With regards to rents, the survey states that letting activity of all grades of offices has been markedly reduced. While top rents have been hovering around the £80 per sq ft mark (compared to the high of around £87.50 per sq ft), deals on the majority of Grade A offices in the better locations are now being concluded at around the £60-£70 per sq ft.
Commonly referrerd to as Section 106 agreements, planning gain has, till now, been restricted to associated improvements or cash payments associated with an application in hand that would facilitate the development being proposed. It is now proposing to relax these restrictions, to allow applicants and developers to provide general contribtions which will have a general community benefit, irrespective of what is being proposed within an application. Drivers Jonas, chartered surveyors, has one of the largest planning and development team’s in the UK with major clients within both the public and private sectors, as well as many Government departments.
Chartwell Land has recently acquired the freehold interest in the B&Q and Halfords at Cannon Lane, Tonbridge from Hermes Property Asset Management for a price of £9million. This reflects a net initial yield of 6.05% and an equivalent yield of 7.38%. The property comprises two retail warehouse units of 3,580 sq. m (38,537 sq. ft) and 1,692 sq. m (18,209 sq. ft) let to B&Q and Halfords respectively with unexpired terms in excess of 20 years, providing a very strong base for future rental growth. Colliers Conrad Ritbiat Erdman acted for Chartwell Land whilst Healey & Baker advised Hermes.
In August, Chartwell Land acquired the freehold interest in the London Road Retail Park in Crawley, from MEPC, for £21 million and in Sidcup, purchased the freehold interest in a B&Q Supercentre store from Equitable Life, for a sum of £9.5 million. This extended contention can add to the lower expenses of online conveyancers, also suggests that there is more choice open to you. Chartwell Land proposes to develop a 10,684 sq m (115,000 sq. ft) flagship B&Q Warehouse on the site.
This year has seen a total of £75 million committed by Chartwell Land’s investment team including purchases in Sidcup, Grimsby and London Road Retail Park in Crawley. In addition, Chartwell have secured a number of new development projects at Cribbs Causeway in Bristol, Thurrock and Culverhouse Cross in Cardiff. At a purchase price equating to over £2m per acre.