The Changing Face of North West Leedsa Pullout Guide

The Changing Face of

North West Leeds a pullout guide

The re’new Research

Over the past 10 years there have been a number of signifcant changes which have affected student residential patterns but the evidence base about these has been limited.

The renew research that took place over the early summer of looked at

■ occupancy of properties in nner orth est Leeds ■ housing market conditions ■ future shape of tenure and occupancy ■ the options for intervention to achieve what has been described as sustainable communities and appropriate feibility in planning and planning instruments.

The study looked specifcally at developments over the last years and involved the universities and colleges and Leeds ity ouncil.

The report was launched in late eptember and can be downloaded on www.unipol.leeds.ac.ukMedia FenewFinaleportAugust.pdf

renew is a regeneration charity helping to build ew research by housing eperts nipol and renew ■ in Headingley, with numbers down % in far communities that work. renew works directly with shows that things are changing as student numbers in Headingley and % in central Headingley communities through various proects and also works their traditional heartlands are declining. maller houses ■ oodhouse, down 6% with agencies to develop strategic approaches to a range are now increasingly in competition with larger purpose- ■ irkstall and urley, down 4%. of regeneration issues. All of renews work is driven by a built student residences developed by the universities desire to help people realise their potential and to create and commercial providers and city centre apartments. n nearly 6 per cent of properties in the the best environment for them to do this. For more Headingley, Hyde ark and oodhouse area advertised information visit www.renewleeds.co.uk ince 6, as student numbers have fattened out, through nipol remained empty. n the same year student rooms in large purpose-built complees, mainly in ust under a third of properties were empty in the nipol tudent Homes is a charity working nationally and around the city centre, have increased from , neighbouring areas. to improve training, standards and professionalism in to over ,. The number of students living in smaller student housing. nipols head offce is based in Leeds, houses over since 6 has gone down by ,. The Analysis of average local house prices and incomes where they also offer accommodation directly to over number of students living in city centre apartments has shows that properties are out of the fnancial reach of an 3, students, including to 3 families in who are risen ten fold from 44 in to 4, in . overwhelmingly large maority of would-be buyers. state housed in affordable accommodation. nipol have been agents surveyed report that demand from prospective working to raise the standard of student housing in ince 6, within traditional student areas postcode owner-occupiers is low and property types and the locality Leeds since when the nipol ode was founded, data made available by universities shows that students were unattractive to families. The research concludes that a voluntary accreditation scheme which covers , numbers have declined in it will not be easy to bring empty properties back into use. properties and ,4 bed spaces in houses and fats in Leeds. For more information visit www.unipol.org.uk Update for the 2012-2013: Workshops on the the Missing Millions Way Forward The research took place in early summer 2012, so what has happened since then? nipol tudent Homes and renew are holding two workshops between now and the end of anuary to talk This year there are around , fewer students in Leeds t is estimated that the , surplus bed spaces for about and eplore policy options on this research. One will with residential reuirements as both universities have students currently vacant in the city will increase to 6, be targeted at local residents and students and the other recruited less students. This mean an estimated economic net year as this decline in student numbers begins to bite. at landlords and housing suppliers. loss of at least 3. million this year and close to million across the three years it will effect to the ity. Local traders are already noticing a decline in activity These events will be free of charge. The dates have not yet caused by the missing students. “e noticed it straight been set but if you want to resister an interest then details n the coming year more student houses will remain vacant away said one Headingley trader, “t ust didnt seem can be sent to you in the near future. as the student house market downsies from 3, bed as busy when students arrived and things are defnitely spaces in 6 to 3, in 3 - a fall of %. uieter. To register your interest email [email protected] The Changing Face of North West Leeds The Changing Face of North West Leeds Student Numbers - Going Up and Going Down Empty Places and Empty Houses Surplus bed spaces The number of students living in commercial purpose-built The proportion of students living in shared houses in off- 1998-2006 accommodation has more than doubled from 5,298 in street properties has changed. Over the last fve years in 2006/07 to 12,672 in 2011/12. The largest increases Hyde Park it has increased - up 22.4% but the number of In 2011 there were 3,127 empty places on the Unipol in areas accommodating students in purpose-built students living in off-street properties in central Headingley Until 2005 the numbers of students living in houses in database. In 2012, even with some selling of properties, accommodation have been in Little Woodhouse (300 in has reduced by 19% and in Woodhouse by 60%. Looking North west leads was increasing. In 2005 the building of there are over 2,000. purpose built student accommodation (often in the city 2006/07 to 3,922 in 2011/12) and Woodhouse/Little round these areas it is easy to see empty properties, and the London/Buslingthorpe (196 in 2006/07 to 2,905 in scale of the problem is masked by landlords letting larger centre) began housing greater numbers, and from that Looking at Leeds City Council’s list of wards with the 2011/12), the University area (1,825 in 2006/07 to 2,891 properties to only a couple of students: the number of empty point on student numbers living in smaller houses have highest percentage of properties empty for over six months, in 2011/12) and Leeds city centre. rooms is large and getting larger. declined. Headingley ward, Hyde Park, Woodhouse, Weetwood and Kirkstall are all among the highest 10 wards. Before 2005 the rapid growth in the amount of shared student housing was signifcantly caused by 30% Ward % of properties 22% ■ the expansion of both universities empty for over six ■ rising house prices offering high returns in capital 20% growth and a good rental income months (March ■ the “buy to let boom” 2012) 10% ■ cheap and easily obtained fnance. Headingley 6.28% 0% Headingley/Headingley Hill Cardigan Triangle Central Headingley Woodhouse area Harolds/Burley Lodge Hyde Park Families and frst-time buyers looking to buy in the area City and Hunslet 5.84% Headingley/West Park Burley/Kirkstall Meanwood area were up against professional landlords able to make cash Hyde Park and Woodhouse 4.57% -10% purchases and exchange contracts within a day or so. Over the period many families sold up and left. Beeston and Holbeck 4.05%

