Blog Post No. 183
Google’s Adaptive Reuse, London’s Housing Taskforce, Countryside Trend – 15th Aug Property Bulletin
Real Estate Developer Seeks Delay for Affordable Housing Units
Leopard UK Kensington Propco Limited, a West London developer, has approached the Kensington and Chelsea Council to postpone constructing five affordable housing units within a luxury retirement village project. Escalating inflation and increased costs of building materials have led to financial challenges for the project, prompting the developer to propose a phased approach to construction. The proposal includes building a community hall and green space first, with the construction of luxury retirement homes in a later phase. The council is set to review the application, considering potential impacts on the community and the development’s revised timeline.
Google’s Shift to Adaptive Reuse in Real Estate Strategy
Google has shifted its real estate strategy from constructing new headquarters to repurposing existing structures. Focusing on sustainability, Google aims to adaptively reuse notable buildings to create unique office spaces that align with its environmental and corporate values. This approach not only reduces environmental impact but also serves as a marketing tool to promote Google’s commitment to responsible development and enhance its brand reputation.
Build to Rent’s Evolution Beyond Housing
Build to Rent (BTR) is evolving to offer more than just housing, as developers shift towards community-oriented designs. BTR suburban communities prioritize family homes outside urban areas, emphasizing outdoor spaces over indoor amenities. This approach aligns with the changing work landscape post-pandemic, catering to evolving employee requirements. Collaboration with local authorities enables BTR to deliver housing, social care, education, and more, while addressing housing challenges and providing a variety of community benefits.
London Mayor Addresses Housing Slowdown
London Mayor Sadiq Khan reconvenes the London Housing Delivery Taskforce to tackle the growing housing crisis caused by rising interest rates and building costs. While the Mayor has overseen the creation of affordable homes, concerns about government inaction hindering further progress arise. A decline in housebuilding is anticipated, prompting the Mayor to seek additional funding for affordable housing delivery and revive the housing market. City Hall’s renegotiated Affordable Homes Programme aims to prevent project viability issues in the face of increasing costs.
Londoners Seek Countryside Residences Amidst Mortgage Cost Rise
Rising mortgage rates have driven Londoners to relocate to the countryside in search of more affordable homes, fresh air, and community spirit. First-time buyers are significantly impacted, with a record number purchasing homes outside the city due to affordability concerns. This exodus gains momentum as soaring mortgage costs constrain budgets, highlighting the allure of affordable homes beyond the capital. The trend towards smaller, more affordable homes is also observed, influencing both location and property type choices.