Letting in Alfreton unlocks expansion plans for local occupier
Acting on behalf of private pension fund trustees, Tim Gilbertson, director of FHP Property Consultants, has completed the letting of substantial distribution space off Keys Road in Alfreton, moments from the A38 and Junction 28 of the M1 motorway.
This modern warehouse building was put under offer within days of coming to the market and a lease has subsequently been agreed and completed to an expanding local occupier who wish to remain nameless to enable their further expansion in the region.
The building sees just over 23,000ft² of warehouse space let, and Tim Gilbertson who dealt with the letting said: “This is the second time I have had the pleasure of letting this building for our clients and I am delighted with the outcome. The ingoing tenants offer a good covenant and a long term lease has been agreed. Equally, it’s always a pleasure to see a local company expand and to help them with their developing business.”
A spokesperson for the private pension fund landlords said: “Alfreton remains a popular location for businesses looking to grow and further strengthen their market positioning. The unit resides within a prime warehouse and logistics hub with excellent links to the wider East Midlands transport network, namely direct access to the M1. We wish the new tenant all the very best in their new premises.”
Tim Gilbertson concluded by adding: “Even though we are in the middle of the summer holiday season, we are still experiencing good demand for space on both a leasehold and freehold basis throughout the region with industrial and warehouse spaces from a few hundred sq ft to a few hundred thousand sq ft very much still in demand.
“Despite the obvious economic pressures we are all encountering at present and indeed some supply chain issues which occupiers are also having to deal with as a result of Brexit, the market does seem to still be moving strongly.”
Frasers Group disposes of retail parks for £205m
Shirebrook-based Frasers Group has completed the disposal of a number of freehold and long leasehold retail parks held by its wholly owned subsidiaries, to RI UK 1 Limited for a headline price of £205m.
The company noted that Frasers Group fascias will operate from leases within these properties where appropriate.
The company intends to use the proceeds of sale towards the working capital of the company and its group operations.
Tax cuts on the horizon? By Michael Ball, tax partner at Streets Chartered Accountants
Michael Ball, tax partner at Streets Chartered Accountants, considers the impact the potential new Prime Ministers might have on the tax system.
Now that we know the final two candidates who will contest the conservative leadership contest, and therefore that one of either Rishi Sunak or Liz Truss will be the new Prime Minister in the Autumn, let’s have a look at what this might mean for the tax system.
As Mr Sunak was, until fairly recently, the Chancellor, it is perhaps understandable that he has not pledged any variation to the current intended tax changes – although he has said previously that he “firmly believes in cutting taxes” and as part of his leadership bid has said that “once we have gripped inflation, I will get the tax burden down. It is a question of ‘when’, not ‘if’.”
Therefore, if he was to win the leadership race, we can expect the health and social care levy of 1.25%, currently collected via an increase in NIC, to continue to be implemented as planned in April 2023.
We can also expect the planned rise in corporation tax in April 2023. This will reintroduce a tiered approach to corporation tax, with profits under £50,000 continuing to be taxed at 19%, profits above £250,000 being subject to the main rate of 25% and those profits in between being taxed at a tapered rate.
In contrast Ms Truss has pledged a number of tax cuts including to scrap the health and social care levy and the planned increase in corporation tax, as well as the suspension of green levies on energy bills.
It is interesting to note that at this point, and with the cost of living continuing to rise, neither have mentioned a cut in VAT. Nor have either of them, as yet, mentioned the tax that has been rising significantly in recent years, and that is inheritance tax. Whilst a large proportion of estates still do not pay inheritance tax, and this is perhaps why it is not high on the political agenda, not as many votes in it, with the increases in property values we have seen over the last few years, more and more estates have been brought into charge.
If Liz Truss is the next PM we can, it would seem, look forward to tax cuts in the short term. Whereas if it is Mr Sunak who moves into No 10 there may well be cuts eventually but, as is often the answer in tax, it depends.
Whichever takes office it is my hope, but not expectation, that politics will take a back seat in planning the tax policy of the future. Our tax system has become increasingly complex in my 15 years in the tax profession, and this has too often been as a result of politically motivated tinkering around the edges.
