2017 PROPERTY MARKET THE ANNUAL GUIDE TO INVESTMENT & DEVELOPMENT IN KENT CONTENTS

01 Welcome

Caxtons’ property market analysis 02 Caxtons' property market outlook 06 Business park performance 08 Office performance 10 Industrial and distribution performance 12 Retail performance 16 Rural performance 20 Residential performance

Kent County Council, Council & Kent’s District Council commentary 04 Economic outlook 14 Leisure and tourism performance 24 Economic development 48 Green infrastructure

Contributory sponsors’ articles 50 Clague Architects 51 Cripps 53 DHA Planning 54 Handelsbanken 56 Kreston Reeves 57 RICS

Locate in Kent commentary 22 Inward investment

58 Strategic developments 61 Contact details 62 Acknowledgements

Cover image: CGI of Elwick Place, Ashford. CREDIT: STANHOPE This page: Hammill Brickworks, Woodnesborough, Sandwich. CREDIT: QUINN ESTATES Overall, Kent’s retail market is performing better The full report can be accessed via the website at Welcome than the GB average. Bespoke analysis of Kent’s kentpropertymarket.com.If you would like further high streets by The Local Data Company finds information please go to the Contact page 61. Welcome to the 26th Edition of the Kent Property the county’s average vacancy rate (August) fell Market Report, produced by Kent County Council’s to 8.9% from 9.9% in 2016, compared with only Caxtons Chartered Surveyors, established in Economic Development Division, Caxtons and a marginal improvement for the UK as a whole. 1990, is one of the largest independent property Locate in Kent. This year’s report reviews property This performance is reflected in rental growth; practices in the South East offering a full range of deals and activity throughout 2016-17, major initiatives the county’s average prime high street rent agency, management, professional and surveying to support growth and showcases regeneration growing at its fastest rate since 2008. services across all property sectors. projects completed or on-going across the county. Average Kent house prices grew at a faster rate than Kent County Council’s Economic Development 2017 has seen a steady improvement in market recorded in over the 12 months to the end Division is responsible for working with public, confidence amongst investors following the of August 2017. This trend, continuing from 2016, private and voluntary sectors to support Brexit vote. The Investment Property Forum (IPF) reflects the county’s robust economic activity, economic growth by encouraging and supporting Consensus Forecasts show upward revisions for combined with expanding commuter demand. businesses; working closely with specific sectors both rental and capital value growth for 2017, An acceleration in value growth across many of to promote growth and finding new ways of driving a UK total return forecast for the year of 6.7% the county’s coastal towns is particularly notable. funding business critical infrastructure and with further upside potential. While Kent has not Bespoke analysis provided by Hometrack for this unlocking key development sites. been immune to economic uncertainty, business report, demonstrates affordable locations such as activity and occupier demand has remained robust and showing house prices rises Locate in Kent provides a comprehensive, and importantly extended across the county. ahead of west Kent commuter towns. Improved confidential and free business relocation and The next two years will bring greater uncertainty. commuter links and a consolidating sense of place advisory service for all companies looking to Weakening economic prospects will take their toll in many of these east and north Kent towns are relocate to, or expand in Kent and Medway. on occupier demand with IPF forecasts showing attracting incomers as well as investment. a slowing in investor sentiment for 2018 onwards. The producers of the report would also like In terms of inward investment at the end of June to thank the following for their sponsorship During this period Kent’s competitive strengths 2017, there were 284 active projects. Of these, 173 and contributions to this year’s report: will come to the fore. The relative affordability had a potential requirement for property or land Clague Architects, Cripps, DHA Planning, of the county as a place to do business and compared to 183 in June 2016. To June 2017, 52 Handelsbanken, Kreston Reeves and the live, combined with its vital gateway position to companies were successfully assisted by Locate Royal Institution of Chartered Surveyors. Europe, regardless of the Brexit outcome, will in Kent to invest in Kent and Medway, occupying We hope you find the report useful and informative. underpin business demand. This will bolster 52,159m² (561,439ft²) compared to 49,569m² the critical mass of high growth industries now (533,556ft²) in 2016. The report also looks in detail established across Kent. Ensuring a supply of at Kent’s industrial & distribution performance, highly skilled staff will be essential to build on rural property, tourism and the provision of green business demand. Crucially therefore, Kent and infrastructure. Medway will see strong housing supply over the coming decade, underpinned by the major A highlight of the Economic Development section Mark Dance infrastructure investment of recent years. is the diversity of new projects across Kent and Cabinet Member for Economic Development, Medway. The section includes an update on the Kent County Council Business parks have seen robust occupier Kent and Medway Growth and Infrastructure demand for a range of space across Kent. For the Framework developed by Kent County Council, most part rents remain stable, with small uplifts in collaboration with Medway Council, the on some parks, although with stock shortages district authorities and health and utility sectors, in some locations rental pressures are building. to provide a picture of housing and economic Science and medical expertise continues to growth to 2031 and the supporting infrastructure Ron Roser evolve and deepen, building confidence for required. The Transport section highlights the Chairman, Caxtons further development. significant Government investment in schemes and improvements to the rail infrastructure as well as the Many of Kent’s town centre office markets have . seen a revival in recent years. The average prime rent now stands 11.2% ahead of its pre-financial The Strategic Developments pages feature a crisis peak, having risen by 6.9% over the last 12 comprehensive list of commercial sites and months alone (Caxtons data) but there is variation developments with planning information, useful Paul Wookey amongst the town centres. contact details and location map. Chief Executive, Locate in Kent Ltd

Kent Property Market Report 2017 01 Caxtons’ property market analysis

Caxtons’ Property 6.7% 25 UK All Property total return forecast for 2017 Basis point fall in Kent prime town centre IFP Survey of Independent Forecasts for office yield over 12 months to the end of Market UK Commercial Property (Aug 2017) H1 2017 Outlook Caxtons Against an unsettled economic and political potential buyers and limited market evidence. As Components of All Property backdrop in the wake of the EU Referendum a result, Caxtons’ prime investment yields remain IPF total return forecast for result, the performance of the UK property market unchanged on 2016. The exception to this is the UK Commercial Property slowed in 2016. Total returns for commercial real prime town centre office yield which reduced Annualised average estate slipped to 3.9% in 2016 from 13.1% in 2015 by 25 basis points during the first half of 2017. over period 2017-2021 (MSCI), driven in large part by weakness in the Rental growth 0.9% prime London market. This movement tells a wider story. There is a clear Income return (implied) 4.9% pattern of improvement in occupier demand Capital return 0.4% 2017 has seen a steady improvement in market in the office sector in towns that have a cogent confidence and expectations for occupier narrative or are starting to articulate a vision. Total return 5.4% demand in the coming months. The Investment Centres with both strong transport links and an Source: Investment Property Forum Survey of Independent Forecasts for UK Commerical Property, August 2017. Forecasts derived from 24 leading Property Forum (IPF) Consensus Forecasts show appealing amenity offer are attracting business fund/investment management houses and consultancies. upward revisions for both rental and capital value interest, although space shortages are emerging growth for 2017, driving an All Property total return particularly where high volumes of office to opportunities for independents to thrive in forecast for the year of 6.7%. This has been at the residential conversions have occurred. These numerous retail centres across Kent. Many expense of performance hopes for the medium factors are having a positive impact on rents; the of these towns have rebounded as a result, term, which have seen downward revisions, a Caxtons’ Kent average prime office rent rose by serving local residents and visitors with their reflection of uncertainty and its impact on the 25% in the last five years and 6.9% in the last 12 own individual offer and character. While the underlying UK economy. Given this, the current months alone. However, over the long term, the Kent prime average retail rent (Cradick) remains wide gap between prime and secondary property lack of suitable space may limit towns’ ability to approximately 25% down on the peak of the yields is expected to persist over the coming year. capture potential occupier demand proffered market, the last two years has seen growth of by increasingly footloose businesses, aided by almost 10%. While Kent has clearly not been immune to technology and changing working practices. economic uncertainty, business activity and Town centre vibrancy has been aided by occupier demand has remained robust and The growing success of many of the county’s growing populations in towns such as Margate, importantly extended across the county towns has also been driven by a transformation , Rochester and Dartford, supporting over the last 12 months. A shortage of quality of their retail offer. Widespread rent re-basing local retail and leisure. This proposition is viable investment stock on the market has frustrated following the financial crisis has produced when complementary to both online sales and out of town formats. The evolving retailer model Kent prime yields UK total return IPF consensus forecasts has resulted in a plethora of retail warehouse Industrial Multi-let Industrial Distribution Offices Business Parks Office Industrial Standard Retail Retail Warehouse All Property development and redevelopment in Kent over the year. 10 12

10 Strong retailer demand, in addition to the county’s 9.0 strategic geographical position, has supported 8 the performance of the industrial and distribution 8.0 sectors. The Kent average prime industrial 6 and distribution rent rose 9.4% over the last 12 % ield 7.0

% Per annum 4 months, the fastest pace of growth recorded in 6.0 Caxtons’ Kent rental series. A severe shortage of 2 stock in strategic locations is supporting some 5.0 0 speculative development but this remains short 2017 2018 2019 of requirements, particularly given accelerating structural change in the retail sector and a Source: Investment Property Forum Survey of Independent Forecasts H1 2013 H2 2013 H1 2014 H2 2014 H1 2015 H2 2015 H1 2016 H2 2016 H1 2017 growing household base. for UK Commercial Property, August 2017. Forecasts derived from Source: Caxtons 24 leading fund/investment management houses and consultancies.

