Some parts of the commercial property market never really lose their appeal and the traditional professional quarter of Nottingham has to be one of them. This is the part of the city full of attractive period buildings bordered by The Ropewalk, Derby Road and Park Row which has traditionally been home to Nottingham’s professional advisory community, ranging from architects, barristers and engineers to financial advisers and property firms – and more.

2012 saw the first signs that this market was picking up, and the demand has been healthy again in 2013 – if not quite at the levels it was in the previous 12 months. But I don’t see that as another dip – to me, this year’s slight drop in transactions is due to the ebb and flow that comes with the usual rises and falls in supply and demand. In other words, the market is back to something resembling normality.

The amount of space taken up this year has been around the 15,000 sq ft mark. That may not sound huge, but these are not massive buildings and their historic nature means that it isn’t always easy to find a property that suits the requirements of a specific client.

Nevertheless, we’ve seen some good activity – the consulting engineers Curtins have expanded on The Ropewalk, doubling the amount of space; Pathway Care Solutions have done the same by acquiring a building on Regent Street; BSP has also acquired a property on The Ropewalk. We have also seen a number of properties converted for residential use, reducing availability of traditional office space in the area.

It remains a tight market at the moment because there is roughly 40 per cent less stock available in the professional quarter than there was a year ago. That means less choice for prospective occupiers, but at this stage though it probably doesn’t mean higher rents – instead we are seeing incentives on leasehold transactions reducing and freehold values creeping up.

This particular part of the commercial property market is driven largely by owner-occupier demand – business owners who want to invest in bricks and mortar whose operations don’t necessarily need the large floorplates and flexibility of a conventional office building. As a result freehold opportunities continue to be snapped up quickly with investors being priced out.

Occupiers who like a discreet presence in a period building don’t grow on trees. But this remains an exclusive and attractive location and as the market continues to recover well-presented properties in an upmarket central location will remain popular.

Following the recent lettings to Addvance PR and Penguin IT in October, FHP Property Consultants are delighted to announce a further trio of lettings at Derwent Business Centre to Legend Studio, Corolus Business IT Solutions and AT Creative. 

The former Victorian Railway bonded warehouse which has been converted into offices and studios, welcomes the three companies into Suites 15, 23 and 36. 

Legend Studios, who specialise in fantasy photograph and customized children’s photo storybooks have taken a 3 year lease at suite 15 at the business centre extending to 281ft². 

Suite 23, extending to 750ft² has been let on a 3 year lease to Corolus Business IT Solutions, a professional IT company who have been established for 12 years providing their clients, IT Support and Software and Web Development. 

AT Creative, Creative Design Studio have also taken a 3 year lease at Suite 36 at the Business Centre.  Originally based in West London, AT Creative design cutting edge marketing products that offer industries the ability to present themselves in unique, effective and memorable ways. 

George Dunnicliff, surveyor at FHP who agreed the deals commented:- 

“I am extremely delighted to be able to report further lettings here at the Derwent Business Centre whereby the take up of space is doing very well.  I wish Legend Studios, Corolus and AT Creative the best of luck for the future”. 

For further information on these lettings or for any other property enquiry please contact George Dunnicliff at FHP Property Consultants on 01332 224851 or george@fhp.co.uk.

FHP Property Consultants are delighted to announce the letting of 14 Regent Street in the professional quarter of Nottingham City Centre to Pathway Care Solutions, a medical and care services business already based on Regent Street.  This is an expansion of their office operations following a positive growth period over the last few years.

Mark Tomlinson from FHP Property Consultants commented: –

“I am delighted to have achieved a letting of this building to such a good quality occupier that compliments this area of the city very well.  The Landlord recently took a view to refurbish this premises to a high standard following the previous tenants vacating, a decision which has proved to be correct given the office market at this time which generally remains difficult.

We have recently concluded a number of transactions within this area of the city.  We were previously marketing 8 properties in this location, we now just have 3 left on the market with a further property let subject to contract.  I am hopeful that our recent success is a sign of increased appetite for opportunities in this area of the city and the realisation among local businesses that high quality buildings in this location are now obtainable”.

Acting on behalf of Blue Print, FHP are pleased to announce two recent lettings at Suites 22 and 37 at Derwent Business Centre, Clarke Street, Derby. 

Suite 22, extending to 983ft² has been let on a three year lease to Addvance IT. 

Addvance IT is an independent brokerage and consultancy specialising in delivering contactless payment intelligence to a variety of market sectors. With over 30 years’ IT experience within the Retail and Hospitality sectors they are able to bring market knowledge to their clients and deliver complex solutions in a simple and cost effective manner. 

Suite 37, extending to 304ft² has been let on a three year lease to Penguin PR. 

Penguin PR, is run by two former journalists with 30 years combined experience of working in the media. They have a large client base in the East Midlands with their stories appearing in BBC national radio, Daily Mail, Metro, Daily Telegraph and Have I Got News For You!

George Dunnicliff surveyor at FHP Property Consultants who agreed the deal commented:- 

“I am delighted to report these two recent lettings at Derwent business Centre and I wish both Addvance IT and Penguin PR the best of luck for the future.”

On behalf of retained clients, FHP are delighted to announce the recent instruction of:- 

Peel House, Brimington Road, Chesterfield 

The property which extends to:- 

388m² (4,175ft²) 

Is available by way of a new full repairing and insuring lease for a term of years to be agreed at a rent of:- 

£30,000 per annum 

The available space which is predominantly open plan with adjoining smaller rooms is currently fitted out as a gym/martial arts studio but has previously been used as offices. 

Should you require any further information on this property or would like to view please do not hesitate to contact George Dunnicliff on 01332 224 851 or george@fhp.co.uk.

FHP Property Consultants are delighted to announce the first letting within the recent developed serviced office building on 3 Hope Drive which lies within the Park Estate in Nottingham City Centre.

The property comprises a charming two storey office building with car parking within the grounds of the Park Estate which maintains many of its original period features whilst also offering a modern working environment.  The property has been refurbished and split up to appeal to the local SMEs and new start ups who we are finding require both flexibility in lease terms and certainty in terms of occupation costs.  We are offering all inclusive rents on flexible tenancy arrangements for this reason.

The first letting of the building is to a local psychotherapist who is relocating from Castle Boulevard having already a strong client base in the City.

