2008

November
NORTHERN IRELAND PROPERTY AWARDS 2008 - ALANA SIMPSON, YOUNG PROPERTY AGENT OF THE YEAR

NORTHERN IRELAND PROPERTY AWARDS 2008 - INVESTMENT PROPERTY DEAL OF THE YEAR

ROYAL MAIL RE-APPOINTS OSBORNE KING TO MANAGE NORTHERN IRELAND PROPERTY PORTFOLIO

August
INCREASED DEMAND AND RENTAL GROWTH OFFER POSITIVE OUTLOOK FOR LOCAL OFFICE MARKET

June
THE STREAT LAUNCHES NEW STORE CONCEPT AT BALLYHACKAMORE

May
TIVOLI COURT RETAIL SCHEME APPROACHES FULL OCCUPANCY

February
NEW MIXED USE DEVELOPMENT NEARS COMPLETION AT NEWTOWNABBEY


November
NORTHERN IRELAND PROPERTY AWARDS - ALANA SIMPSON, YOUNG PROPERTY AGENT OF THE YEAR 2008

Alana Simpson has scooped a top award at the Belfast Telegraph Northern Ireland Property Awards, sponsored by Ulster Bank.  Alana was named Young Property Agent of the Year at a glittering gala awards ceremony at the Ramada Hotel, Belfast. 

Alana Simpson (right) was named Young Property Agent of the Year 2008.

She was presented with the award by Patricia Johnston (centre), from category sponsor A&L Goodbody. 

Alana Simpson has been a valued member of the Retail Team at Osborne King since she graduated from the University of Ulster in 2004. A fully qualified member of RICS, Alana was promoted to the role of Senior Surveyor in 2008, reflecting her ability and achievements within the Retail Team. 

As Senior Surveyor, Alana is responsible for letting units within Osborne King’s shopping centre portfolio and for the sale and letting of ‘high street’ retail units for a range of major retail chains.  

In the last year Alana has achieved outstanding results, including the acquisition of two supermarket stores on behalf of Sainsburys Supermarket. This acquisition was the culmination of two years intensive work which generated a fee income of over £300,000 for the company.

This year has also seen Alana implement an impressive asset management strategy, which protected the value of her client’s assets after the opening of a new retail development. In addition to this Alana has acquired four stores across Northern Ireland for a well-known chain which will now have a total of 16 stores across the province. 

Colin Mathewson, Retail Director at Osborne King says, “Alana continues to play a key role in the Osborne King business, both with the high profile transactions completed to date in 2008 and also in the wider development of the company. Her commitment and determination in delivering solutions to clients is unquestionable and she continues to extend her reputation in this highly competitive sector.”

Alana’s dedication to her work is reflected in her training of graduates at Osborne King who are about to take their final APC Assessment. Added to this responsibility, Alana supervises one graduate in the retail department on a day-to-day basis and two placement students. She also contributes to the Osborne King team through her other role as organiser of team building and social events for the company. When she finally gets the opportunity to relax, Alana enjoys running and has recently taken up golf!

NORTHERN IRELAND PROPERTY AWARDS - INVESTMENT PROPERTY DEAL OF THE YEAR 2008

Osborne King was acting on behalf of Northern Ireland property company, William Ewart Properties Limited, which has assets in excess of £1 billion and is one of Northern Ireland’s most successful property companies.

As part of its shopping centre asset management strategy Osborne King has assisted William Ewart in acquiring key London retail centres linked to transport hubs. Previous acquisitions have included Fulham Broadway Shopping Centre and Hammersmith Shopping Centre.  In continuing this strategy Osborne King conducted a search and review of suitable assets to expand and strengthen this portfolio.


L-R Paul Holloway - KPMG, Nick Reid - William Ewart Properties and David Burrows - Osborne King. 

Victoria Place was identified as being an ideal prospect and Osborne King carried out an initial assessment on the fundamentals of the asset.  It quickly became clear that the asset ticked a number of boxes for the following reasons:-

1.Prime central London location;
2.Integral part of Victoria Station which is one of the busiest transport interchanges in London.  70 million commuters use Victoria Station over a year with 40 million passing through Victoria Place.  This equates to a staggering weekly footfall of c. 770,000 people;
3.The Centre falls within the Victoria Regeneration Scheme which will upgrade its capacity of the station.  In addition significant office development of up to one million sq ft with associated residential development is planned by Network Rail as a comprehensive redevelopment of the airspace above the station.