02 Kent Property Market Report 2017 Housing delivery across the county grew in Established business locations for high growth 2017, with progress made on new settlements. industries such as Kings Hill continue to evolve, Kent’s relative affordability, combined with but these have also been joined by a series of business and employment expansion, has driven locations focused on life sciences, medicine and ongoing in-migration, particularly from London. technology. The North Kent Enterprise Zone Locations with improved commuter lines such as will support the development of critical mass to Dartford, Medway and Margate have seen robust establish the county’s position of expertise. price growth in 2017, with all districts experiencing rises at least double that of the capital. With rents remaining around a fifth less than those CREDIT: / RICHARD EATON RICHARD / NICHOLSON CREST CREDIT: This underlines the need for new housing in asked in many business parks across the south the county, particularly to support the east, the county remains competitive. The addition development of Kent’s high growth businesses. of improving town centres, new housing and enhanced infrastructure supports this position. Kent’s business parks have performed well However, Kent is clearly not only competing on over the year, showing an average prime rent a south east but also a national and international uplift of nearly 3% since 2016 and 14% in the stage. Arrangements following the UK’s exit from last five years. In many respects this masks the EU in the areas of science and medicine will Public art at Finberry development, Ashford. the transformation that is occurring. be significant to the county’s wider fortunes.

Kent Property Market Report 2017 03 Kent County Council, Medway Council & Kent’s District Council commentary

Economic Outlook 9,800 Kent and Medway will see housing growth of around 9,800 dwellings per year until 2031³

The national and global outlook Competitiveness indicators In 2017 the global economy is forecast to grow Kent Great Britain Source date by 2.7 per cent. It is expected to expand by Gross value added (GVA) per head (£) £21,636 *£25,601 2015 2.9 per cent in 2018 and 2019 driven largely Gross median weekly resident earnings (full time) £553 £541 2016 by an increase in manufacturing and trade, rising confidence, favourable global financing NVQ 4 or above (%) – working age* 36.9% 38% 2016 conditions, and stabilizing commodity prices.¹ Economic activity (%) 63.6% 62.8% 2016 % Employees in the knowledge economy 16.6% 19.7% 2014 The UK economy is projected to slow in 2017 and Unemployment rate (claimant count,%) 1.6% 1.8% 2016 2018, owing to uncertainty about the outcome of the Brexit negotiations. This projection assumes Business survival rates after 3 years (%) 59.6% 59.4% 2015 that the ’s external trade will * UK figure only available Source: KCC Business Intelligence; ONS; NOMIS operate on a most favoured nation basis from April 2019. The uncertainty, and the assumed outcome, is projected to undermine spending, in 1 The World Bank Global Economic Prospects, A Fragile Recovery particular investment. The United Kingdom faces 2 OECD United Kingdom - Economic forecast summary (June 2017) a long-standing decline in its export market share. 3 KCC Housing Led Forecast (Oct 2016), Strategic Business Its less affluent regions, which mainly export Development & Intelligence, Kent County Council manufacturing and agricultural products, are exposed to the risk of global protectionism, which could lower incomes and increase inequality.²

Aside from the potential impacts of Brexit, the UK’s business environment is generally seen CREDIT: MCARTHURGLEN CREDIT: as conducive to investment, with attractive tax, regulatory and labour market conditions, although Britain’s relatively weak productivity has the potential to act as a brake on growth, highlighting the need for improvements in skills and infrastructure.

The outlook for Kent Kent is an increasingly favourable business location, given the impact of rising prices in London and other parts of the South East, and it will remain a vital gateway to continental Europe, regardless of the impact of Brexit. Kent and Medway will see housing growth of around 9,800 dwellings per year until 2031³, underpinned by recent major infrastructure investment. Supporting this, the Government’s commitment to a third Thames Crossing will be vital in opening up long term opportunities in the Thames Estuary and beyond. With substantial planned investment and developments – such as Ebbsfleet Garden City – of national scale, Kent and Medway contain some of the most exciting economic growth prospects in the South East. Ashford Designer Village Outlet.

04 Kent Property Market Report 2017 CREDIT: JARDINE MOTORS GROUP

CGI of Jaguar Land Rover, . CREDIT: TUNBRIDGE WELLS BOROUGH COUNCIL BOROUGH WELLS TUNBRIDGE CREDIT:

CGI of Corner of Camden Road, Tunbridge Wells.

Kent Property Market Report 2017 05 Caxtons’ property market analysis

Business Park “The county’s science and Performance medical expertise continues 14% to evolve and deepen.” Rise in the Kent average prime business park rent over last 3 years Caxtons

Despite political uncertainty, the business park Looking ahead on the site, plans are being (£10.95 per ft²) in February. Meanwhile, at the market has seen a robust 12 months, with occupier considered for a 1,858-2,787m² (20-30,000ft²) 39ha (96 acre) Eureka Park the existing developed demand recorded for a range of space across Kent. Innovation Centre, providing office stock of 28,000m² (300,000ft²) remains fully let. For the most part rents remain stable, with small accommodation and lab space for start-up Occupier requirements for space on the Park uplifts on some parks, although with stock shortages businesses and SMEs within the med-tech and will not be met until the new phase is brought in particular locations rental pressures are building. life science sectors. Meanwhile, early stage forward. discussions are also underway with universities on The county’s science and medical expertise the development of a new medical school in Kent. Kings Hill saw a number of lettings over the last continues to evolve and deepen, building The site has infrastructure in place and a renewed 12 months. The Specialist Works creative agency confidence for further development. The relatively outline planning permission for up to 26,250m² expanded into 489m² (5,261ft²) in 4 Abbey Wood footloose nature of life sciences companies (282,553ft²) of D1 accommodation. Road, while telecommunications providers Teligent enhances Kent’s ability to compete for new and renewed 493m² (5,307 ft²) in 2 Kings Hill Avenue. relocating businesses. This was aided further by Kent Science Park (KSP) is under the new Over the summer, CLS Group Services committed the launch of the North Kent Enterprise Zone ownership of Trinity IM, and will be managed to the last wing of 828m² (8,909ft²) in newly in April, comprising Ebbsfleet Garden City, Kent by MJ Mapp. KSP is a developing cluster for repositioned 17 Kings Hill Avenue, which is now Medical Campus and Innovation Park, Medway. R&D, life sciences, environmental technology, 100% let. Meanwhile, Shawbrook Bank and Megger This complements the existing Discovery Park food security, high-tech engineering, ICT and Instruments took new leases of 222m² (2,389ft²) Enterprise Zone. knowledge-based service industries. The park is and 275m² (2,965ft²) respectively in 39 Kings Hill expanding under the new management with a Avenue. Homes expanded into a further At Discovery Park, the site owners, Discovery Park new Hub building currently under construction. 350m² (3,769ft²) and Barclays Bank renewed Limited, commenced work in Q2 2017 on creating This development is part of a programme of 667m² (7,179 ft²) respectively in 30 Tower View. 4,645m² (50,000ft²) of new laboratory space in refurbishment and expansion to meet the needs Discovery Park House with plans in place for a of current and future tenants. Further business park space will come forward 5,574m² (60,000 ft²) expansion of office space over the coming years. At Ebbsfleet Garden capacity. Alert Technology, Digital Automation, The medical sciences sector has also expanded City, focused around the Ebbsfleet International Gemini Lotto Fundraising, Development House, elsewhere in the county. Gillingham Business Park station, 84,000m² (0.94 million ft²) of commercial Great Oaks Small School and Clinical Venture saw Millbrook Healthcare take 865m² (9,312ft²) and innovation space is to be offered over three Services are among the new companies to take in a self-contained unit for £117.86 per m² sites, with the benefit of the North Kent Enterprise space in 2017. Work began in earnest during Q1 of 2017 on a new £160m bio-mass combined Kent average prime business park rent Business park rents heat and power plant, which will open by the 2013 2014 2015 2016 2017 end of Q4 2018, funded and constructed by Copenhagen Infrastructure II Fund and BWSC 250 400 350 (Burmeister & Wain Scandinavian Contractor A/S). 240 300 230 250 At Kent Medical Campus the new 65 bed Cygnet 200 Hospital is under construction, while plans are 220

