This has especially rung true for the British high street in recent years, with retail centre footfall having fallen almost exclusively between January 2017 and March 2019.

Whilst the future prospects for high street retail may initially seem bleak, there is nonetheless good reason to believe that there is light at the end of the tunnel. In this article, Jason Wood, Head of Commercial Property and Rashid Ali, Partner at UK law firm Smith Partnership, take a closer look at the role of commercial property in the age of high street decline.

Is High Street Retail Really Nearing Death?

Headlines announcing 'the death of high street retail' have become commonplace in the public arena, and there is definitely significant evidence to suggest that the high street is at least feeling the pressure.

The number of people purchasing goods and services online is expected to increase from 1.66 billion in 2016 to around 2.14 billion in 2021. Overall, ecommerce sales already accounted for more than 14% of global retail sales in 2019, and forecasts are tipping it to grow further towards 22% in the next four years alone.

Although these figures do not necessarily mean that digital consumers are shifting their focus entirely towards the online sphere, the trend undoubtedly represents a threat to traditional retail businesses. That observation is backed by the numbers, with the closure of UK chain stores having led to a decline of 6537 stores in 2018.

It's not all bad news, however. Amidst this general downturn, takeaways, sports clubs, pet shops and specialist clothing stores are just some of the retailers that have posted a net gain in store numbers during the first half of 2019.

Retailers' Response

As online sales continue to grow, retail businesses have begun to adapt and diversify their approach. Aside from making their own move into the online market, retailers have found many new ways of safeguarding their commercial longevity. These could range from practical steps such as selling assets and large-scale reorganisations to focusing on the delivery of a more immersive brand experience.

Although the former approach may be seen as a necessary consequence of the changing retail environment, the latter steps may well be the ones that help reimagine high street retail in the 21st century. The presence of physical stores will always be the main distinction between online and offline shopping, and retailers are faced with the challenge of playing to those unique strengths in a future-oriented way.

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What About the Commercial Property Sector?

Retailers aren't the only ones having to adapt to this brave new world – the commercial property sector has its own role to play in shaping the direction of the UK high street.

Store closures affecting both small businesses and high-profile retailers have made it harder for property investors to make the most out of their brick and mortar assets. Instead, many of them are faced with vacant space and reduced rental yields.

Unsurprisingly, commercial landlords whose portfolio is heavily focused around retail space are being hit hardest by the struggling retail sector. Rental cuts and company voluntary arrangements (CVAs) are at the order of the day, forcing landlords to rethink their strategy.

Commercial landlords whose portfolio is heavily focused around retail space are being hit hardest by the struggling retail sector.

Much like retailers themselves, diversification is often at the centre of that new approach. In some cases, this calls for nothing more than the repurposing of one retail space into another – as more and more shopping goes digital, retail warehouses continue to retain their importance.

In other cases, commercial property investors are moving into an entirely new direction. Opportunities in residential property, build to rent, flexible office space and other areas mean that landlords still enjoy many avenues through which to pursue commercial success. If the decline of the high street has taught us anything, it's that adaptability is central to achieving that goal.

In order to ensure longevity, developments can no longer be based solely on office or residential use. A greater focus on multi-use, the environment and more flexible lease structures can go a long way in shaping spaces that occupiers wish to remain in, helping landlords guarantee income in the long term.

The commercial property sector is also responding to these changes through moving away from retail-led and transactional high streets. There is now a greater focus on experience and the blending of retail, leisure and culture into a single space. The future of city centres lies with being more than just a place to shop; they are set to become community hubs where visitors can shop, eat, visit and explore to their heart's content.

In the face of such developments, landlords themselves are also having to alter their approach. Commenting on the changing role of the commercial landlord, Smith Partnership's Wood and Ali said:

"Landlords focused on providing long leases at high rents are likely to struggle for survival in the long-term. In their place, landlords who take a more active role in the management and performance of their tenants are likely to become the new norm. As such, commercial landlords are steadily settling into a new role as the curators of the high street, considering which businesses will thrive in their space and supporting them in doing just that."

A New Horizon

With changing consumer behaviours continuing to have a significant impact on the UK high street, the time has never been better to carve out a new way forward.

Although retailers and commercial landlords will undoubtedly face further challenges in the years to come, there is also a wealth of new opportunity on the horizon. Those who are able to capitalise on it successfully are set to play an instrumental role in shaping the path ahead.