Within the remainder of the building we are offering offices to accommodate requirements from one desk to as many as 15 desks.

The beauty of this location is that office occupiers can be close to the City Centre without paying the parking premiums which can keep all important overheads right down for businesses.

FHP Property Consultants are delighted to confirm the sale of Halley House on Hounds Gate in Nottingham City Centre.

The office has been sold to student residential developer Forshaw Developments who will be converting the 18,500ft² building into student accommodation.

James Hartley Associate Director at FHP Property Consultants commented:

“I am pleased to see this property coming back into use.  We have seen a number of transactions of this type in the last 12 months and it is becoming somewhat of a trend to see this type of City Centre office which arguably is no longer fit for office use being converted into student residential or private rented residential schemes.

The trend looks set to continue with a proactive planning team within Nottingham encouraging alternative uses for struggling offices.  We are also seeing what appears to be a more positive outlook on the property market which is leading to an increase in activity post summer holidays.  I do think that we will see the trend moving more towards private residential as opposed to students as this market is becoming more and more competitive for student living.”

FHP Property Consultants are delighted to announce instructions to sell Lawrence House on Meadowbank Way in Eastwood, a detached modern office building with excellent car parking close to Junction 26 of the M1 Motorway. 

The property has a net internal area of 616m² (6,636ft²) and is available to purchase at a competitive quoting price of £450,000.

For further information please contact Mark Tomlinson on 0115 8411134.

FHP Property Consultants are delighted to announce the sale of 54 The Ropewalk in the Professional Quarter of Nottingham City Centre.

The property comprises a self contained office building with ample car parking located on the edge of The Park Estate and has been purchased for office use.

The property will now undergo a refurbishment for occupation by the Purchaser who will no doubt add to the quality of the existing commercial occupiers in the area.

The property was sold jointly with Savills through the auction process and a sale was agreed prior to the auction.

Mark Tomlinson of FHP Property Consultants commented:-

“I am delighted to have achieved such a strong sales figure for the Vendor.  Freehold property in this area is always a desirable asset and we weren’t surprised to see good levels of interest in the property throughout the marketing process.

Freehold values in this area of the City have remained strong despite the market conditions and the difficulties being experienced by many Purchasers in obtaining bank funding.  We are still some way off the values being achieved at the height of the market and therefore this is still a good time to buy, especially for Purchasers with cash funds available”.

FHP Property Consultants have welcomed a string of new Tenants to the Ropewalk Industrial Estate in Ilkeston over the last few months.

Since being instructed to market the site in April 2013 FHP have completed nine lettings on site bringing vacancy levels down from 40% to just 5%.

Mark Tomlinson of FHP Property Consultants commented:-

“Our success on this site has been down to the proactive management of the estate coupled with a flexible approach to the marketing and leasing of the individual units.  We have offered flexible lease terms with a standard tenancy arrangement enabling interested parties to take occupation within a few days from the initial enquiry.

We now have only three units left on the site, with all of the larger voids now occupied.  I am delighted with the results here”.

Acting on behalf of a Core Assets, the UK’s Largest Independent Fostering Agency, George Dunnicliff of FHP Property Consultants is pleased to announce the recent instruction of excellent quality office space on Pride Park, Derby.

The property is well located on Brunel Parkway and is highly visible when approaching the city via Derby’s train station.

41 Brunel Parkway is a mixture of open plan/partitioned offices benefitting from; raised access floors, comfort cooling/heating system, 12 car parking spaces and is fully DDA complaint.  The property which extends to:-

286m² (3,077ft²)

is available on a new lease for a term of years to be agreed.

Pride Park is Derby’s premier business location hosting major occupiers including; Derby County Football Club, Rolls Royce, Cooper Parry, Geldards and Derby College.

George Dunnicliff of FHP Property Consultants commented:-

“We are starting to see an increase in demand for offices in Derby so it is both exciting and encouraging to welcome an excellent instruction such as 41 Brunel Parkway to the market and I look forward to announcing a secured letting shortly.”

For further information on this office or any other properties available with FHP Property Consultants then please do not hesitate to contact us on 01332 343222. 

Just a few days ago, Derbyshire & Nottinghamshire Chamber of Commerce delivered some news which, it’s safe to say, we’ve all been waiting for: the regional economy might just be looking up.

We’ve waited a long time for this moment. While George Cowcher, the Chief Executive of the Chamber of Commerce, sensibly added plenty of caveats to his judgements, the evidence was undeniable – Derbyshire businesses are reporting that their turnover has been rising, profits are up, and orders are getting stronger. If the sun keeps on shining there’s every chance some of these businesses will push the button on new investment and new staff.

The implications for the commercial property market in the city and county are obvious: growing businesses could well look for more space. Infact, there is some solid evidence that this is already happening. During the past few months, FHP have secured a series of office and industrial deals at key sites in Derbyshire which tells us that the ‘engine’ of the county’s economy is steadily beginning to motor.

The ‘engine’ in question is the legion of privately-owned small and medium-sized businesses. Some have been around through thick and thin, others were started by people who decided that the downturn was the moment when they would go out on their own. Either way, they are financially conservative and hard-working – just the kind of companies we need more of to sustain recovery.

Over the past few months, these businesses have been busy laying the ground for their future. At The Courtyard, a 10-unit office development at The Village office park at South Normanton, we have gone from a situation where two units were occupied to eight being occupied in the space of 18 months. With other deals in the pipeline, I suspect it will be full before the autumn.

The Courtyard is home to a mix of national and local occupiers attracted by Grade A specification ‘own front door’ offices ranged across two floors which tick three really important boxes. They are well-presented, giving a professional appearance, they are a cost-effective way of getting a freehold property asset, and their location next to Junction 28 of the M1 means enormous regional and national markets are within easy reach.

This is why these occupiers – the likes of Genco Developments, Optima Design, Purpose Media and Coldharbour Marine – have moved to The Courtyard from previous locations within a three to five mile radius.

Buying freeholds at a site like this is an astute move. Transactions have taken place at a time when the price is right, and the arrival nearby of some major developments at Clowes Developments’ Castlewood site means that the area around Junction 28 is really taking off as a commercial location.