£ per m ² 150 210 progressing for a 75 bedroom step-up/step-down 100 and intermediate care facility within a 4,200m² £ per m ² 200 50 (45,208ft²) state of the art care facility, following 0 the award of planning consent last year. Proposals 190 for a large primary care super-surgery are also 180 Reading Maritime Arlington Kings Hill under discussion, while plans for the development 170 Chatham Heathrow Crossways Chineham Eureka Park Eureka of a special educational needs school were Basingstoke Stockley Park, Stockley Business Park, Business Park,

agreed with Education and Skills Funding Agency 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 over the summer. Source: Caxtons Source: Caxtons

06 Kent Property Market Report 2017 Lettings Location Landlord Tenant Size ft2 Rent (pa) Lease term Agent Plot, Shimmin Drive, Kent Science Trinity IM Confidential 40,000 TBC 10 years Altus Park, 1 Ambley Green, Gillingham Business Threadneedle Millbrook 9,312 £101,966 8 years and a break Watson Day/ Park, Gillingham Healthcare Ltd at year 5 Caxtons Innovation House (B509), Discovery Park Ltd Development 2,719 Confidential Confidential Discovery Park Ltd Discovery Park, Sandwich House Ltd

Sales Location Vendor Purchaser Size ft2 Price Capital value Income Yield Agent Unit 5, Waterside Court, FREP Crossways Private Investor 1,850 £395,000 – – – Glenny Crossways, Dartford Ltd

Zone. East will come to the market first, with detailed outline plans submitted to Ebbsfleet Development Corporation for approval.

Also in north Kent, it is proposed two sites at

Rochester Airport will provide over 47,000m² COUNTY & LONDON CREDIT: (0.5 million ft²) of space for high tech engineering and manufacturing businesses in a new technology focused park. This will build on Medway’s history, to evolve as a centre of excellence for engineering, innovation and technology. Meanwhile Stone Hill Park, Manston, has submitted a planning application to be decided in late 2017 for a mixed-use development to include a high-tech business park as well as residential and other uses.

In acknowledgement of the strong demand from occupiers in high growth sectors for business park space across the south east, the sector has attracted robust investor demand. Prime south East business park yields have remained relatively stable over the last 12 months, but the frustrated investor appetite for quality assets is placing pressure on values.

In late 2016 Discovery Park was purchased by Discovery Park Limited. The latter months of 2016 also saw units 2,3,4,6 and 9 at Waterside Court in Dartford sold by Frogmore. In April, Unit M at Orbital Park sold to CCLA Investment Management for an undisclosed sum. A month earlier, Conqueror Court in Sittingbourne, offering 11 units over 3,716m² (40,000ft²) was sold by Canmoor Asset Management to a private investor for £5.95m, reflecting a yield of 8.75%. Refurbished offices, Conquerer Court, Sittingbourne.

Kent Property Market Report 2017 07 Caxtons’ property market analysis

Office “Many of the county’s historic Performance towns are challenged in 33% providing larger floorplate Rise in the Kent average prime office rent over last 3 years high quality office stock.” Caxtons

Many of Kent’s town centre office markets have Dartford and Tunbridge Wells have seen stock The range and depth of activity in the county’s seen a revival in recent years. The Kent average reduce as a result. In recognition of this in the latter town centre office markets is reflected in prime rent now stands 11.2% ahead of its pre- town, plans are being developed for 20,150ft² investment values. The Caxtons’ Kent prime town financial crisis peak, having risen by 6.9% over the (1,872m²) of further new office space as part of a centre office yield fell sharply over the last 12 last 12 months alone (Caxtons). £72m scheme in Tunbridge Wells, to encompass months to an average of 6% at the end of H1 2017, a new civic centre, theatre and car park. the lowest level since the financial crisis. There is variation amongst the centres however. A 200 basis points decline since 2015 has Accessible towns with a strong amenity offer, In other locations, wider regeneration schemes bolstered capital value growth for investors in combined with quality office space perform offering office space in a high quality environment, the county’s town centre office markets. well. These include Tunbridge Wells, Tonbridge are geared to expanding business demand, and Sevenoaks, the latter recording the highest including those with high skilled staff requirements. Some markets have outperformed this average, office rents in the county. Recently, centres The first phase of Ashford’s Commercial Quarter, in particular Sevenoaks where Milton sold their seeing improved infrastructure combined with adjacent to the International Station, started freehold interest in the fully let 26-28 Pembroke regeneration and stock losses to residential have construction in January. It will provide 7,479m² Road, totalling 975m² (10,500ft²) to Sevenoaks also performed well. Dartford, Medway and (80,500ft²) of flexible office space as part of a District Council. The same investor sold 16 South Sittingbourne have all seen sharp increases in mixed use scheme. The project, undertaken by Park, Sevenoaks. The multi-let building of 1,877m² rents over the last 24 months. Quinn Estates and George Wilson Holdings Ltd (20,199ft²) sold in July for £7.138m (5.62% NIY) to with Ashford Borough Council, will eventually Martins Properties Ltd. Business change is a key driver of rental growth provide 54,813m² (590,000ft²) of business space. underpinning much of the upward pressure. Meanwhile, there are proposals for 10,000m² Meanwhile, in Sittingbourne, 3-13 Conqueror Quality town centres with affordable rents and (107,639ft²) of office space in as part of The Court, built in 2009 and comprising 3,699m² good accessibility to London have a growing Harbour Company’s plans for the town. (39,811ft²) sold in May for £5.95m (8.75% NIY). appeal to companies, including those that may There remains strong demand for office buildings have wholly or partly relocated from London. Changing work practices and the growth in SME with residential conversion potential. In Tunbridge In addition, 2017 has seen the expansion of activity also play a role, reflected in a growth in Wells 53-55 Calverley Road, comprising office and existing Kent businesses placing pressure on shared and serviced office supply across the retail uses sold in April for £18.2m (6.3% NIY). office space availability in a number of towns. county. Folkestone Business Hub provides 7-51m² (70-550ft²) offices on a flexible basis. This is illustrated by MHA MacIntyre Hudson, an accountancy and business advisory firm, Kent average prime office rent Office rents moving to a new, larger office at 71 New 2013 2014 2015 2016 2017 Road, to accommodate expansion. Meanwhile, Corinthian, an employee pension and 170 350 300 benefits advisory business, relocated staff from 160 Croydon to Windsor House, Tunbridge Wells. 250 The space was previously occupied by Cripps, 150 200 who moved 300 staff to a new 3,716m² 140 150 £ per m ² (40,000ft²) building on the site of the former 100 130 Kent & Sussex Hospital site. £ per m ² 50 120 0 Many of the county’s historic towns are challenged in providing larger floorplate high quality office 110 Dover Thanet Ashford Medway stock such as this. The shortage of business space 100 Dartford Tonbridge Sevenoaks Folkestone has been accentuated by the ongoing conversion Canterbury Sittingbourne 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 of obsolete office buildings to residential use over Wells Tunbridge recent years. Towns such as Maidstone, Sevenoaks, Source: Caxtons Source: Caxtons

08 Kent Property Market Report 2017 Lettings Location Landlord Tenant Size ft2 Rent (pa) Lease term Agent Units 1-6 Priory Gate, 29 Union Street, Maidstone UK Invicta Law 12,886 £215,840 10 years, 5 year break Watson Day Maidstone, Kent. ME14 1PT Property Limited Limited 4 & 5 Invicta Way, Manston Private Investor Tetrad Discovery 5,090 £35,000 5 years, FRI lease Durlings 1st Floor, 75 High Street, Ashford Private Client Absolute Financial 1,652 £22,000 6 years, FRI lease Stafford Perkins Management Oakhurst House, Tunbridge Wells Black Rock Crimson Tide 2,000 £45,000 10 years, FRI lease Broadlands MPRO Ltd Suite 5, Stirling House, Medway City Pension Fund Carter Brooke 767 £9,250 Assignment of 6 years Michael Parkes Estate, Rochester Security lease

Sales Location Vendor Purchaser Size ft2 Price Capital value Income Yield Agent Shakespeare House, 147-157 Private landlord Private Investor 9,906 – £717,500 – – Smith Wooley Sandstone Road, Folkestone F1-F4 East Court, Maidstone Dornbusch Chartway Group 6,903 – £1,050,000 – – Sibley Pares Trentor Ltd Flint House, 5 Powerscroft Road, Private client Undisclosed 3,786 £830,000 – – – Linays Orpington CREDIT: RODDY PAINE RODDY CREDIT:

Cripps’ new offices on the former Kent & Sussex Hospital site.