First time homebuyers looking to purchase an abode for the future can look to six savvy tips from the conveyancing experts at jmp-solicitors.com.

Here’s a list of savvy tips for first time homebuyers.

1. Decide on a realistic budget

When purchasing a home, the deposit isn’t the only cost you’re going to need to cover. As well as the budget for a deposit, which will be around 5%-20% of the value of the home, there will be a number of initial fees such as the valuation fee and the surveyors fee, as well as the additional parties to pay such as the lender/broker fees (if first time buyer no estate agents fees) and the conveyancer. There is then the fees associated with the mortgage including the booking fee, arrangement fee and mortgage valuation fee. We recommend saving an additional £2,500 on top of your deposit to cover the costs.  Please be aware that if more than one person is purchasing and they have already owned a property then stamp duty will be payable even though the other person has never owned a property anywhere in the world before.

2. Find a suitable conveyancer

It’s important to find an experienced conveyancer who will provide a thorough service when you’re buying a home. Your conveyancer will be able to give legal advice, handle contracts, undertake important searches, deal with the Land Registry, and the transfer of funds. Many estate agents will recommend a conveyancer, but it’s important to undertake your own research to make sure you find the right one for your particular purchase. Ensure that they are certified by either the Solicitors Regulatory Authority or Council for Licensed Conveyancers or the Law Society.

3. Take extra care in filling out paperwork

Miswritten paperwork is a common cause of delays when it comes to buying your home. It is important to ensure you read all contracts in full detail and fill in all paperwork openly and honestly. Any incorrect paperwork could lead to a great deal of legal problems in the future. Taking a little extra caution when filling in forms and applications can save you a great deal of time in the long run.

4. Be patient 

While you may be itching to get into your new home, it is vital that all aspects of the process are dealt with thoroughly. Sometimes the conveyancing process may involve a lot of paperwork and additional enquiries, but it is important to understand that all the legal aspects are being done in your best interest as a first-time home buyer. Aside from conveyancing, the mortgage arrangements, estate agent negotiations and the actual moving in process will also take some time.

5. Uphold good communication with your agents

Ensure you are always kept in the loop with the seller, your estate agent, mortgage advisor and conveyancer. When you have decided on a property, you want the process to be as smooth and hassle free as possible, so don’t be afraid to keep pestering your agents. In the same way, make sure to keep your phone on at all times in case you need to be informed of any major turning points. Additionally, keep up to date with your emails, including checking your junk, as conveyancers will often send over documents via email.

6. Ensure you are fully satisfied with your final arrangements and negotiations

For first time home buyers, you may go into a contract not fully understanding what is in your best interest. Your conveyancer will be able to provide you with the best possible advice to ensure you get the best deal for the short and long term. If at any time you are not satisfied with your agreements, it is vital you speak with your conveyancer and they will endeavour to resolve any issues before it is too late.

With the current average UK rent at £934 per month according to HomeLet, Bunk looked at what you can typically get for between £900-£1,000 and how it differs across the UK.

Studio flat, Brixton - £900 pm

Of course, £1,000 won’t get you much in London space-wise, but it will get you a studio flat in either South Kensington’s sought-after Gloucester Road, above Walthamstow’s famous Bell pub or in a gated Tudor style development in Brixton fit with a private pool.

One-bed terraced, Cambridge - £950 pm

In Oxford, you could secure a one-bedroom terraced house with scenic country views for £1,000 and in Cambridge you could also pick-up the same sized property for £50 less a month.

One-bed apartment, Granary Wharf, Leeds - £950pm

If you prefer apartment living, you can snap up a one-bedroom apartment in Gordondale House in Aberdeen, the Royal Parade in Bristol, the Mailbox in Birmingham, Granary Wharf in Leeds or the 32nd floor of the 47-storey Beetham Tower in Manchester.

Two-bed apartment, Mann Island, Liverpool - £950pm

If you’re looking to up your property potential and add another room, a budget of £1,000 can secure you a two-bed apartment in Liverpool’s waterfront Mann Island development, Nottingham’s historic Lace Market conversion, Sheffield's Victoria Quays, the unique Exchange building in the heart of Leicester, Clarence Parade in Portsmouth, a sea-front view in Bournemouth’s Honeycombe Chine, Cardiff’s old flour mill building Spillers and Bakers, Castle Chambers in Glasgow or Swansea’s Maritime Quarter.

