required us to put credit control at the core of our property accounting procedures. We have a specialist team dedicated to credit control to compliment the cashier and purchase ledger teams. We believe they are the best in the business and deliver an outstanding service.

We have also developed specific procedures within our quality assurance manual as we consider this to be a crucial accounting function within the overall client service. The procedures highlight a standard approach, but our experience shows that best results are achieved by a consistent application of standard procedures in advance of the due date. When monies become overdue or payment is consistently late then prompt action is agreed with the property manager to ensure they have a full appreciation of the issues and can provide appropriate recommendations to the client. In many cases we have committed to clear performance measures covering credit control as we have confidence in our systems and approach to this core service.

Online reporting & estate diagnostics

GVA has developed an online tool for clients to access data and reports on their property portfolio called Datapoint. Based upon Microsoft Sharepoint we have developed the system to meet the needs of our clients using data stored in our system that can be interpreted and viewed through Datapoint.

The tool is a delivery management and collaboration site through which details of all activity, conducted on the client’s behalf may be reviewed and work tracker activity updated by surveyors and third party suppliers. Based on MS Sharepoint 2007, it is accessed externally via a web portal on an authentication server.


It provides a secure online portal for clients, and selected third party advisers, to access a variety of information. Typically this may include:

• Diagnostics on the entire portfolio to monitor progress against KPI’s which can drill down to each property.

• A homepage for each property in the portfolio including a photograph, location map, rental profile, tenancy schedule and document store for leases, title information, drawings etc.

• A workflow tracker showing all current instructions providing the nature of the work, its current status and the allocated professional advisers.

• A contact database for all GVA staff working on the instruction and third party suppliers e.g. independent valuer, legal advisor and letting agent.

• A library providing relevant research and market reports.

We have provided examples Datapoint dashboards on the following page.


We would be happy to provide a demontration of Datapoint for you.


Property management and accounts team


Our proposed team will be led by Client Relationship Manager, Lisa Riva, who will provide you with a single point of contact with the key responsibility to ensure quality, uniformity and prompt service delivery.

Lisa will be supported by a dedicated client service delivery team comprising senior professionals from our regional offices, in addition to the existing team. The team are all experienced in providing clients with property management and facilities management advice for similar portfolios to the Frogmore portfolios.

Given the size of GVA and the range of skills we have available, we are always able to draw on regional and sector expertise beyond the scope of your initial property management requirements.

In addition to the business as usual team, Lisa will be supported by a dedicated mobilisation and delivery team, led by Head of Mobilisation, Mark Gaskell and comprising of professionals experienced in providing multidisciplinary advice.

Lisa will also work closely with Group Health and Safety Manager, Anthony Taylor and Head of Sustainability, Alastair Mant to advise on your portfolios.

AccountsOffices

Lisa Riva Client Relationship Manager

Retail

Tim Yabsley Associate

Janet FranklinDirector

Michelle Henry Associate

Alan Prince Director - Facilities Management

Jacqueline O’Shea Director

Mark Green Associate

Marcus Brennand Associate

Alan Prince Director - Facilities Management

Andy MillingtonCorporate Account Manager

Lorraine Wilson

Senior Client Accountant

Kris BlackburnClient Accountant

Sharon ReillyDirector

Lisa Jones Head of Client Accounting

Sarah HolmesFinance Manager

Claire TomanCorporate Accountant

Mark Gaskell Head of Mobilisation

Mobilisation team

Sharon Reilly Account Manager

Jacqueline O’Shea Account Manager


Mobilisation


We believe that the contract set-up phase of the portfolio is critical to ensuring a smooth and professional transition into the business as usual team who will perform the day to day estate management service. A properly resourced and organised mobilisation is of paramount importance to the successful on-going operation and delivery of a property management service. We will provide regular updates and measure performance weekly.

GVA has a dedicated Mobilisation Team who will mobilise the portfolio and work closely with you and the business as usual team. The team is led by Head of Mobilisation, Mark Gaskell who has extensive experience of mobilising contracts of similar sizes. The team comprises a project planner, two surveyors and a dedicated facilities manager, who will call on the resource of the business as usual team and also the specialist GVA teams such as HR, Property Management Accounts and Health and Safety, and oversee the set up process.

If we are appointed we will prepare a comprehensive mobilisation plan which will detail all of the key milestones and actions required for a successful set up. Through the mobilisation period we will provide regular updates and measure performance. There are likely to be a number of specific issues to take into account within mobilisation which we would be happy to discuss with you in more detail.