Kent Property Market Report 2017 09 Caxtons’ property market analysis

Industrial and “A dearth of development Distribution 9.4% over the last decade has Rise in Kent Prime Average Industrial and placed pressure on rents in Performance distribution rent over 12 months to the end of H1 2017 high demand locations.” Caxtons

The industrial and distribution sectors have proved the historic Caxtons’ prime Kent rental series The scheme saw a further 2,787m² (30,000 ft²) beneficiaries of the 2016 EU referendum result for this sector. letting by NRC Ltd for £59.20 per m² (£5.50 per ft²) for now. The sharp fall in Sterling has boosted in October. Angle 265 in Medway saw 24,765m² exports, while in the short term at least the The strength of demand is exemplified by (266,570ft²) let in November 2016 by Wincanton distribution sector continues to benefit from Amazon’s letting of 10,044m² (108,107ft²) at £69.97 per m² (£6.50 per ft²) for five years, with robust consumer spending. warehouse at Graviton Park, Belvedere in six months rent free. At 3 Masthead, Crossways September 2016 at £99.57 per m² (£9.25 per Tesler took 2,604m² (28,037ft²) in January for A dearth of development over the last decade ft²) on a term of 10 years with 6 months rent £102 per m² (£9.50 per ft²). Meanwhile, DFS Trading has placed pressure on rents in high demand free. Amazon also took 16,757m² (180,378ft²) in Ltd took the 5,513m² (59,346ft²) Unit 3 Invicta locations, including many across Kent. Meanwhile Erith at Church Manorway in February 2017 at Riverside, Aylesford at £78.04 per m² (£7.25 per ft²) the distribution sector’s evolution continues with £83.42 per m² (£7.75 per ft²). for 15 years, with 21 months rent free. ever growing demand for super sized warehouses and distribution centres. As a result, the average A number of other logistics operators have Brook Homes, a residential developer took prime rent for the industrial and distribution sector entered or expanded their operations in the £5,975m² (64,318ft²) at £59.20 per m² in Kent rose 9.4% over the 12 months to the end of county. In September, CRM Logistics took (£5.50 per ft²) at Unit M Orbital Park, Ashford in August 2017, the highest pace of uplift recorded in 3,716m² (40,000ft²) at Larkfield Mill, Aylesford. January. More recently, two units of Phase 1

Lettings Location Landlord Tenant Size ft2 Rent (pa) Lease term Agent Unit M, The Boulevard Orbital Park, BPDM Group Brook Homes 64,966 £357,313 10 years, break at Altus Group Ashford 3 years and 6 years Unit 2, 4 and 5, Applegarth Drive, Aberdeen Asset Proper Music 37,175 £390,338 15 years lease, no breaks Watson Day Dartford Management Plc Distribution Ltd 3 Brookfield Industrial Estate, Riverside Props Hardigg 20,448 £160,000 10 years FRI lease Stafford Perkins Ashford Sinclair House, 22 Chapman Way, Urbina Private BJ Babb Ltd 10, 516 £52,000 FRI lease, 10 years, rent Durlings Tunbridge Wells Equity Ltd review in the 5th year Unit D 203-304 Manor Road, Erith London & Southern ACOMS Ltd 9,416 £65,000 10 year lease, McMeeking Investments break at year 5 Chartered Surveyors 3 Enterprise Centre, North Farm Homesack Ltd TW Motors Ltd 6,000 £55,000 10 years FRI lease Broadlands Road, Tunbridge Wells 11 Invicta Way, Manston Private Individual BP Drains Ltd Ground £17,000 5 year FRI lease Clarke Crittenden Floor 1,453, Mezzanine 1,300 Unit Q1, Northfleet Industrial Estate, Better Properties Mr Delakwame 1,356 £12,500 3 years FRI lease Robert Ingram Lower Road, Northfleet Ltd

Sales Location Vendor Purchaser Size ft2 Price Capital value Income Yield Agent Inca House, Wotton Road, Ashford Private Individual Private Owner 14,600 and £1,062,000 – – – Smith Woolley Occupier large yard

10 Kent Property Market Report 2017 of the scheme were let to Hire Station and In January Unit M Orbital Park was sold by Black Ashford sold to Roebuck Asset Management for Specialised Roofing Supplies. The units, 672m² Rock for an undisclosed sum, while The Milton £4.6m (NIY 5.95%). (7,234ft²) and 276m² (2,974ft²) respectively, were Group sold their freehold interest in the Bounty let at £107.64 per m² (£10 per ft²). House, Rochester in March. The 4,645m² Looking ahead, activity in the distribution and (50,000ft²) warehouse was fully let, with over industrial sectors is expected to remain relatively The shortage of stock across much of the county 9 years unexpired, sold for £4.13m (6.4% NIY). buoyant, helped by the weak pound. Yields for has maintained momentum in the land market. In the same month Unit A, Link 20, Aylesford, distribution and well located industrial assets In February, 2.43ha (6 acres) on the Sun Chemicals comprising 2,262m² (24,343ft²) sold for £5.68m should remain relatively stable supported by the site in Orpington sold to Goya for close to (6.49% NIY). The Boulevard, Orbital Park, Ashford, lack of stock which is unlikely to improve given £0.5m per ha (£1.2m per acre). In March, the comprising 10,447m² (112,449ft²) sold in April for current uncertainty, although economic and former 1.55ha (3.84 acre) Unwins’ site in Dartford £8.42m (6.75% NIY). currency fluctuations will be an ongoing risk. and 1.21ha (3 acres) Plot 5 at Eurolink, Sittingbourne, sold. In September, Goya Developments with JV The industrial sector has seen strong investor Ashford Borough Council are seeking to acquire partner Chenavari Investment Managers bought demand, but limited stock. In February Schooner a new 28-unit light-industrial estate on Carlton a 1.62ha (4 acre) site near Vestry Trading Estate Park, Crossways was sold by The Milton Group Road, Cobbs Wood. Subject to consent, the site in Sevenoaks, for a planned 6,782m² (73,000ft²) for £4.75m following its purchase in June 2016. would be constructed on the old Rimmel works, speculative warehouse scheme. The 2,508m² (27,000ft²) eight unit estate was derelict for almost ten years. Each unit would sold fully let. The same investor also sold the range from 70m² (750ft²) up to 325m² (3,500ft²) Yields in prime distribution nodes currently stand 4,645m² (50,000ft²) East Kent Audi Repair Centre and will support up to 100 jobs. at historic lows. The Kent prime yields dropped in Canterbury to a private investor. The warehouse, to 6.5% at the end of H1, down 25 basis points fully let with 8+ years unexpired sold for £1.42m Kent average prime industrial on the same point last year. Following a post EU (5.64% NIY). Neptune Business Estate, , and distribution rent referendum lull, investment transactions across comprising 3,613m² (38,890ft²) across 18 units the distribution market have regained pace. sold for £5.675m (6.43% NIY). In September, 80

One Victoria Road & Chunnel Industrial Estate, 75

70

65 £ per m ² 60

55

50 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

Source: Caxtons CREDIT: QUINN ESTATES / GEORGE WILSON HOLDINGS Industrial and distribution rents 2013 2014 2015 2016 2017

120

100

80

60

£ per m ² 40

20

0 Dover Thanet Ashford Medway Dartford Tonbridge Maidstone Sevenoaks Gravesend Folkestone Canterbury Sittingbourne Tunbridge Wells Tunbridge Construction in progress, Commercial Quarter, Ashford. Source: Caxtons

Kent Property Market Report 2017 11 Caxtons’ property market analysis

Retail Towns are developing their Performance 8.9% own identities attracting local Average Kent High Street vacancy rate (UK 11%) custom and leisure visitors. Local Data Company, August 2017