Two-bed duplex, Oxford Street area, Southampton - £980pm 

Or, a similar budget would secure you a two-bed duplex in a grade-II listed building in Southampton’s trendy Oxford Street area, or a two-bed terraced with traditional features in Edinburgh’s Rosebank Cottages.

Four-bed terraced house, Lancaster Street, Edinburgh - £1,000 pm

Finally, for a budget of between £900-£1,000, you could rent a three-bed apartment in Compass House, Plymouth, fit with balcony and view of the marina, or a four-bed terraced house in Newcastle, close to Science City and the university.

Co-founder of Bunk, Tom Woolard, commented: “The UK rental market is home to a wide and wonderful variety of properties to suit all styles and it’s interesting to see just how the stock available differs when you take the same monthly budget and apply it to the various regional cities across the nation.

"Of course, you get a lot more property for your money when you look to the more affordable areas but that doesn’t mean you can’t find something with a bit of personality even in the likes of London, Oxford and Cambridge.  

"All too often, the speed at which property can let means that many tenants will settle for the first thing they find and are able to put a deposit on, but it can make a real difference to your life satisfaction in the rental market if you are able to find a property that you love to live in, rather than one you just choose to live in.” 

It is very likely to be the most significant purchase you ever make. Because of its long term ramifications, you want to take the process seriously. Below, the experts at Crawford Mulholland provide Finance Monthly with a simple guide to buying your first home.

1. Are You Ready?

First, you want to examine whether or not you are actually ready to purchase a home. Buying a home isn't something that you should jump into without proper preparation and knowledge. While owning your own home might sound appealing, it involves a lot of maintenance and ongoing work. When you own a home, you are responsible for paying all of the repairs and you are going to be responsible for paying for the respective taxes, insurance, and everything else. Because of this, you need to figure out if you are financially ready for such a leap.

2. Budget For Other Costs

You want to be sure that you are factoring in the costs that you might not necessarily be looking at initially. There are plenty of costs associated with buying your own home that you have to factor into your buying decision including but not limited to the removal costs, stamp duty, the initial furnishing, the survey costs, the solicitor's fees, and more. Make sure that you are factoring in everything when you are making a buying decision.

3. Shop For A Mortgage

Once you have decided that you want to go ahead and purchase a home, you want to shop around for a mortgage. This way, you will be able to minimise the interest rates that you are forced to pay on the mortgage. You will be able to search for some of the best mortgage rates online in order to find the best deal. You want to find the best deal because it will end up saving you a lot of money in the long run and you will need to look to see which type of mortgage would best suit your family.

4. Find The Right Property

When you are shopping around for your first home, you want to take the necessary steps in order to find the right one. Finding the right home is very important because you don't want to make such a large investment in something that you are going to regret later on. Take your time to figure out where you want to live and find a home that is suitable for you to live. You should be looking at the different properties in the surrounding areas that you would like to live to see whether or not you can find a place that you would love to call home. Don't rush the search process because it is going to dictate where you live for the foreseeable future. You want to factor various things in this process including how long the home has been on the market, why the property is being sold, and what is included in the sale.

5. Prepare To Negotiate

If you are going to be purchasing a home for the first time, you want to be prepared to negotiate. Without proper negotiating, you are not going to minimise the total price you end up having to pay for the property.

Overall, there are plenty of things that you can do to make the process much simpler. By following the tips above, you should be able to maximise your chances of finding a great home to purchase as a first time home buyer.

One of the top things that you need not skip is the "staging" process. This is the phase where your house will be readily available for potential buyers to see. Not only does this help you sell your property faster, but it even helps you add a few more pounds and value to your house for sale. Listed below are some tips on how you can prepare for your house's staging process.

1. Declutter

Go over your entire home and de-clutter your space. Whether it's a one-story home or a three-story house filled with lots of rooms and baths, you may want to go over your things declutter those that you're not using at all. Give it to charity, sell them, give it to a friend. If you've not used it for months, then it's probably best that it goes. While you may not be including furniture pieces at home along with the sale, this is still an important process because we want to make sure that potential buyers won't see the house in a "messy" and "cluttered" state.

