The site will deliver 146 multi-tenure single-family homes including rental options. The range of accommodation will include four four-bedroom homes, 59 three-bedroom homes, 67 two-bedroom homes, and 16 one and two-bedroom apartments.
The homes will be manufactured offsite at ilke Homes’ 250,000 sq ft factory in Knaresborough, Yorkshire, before being delivered to Glenvale Park.
Man GPM’s Community Housing strategy aims to tackle the housing crisis in the UK by building affordable homes. The strategy invests and develops both rental and ownership homes, with a focus on addressing the housing challenges of ‘squeezed middle-income’ families who do not qualify for social housing and who are priced out of the housing market.
Of the 146 homes being delivered, 101 will be made available at affordable rent levels and 45 for shared ownership, with the aim of improving access to high-quality housing for essential workers and middle-income families.
As part of the wider masterplan, residents will benefit from a significant amount of local amenity which is being delivered as part of Glenvale Park’s wider masterplan. This includes a local centre with retail and leisure amenities; two new primary schools; a community hub with a community centre, nursery, public square and family play park; a 25,000 sq m business park providing 3,000 new jobs; and 200 acres of parkland.
The announcement marks the second partnership scheme between Man GPM and ilke Homes, following a £31 million deal to deliver a 227-home scheme in Grantham, Lincolnshire, announced in December 2020.
Tom Heathcote, ilke Homes’ executive director of development, comments: “ilke Homes is increasingly becoming a partner of choice for institutions looking to increase their exposure to the housing market.”
“Our accredited modular methods of delivery will ensure that the scheme will align with Man GPM’s own, stringent ESG criteria, while also providing much-needed, energy-efficient homes for the local community.”
“We look forward to working with both local planning officials and other stakeholders to finalise plans for what will be a well-designed sustainable development, in keeping the wider Glenvale Park urban extension.”
Shamez Alibhai, head of community housing and managing director at Man GPM, adds: “We are delighted to be delivering a high-quality modern development which will make a positive contribution to easing local affordable housing shortages.”
He says the scale of the housing shortfall across the UK requires innovative solutions, with consideration for social and environmental outcomes, to create high quality, sustainable communities.
“By partnering with ilke Homes to deliver modular housing at Glenvale Park we are not only building affordable homes but doing so in a way that underlines our commitment to sustainable and energy-efficient projects,” Alibhai concludes.
Barratt Developments expands to Hong Kong with JLL partnership
Global real estate agent JLL has become the sales and marketing agency to manage Barratt Development’s portfolio across Hong Kong in a new partnership.
The developer, whose portfolio of residential developments and partnerships delivers homes throughout Britain, will hand over its sales and marketing representation to JLL’s Hong Kong office.
JLL will showcase the developer’s homes across Hong Kong via numerous formats, platforms, and campaigns in response to continued demand for UK homes among Hong Kong buyers.
With the Covid-19 pandemic receding in Europe, Hong Kong residents are rekindling their passion for UK real estate investments and JLL is seeing many buyers looking to invest in London, in particular, to benefit from the city’s strong capital growth potential.
According to JLL, the Greater London housing market has seen house price growth on an upward curve on the back of a severely constrained supply of homes for sale and a returning demand for urban living. It forecasts 6% growth for 2022 with an average of 4.7% over the next five years.
JLL continues to rank London among the global elite cities, with the UK capital scoring highly in its Global Real Estate Transparency Index, particularly for talent growth and concentration of innovative businesses.
Barratt London, a division of Barratt Developments, has a range of schemes available across the capital, including several regeneration hotspots in prime outer London zones. The firm has seen unprecedented demand in these areas since the beginning of the pandemic, with movers opting for more space and better value for money than those found in more central locations.
JLL will be looking to promote popular and already in demand schemes from Barratt London such as: No 10 Watkin Road, a new development in thriving Wembley with the iconic stadium as its backdrop; Upton Gardens, a scheme built on the historic West Ham Football Club ground within the well-connected borough of Newham; and Hayes Village, set on the site of the historic Nestle Factory with Crossrail connections on the doorstep.
Mandy Wong, head of international residential at JLL Hong Kong, says: “Barratt Developments has an unmatched reputation for building exceptional homes in the UK capital, and beyond. With a range of townhouse and apartment styles available across its portfolio at accessible prices, we expect demand to be high and look forward to providing such a wide variety of options to our extensive client network in Hong Kong.”