Currency driven inflation following the EU submitted an application over the summer for In the value segment of the market Primark will Referendum result continues to diminish redevelopment. open a store in 2019. The leisure offer is to be consumer spending power, not helped by expanded in late 2017 with a 2,333m² (25,000ft²) sluggish wage growth. A greater proportion of High streets in west Kent continue to perform GraVity play area in the former Glo exhibition space. household budgets are absorbed by higher priced well. Tunbridge Wells saw further rental growth food, taking its toll on discretionary expenditure. and plans were submitted over the summer to The county has seen a number of out of town Performance amongst retailers has been mixed, redevelop the former ABC cinema. Sevenoaks has openings and lettings. Neats Court retail park on with those that maximise the relationship between seen less activity, limited by a shortage of larger the Isle of Sheppey opened, while George Wilson online sales and high street presence generally footplate units. As in other locations, demand Holdings’ Prospect Retail Park, , opened out-performing others. from independent shops, services and coffee in the spring with M&S food, Aldi and Home shops in the town remains robust however. Bargains. DFS opened at Ashford Retail Park Overall Kent is performing better than the GB and B&M at Park Farm Retail Park in Folkestone. average. Bespoke analysis of Kent’s high streets Bluewater continues to thrive, recording the Meanwhile Pier 5 Chatham, completed in 2016 is by The Local Data Company finds the county’s highest average retail spend of all retail and leisure close to fully let. The remaining units are offered at average vacancy rate (August) fell to 8.9% from destinations in the UK over Christmas 2016 (CACI). a quoting rent of £323 per m² (£30 per ft²). 9.9% in 2016, compared with only a marginal In April the centre received outline planning improvement for the UK as a whole. This consent for its West Village expansion, combined Occupiers on the redeveloped Strood Retail Park performance is reflected in rental growth; the with alterations to other parts of the shopping includes M&S Food, the retailer also opening at county’s average prime high street rent is growing centre, to provide larger units demanded by Warren Retail Park in Ashford and Sittingbourne at its fastest rate since 2008. retailers. Retail Park. While the food sector remains cautious Aldi is active in the county, opening their Occupancy levels have improved in many Reflecting this, The White Company doubled its third store in the Medway towns at Gillingham towns. Rent rebasing following the financial crisis floorspace to 546m² (5,881ft²) and the centre Business Park amongst others. created affordable space for independent will see the arrival of Missguided, taking 1,486m² retailers and A3 operators. Such occupiers are (16,000ft²) in its second unit in the UK. There has Looking ahead Royal London plans a KFC and flourishing where they present an offer not in been an increase in luxury retailers with the arrival Aldi at Horsted Retail Park, Chatham. In June a competition with online retailers, or a major retail of US accessories brand Coach, while Godiva and detailed planning application for a new 6,875m² centre. This is allowing towns such as Margate, Neal’s Yard Remedies have also taken space. (74,000ft²) retail park on Medway City Estate was Sittingbourne, Rochester and Hythe to develop their own identities. While in many instances Kent average prime high street rent High street retail rents this has not generated rental growth as yet, 2013 2014 2015 2016 2017 occupancy rates are improved. 1000 2000 1800 The pace of change has been accelerated in 950 1600 1400 some cases by local authority involvement in 900 town centre management schemes, or direct 1200 850 1000 investment as is the case in Ashford’s Park Mall. 800 Towns with an expanding residential base, such 800 £ per m ² 600 400 as Maidstone, Tonbridge and Dartford, are seeing £ per m ² 750 200 robust occupier demand, particularly for A3 0 space. The latter town will be helped further by 700 650

£4.3m of funding for town centre improvements. Dover Thanet Ashford Medway Looking ahead, Dover’s St James retail and leisure 600 Dartford Tonbridge Maidstone Sevenoaks Gravesend Folkestone development, by Bond City, is progressing change Canterbury Sittingbourne Tunbridge Wells Tunbridge in the town. There are also plans for 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 Square Shopping Centre. The owner, U+I Group, Source: Cradick Retail Source: Cradick Retail

12 Kent Property Market Report 2017 submitted by Location 3 Properties. The scheme is fully let and will open in Autumn 2018.

In the investment market, there have been a number of high value transactions. Hermes sold its 7.5% stake in Bluewater to Royal London in the autumn for an estimated £155m, while Westwood and Westwood Gateway Retail Parks, comprising 24,900m² (268,000ft²) sold in May by plc to BMO Real Estate for £79.5m, reflecting a yield of 6.5%. This followed the sale LIMITED DEVELOPMENTS WILSON GEORGE CREDIT: of the 6,201m² (66,747ft²) Neats Court Retail Park in January by LXB Retail Properties Plc, to Lightstone Properties for £11.343m. At the end of August Supermarket Income REIT purchased the 11,613m² (125,000ft²) Sainsbury’s Bybrook Superstore on RPI linked reviews for £80m (NIY 4.5%) from NFU Mutual Insurance.

Generally, high street investment activity has been slower over the last 12 months. Transactions included the sale of 21-25 Week Street in Maidstone let to Specsavers for 10 years at a passing rent of £165,000 per annum, for £2.6m, a yield of 5.97% sold to London Valley Properties in November 2016. Private investors remain active in the county’s high streets, particularly seeking out assets in towns with a cogent story. Prospect Retail Park, Whitstable.

Lettings Location Landlord Tenant Size ft2 Rent (pa) Lease term Agent 37 High Street, Tunbridge Wells, Payne & Sons Seasalt Ltd 3,125 £55,000 15 years, FRI lease, tenant option Durlings (Silversmith) Ltd to break in the 10th year, rent reviews in the 5th and 10th year 1 to 3 High Street, Ashford Private Landlord Kaspa Franchise Ground floor £45,000 New FRI 10 years lease Smith Woolley 2,422 plus with tenant’s break at year 5. basement Rent free for fit out of 2,303 23A High Street, Dartford FR Properties Ltd Mr Mahmut Guler 1,700 £23,000 10 years lease from January Robert Ingram 2017, 5 years review, FRI lease 106 High Street, Ashford Ruart Ltd Mr Yorulmaz 871 £34,000 15 years lease with Cradick Retail a break at year 5 23 Market Square, Dover Private Landlord Confidential 772 £10,000 Confidential Fell Reynolds 8 Black’s Yard, Bligh’s Meadow, Standard Life East 495 £27,500 10 year lease Salisbury & Co Sevenoaks Investments

Sales Location Vendor Purchaser Size ft2 Price Capital value Income Yield Agent Iceland, 15 Maynard Road, KS Fund (BTF & Canterbury City 8,500 £1,200,000 – £135,000 9.3% NIY BTF Wincheap, Canterbury Lindley Mortimer) Council

Kent Property Market Report 2017 13 Kent County Council, Medway Council & Kent’s District Council commentary

Leisure and Tourism

Performance SHEPHERDCREDIT: NEAME

The most recent Cambridge Economic Impact Model analysis showed that in 2016 the county welcomed a record 60m visitors and the industry’s value remains strong at £3.6bn. Tourism accounts for around 72,000 jobs or 11% of total Kent employment. In the last decade, the economic impact of Kent’s tourism industry has risen by 42% and related employment has risen by 30%.

Visit Kent has a monthly Business Barometer which tracks tourism trading performance and allows businesses to benchmark within their peer group on impact and accommodation figures. This continues to support developers and those planning investment with their decision making. The trend for ‘staycations’ has resulted in strong tourism performance and improving occupancy and footfall. In turn, this has stimulated significant new investment in Kent’s wider economy. Shepherd Neame Visitor Centre.

Attractions • Plans for the expansion include a multi-screen cinema, associated The last year saw further development across continue with a new application submitted to restaurants, improvements to public realm along Kent to strengthen the visitor offer. The following Ashford Borough Council. the River Stour as well as homeless and student examples show continued confidence in the accommodation. • Work on the first phase of the visitor centre at importance of the tourism industry to Kent Betteshanger Country Park, encompassing • Canterbury Cathedral’s new Welcome Centre is businesses and wider job opportunities: a Green Energy Centre and the Kent Mining due to be completed in 2019. Museum, has now commenced. • Dreamland Margate re-opened after a £25m • A new project has been developed for Mote refurbishment programme to improve its exterior • At the Historic Dockyard, Chatham, the Park, Maidstone, to develop an adventure zone events spaces and to revise the visitor offer. “Command of The Oceans” visitor experience with high ropes, Segways, a climbing wall and opened successfully and attracted considerable new play areas. • Work has begun on the new Canterbury media and public attention. The project attracted Cathedral visitor centre. •  Leisure Centre – application £18m in Heritage Lottery funding and support submitted for £26m project. Facilities to include • The Battle of Britain Memorial at Capel Le Ferne from significant donors, and has been shortlisted competition standard, eight-lane swimming opened its new visitor exhibit, The Scramble for the Stirling Prize. pool with spectator seating for 250 people, a Experience. • Elwick Place will see a new leisure hub created learner pool, a four-court sports hall, squash • Jetstream Tours based in Medway won the in Ashford town centre, with a six screen, 897- courts, multi-function room, fitness gym, fitness contract to operate passenger ferry trips seat Picturehouse boutique cinema, eight new studios, clip ‘n’ climb wall and a café. The plans between Gravesend and Tilbury, and will be restaurants and a 58-bed Travelodge all forming also include two outdoor 3G artificial pitches for trialling a new ferry service from a part of the £75m project. five-a-side football, landscaping and a minimum to Southend-on-Sea this summer. of 250 parking spaces. • The new Folkestone Town Museum opened • Bluewater has been given outline permission to in June with a £1.95m grant from the Heritage Looking ahead Kent continues to attract major expand its West Village, which will create around Lottery Fund. events to the county and these include The Open 2,300 new jobs. Golf Championship in July 2020. • Canterbury Riverside – the development will

14 Kent Property Market Report 2017 60m 11% In 2016 Kent welcomed a record 60m visitors and Tourism accounts for 11% of total Kent the industry’s value remains strong at £3.6bn employment (around 72,000 jobs) Cambridge Economic Impact Model Cambridge Economic Impact Model

Accommodation Transport A new, faster train service is to start from Across Kent, hotel and other accommodation Southeastern continues to invest in Kent’s railway Maidstone East with a Thames Link service development to support the visitor stay beyond stations. from 2018. the day trip now includes: Ashford International Station is due to undergo Visit Kent worked closely with the Southeastern • The Yarrow Hotel in which is one of signalling work in 2018 to allow the next and Kent’s five heritage railways in the early the first hotels in the UK to be entirely staffed by generation of trains – and any future part of 2017 to promote heritage rail routes hospitality and catering students. European rail operators – to continue to stop at through the county and help people journey to the station. historic working train attractions via the nearest • Port Lympne Reserve, near Folkestone, Southeastern stations. continues to expand its accommodation stock around its 242ha (600 acre) safari park. Brand- new Tiger Lodge and Rhino Lodge opened in the summer along with Hog Deer Creek shepherds’ huts.