2. Re-Paint

A fresh lick of paint will immediately transform an old-looking house and give it a fresh, new look. Make sure that when you're showing your property to potential buyers, given them a nice impression. Show them how beautiful the property is, and they can't appreciate it if the paints are all chipped, old, and dusty. Choose neutral colors for the paint and avoid personalizing the house too much. This way, buyers can see the true beauty of the home and they can do the personalization themselves.

3. Keep It Clean And Minimal Looking

If there are minor repairs that need to be done, do it. Do you have holes in the wall? Fix it? Are the door knobs broken? Replace it! We want to make sure that the house looks clean, refreshing, yet minimal looking. Do not over-decorate. It's hard to appreciate the entire house when it is filled with large furniture and overwhelming with home decor.

You may also want to do a general cleaning this time. If you can't do it, hire someone to professional help you with this. Get rid of the lime streaks if any, clean the windows, make sure that the floors are waxed - until every inch of the house is squeaky clean.

4. Upgrade Your Kitchen!

Did you know that the kitchen is one of the most precious and well-prized of your home? Many people's decisions make or break when it comes to the kitchen. Resurface your kitchen cabinets, replace the tiles or clean them if they're all filthy. You may also want to consider upgrading your kitchen countertop. It may be a little bit expensive, but it definitely adds a lot more value to your home and helps you sell it at the best price.

5. Keep It Light And Airy

Give your guests a welcoming feeling. Make sure that the house doesn't have furniture that is too squished or too close together. Making it look light and airy adds value to your house and can even help you sell it at a higher price.

6. Keep House Smelling Clean!

We don't want potential buyers stepping into your home while the house smells stinky! If there are drainage problems, it may cause odor and we don't want to just patch that with a band aid. Instead, to add value to your home and to make sure that it sells quickly at the best price, fix the source of the problem.

During a house visit, you may also want to bake some cookies or bread, as it helps them feel at home. Or, you can add some diffusers for a nice smelling home with therapeutic effects too!

8. Work With An Estate Agent

Lastly, to make sure that you won't be ripped off by potential buyers, make sure that you work with an experienced real estate agent. Find one that has extensive experience in this field and one that can help you further increase the value of your home. When giving potential buyers a tour to your home, let the agent do the talking. They're the ones trained and they know exactly what to say, to help you get the best price and even sell the home much quicker.

 As part of our Expert Insight feature, this month Finance Monthly looks at Construction in the UK, by speaking to Ciara Gormley, Partner at architectural practice PDP London.

What have been the trends in the construction sector in the UK in the past twelve months?

 The UK construction industry has certainly been on a bit of a roller coaster ride over the last 12 months. Unpredictability due to the cooling off of the prime residential market, because of political uncertainty, and an over-supply in some central London locations, has directed developers and funders to diversify their approach to gaining returns from property.

The UK’s controversial housing shortage at the other, more affordable, end of the market has therefore benefitted from a more focussed response, with developers shifting to seek long-term assets rather than an immediate capital return. The resultant financial constraints, reduced building programmes, the need for accuracy, speed and the requisite environmental standards have encouraged the development of innovation in off-site construction. Also there has been the emergence of the Private Rental (PRS) or ‘build to rent’ Sectors based on successful US models. This ‘build to rent’ sector is starting its own trend, looking like it is set to spiral, as the market seeks ways to maximise future returns and cater for the future of ‘generation rent’ as their requirements grow from that of graduates to family living – in itself redefining the meaning of ‘lifetime homes’.

What are some of the key issues that your clients face in relation to UK construction and real estate laws and regulations?

Political unpredictability is one thing, but the process of navigating the complex Planning systems and local government is still increasingly arduous. Legislation has not quite caught up with these emerging market trends with the level of detail required for planning applications growing and growing and developers having to negotiate heavily to achieve their long-term ideals.

The change of political emphasis, especially in central London has generated stricter obligations to supply ‘affordable’ housing in large developments with a starting gambit of 50% of the total numbers. This is generally on extremely expensive land which made the viability of development, especially at the prime level, very difficult.

Health and Safety awareness during the design and construction phases has vastly improved over the last two decades. Contractors and site personnel have benefitted from safer sites with improved working conditions which, apart from the dramatic decrease in site injuries, have aslo improved the finished product for the clients.