The key risks for mobilisation will revolve around the quality of current data and the handover as well as key lease events and site management required during any interim or hand over period. Any current lease events, letting or maintenance works will be highlighted as a priority and specifically tracked and reported as a separate part of mobilisation.

We have extensive experience of mobilising national portfolios for our clients. Most recently we have mobilised a portfolio for London and Continental Railways in four weeks and a larger portfolio of 1,100 properties for London Borough of Westminster over a period of 11 weeks.

There are likely to be a number of specific issues to take into account within mobilisation including the following:

• Key stage meetings with the current management surveyor and/or management agent

• A site inspection would be undertaken of all new properties

• Potential electronic transfer of data from the current database

• Electronic transfer of lease documents from agents or solicitors

• Verification of data/lease information provided

• Preparation of schedule of documentation received

• Set up records in our accounting database (APB) for all properties

• Once all properties are fully set up on APB, the lease information will be checked and signed off by the surveyor

• Initial site risk assessment including all aspects of health and safety

• Open cases or lease events that have been identified as requiring immediate attention

• Critical lease events such as expiries or breaks

• All occupiers and suppliers would be written to confirming contact details for the surveyors, FM staff and accountants and including our helpdesk numbers


Mobilisation PlanPre-award Contract set-up Go-live

Wk. 1 Wk. 2 Wk. 3 Wk. 4 Wk. 5 Wk. 6 Wk. 7 Wk. 8 Wk. 9 Wk. 10 Wk. 11

ContractImplementation and Contract Signature GVA/ClientConclude GVA/Client

Award Contract and Immediate Set UpIssue mobilisation plan GVASet up meeting with current service providers GVALiaise with existing managing agents and collect relevant copy leases, files and other relevant records

GVA/Previous agent

Review meeting with legal team GVA/ClientIssue Resource Chart - Structure GVA24 Hour Helpdesk Set Up GVA

DataEstablish data source GVAData gathered GVALease and report on title read and audit GVALease data cleansed and verified GVALease documents electronic store GVAData Upload GVASet up Reporting Structure GVAEstablish Conflicts GVA/Client

Estate Management Review all Health and Safety Files GVAReview the influence of all statutory policies GVAReview key management protocols GVAOverall Sustainability Strategy Review GVAEstablish Sustainable management procedures GVAEstablish events register GVA/ClientSet up casework tracker GVAReview schedule of open/priority items GVA/ClientMaintenance arrangements and process mapping GVA/ClientInspection programme/tenant meetings set up (as appropriate) GVA/ClientHealth & Safety Process Review GVA/ClientReview Insurance Policy and Requirements GVA/ClientEstablish event diary for customer meetings GVAIdentify Voids and begin working on marketing strategy GVAIdentify Ongoing Works & agree strategy & procedures for continuation GVA/Previous agent

FMReview current FM provision at each site GVAReview Service Charge Budgets GVA/ClientSet up supplier, service and maintenance contracts GVAInstruct utilities team GVAObtain letter of authority from Client for utilities GVA/Client

FinancialEstablish rent demand dates GVAEstablish Arrears at handover and agree protocols GVABank Account Set up GVAAgree chart of accounts GVA/Client

CorrespondenceDraft letters of authority GVALetters of authority to landlords/tenants GVA/ClientLetter to all suppliers including utility companies GVA

Process ReviewsClient general protocol GVA/ClientFunding process to be agreed in detail GVA/ClientLandlord Invoice Approval GVA/ClientCredit Control procedures GVAAnnual budget process GVALease commitment report GVASupplier Protocols to be agreed including Utilities GVA

ReportingAgree reporting formats GVA/ClientAgree timing of reports GVA/ClientFirst reports issued GVA

Performance MeasurementDevelop & agree KPI system & reporting GVA/ClientAgree management meeting structure, frequency GVA/Client

DatapointAgree client specific configurations GVA/ClientDatapoint portal connected to Yardi Propware GVADatapoint Access/security levels agreed & configured GVA/ClientAccess Provided to Datapoint GVA

Discretionary servicesReview across all services GVA/Client

We have included an example mobilisation chart for information which would be tailored by our mobilisation team for this project and agreed with you in advance.


Our clients


We work for a wide range of clients including property companies, funds, retailers, developers, investors, local authorities and central Government. Below is an example of some of the clients we represent.


Experience – portfolio managment


In addition to individual assets, we manage a broad range of portfolios for funds, property companies and public sector bodies. Below is an example of some of the portfolios currently under management.