The recently released Office for Tax Simplification (OTS) report includes a recommendation “that the principle of simplification should be embedded in the general tax policy making process.”
We can only hope that whoever takes over at No 10 listens to this advice.
Just one week remains to make your nominations for the East Midlands Bricks Awards 2022!
With just one week remaining until nominations close for the East Midlands Bricks Awards 2022, ensure to submit your entries for the annual celebration of the property and construction industry by Friday 19 August!
Scheduled to take place on Thursday 15 September, the Bricks shine a light on the outstanding work of those shaping the landscape of our region, recognising development projects and people in commercial and public building across the East Midlands – from offices, industrial and residential, through to community projects such as leisure schemes and schools. We also highlight the work of architects, agencies and those behind large schemes.
The glittering awards ceremony revealing winners, at the famous Trent Bridge Cricket Ground, will also offer the perfect chance to forge new contacts with property and construction professionals from across the region. The event will additionally feature John Forkin MBE DL, Managing Director at award-winning investment promotion agency Marketing Derby, as keynote speaker.
Nominations for the awards are open until Friday 19 August. To submit a business or development for the East Midlands Bricks Awards 2022, please click on a category link below or visit this page.
Thanks to our sponsors:
- Most active estate agent
- Commercial development of the year
- Responsible business of the year
- Residential development of the year
- Developer of the year
- Deal of the year
- Architects of the year
- Excellence in design
- Sustainable development of the year
- Contractor of the year
- Overall winner (this award cannot be entered, the winner will be selected from those nominated)
Book your tickets now
Tickets can now be booked for the awards event – click here to secure yours. The special awards evening and networking event will be held on 15 September 2022 in the Derek Randall Suite at the Trent Bridge County Cricket Club from 4:30pm – 7:30pm. Connect with local decision makers over canapés and complimentary drinks while applauding the exceptional companies and projects in our region. The event will also welcome award-winning mind reader, magician, and professional mentalist Looch, who will bewilder and astonish guests during the evening’s networking. Dress code is standard business attire.
To be held at:
Works complete on new £2m waste and recycling centre at Tattershall
Construction work at Tattershall’s new household waste and recycling centre has now completed.
The project was procured through public sector procurement authority, SCAPE and its Regional Construction framework, with main contractor G F Tomlinson beginning work on site in December 2021.
Following a £2m investment from Lincolnshire County Council, the new facility has replaced an existing, privately-owned centre at Kirkby on Bain, which is now set to be decommissioned.
The new site, which has a larger capacity, will handle, sort and dispose of materials more efficiently than the previous centre. The facility accommodates four state-of-the-art waste compactors, which feed ten containers. These are able to hold three times the amount of waste than a standard open top compactor, helping to reduce haulage costs and make for a more sustainable transfer to the waste station, by transporting more waste per journey.
The facility will serve Horncastle and the surrounding area.
The project utilised local labour through G F Tomlinson’s supply chain including Newark-based D J Swallow Construction, who worked closely with G F Tomlinson to complete the ground works and concrete slabs, as well as Lincoln-based electrical contractor, Brooke & Mayo. This helped ensure that 78% of the spend on the project was with suppliers based within 40 miles of the site.
Craig Stopper, SCAPE Regional Construction Framework manager at G F Tomlinson, said: “We were delighted to be appointed as main contractor partner on this development. In addition to providing the residents of Lincolnshire with quick and convenient access to a new recycling centre, the facility ensures materials are being disposed of correctly, reducing harmful impacts on the environment.
“We are very pleased to have completed this project working alongside Lincolnshire County Council under the SCAPE Regional Construction framework – it marks the fifth household waste recycling centre we have delivered for the Council to date, with others located in Boston, Gainsborough, Bourne and Sleaford.
“This scheme is another important public facility in the Lincolnshire area which will provide upgraded recycling services and reduce the impact on the environment within the wider community.”
Mark Robinson, group Chief Executive at SCAPE, added: “The new centre is an excellent example of how a scheme can deliver social and economic value and provide long-term benefits for the wider community. It has been developed to the highest standard whilst integrating sustainable facilities and achieving value for money.