Not that it hasn’t been popular before. Nix’s Hill nearby in Alfreton has been a popular commercial site for some time, and it’s here that Clowes developed the seven-unit Key Point office scheme. Like The Courtyard, progress over the past few months has been rapid: it has gone from only two occupiers to being full in the space of a few short months. The deals here are very competitive leases, and occupiers such as Images Publishing, Water Equipment International and Stancliffe Stone have been attracted by flexible terms and units which are well-presented and ready to occupy.

Just to underline the point, we have been seeing similarly positive signs across the border just a few mils away in Mansfield. There, the 43 acre mixed use Sherwood Oaks development, run by Regal Sherwood Oaks, has seen two out of three units in a new development fill rapidly. Why? The same reasons as The Courtyard and Key Point: well-presented buildings in a great location next to roads which put the region on your doorstep.

Three years ago, these three locations were almost empty. Here we are in summer 2013 and they are on the verge of full occupation, with some well-run SME businesses making astute decisions to buy or lease as the market is beginning to pick up.

If Derbyshire & Nottinghamshire Chamber’s of Commerce’s latest Quarterly Economic Survey isn’t just a flash-in-the pan, we are going to see more businesses finally deciding that now is the time to take the plunge and break free from space or layout constraints that have been holding them back and move to something new.

As ever, the problem is going to be that demand could well outstrip supply, a problem that has been exacerbated in recent years because developers were unwilling to risk speculative development in a weak economic climate.

The signs are that it’s not so weak anymore. So will someone take the plunge and put a spade in the ground? If they do, that’s the point when we can safely say economic recovery has finally arrived in Derbyshire.

END

Acting on behalf of Shakespeares LLP, FHP Property Consultants have confirmed that they have negotiated the acquisition of new offices for one of the Midlands largest Law Firms at Colton Square in Leicester which was developed by Global Integrated Property Group, Goodman.

Shakespeares LLP have acquired the third floor which provides approximately 12,500ft² of offices in an open plan format.

John Proctor of FHP who handled the negotiations on behalf of Shakespeares confirmed:-

“We chose Colton Square as it offers, in our view, the best specification and appropriate address for Shakespeares to base their Leicester offer following their merger with Harvey Ingram and Marrons Solicitors in a highly prominent position in close proximity to Leicester’s Railway Station and within the heart of the Leicester City Centre”.

Stephen Wolfe of Shakespeares confirmed:-

“Our move to Colton Square is the dawn of a new era for us in leicester where we have been in business for more than 200 years.  The move to one of the best business locations within the City underlines Shakespeares’ commitment to excellent Client care and to developing its people.  As the largest Law Firm in Leicester and the second largest across the Midlands we cannot wait to move in and start serving our Clients from Colton Square”.

Goodman owns, develops and manages Colton Square and James Raven, Development Director of Goodman UK Business Parks, confirmed:-

“Colton Square offers a unique opportunity for corporates and professionals to locate to the City’s most prestigious and effective commercial address.  As this letting demonstrates it is a testament to the dynamic development and strategic location in the heart of a local community that Colton Square continues to prosper. The addition of Shakespeares further enhances the customer community at Colton Square and we look forward to welcoming their staff to our scheme”

Colton Square is a cornerstone of Leicester’s dramatic business quarter renaissance providing a Grade A two building office scheme which retained the listed former Police Station on Charles Street developing striking high profile contemporary office space behind and adjacent to this element.  The scheme is located within a two minute walk of the Leicester Railway Station which provides a regular service to London.  Current Tenants within the scheme include Cooper Parry, Freeth Cartwright, Berkeley Insurance and Hayes.

THERE’S no question that the plans for a Creative Quarter in Nottingham represent a major opportunity to develop the city centre economy. This is more than just a fashionable badge. There are multi-million investment funds available to creative businesses which can show how they’ll grow, support for training, and talk of business rate incentives.

And all of it managed by a Creative Quarter company which is there to help businesses succeed.

Perhaps most significant of all, the area covered by the Creative Quarter – the Lace Market, Hockley and the areas adjoining them – can lay claim to a creative heritage, all the way from historic lace-making through to the presence of digital media, film and TV, architects and engineers today.

So, time for landlords to dust off those vacant offices and open the doors again? Not quite: the key to accommodating creative businesses and the services that support them is in having the right kind of offices available.

It’s often said that small, creative companies – especially those in the tech sector – aren’t too fussy about the environment they work in.

That’s not quite right. True, traditional corporate offices are not their style… but neither are suspended ceilings, chipboard partitions, strip lights and contract carpeting. They need simple but stylish rather than basic and cheap.

When creative companies say they don’t mind working in an old building that’s exactly what they mean: character, heritage, with a stripped-out environment typically characterised by exposed brickwork, beams, Victorian pipe-work and wood floors.

But that must be accompanied by excellent technological infrastructure: fast and robust broadband and telephony, good lighting that helps create the right atmosphere, carefully chosen colours. Stripping out the boards, partitions, ceilings and carpets that have defined your average office for years may go against the grain for some landlords.

But the signs are that this approach could be key for some of the businesses who like the look of Hockley and the Lace Market.

For evidence, look no further than the brave step Spenbeck director Victoria Stevenson took with the Courtyard, the old mill on the corner of Broadway and St Mary’s Street.

Mothballing the building rather than investing in it would have been entirely understandable in the current climate, but our market intelligence told us that the demand was out there – provided the office environment was right.

Armed with our advice, Spenbeck took the plunge and brought the building back to life in a way that brought out its character but delivered state-of-the-art infrastructure, period features combined with a dedicated fibre optic line.

The result? Leases on six of the suites in the building involving four tenants. We shouldn’t be surprised, though – Spenbeck has been active in the Lace Market for years and understands how it works.

The digital agency Distinction, insurance data firm Insurance Initiatives, ticket agent Gigantic and recruitment firm EMEA are among a number of lettings in the Creative Quarter recently.  Others include Tank PR, T3 Retail and Flame Healthcare.

Some are businesses who have been biding time in serviced offices nearby, others have moved in from outside the city.

Another opportunity for these businesses is coming on to the market in the shape of 4 George Street, in Hockley. It has been undergoing a full-scale refurbishment and will offer up to 5,000 sq ft to creative businesses looking to take their next step on the property ladder.

My feeling is that there is going to be plenty of competition for the space in this well-located building.

Why? Some small but encouraging signs of economic confidence are emerging. Our view is that the demand is there, with a number of growing businesses probably ticking over on monthly agreements in what are, for them, workmanlike but pretty sterile environments.