The increased client and designer responsibilities in this process have enabled us (And other architects) to provide an additional service to monitor and manage these processes through the design stages.

Recent incidents and tragedies have raised society's awareness of the contribution the built environment makes to our health, security and well-being. All stakeholders, whether they are legislators, developers, consultants, contractors, suppliers building users, have their part to play in the process to deliver the places in which we deserve and want to live, work and play.

What environmental regulations exist in the UK that construction companies and investors must be aware of prior to embarking on a project?

Although the Government appears to be moving to a lesser standard of zero carbon, especially where homes are concerned, larger developers are still extolling the benefits of developing buildings that are energy efficient, flexible and comfortable over the buildings life. In sectors where the market is flooded with new build product and developers and asset managers are holding onto their assets rather than selling, a good EPC and BREEAM rating on a commercial property for example, means better rental prospects on completion.

Schemes such as Considerate Contractors continue to encourage the contractor to actively plan their waste management into their working processes, this works well alongside assessment tools such as BREEAM and LEED.

The absorption of previously stand-alone energy saving initiatives into the building regulations, has increased standards globally, benefiting building design from a fabric and systems point of view.   PDP London has always taken an intuitive and passive design fabric-first, holistic approach to sustainable design (rather than the box ticking approach) which has proven to benefit both client and end user in the longer term. Large multinational institutions are still driving their own standard upwards, expecting commercial standards like ‘The Well Standard’ to sit alongside BREEAM and LEED as a minimum.

The London Plan pushes minimum space standards and amenity sizes in residential design which has had its impact on returns and affordability over a number of years. Whilst they have their benefit, especially in family housing, these are also currently being challenged. The new rental models create a paradigm shift in size of personal demise in lieu of more communal facilities.

In light of Brexit, what incentives are in place to encourage foreign participation in the construction sector in UK?

The UK Government seems to still have a lack of understanding of how to encourage inward investment in development, or at least it is slow to legislate for the market trends. There are very few incentives for inward investment into property, save the quality of product that is available in the UK and the quality of service from experienced construction professionals.

This is definitely a missed opportunity. Indeed, the exit from Europe will further exacerbate the labour shortage and many professionals and consultants will also suffer from the subsequent ‘brain drain’. We are hoping the government will embrace strategies and legislate to help counter the effects of this.  Innovation and flexibility seem to be the only answer in a fluctuating market and professional bodies are trying to find mechanisms to deal with this and hold onto years of experience.

What mechanisms do you use when identifying risks and opportunities in the early development process of projects?

 We find it is useful to set clear objectives and engage with the team from the inception of the project. Clear communication and building team trust is something we focus on from the outset. Including the client in these discussions to identify opportunities is vital and helps to forge a shared understanding whilst developing the brief in alignment with the client’s objectives.

We tend to run specific and focussed Risk Workshops at regular intervals. We use active documents as management tools and run a ’risks and opportunities register’ that is tracked throughout the project, ideally reviewed at each design team meeting. This allows each member of the team to feed their own risks per discipline into this process and share the understanding of mitigation strategies as they emerge.

How has technology changed the architecture sector in recent years?

 With the emergence of BIM as the mainstream tool for communicating drawn information, the way the industry produces and shares information has changed markedly. The detail, level of engagement and decision making that is required at early stages has impacted project planning tools and the level of expected detail, including the level of manpower at early stages in the design process.

As a practice, we have fully embraced the benefits of BIM, yet the long-term impact of this in the industry is unknown. Certainly, it is a positive advancement for the integration of the different disciplines and in the light of a burgeoning off-site construction market with the factory finish precision that it requires, it feeds well into such a process.

It terms of quality and uniqueness in the built environment it may not be just as practical or intuitive when working on existing buildings for example, as it relies on a lot of ’known’ information, before even getting to site. As we know, existing buildings are all about the ‘known unknowns’ and how we can use our skills to respond to this when we get to site. That said, the advancement in software to find solutions for problems such as thermal modelling has also increased the amount of ‘knowns’ about the fabric before stripping out!

The availability of 3d building scan surveys and point cloud surveys mean that photorealistic building information is available in the early days of the design process, driving the level of required accuracy far beyond that required at early stage design. In this instance having a balanced view as to the appropriate use of technology and its benefits for the client is of utmost importance.