• Park Holidays at Birchington has invested CREDIT: PORT LYMPNE £2m into the redevelopment of public areas (reception, pool and retail). • Shepherd Neame has made significant investments in a number of sites in Kent during the past twelve months, most noticeably a complete redevelopment of the Minnis Bay Bar and Brasserie. The brewery continues to improve its bedroom stock with a two-phase project at the Bell Hotel, Sandwich. • Construction of a 43 bedroom extension to the existing Premier Inn in Folkestone with new reception, office, linen rooms, plant rooms, lifts, stairs, parking and associated works. • At The Rugby Portobello Trust Camp, Romney Marsh, development of a holiday park and accommodation buildings as well as a swimming pool. • Slatters Hotel site in Canterbury – building work has now started which will see a new high- quality hotel offer for the city centre with 131 bedrooms and a rooftop bar and restaurant. • A new Premier Inn in Sevenoaks is due to open in spring 2018. • Construction of a new 108 bedroom Travelodge in Dover is underway

New lodges at Port Lympne.

Kent Property Market Report 2017 15 Caxtons’ property market analysis

Rural Performance 130% The total value of GB farmland has increased by 130% over the past 10 years (163% in the south east of ).

Despite the extraordinary political developments the amount of land coming to the market, which Annualised Comparative Returns of the last 12 months and speculation about the may help to underpin values in the short term. Let Land Let Residential Commercial – All Euities Gifts economic consequences, the farmland market In addition, we expect increasing rollover and in Great Britain has proved reasonably resilient. general economic improvement in the medium 20 term to support demand and therefore prices. 18 This is especially so in the south , 16 where market supply in the first half of 2017 Political events can shape markets and we 14 was more constrained (down 9% on the first all hope for greater clarity on the post-Brexit 12 half of 2016) than nationally, where it fell just 1% landscape. In the current market, competitive 10 across England. interest can make a huge difference in sale results, and good-quality properties – priced correctly – 8 The pressure on average farmland values in the continue to sell well. 6 4 region during the past 12 months has been similar Return (%) Annualised Total to the English average at -3% but weaker than that Performance of rural assets 2 recorded (around -6%) in the commercial arable As an investment, the current pressure on average 0 eastern regions. farmland values should be set in context against 1 r 3 rs 5 rs 10 rs long term performance. The total value of GB Source: MSCI and Research Buyer and seller profiles in 2016, and to date in farmland has increased 130% over the past 10 2017, have changed very little on previous years years (163% in the south east of England). although there have been a few exceptions. Firstly, “The farmland market in the the proportion of farmers selling has fallen slightly This pressure has impacted on the total return with a number of potential factors contributing, generated from farmland with capital growth south east remains buoyant including a softening in farmland values in the falling more than any increase in income return with continued demand and short term, uncertainty surrounding Brexit and (see graph opposite). The annualised the short term prospect of an increase in subsidy performance of farmland over the past five some notable sales over the as a result of the weak pound. Secondly, there years has fallen slightly behind residential, last few months.” has been a higher proportion of new non-farmer commercial assets and equities. The latter has Richard Mann, Savills lifestyle buyers – those who were purchasing been boosted by its exceptional performance farmland for the first time. Finally, there has been over the past 18 months. an increased use of borrowed money for farm purchases, 30% of all buyers compared with 23% The market fundamentals of low supply, finite in 2015, suggesting that buyers may be taking the product, competitive land uses and wide-ranging opportunity while base rates are at a historical low. ownership motives will continue to underpin farmland values and hence performance Looking ahead, we anticipate a continuation going forward. “The south east continues to attract rural tourism of the wide variance in results for the best and and city getaways, and we predict a further poorest, with a flight to quality. However, there Richard Mann, from Savills south east farm agency increase in the pool of buyers looking to create will continue to be distinct local variations. Barring team, said: “The farmland market in the south east glamping sites, golf courses, clay pigeon shoots any major economic or fiscal changes, we do remains buoyant with continued demand and and self-catering cottages, for example. The not anticipate significant price rises or falls in the some notable sales over the last few months. comparative potential that land offers as an asset coming years (5.5% overall growth for the next five is diverse and attractive to many investors wanting years) and a return to sustained, steady growth in “Uncertainty for some often means opportunity an array of income potential that can be adaptable the longer term. for others and there are committed buyers to periods of economic turbulence. who are looking for the best properties in good Brexit may create uncertainty in the farmland locations if they are correctly priced. “One of the most noticeable changes we are market during the next few years, impacting on seeing is interest in land suitable for viticulture.

16 Kent Property Market Report 2017 “One of the most noticeable changes we are seeing is interest in land suitable for viticulture.” Richard Mann, Savills CREDIT: ISTOCKPHOTO.COM

The Wye Downs, Ashford.

We have established a dedicated viticulture “Looking forward, despite the political and Ian Bailey team and are registering new entrants to this economic uncertainty while new trade deals Savills Research: 020 7299 3099 sector, whether they are well informed novices are negotiated, bare land, farms and estates Chris Spofforth or existing landowners looking to extend the have a broad appeal for numerous buyer types Savills South East Farm Agency: 01444 446 064 diversity of their holdings. Several existing as a tangible asset which historically has been producers are also actively expanding their attractive to investors, often as a hedge against Michael Wooldridge growing areas. There is not only local interest, inflation. We see no reason why land will not Savills Rural, Energy & Projects: 01732 879 052 but from Europe and beyond, as the English continue to be in demand across the south east, wine industry really starts to find some traction with land values supported by long-term low and is producing some extremely good supply, competing land uses and a variety of quality product. ownership motives.”

Kent Property Market Report 2017 17 Caxtons’ property market analysis

LEADER Grant Funding in Kent

Kent’s LEADER programme is a source of funding for rural businesses, farmers, foresters and communities to help secure a sustainable future for the rural economy. The LEADER Programme

CREDIT: CC STUDIO ARCHITECTS STUDIO CC CREDIT: is a bottom-up, community-led approach to the delivery of the Rural Development Programme for England (RDPE) funded by Defra and the European Union. The planning, decision making and implementation is local via Local Action Groups (LAGs) made up of private, public and community sector volunteers with a wide range of knowledge and experience of local rural issues.

LEADER in Kent has been awarded over £5.25m for 2015-2020 and applications are open to the end of March 2019. The emphasis is on providing jobs and growth in rural areas. It has a rolling funding mechanism with a minimum grant of £2,500 and a maximum of £50,000 to £100,000 (higher under certain circumstances), at a rate of 40% of eligible costs for commercial projects.

Projects vary enormously and can include Proposed North and East Elevations, Woodchurch Wine. construction projects. One recent example is:

Woodchurch Wine – new wine storage, distribution and visitor centre Provision of a vineyard facility housed within a new 170m² (1,830ft²) building to provide space for wine storage and aging, distribution, a visitor centre and sales. CREDIT: CC STUDIO ARCHITECTS STUDIO CC CREDIT: With no buildings/facilities on site, the project will address a limit to growth and profitability of the business. These include visitors’ wine tasting, tours, events and purchases; on site wine labelling, storage and distribution and car parking. Woodchurch Wine is a small vineyard established in 2009 which produced its first wines in 2015. A ‘boutique’ wine producer making premium sparkling wine from grapes grown on its own vineyard, the business is a family partnership.

If you are considering creating or expanding a business or have a good project idea and think LEADER funding could help you:

Kent Downs and Marshes/East Kent: www.leaderprogrammekent.org West Kent Leader: www.westkentleader.org.uk CGI of proposed new wine storage, distribution and visitor centre for Woodchurch Wine.