The asset comprises some 83,000 sq ft of retail plus 25,000 sq ft of food court arranged in 45 units over three floors.  In appraising the asset Osborne King gave full consideration to the tenant line-up, asset management potential, rental growth potential and development potential.  The property is very well let to ‘blue chip’ tenants such as Sainsburys, Next, New Look etc.

Having established that the property was well located and had the quality and potential to enhance William Ewart’s portfolio, we set about creating a strategy aimed at securing the asset.

From our previous experience in acquiring Fulham Broadway, it was obvious to us that a number of key points would be vital to the vendor (Land Securities).

1.The credentials of William Ewart;
2.The due diligence carried out;
3.An understanding of the complex nature of the legal ownership;
4.The complexities of dealing with Network Rail. 

Osborne King’s investment team was able to deliver on these points by establishing a direct relationship with the vendors.  In doing so, we were able to demonstrate not only our team’s experience in the shopping centre market, but more specifically our experience in dealing with Network Rail and the complexities of acquiring flying freeholds was a deciding factor in gaining preferred status for William Ewart.

Once preferred status had been achieved we were able to negotiate and successfully deliver the £100 million asset into William Ewart’s portfolio.

Post acquisition, a number of the asset management and rental growth strategies have been implemented and the scheme continues to move forward even in ever changing market conditions.    

 

ROYAL MAIL RE-APPOINTS OSBORNE KING TO MANAGE NORTHERN IRELAND PROPERTY PORTFOLIO


L-R Gareth Kimpton - Osborne King, Ray Cochrane - Royal Mail and Robert Watson - Osborne King.

Royal Mail has re-appointed Osborne King to manage its property portfolio in Northern Ireland comprising all post offices, sorting offices and Parcel Force depots.  The estate includes the landmark tower block on Donegall Quay in Belfast overlooking the M3 motorway.

Having secured the initial contract to manage Royal Mail’s Northern Irish estate in June 2004, Osborne King will continue to be responsible for the day-to-day management of up to 90 properties and for the provision of associated property services on a fixed two-year basis.

Royal Mail has instructed four property firms in total to manage its entire network of retail distribution and administration properties across the UK, which is estimated to be in the region of 45 million sq. ft.  Osborne King was one of several local firms tendering for the Northern Irish segment of the overall contract and Robert Watson, Director of the company’s Professional Services division commented: “We’re delighted to have retained this major contract with Royal Mail and appreciate fully the challenges and benefits that come with working with a company of Royal Mail’s size and standing. In addition to continuing to provide the highest levels of service possible over the next two years, our main focus will be on seeking to capitalise asset management opportunities that arise during this period.”

Ray Cochrane, Royal Mail’s Northern Irish property manager added: “We have been very happy with Osborne King’s management of our estate over the last four years and are pleased that they have been re-appointed.  These are challenging times for our business and it is important that the property estate is managed effectively and economically.”

Osborne King has been successful in winning a number of substantial outsourcing contracts recently details of which are due to be announced presently.

All media enquiries to:
Caroline Kieran
CKPR
T: 028 9064 2741
M: 07890 387275


August
INCREASED DEMAND AND RENTAL GROWTH OFFER POSITIVE OUTLOOK FOR LOCAL OFFICE MARKET

The office market in Northern Ireland is going through a period of notable change characterised by a combination of significant demand and rental growth.  The cranes dominating Belfast’s skyline provide physical evidence that approximately 570,000 sq ft of office accommodation is under construction currently, a further 415,000 sq ft (circa) of space has just been granted planning permission while an estimated 932,000 sq ft is awaiting planning approval including Bedford Tower, which if approved, will be Belfast's tallest building.  A snapshot picture of new developments within Belfast city centre would include The Boat (c. 21,000 sq ft); Obel (c. 40,000 sq ft); Clarence West (c. 40,000 sq ft) and Lanyon Plaza (c. 95,000 sq ft).  On top of this, we are aware of a significant number of requirements mainly from the private sector ranging from c. 10,000 to c. 100,000 sq ft with demand continuing for larger single floor plates of c. 10,000 sq ft.
 
RENTAL LEVELS
Office rental levels in Belfast for Grade A space are considerably lower when compared to other major cities in the UK and Ireland as shown in the table below.