National portfolioMax Property GroupDescription: A portfolio of Central London offices and mixed use developments in London including St Katharine Docks and High Holborn Estate.

Role: Due diligence during acquisition and ongoing management, marina management and destination marketing.

National portfolioMoorfield GroupDescription: Management of business parks, industrial parks and mixed use developments including Brindleyplace in Birmingham, Skypark in Glasgow and Salisbury House in London.

Role: Set up of estate management strategy including services charges, due diligence during acquisition, ongoing management, destination marketing, corporate accounting, facilities management, agency, building consultancy and treasury. services.

National portfolioValad Property GroupDescription: Mixed portfolio of office, industrial and shopping centre properties.

Role: Property management, facilities management, treasury, shopping centre management and commercialisation services.

UK investment portfolioArdstone CapitalDescription: Portfolio of six assets across the UK.

Role: Following acquisition of a number of properties in 2013 and 2014, GVA has been appointed to provide property management, accounts and facilities management services to Ardstone Capital.

National portfolioHines UKDescription: Management of a number of key commercial assets including Brindleyplace in Birmingham and One Bartholomew Lane in the city.

Role: Property management, due diligence during acquisition, facilities management, treasury, destination marketing, agency, building and corporate accounting.


Experience management of wide range of assets


We manage a wide range of properties across the UK including major mixed use developments, offices, shopping centres, retail parks and industrial developments. The range of properties we manage enables us to provide specialist advice to clients on mixed portfolios allowing them to maximise income and value.

St Katharine Docks, LondonMax Property GroupDescription: Large mixed use scheme comprising offices, retail, leisure, residential and marina in the centre of London.

Role: Due diligence during acquisition and ongoing management, marina management and destination marketing.

Brindleyplace, Birmingham Hines Moorfield JVDescription: Large mixed use scheme in the centre of Birmingham.

Role: Set up of estate management strategy including services charges and ongoing management of the development. We also provide facilities management, corporate accounting and destination marketing services.

Vizion, Milton Keynes Abbeygate Helical LLPDescription: Mixed retail and residential development comprising 441 residential units and 10 commercial units.

Role: Providing set up advice during planning and development stages including service charge set up. We have been retained to manage the development post completion including full property management, treasury and facilities management services.

Salisbury House, LondonMoorfield GroupDescription: Mixed use development in the city comprising office and retail.

Role: Due diligence during acquisition and ongoing management and facilities management services.

Bristol & Bath Science Park Quantum Property PartnershipDescription: Large mixed use scheme comprising offices, retail, leisure, residential and marina in the centre of London.

Role: GVA provides property management, accounts, facilities management, destination marketing, agency and sustainability consultancy advice.

Newbury Business Park, NewburyNewbury Business Park LtdDescription: Business park comprising office accommodation set within 17.3 acres of landscaped park space.

Role: We provide a full property and facilities management service including property management accounts, asset management and liaison with agents in connection with letting vacant space.


Arena Park Shopping Centre, CoventryMourant Property TrusteesDescription: Shopping centre comprising 226, 425 sq ft.

Role: Our shopping centre management team manage the development and provide an onsite team with commercialisation services.

Merseyway Shopping Centre, StockportLPA ReceiversDescription: City centre shopping centre.

Role: Shopping centre management, asset management, facilities management, commercialisation, destination marketing and accounts.

Fishergate Shopping Centre, PrestonBE Preston BV (Benson Elliot)Description: 300,000 sq ft shopping centre

Role: Shopping centre management, facilities management accounts and pre-acquisition due diligence.

Arcadia Centre, EalingBE Arcadia BV (Benson Elliot)Description: City centre shopping centre.

Role: Shopping centre management, facilities management, commercialisation and due diligence advice during acquisition.

Opus, WarwickOpus LandDescription: Business park situated in Warwick.

Role: Property management, facilities management and property management accounts services.

Skypark, GlasgowMoorfield Group & Resonance Capital JVDescription: 560,000 sq ft business park in the outskirts of Glasgow.

Role: Management, accounts and facilities mangaement services including due diligence during acquition.

Agnes Jones House, LiverpoolLPA ReceiversDescription: Student accommodation comprising 306 beds and 32 self-contained apartments

Role: We have been providing full management, facilties management and marketing services to the client since 2009 for this direct let scheme. Our role includes treasury and onsite welfare of the students.


Please find opposite our fee proposal for the management and accountancy services.