18 Kent Property Market Report 2017 Kent County Council Village and The majority are charities run by local volunteer one coherent form, removing the disjointed Community Hall Grant Scheme trustees and are heavily reliant on fundraising. A collection of different styled buildings that leaky roof, poor toilet facilities, cold, damp halls previously existed. The project was originally Local halls and community buildings are at the or insufficient space can prevent users from proposed in 2011 but, due to a funding shortfall, heart of community life. They are important in being able to enjoy the building. This leads hall was unable to be completed. After extensive sustaining inclusive and active communities, management committees to turn to Kent County fundraising by the Trustees, the hall was particularly in rural areas with fewer venues Council’s Village and Community Hall Grant completed this year. and services. With the decline of other rural Scheme. community facilities, such as schools, shops, and Meads Community Centre, Sittingbourne public houses the village hall remains as the main Over the last 18 years nearly 170 community halls A new build community centre on the Meads focus for community activities and services and across Kent have benefitted from over £4m of Estate providing a purpose built nursery as well as usually within easy walking distance of home. funding from Kent County Council to support space for a wide range of community activities. They offer a hub for social interaction and have an the building, refurbishment and development In addition to receiving a grant from Kent County increasingly multi-purpose role, serving as a social of facilities that provide this vital space for the Council, it was supported mostly by funds from centre, arts and sports centre and, in some cases, communities they serve. Action for Communities developers as part of local planning agreements. providing education, health or retail services. in Rural Kent (ACRK) has a major role in the operation of the scheme, as well providing a For more information about the Village In Kent there are around 300 village halls and specialist comprehensive advice and information and Community Hall Grant Scheme: many more community sports and recreation service to the volunteers who run and manage www.kent.gov.uk/leisure-and-community/ centres, social clubs, and church halls, and their community halls. community-grants-and-funding/village-and- importance to the health of our communities is community-hall-grant-scheme growing. They are also important contributors to Recent examples of supported projects: Kent’s economy, supporting jobs, either directly Chiddingstone Causeway Village Hall, For more information about the ACRK: (cleaners, caretakers, grounds maintenance) or near Sevenoaks www.ruralkent.org.uk/ indirectly (pre-school staff, shop and post-office A newly constructed village hall to replace a staff, fitness instructors, caterers). They also deteriorating but well used facility that was use local builders, electricians and other local no longer fit for purpose. The new larger businesses and services. development consolidates the building into CREDIT: KENT COUNTY COUNCIL COUNTY KENT CREDIT:

Meads Community Centre, Sittingbourne.

Kent Property Market Report 2017 19 Caxtons’ property market analysis

Residential Performance 7,000 In 2015/6 more than 7,000 residential units were completed in Kent and Medway, the highest level since 2008/9.

Average Kent house prices grew at a faster rate to progress. Construction started on over 600 Average new build price range by location than recorded in London over the 12 months to homes over the last 12 months, with Persimmon, Residential new build land values the end of August 2017. This trend, continuing Barratt Homes and Clarion Housing on site. from 2016, reflects the county’s growing The first primary school has opened on the New build average price pace of economic activity, combined with scheme and over the summer a further 250 achieved (£/ft2) Location Houses & Apartments expanding commuter demand. An acceleration homes and a new village centre, proposed by in value growth seen in many of the county’s Newcrest, also secured consent. 2017 2016 coastal towns is particularly notable. Bespoke Ashford £275-£375 £250-£350 analysis provided by Hometrack for this report, At Kings Hill the next phase of development has Canterbury £325-£475 £275-£450 demonstrates affordable locations such as started and will include 635 dwellings and new Dartford £350-£450 £300-£425 Margate and Dartford showing house price community facilities. are rises well in excess of the traditional west Kent developing 132 homes, ranging from 2 bedroom Dover £250-£350 £200-£300 commuter towns. Improved commuter links and apartments to 5 bedroom houses. Bellway £325-£425 £275-£350 a consolidating sense of place in many of these Homes are currently building 44 homes, while Maidstone £300-£400 £275-£350 east and north Kent towns are attracting incomers Aquinna Homes’ 14 unit apartment building Medway £275-£375 £225-£350 as well as investment. is scheduled to complete by November 2017. Sevenoaks £400-£625 £380-£625 Anchor Lifestyle Developments have exchanged Activity in the county is in contrast to the subdued subject to planning agreement to provide 75 Shepway £275-£400 £225-£325 picture for the UK housing market as a whole. assisted living apartments and sites for further Swale £275-£375 £225-£350 Annual house price growth slowed to 2.1% in age-related schemes are under consideration. Thanet £275-£350 £225-£290 August (Nationwide), less than half that recorded £350-£450 £325-£450 at the same point in 2016. Political and economic There are also a number of significant schemes uncertainty is undoubtedly taking its toll on at the planning stage. At Mountfield Park outside Tunbridge Wells £425-£575 £400-£575 the market, but affordability pressures remain Canterbury, Corinthian gained planning consent Source: RPC Land the dominant barrier. Nationally, transaction for 4,000 units in December 2016, although levels stand at an historic low (ONS). Mortgaged the scheme may be subject to review from the households are struggling to afford the next rung Secretary of State. Also outside Canterbury, Quinn on the ladder, while older households have a Estates are proposing a mixed use development centre homes and in Ashford, Quinn Estates, lower propensity to move. with up to 400 residential units at Cockering in partnership with U&I PLC, has submitted an Farm. Meanwhile, consultations continue on the application for a scheme comprising 660 units. First time buyers (FTB) have been supporting Otterpool Park garden town, with proposals for activity in the market over recent years, aided by 12,000 homes. Looking ahead, the uncertain economic outlook Help to Buy and other initiatives. Weakening real has combined with a natural slowing in the income growth may slow FTB demand over the A number of town centre residential schemes development cycle. Housebuilders are more coming year, but at present these buyers continue are under construction across the county or cautious over large scale schemes with consent, to drive demand for many new build schemes. planned through wider regeneration strategies. although they continue to seek out strategic In 2015/6 more than 7,000 residential units were The Spirit of Sittingbourne regeneration scheme, a sites, particularly in the west of the county completed in Kent and Medway, the highest partnership between Quinn Estates, Development and commuter towns. Housing associations level since 2008/9. The robust level of supply will Securities, U&I Land with Swale Borough are expected to remain active in the private be maintained over the coming years given the Council has started on site, although the 215 unit housebuilding market as they seek to supplement number of larger scale developments underway residential element will not be delivered until later funding. Longer term however, the county’s or in the planning process. in the development programme. In Chatham, strategic position and improving commuter the 2.63ha (6.5 acres) Horsted Park development credentials will add to housing demand. The Ebbsfleet Garden City, which has a target of 6,250 by Countryside is close to fully sold. Meanwhile, large scale strategic developments underway or homes to be built in three villages in the huge in Swanley U+I Group has submitted plans for a proposed will be essential to meet this demand and Eastern Quarry site near Bluewater, continues regeneration scheme to include 210 new town support the county’s economic growth potential.

20 Kent Property Market Report 2017 EBBSFLEET DEVELOPMENT CORPORATION DEVELOPMENT EBBSFLEET

New housing at Eastern Quarry, Ebbsfleet Garden City.

House price change in Kent to end of August 2017 5 year compound Location 5 year change in price annual growth rate 12 month change Ashford 41.9% 9.1% 4.6% CREDIT: HOMES BELLWAY Canterbury 40.4% 8.9% 4.8% Dartford 55.9% 11.7% 4.5% Dover 42.1% 9.2% 5.2% Gravesham 58.4% 12.2% 6.1% Maidstone 42.7% 9.3% 4.5% Medway 57.1% 11.9% 4.3% Sevenoaks 46.2% 10.0% 5.8% Shepway 37.9% 8.4% 4.4% Swale 48.5% 10.4% 6.3% Thanet 50.7% 10.8% 7.1% Tonbridge and Malling 43.8% 9.5% 5.1% Tunbridge Wells 41.6% 9.1% 4.6%