-20% South Looking back it can be seen these conditions created a Burmantofts and Richmond Hill 3.85% -30% “perfect storm” in changing housing in North West Leeds. Gipton and Harehills 3.36%

Chapel Allerton 3.32% -40% Changing Times 2007-2012 -19% -42% Roundhay 2.67% -50% -43% From 2007 there were signs of change. The Strategy for -36% Weetwood 2.67% Housing Students in Leeds (2007) noted that -12% -54% -60% -57% -57% Kirkstall 2.53% -60% “the student housing market has undergone a signifcant shift over the last two years or so. There has recently City average 2.44% -70% been substantial private sector investment in purpose- requirements of compliance with the Housing Health and ■ the boom in city centre apartment developments saw (Source: Leeds City Council, Council Tax records 2012) Percentage change in students living in street properties 2006/07 – 2011/12 built accommodation blocks for students that are Safety Rating System may have an impact on the supply of students move in there complementing new purpose-built accommodation provided private rented shared housing in the Leeds 6 area.” ■ a restriction on cheap credit and buy to let by the two universities. This will add a signifcant amount ■ static, and declining, student numbers. of new accommodation for students over the coming years Change was taking place: and has implications for the amount of viable housing for The drivers of change had all gone into reverse and student What About House Prices? Good News on Crime students, given the expected ‘smoothing out’ of applications ■ a rise in purpose build accommodation numbers in North West Leeds started, and continue, to go from students and the prospects of a surplus of housing for ■ some students turned their backs on properties with a down. Just as students had arrived quickly, they were now House prices refect supply and demand. The Leeds The average price for a semi detached house: Crimes and crime levels have fallen substantially over students. This, along with the licensing of HMOs and the lower amenity level leaving quickly. average graph (left) shows a relatively consistent level of in Hyde Park and Woodhouse has gone down 38% since the last year. Burglary numbers have fallen by 51% over house prices from April 2010 to January 2012. In Hyde 2006 from £122,500 to £76,000 the last year; anti-social behaviour has fallen by 43%; Park and Woodhouse (centre) and Headingley Ward in Headingley has gone down 19% since 2006 from robbery by 63% and vehicle crime by 43%. The fgures (right) house prices are much more volatile with the upper £184,500 to £150,000 tend to challenge the portrayal of North West Leeds as one The Big Buildings - range of prices (almost certainly shared student houses) in Weetwood the fall has been less with a 9% drop from ‘riddled’ by crime. The Future refecting serious drops. £134,950 to £123,000. Purpose Built Student The Table below presents comparative data on burglary There are big changes taking place in the housing market. A decline in traditional families, diffculties in purchasing rates in Inner North West Leeds relative to other parts of housing and an increase in non student renting and a structural change taking place in the student market. Coupled Accommodation the city. with this are changes in housing beneft and diffculties in borrowing and employment. Area Burglary rate There are really two housing policy options available: either leave the market to correct itself or develop selective Big buildings now house 18,672 students in Leeds (with 2012 interventions in areas of transition. just over 5,000 of those being owned by the private sector (Burglaries per 1,000 and the rest by educational institutions), up from 12,534 in households) 2006. In terms interventions, these could be: Inner North West Leeds 1.22