Steve Mariner, sales director at Barratt Homes, adds: “JLL was our first choice for marketing our homes in the Hong Kong region. We are seeing an influx of Hong Kong buyers putting down roots in the UK, particularly the capital and the surrounding Home Counties, and we know that JLL will be well placed to advise clients on the best options available.”
Developer expands office to support Quayside regeneration
Newcastle-based property developer Stripe Property Group is currently developing a £13 million scheme, Quayside West Studios, as it expands its Quayside base of operations.
Quayside West Studios will comprise 118 luxury studio and one-bedroom apartments offering an ideal opportunity to invest within the heart of Newcastle.
The new development will be located just a short walk from both of the city’s top universities, as well as benefiting from great public transport links and lying within close proximity to a range of bars, restaurants and other desirable amenities.
As part of its commitment to the regeneration of the area, the developer has also acquired and opened a new office adjacent to the site on Forth Banks.
While a small step in the company’s wider plans for expansion, the opening of this site is a stake in the ground for Stripe Property Group, already providing local jobs for eight candidates, with more to come.
Stripe’s expansion comes in anticipation of this growth, ensuring they have the resources and expertise to keep pace, while fully supporting its existing endeavours.
Quayside West Studios is the latest in a string of regeneration projects benefiting the waterfront area, with the council-led regeneration of the Stephenson Quarter entering its second phase, having already delivered new hotels, office space, shopping venues and more, bringing 1,000 new jobs with it.
The area is also benefitting from a substantial level of private investment with the Quayside West regeneration project due to transform 15-acres of former industrial land. Stripe Property Group is bolstering this private investment further and expects to appoint its main contractor in as little as 12 weeks, before breaking ground and opening an additional sales office to support with the sale of its Quayside West Studio units.
James Forrester, managing director of Stripe Property Group, comments: “While we’ve always played a prominent role in the North East new-build sector, we’re extremely proud and excited to further this influence by opening our new site within the heart of what’s arguably the most exciting regeneration project in the city’s history.”
“Newcastle is undergoing a great deal of positive change at present and the Quayside West redevelopment is probably the most significant sign of where the city is heading. Part of this masterplan is attracting young people to come and live, work and study within the city, while also bringing a boost to the local economy and providing further employment opportunities.”
He says: “We’re proud to be leading the charge on both fronts, providing jobs to the local community while delivering high-quality student accommodation and we believe that this is just the start of things to come in terms of repositioning Newcastle as the powerhouse of the North East for both businesses and leisure.”
Developer profits bounce back from pandemic decline – but is it enough?
Developer revenues have recovered from the decline seen during the first year of the pandemic, but still remain below the levels seen prior to the pandemic, research from Unlatch shows.
The new-build sales optimisation platform analysed the profit before tax of the nation’s eight big housebuilders and their pandemic performance.
It found that the pandemic had an immediate impact on profit margins, with total profit before tax falling by an average of 50% between 2019 and 2020 across these eight big-name housebuilders.
Countryside endured the largest annual reduction in profits at 77%, closely followed by Taylor Wimpey (-68%) and Redrow (-66%), with Persimmon seeing the most marginal reduction at 18%.
However, 2021 has brought a reversal to this pandemic decline, with developer profits before tax increasing by an average of 102% versus their 2020 slump.
Again, Countrywide and Taylor Wimpey have seen the biggest turnaround, with profits increasing by 209% and 157% respectively. Redrow has also seen a 124% increase, the fourth largest annual increase.
However, the Vistry Group has seen the third-largest uplift, with profits increasing by 140% in 2021, having also seen the second smallest annual decline in 2020 at -26%.
While the profit taken by these eight industry giants still sits 9% below the pre-pandemic profits seen in 2019, the Vistry Group is also the only developer to buck this trend, with 2021 profits up 79% versus 2019.
The Berkley Group remains the furthest from their pre-pandemic profit margins, with profits taken in 2021 still some -33% off the pace set in 2019.
Lee Martin, head of UK for Unlatch, comments: “Despite the property market boom, the pandemic has posed problematic for the nation’s big housebuilders who have had to battle an increase in labour and material costs, as well as numerous workplace restrictions.”
“This has inevitably dented output, the result of which was a drop in profits taken during the initial year of the pandemic. However, the sector has worked hard to overcome these issues and we’re already seeing the fruits of this labour materialise in a turnaround in fortunes where profit margins are concerned.”
He concludes: “While the majority are yet to return to pre-pandemic normality, this will no doubt come in 2022 as we return to almost full normality and the sector continues to provide the housing stock that we so sorely need.”