These businesses won’t spend fortunes on statement buildings, but they will be attracted by a simple, character property which they can put their own stamp on.

The challenge the Creative Quarter faces at the moment is that there’s a mismatch between what occupiers want and the property available.

There are plenty of buildings which tick the character box, but too many traditional interiors. That might make for a low rent, but our experience is that this isn’t enough for a creative business. Stripping out a building and lettings the character and period features speak for themselves is probably a better bet.

The Creative Quarter initiative has the capacity to be something big for Nottingham.  But it needs to send out a clear message about who it wants to attract and how it’s going to support them. When that happens we could get very busy indeed.

Mark Tomlinson is a surveyor with the Nottingham property consultancy FHP

END

FHP Property Consultants along with joint agents Innes England are delighted to confirm the sale of Unit 2 Poplars Court to Aquinas Education in a deal that sees them move into their bespoke fitted offices.

Aquinas Education is a unique recruitment agency in the educational sector. They specialise in sourcing and supplying supply teachers on both a regional and national basis. Alongside Aquinas Education is Aquinas Foundation, a charity whose aim is to help lower truancy, raise attainment within schools and tackle the associated problems that stem from these issues such as crime and illiteracy. Aquinas was originally set up by Premier League footballer Jermaine Jenas with the overall ambition of showing children that they can achieve and do well through education.

Craig Anderson from Aquinas commented:

“The offices ticked all our boxes straight away.  They are in a good location for us to get out and about around the schools in Nottingham but also across the UK.

The fit out is also fantastic, really eye catching I think we are going to be really happy here.”

Jermaine Jenas of Aquinas commented:

“I’m extremely happy with the new offices, the quality of the fit out work is brilliant and I believe it will help Aquinas push onto the next level and continue the great work we have already carried out with schools and children locally and nationwide”

The office has been purchased to provide head offices to both Aquinas Education and Aquinas Foundation. As part of the sale the offices have been fitted out to Aquinas’ exact requirements with three fully glazed offices and a meeting room with bespoke finishes giving these already modern offices a real wow factor.  The fit out has been designed and managed by the developers Sladen Estates prior to the completion of the sale which means that Aquinas can move into their offices completely hassle free.

Matt Sladen of Sladen Estates commented:

“We are delighted to welcome Aquinas as the latest occupier at Poplars Court. We believe that our ability to source and manage the build from start to finish is incredibly appealing for the purchaser as it means that on completion of the sale they can move into a bespoke fully fitted office hassle free.”

James Hartley from FHP commented:

“Poplars Court has always attracted attention from purchasers and in particular owner occupiers who are attracted to the high specification that has been designed into the scheme.  When you add to this the fit out design and build service it is a hassle free way to have your new offices.  We now only have three offices remaining on the scheme with good interest in these units. 

Not only are they built to a high specification but they are also well located both for access to Nottingham City Centre but also wider Nottinghamshire and beyond via the Nottingham Ring Road.  This will only improve once the tram works are complete as the new line will pass the office development with a tram stop a short walk away.”

For further information on this sale or how we can help you please contact the team on 0115 9507577.

FHP Property Consultants are delighted to confirm the letting of 1 East Circus Street located in the Professional Quarter of Nottingham City Centre to Momo Leisure Limited, the company behind various comedy clubs including Jongleurs.

Mark Tomlinson of FHP Property Consultants commented:- 

“I am delighted to have achieved this letting on this property given the continued difficulty we are experiencing in the office market at this time. I have spoken about this location on a number of occasions before and genuinely believe the location offers a perfect mix of good quality office accommodation with excellent local amenities located not far from the Market Square. Properties in this location also offer good levels of car parking compared with those elsewhere in the City Centre.”

T3 Retail Design, a retail shop fit out design company, have recently secured new offices on Stoney Street in The Lace Market area of Nottingham City Centre. The area which has been recently dubbed ‘The Creative Quarter’ by Nottingham’s city deal initiative – designed to be ‘an incubator without walls’ for local creative businesses.

Moving from Oxton in the East of Nottinghamshire this move represents both an expansion and a step forwards for T3 in terms of recruitment and networking capabilities, Chris Jones Managing Director of T3 Retail Design commented:-

“After several years of growth, the business was ready for a move to larger premises, to provide a better location for our retail design and building surveying business and FHP helped us through that journey, helping us to find exactly what we wanted.

The Lace Market has an energy and vibrancy about it that we here at T3 really wanted to be part of.

The move has provided us with a much larger office with fantastic transport links, better internet connectivity and an amazing central location that the T3 Team have really taken to.

The Team have very quickly settled in to life in Nottingham’s Creative Quarter and we are all delighted with the move.”

The buildings at 19 and 21 Stoney Street were refurbished with exactly this type of creative company in mind, revealing the original features of these former mill buildings to create ‘Loft Style’ accommodation while still retaining a modern office fit out.

Mark Tomlinson, Surveyor at FHP Property Consultants who advised the Landlords in the letting said:

“I am delighted to have let the final suite within these buildings to T3 Retail Design, who I am sure will benefit greatly from the opportunities which this area of the city has to offer.

About 18 months ago now I walked around The Lace Market with another company looking to move from the fairly sterile environment of serviced office accommodation to more inspiring ‘Loft Style’ accommodation befitting creative companies. It was apparent that anything of this ilk was available at the time so a refurbishment was put together to suit their requirements.”

Since then, having speculatively refurbished the remaining vacant areas of the buildings FHP have let 3 suites to Tank PR, Flame Health and now T3 Retail Design – all of whom appreciate the more utilitarian feel of the fit out.

Mark Tomlinson added:-

“The levels of demand experienced on these buildings gave us the confidence to recommend a similar refurbishment scheme on ‘The Courtyard’ on the corner of St Mary’s Gate and Broadway in The Lace Market. This has also proved a major success story. I believe that there remains and will remain an underlying demand for good quality accommodation in this area going forwards, especially given the ‘Creative Quarter’ drive. The question is, who will be next to provide the correct accommodation?”

FHP acting on behalf of BYG Systems Limited, a leading supplier of bespoke e-learning courses and software for Global Organisations, have acquired additional offices to accommodate BYG’s further expansion at Highfields Science Park.