■ encouraging frst time buyers to purchase in targeted areas This sector is getting bigger with new buildings coming Gipton and Harehills 1.32 on line this year (the Downing Central Village) and 3,323 ■ increasing the positive profle of the area by positive marketing Killingbeck and Seacroft 1.55 ■ encouraging student landlords to re-convert and let to other renters additional bed spaces in planning in the City. ■ lease to housing associations (if they were interested in doing that) Reducing prices will improve the affordability of housing - if people, are able to buy and move in. Will they? City and Holbeck 1.55 ■ encouraging conversion to fats and helping with clearer planning policies for that. What is more is that the bigger buildings are getting cheaper. 2 years ago shared student houses were the Burmantofts and Richmond Hill 2.42 cheapest cost accommodation in the City, but this year 16 student areas. This downsizing is particularly surprising There are also options such as encouraging empty properties to be acquired by intermediary bodies such as the Top Landlord Sells Properties (Source: West Yorkshire Police/ www.crimestats.com) Headingley Development Trust, although so far these initiatives have not been successful. purpose built developments are cheaper and have attracted because Pickard Properties won Leeds University Union’s more returning students into them. Best Large Landlord category in their Landlord Awards Research is all very well, but when a top landlord, for 2012. Burglary rates in Inner North West Leeds are lower than Improvements could be made by refurbishing back-to-backs to make them more attractive, or by improving the Pickard Properties, starts selling properties it is clear streetscape and neighbourhood management. More students are looking at renting fats in purpose built in the areas with the highest burglary rates, and half the buildings attracted by the security, technology and lower something is happening. Pickard Properties have rate in Burmantofts and Harehills, which has the highest price. recently marketed 25 of their properties for sale in key Do they know something we don’t? burglary rate.

The Changing Face of North West Leeds The Changing Face of North West Leeds Student Numbers - Going Up and Going Down Empty Places and Empty Houses Surplus bed spaces The number of students living in commercial purpose-built The proportion of students living in shared houses in off- 1998-2006 accommodation has more than doubled from 5,298 in street properties has changed. Over the last fve years in 2006/07 to 12,672 in 2011/12. The largest increases Hyde Park it has increased - up 22.4% but the number of In 2011 there were 3,127 empty places on the Unipol in areas accommodating students in purpose-built students living in off-street properties in central Headingley Until 2005 the numbers of students living in houses in database. In 2012, even with some selling of properties, accommodation have been in Little Woodhouse (300 in has reduced by 19% and in Woodhouse by 60%. Looking North west leads was increasing. In 2005 the building of there are over 2,000. purpose built student accommodation (often in the city 2006/07 to 3,922 in 2011/12) and Woodhouse/Little round these areas it is easy to see empty properties, and the London/Buslingthorpe (196 in 2006/07 to 2,905 in scale of the problem is masked by landlords letting larger centre) began housing greater numbers, and from that Looking at Leeds City Council’s list of wards with the 2011/12), the University area (1,825 in 2006/07 to 2,891 properties to only a couple of students: the number of empty point on student numbers living in smaller houses have highest percentage of properties empty for over six months, in 2011/12) and Leeds city centre. rooms is large and getting larger. declined. Headingley ward, Hyde Park, Woodhouse, Weetwood and Kirkstall are all among the highest 10 wards. Before 2005 the rapid growth in the amount of shared student housing was signifcantly caused by 30% Ward % of properties 22% ■ the expansion of both universities empty for over six ■ rising house prices offering high returns in capital 20% growth and a good rental income months (March ■ the “buy to let boom” 2012) 10% ■ cheap and easily obtained fnance. Headingley 6.28% 0% Headingley/Headingley Hill Cardigan Triangle Central Headingley Woodhouse area Harolds/Burley Lodge Hyde Park Families and frst-time buyers looking to buy in the area City and Hunslet 5.84% Headingley/West Park Burley/Kirkstall Meanwood area were up against professional landlords able to make cash Hyde Park and Woodhouse 4.57% -10% purchases and exchange contracts within a day or so. Over the period many families sold up and left. Beeston and Holbeck 4.05%

-20% South Looking back it can be seen these conditions created a Burmantofts and Richmond Hill 3.85% -30% “perfect storm” in changing housing in North West Leeds. Gipton and Harehills 3.36%

The Changing Face of North West Leeds The $64,000 Question: As Students have Left - Who is Moving In? This depends on:

■ property type ■ cost and affordability ■ other renting groups. Property Types

Properties without gardens are not attractive to returning owner occupiers and the research showed that many students areas have a negative image - deterring those from Leeds from buying there and also deterring non student renting groups.