Belfast office rents in the years from 2000 – 2004 ranged from £10.00 - £12.00 per sq ft (discounted headline rents) , however, over the last three years we have experienced rents at £14.00 per sq ft that have now reached £15.00 per sq ft .  Continuing private sector demand for quality office space will continue to drive rental levels forward and we believe £17.50 per sq ft is a realistic and achievable figure within the short to medium term.
 
In previous years, Belfast’s office market was dominated by the public sector with limited private sector uptake.  This is changing with the private sector emerging as a more proactive force, and noteworthy deals within the past two years include:-

• Bank of Ireland, Donegall Sq South (70,000 sq ft)
• Citigroup NI Science Park (46,000 sq ft) and
• Liberty IT in Adelaide Exchange (45,000 sq ft)

CAPITAL VALUES
The capital value of office premises has continued to grow over the past three years with office suites selling on a floor-by-floor basis.   This disposal method normally comprises smaller floor plates of c. 1,500 – 5,000 sq ft.   To date the highest price per sq ft achieved is £275.00, however, we can envisage achieving a figure of £300.00 per sq ft within the short term.  Purchasing office accommodation remains the preferred option when dealing with these smaller floor plates.
 
SHORT- MEDIUM TERM FACTORS AFFECTING THE MARKET
The rationalisation and modernisation of the Civil Service Estate through the Workplace 2010 programme is set to improve office stock and enhance the quality of the accommodation, which will result in higher rental levels and ultimately capital values.
In addition, the announcement that occupiers in the Republic of Ireland’s International Financial Services Centres (IFSC) will now be able to operate from Belfast whilst still paying 12.5% corporation tax rather than the UK’s 30% corporation tax, can only boost inward investment, particularly since the current IFSC has over 400 occupiers.
  
SHORT- MEDIUM TERM OUTLOOK
Generally, the outlook for the office market in the forthcoming years is extremely positive.  Belfast office rents and occupational costs remain one of the lowest in the UK and Europe, a fact that has not gone unnoticed by investors continuing to seek new investment opportunities.  The outcome of Workplace 2010 and the effects of inward investment such as that proposed by the IFSC will jointly serve to improve the quality of office accommodation, which combined with anticipated rental level achievement should boost overall demand within the local office market.

All media enquiries to:
Caroline Kieran
CKPR
T: 028 9064 2741
M: 07890 387275


June
THE STREAT LAUNCHES NEW STORE CONCEPT AT BALLYHACKAMORE 

The streat café franchise goes from strength to strength with the recent opening of a new outlet at Unit 6, Library Court, Ballyhackamore in East Belfast – a letting which was negotiated by Osborne King.  The latest addition to the company’s franchise portfolio is operated by husband and wife team Paul and Sarah McMaster.  Sarah is a former employee of the company and relished the opportunity to open her own business.  The 26-seater café at Ballyhackmore is the first outlet within the group to feature a range of design changes marking the streat’s evolving brand strategy.  The streat, Ireland’s award winning cafe chain brings its customers ‘food with thought’, specialising in fantastic coffee and fabulous food all day ranging from fresh healthy handcrafted sandwiches salads and wraps to gourmet coffees and speciality teas, sit in or ‘grab & go’.  Sarah will be running a seven day operation opening Monday to Friday 8am to 5pm, opening late on Thursday and Friday to 9pm. Saturday and Sunday hours are from 9-5pm and 10-4pm respectively.   

These design changes include the introduction of mood lighting in order to ‘zone’ the cafe and provide a variety of private and social areas within one space while a new colour scheme of creams, cinnamon and orange create a warm, welcoming and relaxing atmosphere.  Dark wood finishes take prominence at the deli and serving counter which is complemented by the mixed texture floor finish of wood and marble effect.  Meanwhile, the introduction of sepia and colour coffee and lifestyle prints around the walls builds on the already fresh modern appeal of cafe.  The streat at Ballyhackamore also offers wifi facilities, now standard in all new streat outlets in addition to excellent facilities for customers with disabilities.

Commenting on the new design format, Nikki McQuillan one of the founders of the streat said: "We are delighted with the new look - we have 28 cafes across Ireland and Scotland and no two cafes are ever totally the same. We understand that you can never stand still in this business but we have to be mindful not to lose, but to build, the attraction that the streat holds for our loyal customers. We want to keep the streat brand fresh for the consumer and we are delighted that Sarah and the Ballyhackamore team are our latest additions to the network and wish them every success."