BYG, who have been a tenant at Highfields Science Park since 1984, are growing rapidly with the growth coming in particular from Europe with expansion plans for the Far East.  

The new premises were acquired on a 3 year lease with a 12-month break clause to facilitate a longer term relocation of BYG Systems Limited.

Dr Yong, the founder of BYG Systems, said: “We are delighted to work closely with FHP who support us in our plans for expansion.  The Company has released a further 40 Graduate positions for the coming 12 months”

FHP acted on behalf of BYG, with heb acting on behalf of Nottingham City Council, the landlord.

BIG numbers have meant a big deal to a Nottingham property consultancy after it was named most active agent in Nottinghamshire and Derbyshire by the industry ‘bible’.

FHP, based on Oxford Street in the city’s traditional professional quarter, completed more than 400 transactions across the region last year, securing £100 million in sales and more than £20 million in rental income for a range of commercial property clients. 

Now the firm, run by David Hargreaves and John Proctor, has been crowned Most Active Agent in the two counties by the industry magazine Estates Gazette, the award based on the number of commercial property transactions completed in 2012 and the first quarter of 2013.

There was also a second individual award on the trot for surveyor Mark Tomlinson, who works in an office and industrial team at FHP which has been involved in some of the most high-profile transactions in the region 

Tomlinson was named ‘2013 Most Active Deal Maker’ in Nottinghamshire for the second year running following a previous award in 2012.

He said: “I am delighted to be named Most Active Deal Maker for the second year running. These are challenging times in the commercial property market and last year was no exception but there is certainly some positive activity in the market to shout about.” 

While FHP notched up a series of landmark deals, among them massive warehouse lettings to Marks & Spencer and Co-operative Group on behalf of industry giant Clowes Developments, Tomlinson says he has also seen growth in demand from small to medium-sized occupiers in Nottingham.

“Certainly we are seeing that demand at the smaller end of the market from SMEs has increased on previous years in the city” he said. 

“This is evidenced by the Nottingham Office Forum Market Review figures which highlighted that 60 per cent of office transactions in the city core were on buildings under 3,000 sq ft.”

He added: “We are also experiencing increased levels of demand for industrial property, which is the stronger market at this time with more positive levels of demand from manufacturers, motor trade, distribution and trade counter operators.”

“These awards from Estates Gazette are a testament to the strength of the multi-disciplinary team at FHP, which enables us to offer experienced, specialist advice in all the major areas of the commercial property market, whether it is to developers, occupiers or investors.”

A former mill building in the heart of Nottingham’s Lace Market has been transformed into a new thriving centre of business, thanks to the combined efforts of developer Spenbeck Ltd, law firm Rothera Dowson and property consultant FHP.

Over the past year Spenbeck Ltd has transformed the rundown building on the corner of Broadway and St Mary’s Gate, creating The Courtyard complex, which offers over 14,000 sq ft of office space. With the help of both Rothera Dowson and FHP, leases have now been completed on six suites for four different tenants.

Amongst the first to move in was Distinction, a digital agency specialising in online marketing, creative services and web design and development.

“We actually started looking for offices two years ago, but the timing wasn’t right and it was hard to know when to leave the comfort of a serviced office,” commented James Bloor of Distinction. “When we looked around The Courtyard, we knew it would be the perfect home for our business.

“The landlord and letting agent included us throughout the refurbishment process, allowing us to select our own flooring, kitchen layout and even painting a feature wall in shocking pink to match our brand identity.

“The end result is an office that we are genuinely excited to work from and proud to bring clients to.”

Other new tenants are Insurance Initiatives Ltd, which has taken 2,800 sq ft of space and ticket industry specialist Gigantic, covering 1,700 sq ft. Boutique recruitment agency EMEA Recruitment has also taken 1,700 sq ft of space. They join two existing tenants that already had offices in the building prior to redevelopment.

The sympathetic renovation of the listed building has created a blend of the old and new, combing period features with everything needed to meet the requirements of a modern office. This includes a secure entry system, a private courtyard entrance and a dedicated fibre optic line, meaning uncontended broadband can be up and running at the flick of a switch.

For Victoria Stevenson, director of Spenbeck Ltd, The Courtyard project has been a leap of faith:

“If we had listened to some of the stories surrounding the commercial property sector, we wouldn’t have touched the building at all. It would have been simply mothballed for future development.

“After reviewing market trends from FHP focussing on the Lace Market, we felt confident that the scheme had potential. The fact that interest has been so high and companies are already using the space, shows that we were right to have faith in our conviction.”

Rothera Dowson, also based in the Lace Market, handled all of the legal aspects of the leases. Tom Redgate, partner at the firm and commercial property specialist, believes that The Courtyard’s success is a sign of things to come for the area:

“With the Lace Market becoming Nottingham’s Creative Quarter, businesses, particularly those of a creative nature, are keen to get involved as early as possible.

“It’s no secret that the market had reduced to a slow pace over the past few years. Developments like this, coupled with the fact that many companies are now starting to enjoy signs of growth once again, creates a more positive outlook. It shows the power of well planned and marketed office space in the city.”

James Hartley, associated director of FHP, added:

“The scheme has been a breath of fresh air. Tenants are being drawn to the space by fantastic presentation and the overall quality of the refurbishment. We’ve been involved in this project from the very beginning and it’s rewarding to see that the building is reaching its full potential and helping businesses to thrive and develop.”

After such a positive start to the scheme, just 1,700 sq ft of space now remains within the original office development, with interest strong. Spenbeck Ltd is now embarking on the redevelopment of a nightclub, with a 2,700 sq ft pre let enabling the work to start.

A year on from the implementation of the Workplace Parking Levy JAMES HARTLEY assesses the impact it has had on the Nottinghamshire office market.

Work continues apace on the expansion of Nottingham’s tram network. May be you see it as an incredible feat of civil engineering and a welcome, £570m boost to the local economy. Or maybe, if you’re a commuter or a hard-pressed shopkeeper in Beeston, you think road closures are a headache you could do without.

Shopkeepers aren’t the only businesses who’ve felt the impact of this enormous project. Around a year ago, bills started landing on the doormats of city businesses demanding payment of yet another tax: the Workplace Parking Levy. The levy, which you have to cough up for if your business has more than 10 parking spaces, is one of the ways business is paying for the project. There have been plenty of grumbles from companies about the cost, which couldn’t have come at a worse time. But what effect has it really had on the office market in the city?