The survey looked dispassionately at a number of areas and house types to see what was happening and what South Headingley - property types here are unattractive shared houses and beneft claimants. might happen in the future. Much more detail is available to many incoming families and those that are there are in the full report. often transitory. Student demand is holding up in these Little Woodhouse - the area is in transition but is moving areas which are likely to see some change towards owner towards professional letting, particularly around the Hanover In Far Headingley/Beckett Park and the Cardigan occupation if capital values continue to fall. Square area. Triangle - between 2005-2007 not one house was sold to a family. Many landlords would now like to sell back into Harolds and Burley Lodge - this areas is clearly in Woodhouse - this area is in transition with students leaving that market, but with prices 15% down and with borrowings transition. Smaller properties (including back to backs) for purpose built complexes. Demand from other groups for still high, many are unable to do so. Overall, however, are declining in popularity with students and may not be housing in this area has been uncertain and many landlords the property type is attractive to owner occupation or attractive to incoming families and much of the area has are trying to sell in this area. There are a lot of empty professional letting and, over time, a transition is likely to little green space. Back to backs are, however, lower cost houses. In this area there could be real problems because take place. and at around £80,000 to £110,000 a mortgage would it is unclear whether, as students leave and landlords cost around £400 a month - less than renting a whole sell, whether there is any demand from single occupancy Headingley Hill - here many properties are too large house at around £600 a month (although that might be fully households. and too epensive for frst time buyers. Many have been furnished).The deposit required would be around £20,000 converted into fats and these will be let to an increasing which might put these out of reach of many buyers. Central Headingley - there has been a clear movement number of professionals. of students out of this area with a high number of empty Meanwood, Burley and Kirkstall - these areas are in bed spaces and properties. There is also uncertain family Hyde Park - there remains high demand from students. transition as students leave them. The area has a higher demand limited by prices and mortgage restrictions. Larger Levels of owner occupation are low and most properties than average proportion of properties that have been properties, such as those in the Estcourts and Headingley are straight off the street. Student occupation is likely to empty for over 6 months. Meanwood is seen as “an up and are far too large for owner occupation and often have no, or level out but the area is unlikely to change. coming” area and there is demand for young workers in very small, gardens. Article 4 - Unintended Consequences Leeds City Council acquired Article 4 powers with the main probably have concentrations of HMOs at 70% or more. intention of restricting the growth of houses in multiple Presumption against HMOs may ‘trap’ family sellers if Importantly, the report occupation in student areas. As the re’new research has there is no demand from single occupancy households concludes: highlighted, the problem is no longer increasing numbers ■ 20% threshold –the same issues may apply as for a of students, but decreasing numbers of students and what 10% threshold. However, it could work in areas with “The policy (Article 4) and the to do next. fewer HMOs or where markets are reverting to single views of some organisations residential occupancy The research concludes that for some areas it will be ■ Three-tier threshold this could be set to refect current on its implementation also important that rented housing moves from student groups market characteristics. There could be: to other renters because there is no other likelihood of - A 20% threshold set in areas with few HMOs or assume that there would be a these houses being occupied by other groups. There is a where markets are reverting to single residential ready demand from families/ growing demand for shared houses from young workers occupancy unable to access social housing or afford their own house. - A 40% threshold could be set in areas in transition single occupancy to purchase and potential use as HMOs could be agreed if properties becoming available. Using Article 4 powers, particularly in a “blanket” manner, properties were empty for more than six months could have unintended consequences. Any setting of - A 70% threshold could be set in areas with high There are also assumptions quotas on HMOs (Houses in Multiple Occupation) may existing concentrations (i.e. if over the threshold, no prove to be both very diffcult and could have potentially application of Article 4) and potential use as HMOs that landlords will let to single damaging impacts on the housing markets in the Article could be agreed if properties were empty for more occupancy households should 4 area, and on the ability of homeowners to sell their than six months properties and move where they want or need to. they be unable to let as HMOs. There will be issues of how to identify when change of use ■ 10% threshold – if this were to be applied across the happens. Also, given current fnancial constrictions on There is little evidence to Article 4 area, then all sub-areas in Inner North West Leeds City Council, it is questionable whether there could support this.” Leeds would be likely to be affected. Some areas be suffcient enforcement resources.

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