Slides from the Agents Perspective event held on the 24th March 2017.

1. The Agent’s Perspective
Guest Speakers
North West Branch Networking Breakfast
Friday 24th March 2017 7:30am
Radisson Blu Edwardian Hotel, Peter Street, Manchester
Dominic Pozzoni
Director
National Offices
Colliers International
Stephen Toal
Director
Property Management Research
Savills
Caroline Baker
Partner
Manchester UK Consulting
Cushman & Wakefield

2. Confidential – Colliers International 2016
2
Manchester Office Market
Overview•March 2017
Manchester Skyline from Colliers Office

3. Confidential – Colliers International 2016
3

4. Confidential – Colliers International 2016
Manchester Global Brand
4

6. Retail Review
Stephen Toal
Director, Property Management Research

7. Occupier Performance
Property Management Research
What Do We Do?
Performance Benchmarking
Performance Forecasting
Occupier Engagement
Management Information Analysis
Risk Analysis

8. +0.1
UK Retail Sales
Last 12 Months
UK Retail Sales
2017 to Date
-0.5
Source - British Retail Consortium
Retail Overview – Key Stats
UK Retail Sales

9. Retail Overview – Key Stats
UK Food & Beverage Sales
+0.7
UK F&B Sales
Last 12 Months
UK F&B Sales
2017 to Date
Source – Coffer Peach Business Tracker
+1.8

10. Retail Performance Last 12 Months
Best Performers
Electricals Sporting Goods Health & Beauty
Jewellery Restaurants

11. Retail Performance Last 12 Months
Worst Performers
Menswear
Discount / Value Retail
Confectionery
Music, Books, Games, DVDs Homewares

12. Clothing
% Change in Consumer Prices 1995-2014

13. Challenges for 2017
• National Living Wage
• Business Rates
• Inflation
• Sterling
• Apprenticeship Levy
• Consumer confidence

14. Trends in Retail / Leisure
F&B Technology
Experience Personalisation

15. 15
We manage:
• 142 Shopping Centres in the UK and
Ireland totalling 25m sq ft and an
annual rent roll of £400m
• 292 Retail Parks (inc single let retail
parks) in the UK and Ireland totalling
23.5m sq ft and an annual rent roll of
£336m
• 155 Leisure properties in the UK and
Ireland including major landmark
schemes totalling 7m sq ft and an
annual rent roll of £200m
About Savills PM

16. Retail Schemes
The Rock, Bury The Centre, Livingston Fosse Park, Leicester

17. 17
Leisure
Manchester Arena Albert Dock Star City, Birmingham

18. Contact Details
Stephen Toal (BA Hons MMRS)
Head of Research
Property Management
D: 0161 244 7735
M: 07972 000190
Email: stoal@savills.com

19. Manchester City Centre Residential
Overview
Friday 24th March 2017

20. 20
Agenda
 Manchester’s residential growth
 Supply side characteristics
 Values
 PRS

21. Manchester’s Residential Growth
From Industrial Revolution to Modern International City
Industrial Revolution
Modern International City

22. Manchester’s Residential Growth
A history of the City Centre as a residential location
1980s 1990s 2000s 2010s
600
8,000
25,000

23. Supply-Side Characteristics
Existing stock profile and completions
Existing stock profile:
 75% city centre units are apartments
 65% city centre units are privately rented
City Centre Residential completions:
318
192
784
251
920
1,294
1,459
2,339
3,544
1,944
2,095
843
-
-
83
299
215
215
293
3,700
-
500
1,000
1,500
2,000
2,500
3,000
3,500
4,000
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
Completions Target
Source: Manchester City Council AMR, Cushman & Wakefield

24. Supply Side Characteristics
City Centre Residential Tracker

25. Supply-Side Characteristics
Pipeline supply
3,219 4,369
13,757
7,778
Proposal Planning
Submitted
Planning
Permission
Granted
Under
Construction
Forward Looking Supply in Manchester City Centre
Total – 29,123

26. Supply-Side Characteristics
Pipeline supply – large schemes
Middlewood Locks
Developer – FairBriar International
Architect – WCEC Group
• Located in Salford, close to
Manchester City Centre
• 24 acres, £1bn residential led
mixed use development
• Over 2,000 new homes
• Phase 1 – completion October
2018 (571 units)
• Phase 2 – Planning permission
granted Dec 2016 (546
apartments)
St Michael’s
Developer – St. Michael’s
Partnership
Architect – Make Architects
Manchester City Centre - Bootle
Street, former police station site
Application submitted February
2017 for development of up to 21
and 31 storeys comprising:
• 201 bedroom 5 star hotel
• 159 apartments
• Over 180,000 sq ft of
offices/retail/leisure space across
15 units
• Synagogue
• 3 areas of public realm
March 2017 - Application on hold
pending refinements
Manchester Life
£1bn JV between Abu Dhabi United
Group, MCC
10-year agreement will provide
more than 6,000 new homes
Developers/Architects – various
Phase 1 - 6 schemes in Ancoats and
New Islington, over 1,000 new units
Phase 2 – Vesta 171 units (pre app
stage)

27. Values
8.3%
7.4% 7.1%
5.5%
4%
Manchester Birmingham Liverpool Leeds Sheffield
%ChangeYoYJan2017
Hometrack City House Price Index
City Centre
Achieved Pricing:
2016 - £196,955 (40.4%)
2010 - £140,277
Volume of Sales:
2016 – 2,479 (116%)
2010 – 1,147

28. Average Sales
£280
£350
£367
£0
£50
£100
£150
£200
£250
£300
£350
£400
Salford Manchester City
Centre
Didsbury
Recently Achieved £ per sq ft

29. Private Rented Sector
PRS City Centre Overview
• PRS represents 4 out of 5 city centre apartments
• Build cost issues have lead to delay in some schemes
• Lot of noise – hearing about individual schemes 4 times
• Pre planning
• Planning
• Investor secured
• Start on site

30. Private Rented Sector
Rents
• Forms of PRS
• Majority of new build schemes sold on the back of pre-
sale to investors
• Institutions
• Off shore investment vehicles or purchasers
• Block and fragmented sales
• Build to Rent – designed to hold and focus on efficient
management

31. 31
Caroline Baker MA (Cantab) MTP MRTPI
Partner – Manchester
Development Consulting
Direct: +44 (0)161 235 7654
caroline.baker@cushwake.com
Derek Nesbitt MRICS
Partner - Residential Development
RICS Registered Valuer
Residential - Valuation, Agency & Student
Direct: +44 (0)161 4555 3790
Mobile: +44 (0) 7747 008426
derek.nesbitt@cushwake.com
Contact Details

32. Q&A
Dominic Pozzoni
Director
National Offices
Colliers International
Stephen Toal
Director
Property Management Research
Savills
Caroline Baker
Partner
Manchester UK Consulting
Cushman & Wakefield

33. HOB’s Studio
Manchester Model