On the face of it, very little. According to figures from the Nottingham Office Forum the amount of space transacted in 2012 was pretty much the same as 2011. But I don’t think there’s a single commercial property agent out there who would argue that it has had no impact – and there’s another story underneath these apparently reassuring numbers.

In particular, I’d point to the ‘leakage’ of businesses from the city into Rushcliffe, which has been best-placed to benefit from the impact of the WPL. Last year, FHP alone let more than 20,000 sq ft of space to companies moving out of the city from prestige locations like the NG2 Business Park and Castlebridge Office Village. Let’s be clear – these parks are fundamentally strong locations which major occupiers looking for a city address are always going to favour. But for us to see this scale of activity outside the city raises professional alarm bells. 

You can also argue that the quality of the space they are moving to in Rushcliffe is an attraction in itself. But we know from the conversations we’ve had with companies who have made the move that the levy DID play a part in their decision. They have been able to move into locations like The Point, Wheatcroft Business Park, Apex Court and Ruddington Fields, not pay the WPL, and still have the city on their doorstep.

On top of that, there have been other deals where companies already based in places like West Bridgford or Ruddington where they have been unwilling to relocate from south of the river. This has led to 4,500 sq ft and 1,500 sq ft lettings at Grove House in West Bridgford town centre and similar-size deals at Ergo House on Ruddington Fields Business Park. I’m pretty sure that one of the reasons these businesses decided not to cross Trent Bridge was the prospect of paying the levy.

More explicitly, I’ve had instructions from clients wanting me to find space for them to specifically “prioritise options outside the levy”. On one of these searches, the client considered moving from Junction 26 of the M1 to Junction 27. Perhaps it’s just coincidence, but FHP concluded 34,000 sq ft worth of deals at Junction 27 last year in two transactions (though a lack of this kind of space in the city must also have played a part).

Nevertheless, an historic lack of activity in this area does suggest footloose companies are now willing to move further afield from Nottingham than they might have done before so that they can get the premises they want without paying an extra tax on location. One firm we have been involved with moved from Lenton to Pride Park in Derby partly because they were keen to avoid an extra levy at a time when they have been trying to reduce costs.

When you stand back from individual deals and look at activity levels in Nottingham city centre, the transactions are happening and the interest is holding firm. But over the past 12 months there has been a real lull in activity involving premises between 5,000 sq ft and 20,000 sq ft – previously the mainstay of the market. This could be due to the subdued economy, but I also think that it is businesses who occupy premises like these are the ones who’ve been hit the hardest by the WPL: they are more likely to incur the cost through parking spaces, but probably find these marginal costs much harder to swallow because of their size.

A year on from the introduction of the WPL, where does this leave us? There is much to admire in having an efficient, reliable mass transit system – it’s certainly brought jobs to the area during the construction phase. The WPL is not going to go away, and it seems to me that the City Council is set on it as an income generator. So it’s a fact of life. 

What looks like it’s also a fact of life is that locations on the fringe of the WPL area with good quality property now find themselves in a much more favourable position. My view is that the immediate impact on demand within the WPL zone will ease because of the quality of the stock in the area, improving public transport and, unfortunately, the harsh reality of reduced rents and asking prices.

Right now, businesses remain unhappy about the WPL. The sentiment we pick up is that it is another reason for existing occupiers in the city to feel unloved by the City Council. One day business may come to appreciate the tram network. For now, it is a financial burden which brings no return. And it couldn’t have come at a worse time.

Acting on behalf of Telereal Trillium FHP property consultants have secured the sale of the 21,000ft² office and former Job Centre on David Lane in Basford.

Prior to FHP’s involvement the offices had been on the market in excess of 18 months but following the instruction of FHP the offices were under offer within 4 months.

James Hartley, Associate Director at FHP, commented:

“When we were first asked to look at the property it excited us.  Okay it is not in a fantastic location but it did sit in a prominent position within Basford on a busy road and had its own tram stop.  Rather than let the enquiries come to us we explored numerous different avenues and different uses from retail to residential any conversion really that could benefit from the positioning.  This involved all the agency departments within FHP from the FHP Living residential team through to retail and development.

It was while we were going through our old requirements that we came across the eventual purchaser.  They had an office owner occupier enquiry in the market dating back 6 months and we knew they had not found themselves a home as yet and once we approached them about the property it seemed to be an ideal fit.”

The deal itself took a long time to complete due to a number of differing factors but to achieve a sale of what on the face of it looked to be a difficult building is hugely satisfying particularly when you look back at the team work within FHP and the fact that putting in the research and hard work upfront resulted in gaining interest so quickly.

In March 2012 I wrote an article called ‘A Polished Pearl Waiting to be Discovered in Nottingham City Centre’ and I am pleased to announce that in less than 8 months we have managed to fill the building.  All four vacant floors are now let to three tenants.

I would like to say that this is purely down to good agency work and I would be lying if I did not say the team at FHP worked hard on this.  I would however, not be giving the property and clients themselves enough credit. 

The quality of space and presentation of the building has helped entice occupiers.  Some of them initially needed persuading to view having previously seen the space years before in an unrefurbished condition, but once in, the offices sold themselves. 

The first letting was on the Seventh Floor to Turner Townsend who were relocating from Lock House in the City Centre.  This was quickly followed by The Press Association and then more recently Direct Health, both of whom have moved into the building from period buildings.

It would have been easy for the landlords, Development Securities, to have listened to the bad press surrounding the office market, looked at the results on their other office schemes and taken a conservative approach to the space.  If they had done I am sure we would not have secured these lettings.  Thankfully they did not and instead embarked on a first class transformation which is hard not to be impressed by.  The reception and offices have been transformed leaving a positive lasting impression on people viewing the space. 

The Pearl is not the only beacon on light that we can report on within the office market in the Lace Market.  With good quality space starting to run at a premium within Nottingham we have seen this success story repeated elsewhere in the City.

We have had overwhelming success on Broadway, a former Mill building that we are marketing for local landlords Spenbeck.

We met with Spenbeck in March 2012.  Our advice was that they had two options for this building.  Firstly effectively leave the building as is and mothball it, or secondly, do a top class refurbishment and give themselves the best chance of letting the space.