Can you tell us about the current projects that PDP London is working on?

 We are best known for our multi award winning Duke of York’s Square, on the King’s road, home of the Saatchi gallery, which represents 10 years of our work. The master planning, detailed design and delivery of this new London square demonstrates our approach to the adaptive reuse of buildings in this underutilised, former military campus to create a mixed use, retail and residential Quarter within a historic setting.

We continue to develop our master planning and residential expertise applying well-honed high-end skills to other emerging areas of residential design such as PRS, Build to Rent and innovative residential housing models, which combine with the fundamentals of good place-making.

PDP London is currently working on proposals for the rebirth of the so-called “In and Out” Club, housed within a magnificent Grade I Listed Georgian building, 94 Piccadilly. Previously a residence for the aristocracy, a prime minister and a major London institution, the property has played a key role in London society over the last 150 years. The proposals combine the grandeur of a Georgian palace, with outstanding levels of service and luxurious design, and will offer a unique combination of style and facilities in the heart of central London.

We are also working on a luxury development on Dovehouse Street, located just off the famous King’s Road in Chelsea, to provide 55 high-quality extra-care units which cater for older residents, whilst also significantly improving the relationship with the local context, repairing the townscape and enhancing the public realm. The scheme comprises the demolition of all existing buildings at 2 Dovehouse Street and redevelopment of the site by reinstating the historical figure-ground.

PDP London has also recently completed the prestigious conversion of a Grade II Listed building, The Star and Garter, into 86 residential apartments. An important and prominent landmark, the building is located at the top of Richmond Hill in the Richmond Conservation Area and overlooks the Thames, with the only view in the UK protected by an Act of Parliament.

What have been some of PDP London’s major achievements in the past few years?

• Winner of the AJ100 Best Sustainable Practice and Best Practice Awards (2012)
• The creation of a multi award-winning, zero carbon sustainable community in Belfast, which achieved Code 5 of the Code for Sustainable Homes and awards
• Working internationally on developments and masterplans for city quarters in Russia, Azerbaijan, Italy, China, and now Canada, taking the British / London brand worldwide.
• Being featured as the only architects in Country & Townhouse Magazine’s ‘Great British Brands’

Any final thoughts?

Our people are our strength.

One of our strategies has always been to build roles around special people. When an individual has a particular passion, skill or knowledge base, it is crucial to help them to fulfil that passion and let them work to their strengths. We feel it is vital that everyone is afforded the space and support to express themselves, unlocking the best of their potential. It is this commitment to the development (both personal and professional) of the 120 people who work with us, and an appreciation of the uniquely varied skills that they bring to the mix, that makes PDP London a great practice and one that is able to consistently produce exceptional quality design.

Whether designing super-prime residential in exclusive central London locations, or student study rooms in refurbished Listed buildings, we endeavour to engage, support and re-energise the places and communities where we work, wherever they are, preserving and enhancing the best of the contextual heritage.

We continue to develop and foster our great team, working with the best people in their respective fields, to allow us to design, create and provide buildings, places and experiences that people enjoy.

ABOUT PDP London

PDP London’s portfolio is emblematic of outward facing, exciting, progressive and design-orientated architecture, which is firmly rooted in quality and excellence.

The practice was formed almost 25 years ago, by a small group wishing to push the boundaries and bring some fresh thinking to the approach of their clients – to encourage them to think of the process of place making rather than simply “building”.

The practice has grown to be 120-strong, and has built a reputation working on some of the most high profile properties at the most impeccable addresses in central London. PDP London has developed and honed their expertise in delivering both contemporary buildings and sensitive restorations of fine historic and vernacular buildings, in prestigious, unique and historic settings.

With a thoughtfulness and an inherent understanding of traditional values and architectural heritage alongside a desire to create world class architecture, PDP London has been pivotal in shaping the built landscape and public realm both in London and further afield. From designing exquisite hotels at Park Lane and Piccadilly to designing and shaping a new, sustainable community in Belfast, our emphasis is on designing great places to live, work and play – making a real and sustained contribution to the future of our built heritage.

Continuing our success in the prime residential market, PDP London has evolved to export this brand of architecture internationally. Starting by working with Grosvenor to re-envision the ethos and quality of the London residential brand in Hong Kong, Mainland China and Japan, this has grown to a 25 strong Hong Kong base working as far afield as Canada.