Chris Sweeney of Osborne King who negotiated the letting to the streat added: "Ballyhackamore is an up and coming district within East Belfast which is experiencing significant growth and regeneration.  The streat is the latest in a line of established brand names to decide to invest in the area which not only enhances the current range of amenities available to people living and working in the immediate vicinity, but also provides an important economic boost on a longer-term basis."

Founded by husband and wife team, Michael and Nikki McQuillan in 1999, the streat has launched its successful café franchise in Scotland and is on target to open 25 outlets in the next three years.  The franchise arm of the operation dates from 2003 and there are currently 28 franchisees in operation throughout Ireland and Scotland with additional new openings planned for the coming months.

All media enquiries to:
Caroline Kieran
CKPR
T: 028 9064 2741
M: 07890 387275


May
TIVOLI COURT RETAIL SCHEME APPROACHES FULL OCCUPANCY

Tivoli Court, a new retail scheme situated at Finaghy crossroads on Belfast’s Upper Lisburn Road is fast approaching full occupancy.  Approximately 10,000 sq ft of retail space has been created by local developer, Ken McMurray at ground floor level in addition to 25 apartments which occupy two upper floors.

The site on which Tivoli Court stands has long historical associations with the locality stretching back to an earlier incarnation as The Tivoli, a 1000-seater cinema which opened in 1955 and quickly established itself as one of South Belfast’s most popular cinemas before finally closing its doors sometime in 1975.  During the early 1980s, the by-now derelict site was acquired by the developer’s father and converted into a car showroom, which traded successfully until a few years ago when the decision was taken to demolish the existing premises and re-develop it as a  new mixed-used complex.  Chris Sweeney of Osborne King who has negotiated the lettings at Tivoli Court to date comments:- "This new development has revitalised the crossroads on which it stands both in terms of creating a new shopping core and other economic spin-offs such as employment opportunities.  There’s no doubt also that Tivoli Court benefits from its strategic location and is surrounded by a healthy mix of commercial and residential accommodation, and we had relatively little trouble in being able to attract an appropriate range of tenants who will enhance the current retail offer within the area."

The tenant line-up at Tivoli Court includes Cedarmount Dental Practice, TMC Mortgages and Estate Agents, Moto Style, Shine Hair Company and The Streat.

All media enquiries to:
Caroline Kieran
CKPR
T: 028 9064 2741
M: 07890 387275



February
NEW MIXED USE DEVELOPMENT NEARS COMPLETION AT NEWTOWNABBEY

A mixed retail and residential development at Throne View, Newtownabbey is undergoing major refurbishment and nearing completion. The scheme, located on the Whitewell Road approximately one mile from both the Antrim and Shore Roads, will incorporate 13 retail units with 79 turnkey apartments.

The original premises comprising ground- floor retail units and first-floor offices have been completely renovated and now boast an additional storey of apartments enjoying commanding views over Belfast Lough. The redevelopment of the scheme, which was carried out under Gregory Architects’ supervision includes extensive site improvement works with planting, decorative railings and hard landscaping all combining to create a quality environment for residents and customers alike.

More than half of scheme’s retail element has been let with current tenants including the Co-operative (including a Post Office), Curley’s off-licence, hairdressers, florist and Indian and Chinese takeaways. Recent deals include a letting to a Bathroom retailer, which is anticipated to open shortly and a beautician’s salon.

It is envisaged that once the entire residential development is complete there will be in excess of one hundred new residents living on the complex bringing additional revenue to the retail operators. All of the apartments were sold prior to construction with prices starting from £170,000 upwards.

The now completed retail element of the scheme has attracted significant interest from prospective tenants according to Mark Carron of Osborne King who are letting agents for the scheme: "Throne View’s highly prominent location on the Whitewell Road means that it will attract business from the wider community in Newtownabbey as well as its on-site resident population, making it suitable to a variety of different retailers. At the moment there are a limited number of opportunities still available, however we anticipate announcing a full tenant line up in the near future. Based on the complementary users already in the scheme, we feel that this will prove to be a very attractive proposition to opticians, pharmacists, mortgage shops or coffee/sandwich shops."

With extensive landscaping works, new boundary fences, improved lighting and communal areas underway, Throne View looks set to become a vibrant new destination for both the new residents and local community alike.

All media enquiries to:
Caroline Kieran
CKPR
T: 028 9064 2741
M: 07890 387275

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