Again, thankfully they listened and 8 months later we have let six suites in the building to four different tenants and are now embarking on a second phase of refurbishment elsewhere within the impressive former mill building.  This success has exceeded our expectation and this is in no small part due to the excellent refurbishment and lack of quality competing stock available. 

All the tenants that have been attracted to the building are existing Lace Market or surrounding occupiers who currently occupy serviced offices and want to make the step up in terms quality space but not leave the area. 

The feedback has been that Broadway is comfortably standing apart from the competition at the moment due to its high class sympathetic refurbishment that marketing modern day offices need with the period features of the building.

James Hartley, who is dealing with both The Pearl and Broadway commented as follows:

“The East Midlands office market is at a tipping point at the moment as much of the   high quality stock has slowly been occupied over the last few years.  With little or no   new development on the immediate horizon there is becoming a severe shortage of well presented high quality space.

Occupiers that are moving are tending to look for quality or an upgrade in the quality of space whilst capitalising on the current market conditions to not increase or minimise the income in rent paid on their new space. 

This means that in order for landlords to maximise performance of their offices a refurbishment in many cases is a must.  This work should also be carried out if possible when bringing the space to the market as it is not always easy for potential tenants to visualise finished space so they will often opt for an office that is finished and ready to go.”

Mark Tomlinson of FHP Property Consultants talks about the office market in the Professional Quarter of Nottingham City Centre.

2012 Stats and Facts

•   Transactions outstripped new supply by 50%

•   There is 20% less space available in the area than this time last year

•   Just under 30,000 sq ft of office take up in the area in the year

•   FHP completed 13 transactions totalling 20,000 sq ft

For decades this quiet corner of the city has been established as Nottingham’s traditional Professional Quarter, with the area bordered by Park Row, The Ropewalk and Derby Road occupied by accountants, law firms, private clinics and a range of property and development businesses. The location is discreet, and the buildings prominent without being ostentatious.

2012 was a good year for this area of the city, with plenty of activity to shout about. We have welcomed a whole host of new tenants to the area such as EVS Translations, Rizk McCay, Wallwood Independent, Clearwater Corporate Finance and PAM Group to name a few. At the start of the year the landscape on Regent Street was one of imposing buildings hidden behind an array of marketing boards which can give the wrong impression of what a desirable area this is, it had become almost an assumption for many local businesses that this area was out of reach financially – but this is not the case.

In an area surrounded by amenities ranging from the established Hart’s Restaurant and Cast Deli through to the recently-opened Browns Brasserie and being just a couple of minutes’ walk from the City Centre, prospective tenants have been surprised by what they can now get for their money following a softening in rents and incentive packages offered by landlords. As a result, vacancy levels have decreased despite buildings coming to the market following recent moves by Roythornes Solicitors, Potter Clarkson Patent Attorneys and Curtins Consulting.

Out of the recent activity in the area there is something which all of the successful landlords have in common in this market – the requirement to refurbish and modernise buildings to provide an attractive and easily occupiable solution for tenants. If you are a landlord then you have to stack the odds in your favour as, although there is some positive activity in the market, enquiry levels remain suppressed and there is still a selection of buildings for prospective tenants to choose from.

From a freehold perspective this area remains one of Nottingham’s front runners. Although values have dropped since the hazy days of 5 years ago, they have remained strong, driven by a lack of supply and an underlying demand for freehold opportunities in this area which are seen as a secure investment with good flexibility on alternative uses. This is especially the case for owner occupiers who tend to pay a premium over investors in this area. Many would be purchasers, however, are hamstrung by the lack of availability of finance which I feel is hampering freehold values still.

So, looking forward to 2013?

The outlook remains the same still with plenty of available opportunities for enquirers which are now perhaps of a better quality than those offered in previous years, owing to a change in mind-set of many landlords on the presentation of their properties. Tenants can expect to secure good quality accommodation on attractive rental packages, landlords should expect voids but should be comfortable that a good quality tenant can be found and vendors can achieve quick sales at strong levels compared to the previous few years.

COUNTRYWIDE, the biggest name in the UK property services market, has made a move of its own by relocating a key administrative and customer contact operation to one of the most prestigious and best-established business parks in the East Midlands.

The UK’s largest estate agency did not have far to go when expansion meant it needed to find a new location for the operation – it has switched from an existing base in Mansfield to a 20,000 sq ft standalone building at the Sherwood Business Park close to Junction 27 of the M1 at Annesley.

Nor did Countrywide need many removals vans when it made the move. For the building it has taken over was left in plug-and-go condition by its previous occupant, Homeserve, with furniture, partitioning and data installations meaning the new occupier could get an important business function up and running very quickly.

Countrywide, which trades through leading high street estate agencies such as Bairstow Eves, has moved into Sherwood Court on Sherwood Park in what is one of the largest office lettings in the East Midlands in recent months. The deal was concluded by John Proctor, of the Nottingham property consultancy FHP.

Brad Pitts, Project Manager at Countrywide, explained: “The administration and contact centre is a crucial function within our business, and an expanding one. We carried out an exhaustive search of the options available for relocation and Sherwood Court was the obvious choice. It suits our purposes well because it is a detached building on its own site, which means we have full control of our operations and we are operating from a modern and flexible office environment.”

Countrywide has taken a 10-year lease on the L-shaped building, which has an atrium entrance area and flexible workspace ranged around a central corridor. John Proctor, who acted for property investment syndicate landlords, says that the presence of fixtures and fittings proved decisive in Countrywide’s decision to select it as their home.

He commented: “The landlords fully recognised the value of the fit out which had been left in situ by Homeserve, and the fact that we were able to offer the building in plug-and-go condition was a key factor in Countrywide’s decision to choose this location.

“Countrywide is a market-leading business which clearly required a certain quality standard, and the detached nature of the building and the flexibility of the internal space also played an important part in their decision. But the way in which the landlords worked with Homeserve to ensure the building was left with not just furniture but a working data and telecoms installation meant we were able to show potential occupiers a fully functional building able to accommodate an open plan layout.

“While it’s true that many potential occupiers will think of doing their own fit-out, the way in which Sherwood Court was maintained and marketed after Homeserve’s departure suggests there is potential added value in keeping existing fixtures and fittings in place. It could mean a move being made quickly and fit-out costs being reduced.”