ABOUT Ciara Gormley

Partner

BA (Hons) Dip Arch RIBA ARB

Ciara has spent the last 2 years leading a large team on the Chelsea masterplan development, a mixed-use masterplan enabling development that is to release value on six sites in the ownership of the Royal Brompton and Harefield Hospital Trust. This is to deliver a new state of the art heart and lung hospital, just consented. This varied site includes mixed use, public realm, retail and high end residential as well as the hospital buildings.

Ciara is the partner instrumental in designing and delivering a scheme for 70 zero-carbon homes and a new sustainable community at Killynure Green, Carryduff, N. Ireland. The scheme was the result of an anonymous international competition and phase one recently completed creates 39 new homes for social use arranged around a series of vibrant landscaped spaces.

Ciara joined the practice to lead the residential component of Duke of York Square masterplan development completed in 2008 and has since concentrated her interests on the integration of the low and zero carbon brief into prime residential developments, and in this capacity she has been key to ensuring sustainability is integral in all PDP London’s design work, culminating in PDP being awarded AJ’s Sustainable Practice of the Year in 2012.

Since 2009 Ciara has led the PDP London Dolphin Square portfolio, delivering their aspiration to provide significant places for Londoners and specifically key workers to live. The launch of their ‘Dolphin Living’ brand and the completion of their first new build rental development at One Church Square was the culmination of 3 years of this work.

Before joining PDP London in 2005 Ciara gained experience in both large and small housing schemes from problematic estates to private one off dwellings and hotels in both the UK and Ireland.

Ciara studied Architecture in Liverpool and Edinburgh, and qualified as an Architect in 1998. Ciara has also been an external examiner at Westminster and Brighton Universities’ RIBA Part III courses and is actively involved in promoting the practice’s sustainable portfolio lecturing in the UK and abroad.

Leary & Partners quantity surveyor and tax law expert, Kaylene Arkcoll forecasts a bleaker future for investors in Australia’s residential property -- particularly strata units.

The budget has stripped investors buying second-hand residential properties of a major tax deduction.

Pre-budget there was intense speculation about limits on negative gearing. Instead, Ms Arkcoll explains, in an unexpected move the Government has restricted one of the standard forms of residential investment deduction.

"Purchasers of second-hand residential investment units have lost their ability to claim depreciation on plant and equipment which is part of the property at the time of purchase.

The Government will limit plant and equipment depreciation deductions to outlays actually incurred by investors. There is no lead-time with these changes -- they apply to all contracts entered after 7.30 pm (AEST) on 9^th May 2017."

The change is forecast to save AUD $260 million dollars over the next four years.

Being able to claim depreciation on investment properties is a powerful driver for most investors. For second-hand residential properties the budget roadblocks this avenue of investment joy for everyone except investors who carry out renovations or replacements. In Ms Arkcoll's opinion, "Older building stock may now be less desirable".

Details of the policy are still limited but Ms Arkcoll says: "It appears that:

• The intent of the policy is to restrict depreciation claims to items purchased and installed in the property by the claiming taxpayer.
• Depreciation deductions will remain available for items that are part of a new property purchased from a developer, although this is not explicitly stated in the budget papers.
• Subsequent purchasers of the property will no longer be able to claim depreciation based on the second-hand value of the plant and equipment.
• Taxpayers already depreciating plant and equipment can continue to claim deductions in the current manner."

"The removal of depreciation claims will have a double impact on strata property owners", Ms Arkcoll explains. "They will lose both the claim for depreciable items inside their unit and depreciation of their share of common plant and equipment. This will mean a reduction in annual tax deductions that in the early years of ownership range from approximately AUD $3,000 for a simple unit to over AUD $40,000 for an upmarket unit in a high-rise development."

"Until we see more detail we won't be able to fully assess the ramifications of the budget announcement. It is likely that we will be operating with uncertainty for an extended period until the draft legislation is released." And Ms Arkcoll continues, "The elephant in the room remains the government's ability to pass such a substantial change through a volatile senate."

Ms Arkcoll does have some good news for investors however: "Thankfully, there has been no change to the 2.5% Division 43 construction allowance which applies to most properties constructed in the past thirty years."

(Source: Leary & Partners)