It’s that time of year, when Business Link Magazine invites the region’s business leaders to offer up their predictions for the year ahead. It has become something of a tradition, given that we’ve been doing this now for over 30 years.
While none of us possess a crystal ball, it is uncanny how accurate some of these forecasts have been over the years.
Today we speak to Russell Rigby, Managing Director of commercial property specialists Rigby & Co.
I fully expect 2020 to deliver significantly on two emerging property fronts.
With the UK no longer a ‘a job for life’ environment, there is a lot more flexibility in the way people live. We are currently witnessing a rapid, year-on-year shift away from home ownership to rental, which will result in a significant number of build-to-rent schemes being brought forward across the region in the next 12 months.
Rental accommodation has doubled in the UK over the last 20 years and this figure is predicted to increase 50%-fold by 2025. This will see rental overtake owner occupiers’ figures for the first time ever.
PRS operators like Wise Living are at the forefront of delivery across the region. It won’t be long before most towns, employment zones and built-up communities will be touched by this sector.
In tandem, the cultural shift from standalone business park offices into a form of serviced office product is set to continue during the next 12 months.
Derby is at the forefront of the growth in this market, with the City Council’s Connect Derby brand. The launch of Cubo, the former Grade-II listed Old Post Office on Victoria Street in Derby, which has been converted into 20,000 sq ft of office space, and other new offerings in the city centre, will see managed workspaces will continue to be a main talking point in the Derby office market this year.