“We are delighted to have worked with our partner G F Tomlinson to accelerate this project forward, and bring an essential waste and recycling centre to the local residents of Tattershall, Coningsby, and the surrounding areas.”
Mike Reed, head of waste at Lincolnshire County Council, said: “Tattershall Household Waste Recycling Centre represents another significant project completed in partnership with G F Tomlinson using the SCAPE Regional Construction framework. The facility will provide a better environment for local residents to dispose of their material and will contribute to Lincolnshire’s circular economy aspirations.”
New management team and ownership model for PLM Global
PLM Global, a Nottingham-based solutions provider specialising in the supply, repair and maintenance of hand-held data capture devices, mobile print and EPoS hardware, has begun life under a new management team and ownership model, with Shane Watson becoming CEO and majority shareholder.
This received the backing of SME Capital for funding, supported by local Nottingham companies, HSKSG Corporate Finance Specialists and Acton’s Solicitors.
As one of the founding shareholders, Shane has taken this business from strength to strength over the years, with the team at PLM Global enjoying eight years of rolling success.
The company, which started with just four employees now boasts 21 with a 200 + client list spanning six continents and various industries. They have also rocketed to a £4.5 million annual turnover.
Supporting Shane is Wayne Swallow, who will be taking on the role of chairman after being a non-exec in the company for the past 2 years. Wayne holds 30 years of experience in Retail Technology and Logistics, having held various roles, including Managing Director of Htec and IT director of Nisa.
The new executive team will be made up of Rob Alcock, who has been promoted to sales director, Leroy Stratford, whose role is head of finance, and Matt Leary, the operations manager.
Shane Watson, CEO, said: “I am absolutely delighted with this outcome, we have worked tirelessly to get PLM Global to the stage it is at today. With our experienced and strong-skilled Board of Directors, I have every faith that we will progress further.”
Hiring intentions remain strong despite recession fears
Hiring intentions among UK businesses remain strong despite a turbulent outlook across output and inflation, according to the latest Business Trends report from accountancy and business advisory firm, BDO.
The BDO Employment Index soared to 114.79 in July, its highest level since January 2019, up 0.23 points on June. Staff shortages heightened by Brexit and the COVID-19 pandemic have been driving a buoyant labour market as firms push hard to recruit. This can be seen in the unemployment rate which stood at 3.8% in the three months to May.
However, BDO’s Inflation Index shows no sign of slowing, reaching a further record high of 118.72. Growth was driven by increases across both the input inflation and consumer inflation indices, with the former recording its highest ever reading of 121.19 due to a weakening currency, supply side shortages and significant supply chain disruption.
This tough inflationary environment and the threat of a recession look to diminish employers’ hiring intentions towards the end of this year, mirroring the trend of decline that was seen by the Employment Index during the 2008 financial crisis.
In line with the decline in economic activity, BDO’s Optimism Index fell 0.30 points to 101.53, its lowest point since April 2021. While both the services and manufacturing subindices experienced a fall, the overall decline was driven mostly by the latter with a 0.69-point decrease.
Lower business confidence aligns with an overall dip in BDO’s Output Index, which remains below 100, the measure indicating long-term growth, for the second consecutive month. However, the Output Index posted a slight increase overall of 0.42 points in July to reach 98.66, led by an uptick in consumer activity across the manufacturing and services subcomponents.
Kyla Bellingall, partner and head of the Midlands at BDO LLP, said: “Reports of a less optimistic outlook are by no means surprising as the economy now faces the prospect of a recession towards the end of the year. Although it’s encouraging to see recruitment intentions remain strong, we know that talent shortages are an issue, with many businesses reporting they are struggling to find people with the right skills.
“Despite the current hiring activity, we’re likely to see demand for labour and the Employment Index decline later in the year, with employers devoting their resources to managing inflation, interest rate rises, and ever-growing energy costs.”
£8m Levelling Up boost for Grimsby to repair vital bridges and boost local industry
Vital bridges connecting Grimsby and Immingham will be repaired to boost the local key industries and tourism, prevent road closures and secure future jobs for the region, Levelling Up Secretary Greg Clark has announced.