Brad Pitts added: “It was certainly immensely helpful for us to be in a position where the lead time for a substantial move was reduced. The logistics of moving this kind of operation can be complex, and the availability of not just furniture but data and telecoms infrastructure meant we were able to reduce our costs and ‘switch on’ the operation quickly.”

Sherwood Park is one of the most prominent strategic business locations on the M1 corridor in the East Midlands, and John Proctor says opportunities like that presented by Sherwood Court are becoming rare.

“While the market remains difficult, FHP has seen an upturn in interest in good quality office space in recent months,” he said. “However, finding this office space is not easy as funding challenges and caution among potential occupiers means nothing new is currently being built.

“The result is that those businesses who are looking to move or expand are focusing on good quality existing stock. This is the pattern we have seen play out during 2012, with Browne Jacobson taking vacant HMRC space at Castle Meadow, the Nottingham Post Media Group going to City Gate, the land Registry taking their building at Castle Wharf and TDX taking space at The Pod on Fletcher Gate.”

John Proctor concluded: “It is still a tenant’s market, but the balance between supply and demand is beginning to shift in a way that looks likely to lead to a strengthening in rental deals and a hardening in the terms offered by landlords. If we now see some sort of upturn in the economy the the market will have to start thinking about a new build programme.”

For further information contact John Proctor at FHP on 0115 950 7577

FHP Property Consultants are delighted to announce the letting of 21 The Ropewalk located in the prestigious ‘Professional Quarter’ of Nottingham City Centre. The new occupier, Rizk McCay Limited, have bucked the market trend and expanded their operation from Mansfield Road to take this very well presented office property which sits well with their company image.

RizkMcCay is a highly creative design, marketing, advertising and branding agency delivering print, digital, exhibition and environmental designs both regionally and nationally, for clients such as Boots, Gleeds, Maber Willmott Dixon, CPW, Scape and FHP!

Helen Andrews, Director at Rizk McCay commented:-

“We are blessed with great clients who have continued to invest in their marketing and branding throughout the difficult trading conditions of recent years. We have completely outgrown our current studio and needed somewhere professional yet characterful.

Hopkins Solicitors, Gaskells and FHP worked together ensuring the process was very time-light from our perspective allowing us to continue focusing on our steadily growing business.”

Mark Tomlinson, Surveyor at FHP Property Consultants who acted on behalf of the landlord commented:-

“This letting marks yet another transaction for the ‘professional quarter’, which has had a very positive year in welcoming new occupiers.  Rizk McCay is a successful local company and I am delighted that they saw the business opportunities and the working lifestyle that this location has to offer. They are definitely a good addition to this area of the city.”

“21 The Ropewalk was refurbished throughout when the previous tenant vacated making it an easy and desirable option to potential occupiers – something which is of paramount importance for both landlords and tenants in this market.”

The neighbouring property is now being marketed ‘To Let’ – contact Mark Tomlinson for further information on 0115 9507577 or mark@fhp.co.uk.

FHP Property Consultants are delighted to announce the sale of The Park Clinic at 36 Regent Street in the Professional Quarter of Nottingham City Centre.

The property comprises a four storey period building, which is occupied by a range of medical practices including Physiotherapy, Eye Clinic, Personal Training, Counselling, Cosmetic medicine, and Beauty therapy.

The building has been purchased by a local property investment partnership who are now in the process of agreeing new leases with all the existing occupiers, who continue to run their businesses from the clinic.

It’s business as usual for the successful Nottingham Park Clinic practices, whilst the building undergoes substantial and necessary renovations.

Mark Tomlinson of FHP Property Consultants, who are acted on behalf of the vendor commented:-

“A purchaser for this property was found within a very short space of time compared to most commercial properties on the market at this time. This highlights the demand for freehold opportunities in this location as we did receive quite a number of enquiries and undertook a number of viewings on the property prior to achieving a disposal.”

He added:-

“Over the last few years property values in this area have seen a decline but certainly not as significant as many properties in more secondary locations. There remains an underlying demand for property in this area given that it is well located and remains popular among medical, professional and residential occupiers. I expect to see value in the area slowly creeping up over the next year or so.”

FHP Property Consultants have now been instructed with Innes England to find further specialist clinics/consultants who require City Centre rooms.

For further information please contact Mark Tomlinson at FHP on 0115 950 7577.

Acting on behalf of Antler Sherwood Park (No 2) Unit Trust FHP are pleased to confirm that they have let 13,094ft² to Yusen Logistics (UK) Limited comprising part of the first floor of 1 Oakwood Court, Osier Drive, Sherwood Park.

Yusen have taken the premises on a five year lease with 64 car parking spaces and are fitting out the premises with a view to taking occupation in the new year.

The premises are being used as the UK Headquarters of Yusen Logistics who are relocating from their existing offices at Junction 28 of the M1.

John Proctor, who handled the letting on behalf of Antler, confirmed:-

“It is very pleasing to achieve a letting of this nature in a highly competitive market.  Over the past few months we have let in excess of 34,000ft² in the park following our recent letting at Sherwood Court to Countrywide.  Sherwood Park undoubtedly gives a potential occupier value for money by virtue of the competitive stock which is available”.

This letting means that there are only some 4,900ft² left in the building which is now being offered in the market.

For further information contact John Proctor at FHP on 0115 950 7577

FHP Property Consultants have been instructed to market a 5,000ft² office building which is currently under refurbishment in The Lace Market area of Nottingham City Centre. The property is a former gymnasium and is currently undergoing a substantial renovation to provide predominantly open plan modern office accommodation within a very attractive and well located period building. The property will comprise a double height entrance atrium fantastic for local businesses looking for increased presence in the city and a building to create an excellent impression to visitors.

The property will be available early in the new year following its refurbishment and will be brought to market either for sale or to let.

For further information please contact Mark Tomlinson at the FHP Nottingham office on 0115 8411134 or mark@fhp.co.uk.

James Hartley of FHP Property Consultants can confirm that he has completed the letting of the ground floor 989ft² office suite at Unit 16, The Triangle on behalf of Abbeyfield Estates to TSL Education.

James Hartley commented:

“The letting to TSL Education is an excellent letting for an office of this size to attract such a strong covenant is rare.  The office will house TSL’s new online department and they hope to expand rapidly in the space with an option over the first floor for the next 2 years.” 

This leaves FHP with only one office, No. 18 on NG2 Business Park which can accommodate lettings from 1,900ft² up to 3,800ft².