Service charge

• The fees are to be recovered from the services charges

• The proposed fees reflect the quantum of the portfolio

Corporate accounting

• We have priced the work based on the resources required to undertake the work based on the information provided

• We have discounted the fees from £400,000 due to reflect the quantum and to give our investment into a long term partnership with you. Based on these fees we do not envisage a return in the first year

• We have not proposed a mobilisation fee and again see that as our investment into the long term partnership

• We have split the fees per asset, this will enable you to bill /recover the fees to/from the SPV’s

• The outsourcing of the work will enable you to redeploy your current staff and create savings

• As the portfolio grows we would envisage further savings per asset due to efficiencies

Property Name Number of Tenants

Type of Asset Name of Owner JV? Total Rent Service Charge Amount

Corporate Accounting fee

Port Arcade Shopping Centre 75 Shopping Centre FREP (Ellesmere Port) Ltd No £2,888,318 £1,096,745 £50,000

Belle Vale Shopping Centre 70 Shopping Centre FREP (Belle Vale) Ltd No £2,475,856 £1,126,480 £50,000

Broadwalk Shopping Cente 56 Shopping Centre FREP (Knowle) Ltd No £1,725,925 £932,208 £40,000

Erith Riverside Shopping Centre

42 Shopping Centre FREP (Erith) Ltd No £1,543,606 £486,469 £40,000

Foundation Park 5 Office FREP (Maidenhead) Ltd No £2,215,978 £404,352 £10,000

The Apex and Garden Court N/A Residential/ Hotel FREP (Ealing) Ltd No N/a £293,103 £10,000

M11 Business Link 1 Office FREP (Stansted) Ltd No £30,789 £46,525 £10,000

Crossways Business Park 16 Office FREP (Crossways) Ltd No £507,114 £217,750 £10,000

South Place Hotel 1 Hotel FREP (South Place) Ltd No £2,250,000 N/A £10,000

Oriana 14 Retail Yes £11,848,478 £400,000 £20,000

Altrincham Business Park 3 Office FREP (Altrincham) Limited No £595,883 £111,110 £10,000

Stuart Road Industrial 16 Industrial FREP (Stuart Road) Limited No £578,428 £58,777 £15,000

Hanover Estate 9 Industrial FREP (Hanover) Limited No £554,385 £69,813 £15,000

34-36 & 42-44 Hanway Street

10 Retail/ Office/ Resi-dential

FREP (Hanway Street) Ltd Yes £130,720 £24,939 £10,000

£300,000

Fee proposal


Property Name Number of Tenants

Type of Asset Name of Owner JV? Total Rent Service Charge Amount Service Charge Fees Comments

Port Arcade Shopping Centre 75 Shopping Centre FREP (Ellesmere Port) Ltd No £2,888,318 £1,096,745 £75,000

Belle Vale Shopping Centre 70 Shopping Centre FREP (Belle Vale) Ltd No £2,475,856 £1,126,480 £75,000

Broadwalk Shopping Cente 56 Shopping Centre FREP (Knowle) Ltd No £1,725,925 £932,208 £65,000

Erith Riverside Shopping Centre 42 Shopping Centre FREP (Erith) Ltd No £1,543,606 £486,469 £36,000

Foundation Park 5 Office FREP (Maidenhead) Ltd No £2,215,978 £404,352 £30,000

The Apex and Garden Court N/A Residential/ Hotel FREP (Ealing) Ltd No N/a £293,103 £1,000 Clarification on the scope of service is required

M11 Business Link 1 Office FREP (Stansted) Ltd No £30,789 £46,525 £1,000

Crossways Business Park 16 Office FREP (Crossways) Ltd No £507,114 £217,750 £20,000

South Place Hotel 1 Hotel FREP (South Place) Ltd No £2,250,000 N/A £1,000

Oriana 14 Retail Yes £11,848,478 £400,000 £30,000 current fee agreed with GVA

Altrincham Business Park 3 Office FREP (Altrincham) Limited No £595,883 £111,110 £12,000

Stuart Road Industrial 16 Industrial FREP (Stuart Road) Limited No £578,428 £58,777 £7,500

Hanover Estate 9 Industrial FREP (Hanover) Limited No £554,385 £69,813 £7,500

34-36 & 42-44 Hanway Street 10 Retail/ Office/ Residential

FREP (Hanway Street) Ltd Yes £130,720 £24,939 £6,000 current fee agreed with GVA

£367,000.


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