In the latest step to level up Grimsby, £8 million of funding has been confirmed to help fix damaged bridges along the A180 – a vital route that connects the region’s key ports, serves residents and tourists and provides an estimated £2.5 billion to the local economy’s Seafood Cluster each year.
The funding will prevent months of disruption and closures for residents, as well as making sure local industries can continue to grow and helping to create more skilled jobs in the area.
Grimsby was the pilot Town Deal area, and the Government has awarded over £45m through the Pilot and its flagship Towns Fund and Future High Streets programmes to support plans to renew and reshape the town centre. This includes plans to build 129 new high quality, low carbon homes in the town.
Secretary of State for Levelling Up Greg Clark said: “The work to level up vital towns like Grimsby requires acting on what local people say is important and acting on what local people want – including local infrastructure.
“The funding we are announcing today will provide a vital lifeline for Grimsby’s industry now and in the future and I am looking forward to seeing how our investment is helping local communities to flourish and further unlock the area’s potential.”
DLUHC arm’s length body, Homes England, will assist North East Lincolnshire council to develop plans to revitalise the town centre, including for the 129 homes on Garth Lane.
Cllr Philip Jackson, the leader of North East Lincolnshire Council, said: “I am delighted that our collaboration with Government on the levelling up agenda is bearing fruit. The key infrastructure investment announced today, as well as our work with Homes England, focused on Garth Lane and wider town centre regeneration, are essential elements of our drive to deliver sustainable local economic growth for our residents, our communities and our businesses. I look forward to our collaboration with Government continuing.”
Western School site housing development moves a step closer for Grimsby
An opportunity to create the housing development on the former Western School site has been released to tender this week.
The 22.9 acre brownfield site will eventually see a community of up to 297 properties including potentially one to four bedroom houses, including affordable housing and retirement dwellings. In a separate arrangement, the Council will also provide an extra care facility on the site.
The major ‘spine roads’ into the site and work to bring utilities to the site were completed last year and the Council is now looking for a developer to come forward for the project.
The site received outline planning permission in 2021.
One of the main features of the site is the planned sustainable drainage system. With the weather now being more unpredictable and extreme weather and rainfall more common, it is right that the site should have a sustainable drainage network.
The Former Western School and Playing Field site received funding from Homes England and the Accelerated Construction Fund, to provide enabling works including planning permission, spine roads and services up to the site.
Councillor Philip Jackson, leader of North East Lincolnshire Council, said: “I’m really pleased to see this brownfield housing development progressing now. We know we need more housing, particularly starter houses and ones pre-adapted for our older population, in the borough. We have to get the balance right to meet the needs of our residents.”
The procurement process is a two-stage one, where interested developers can submit a selection questionnaire initially (with a deadline of Tuesday 13 September). Selected developers will then take part in a competitive dialogue, followed by an invitation to submit formal tenders to develop out the site.
It is expected that work could begin on the site as early as 2023.
Plans in for major mixed use scheme in Leicester
Plans have been submitted for a major new mixed use scheme in Leicester.
The development would involve the demolition of existing buildings at the adjacent sites of 150 St. Nicholas Circle and 3-5 Bath Lane, Leicester.
The application proposes the construction of a mixed-use development of student accommodation, ground floor retail accommodation and top floor private rental apartments, with associated communal, amenity and ancillary space.
The 4, 7 and 9 storey building would host 108 student studios, two three bed cluster flats and 11 four bed cluster flats, as well as two one bed private rental apartments.
A design statement submitted to the council says: “The site is a prominent location in the urban grain, at a gateway location to the city and at an important node in the road network. The existing buildings currently under-use the site in terms of use and contribution to the street scene.
“Their impact on the character of the area is mixed, the former bakery building is considered to make a positive contribution, but the single storey frontage of 150 St. Nicholas Circle and the associated 1990s building on Bath Lane to the rear are of low quality and ultimately make a poor contribution.
“The application proposes a comprehensive redevelopment of the site, with the demolition of the existing structures and the construction of a mixed-use development of student apartment accommodation, ground floor retail and top floor private rental apartments, together with associated communal, amenity and ancillary space.
“Proposals are intended to be in line with the planning context of the area, with aspirations of high quality design and usage that helps to enhance and regenerate the area.”