Bellway Homes, Kings Hill. Source: Hometrack

Kent Property Market Report 2017 21 Locate in Kent commentary

to 137 in 2016) across Kent and Medway. This led the remaining 28% were for industrial space over Inward to a maximum demand for industrial space across 930m² (>10,000ft²). Kent and Medway at the end of June 2017 of Investment 532,662m² (5,753,522ft²) compared to 410,144m² Office property demand: (4,414,789ft²) in 2016, which was 30% up on 2016. – by sub-region (see Fig 1) With a total of 71 office projects at the end of June The large increase in total industrial space being 2017 (compared to 82 projects in June 2016), total sought was the result of one very large requirement potential demand for office space across Kent in (North Kent). In June 2017, and Medway reached 181,348m² (1,952,029ft²) Locate in Kent, Kent and Medway’s investment the highest demand by sub-region for industrial compared with 102,421m² (1,202,459ft²) – up 77% promotion agency, maintains a client database property was Thames Gateway (North Kent) with on 2016. In June 2017, the highest demand for that holds details of the property requirements 31%, followed by West Kent with 25%, East Kent office space – with 28% of area enquiries – was for of companies looking to relocate to or expand in with 22%, and Maidstone/Ashford with 22%. Maidstone/Ashford, followed by Thames Gateway Kent. It also maintains a web-based commercial (North Kent) with 25%, West Kent with 25% and property database that provides a good indication – by sector (see Fig 2) East Kent with 22%. of Kent and Medway’s commercial property supply. Locate in Kent deals with a wide variety of companies from a number of different industry – by sector (see Fig 2) Property demand – overview sectors. At the end of June 2017, industrial At the end of June 2017, office demand was At the end of June 2017, there were 284 active demand was led by Construction & Property led by Food & Agriculture, (representing 25% projects. Of these, 173 had a potential requirement (seeking a total of 32,395m²), followed by Retail of office demand enquiries seeking a total of for property or land compared to 183 in June 2016, & Wholesale (32,051m²), Food & Agriculture 11,613m2), followed by Manufacturing (7,572m²) of up to a total of 361,607m² (3,892,337ft²) (30,741m²) and Manufacturing (28,521m²). and Construction & Property (6,893m²). At the compared to 298,605m² (3,214,185ft²) in June 2016. end of June 2016, the situation was different At the end of June 2016, the situation was slightly with Construction & Property (representing 32% Over the period June 2016 – June 2017, a total different: Construction & Property (seeking a total of office demand enquiries seeking a total of of 52 companies had been successfully assisted of 155,100m²) while representing 65% of projects, 30,193m²), followed by Manufacturing (16,342m²) by Locate in Kent to invest in Kent and Medway, followed by Manufacturing (20,346m²) and Food and Food & Agriculture (14,864m²). occupying 52,159m² (561,439ft²) compared to & Agriculture (18,966m2). 49,569m² (533,556ft²) in 2016. – by size (see Fig 3) – by size (see Fig 3) In June 2017, smaller offices continued to be the Industrial property demand: The most popular industrial property size was most sought after properties throughout Kent and – by sub-region (see Fig 1) under 464m² (<5,000ft²) accounting for 51% Medway. 75% of office demand was for properties The total number of projects seeking industrial of enquiries in 2017. 22% were for properties under 464m² (<5,000ft²). property in Kent and Medway was 121 (compared between 465 – 929m² (5,000 – 10,000ft²) and

Fig 1. Total office and industrial property Fig . Property demand by sector, June demand by subregion*, June Office Office Industrial 50 Industrial 2 ) ² 250 40 12 200 7 203 8 0 30 32 31 32 150 165 29 141 20 100 112 5 4 3 82 77 71 10 14 14 50 62 12 2 1 0 0 1 0 1 0 3 0 1 4 4 3 0 0 0 2 1 5

0 (000’s m (min) reuirement Total 0 ICT Ashford Thames Property Gateway East Kent West Kent West Maidstone/ Automotive Engineering (North Kent) Life Sciences Life *Districts by subregion: Technologies Environmental Manufacturing Public Services East Kent: Canterbury, Dover, Thanet & Shepway, Construction & Maximum total property reuirements (000’s) m reuirements Maximum total property Business Services Financial Services

Thames Gateway (North Kent): Dartford, Gravesham, Medway & Swale, & Leisure Tourism Creative industries Creative Retail & Wholesale West Kent: Tonbridge & Malling, Tunbridge Wells & Sevenoaks, Food & Agriculture Land Base & Utilities Printing & Publishing Maidstone/Ashford: Maidstone & Ashford & Logistics Transport Source: LIK Property Portal June 2017 Source: LIK Property Portal June 2017

22 Kent Property Market Report 2017 Property supply – overview smaller end of the range – less than 464m² at Angle 265° on London Medway Commercial At the end of June 2017, a total of 730 properties (<5,000ft²), 2% down on June 2016. Park. were registered on Locate in Kent’s property • Construction of a £160m biomass plant at database. 58% were office properties and 42% Conclusion Discovery Park, Sandwich for Kent Renewable industrial. The greatest number of properties In regards to quantity, industrial and office property Energy is progressing well. Scheduled for overall were available in Thames Gateway (North numbers seem to match the property demand. completion in 2018, the project will create 25 Kent) with 29%, followed by East Kent (25%), new jobs, an additional 350 jobs during the Maidstone/Ashford (23%) and West Kent (23%). However, there is a difficulty of matching the construction period and further jobs in the local appropriate property at the required quality and forestry sector. Industrial property supply: size, as well as meeting other clients’ requirements – by sub-region (see Fig 4) (location, new built, internet speed, infrastructure, • Wheelabrator is currently building a combined At the end of June 2017, the greatest number of flexible lease arrangements, etc). There is little heat and power plant at Kemsley. The facility industrial properties were in Thames Gateway supply at larger sizes – for both office and will process 550,000 tonnes of local residential (North Kent) with 35%, followed by Maidstone/ industrial properties (over 1,860m²) and few very and business waste each year, generating up to Ashford with 23%, East Kent (21%) and West Kent large size industrial units (over 4,646m²). 49.9MW of clean, renewable energy, creating (21%). 40 operational roles once complete and These issues are making it difficult to meet all the hundreds of jobs during the construction phase. – by size (see Fig 5) demand for Industrial and office properties and • TNT opened their 132,000 ft² facility at Capacity For industrial properties, the most available sizes limit investment opportunities in Kent. Dartford. 10 acres now remain with the scheme were at the lower end of the scale, with properties capable of accommodating warehouse under 464m² (<5,000ft²) – accounting for 64% Major Investments requirements ranging from 50,000 ft² to of all available industrial properties (1% up on June In the last financial year (April 2016 to March 2017), 172,200ft². 2016). Locate in Kent assisted 37 companies to set up, move to or expand in Kent, creating 976 jobs and • Spanish company Pacadar has opened its new Office property supply: retaining 1,073. plant for precast concrete elements at London – by sub-region (see Fig 4) Thamesport on the Isle of Grain. With a project At the end of June 2017, the greatest number This included 11 overseas companies: 3 from the investment exceeding £10m, Pacadar UK will of office properties were in East Kent with 27%, USA, 2 from France, and 1 each from the following commence production at the end of 2017 and followed by Thames Gateway (North Kent) with countries: Germany, Denmark, the Netherlands, create around 100 jobs. 25%, West Kent (24%) and Maidstone/Ashford Belgium, Norway and India. At the end of September 2017, Locate in Kent had (24%). a pipeline of 300 active projects of companies Notable investments in 2016-17 included: looking to start-up, expand in or relocate to Kent. – by size (see Fig 5) • The largest letting of 2016 saw major logistics For available office properties, 85% were at the provider Wincanton sign a lease on 266,600 ft²

Fig . Property demand by sie, Fig 4. Property supply by subregion*, Fig 5. Property supply by sie, June June June Office Office Office Industrial Industrial 160 60 Industrial 50 140 50 50 40 44 120 48 118 40 100 108 105 106 102 30 37 31 30 80 30 20 60 67 21 22 61 63 20 15 40 17 10 12 10 14 3 9 20 3 11 1 7 9 2 8 1 6 0 0 available properties Number of 0

0 0 properties office/industrial % of 0 % of total office/industrial demand total office/industrial % of 0-93 0-93 4,645 9,290 94-464 94-464 Ashford Thames 465-929 465-929 Gateway East Kent (0-1,000) (0-1,000) (50,001) West Kent West 930-1,858 930-1,858 Maidstone/ (100,000) 1,859-4,644 1,859-4,644 (North Kent) 4,645-9,289

(1,001-5,000) *Districts by subregion: (1,001-5,000) (5,001-10,000) (5,001-10,000)

(10,001-20,000) East Kent: Canterbury, Dover, Thanet & Shepway, (10,001-20,000) (20,001-50,000) (20,001-50,000)

(50,001-100,000) Thames Gateway (North Kent): Dartford, Gravesham, Medway & Swale, Minimum property size requirement m2 (ft2) West Kent: Tonbridge & Malling, Tunbridge Wells & Sevenoaks, Size of property m2 (ft2) Maidstone/Ashford: Maidstone & Ashford Source: LIK Property Portal June 2017 Source: LIK Property Portal June 2017 Source: LIK Property Portal June 2017

Kent Property Market Report 2017 23 Kent County Council, Medway Council & Kent’s District Council commentary

Economic Development CREDIT: WESTON HOMES PLC

Thames Gateway Kent

Dartford The Borough of Dartford is situated at the heart of the Thames Gateway regeneration area in north- west Kent. It stands at a pivotal point between and Kent and also across the . It has excellent connections to central London, the rest of the south-east and UK, channel ports and the continent via the strategic road and rail network which crosses the Borough. The intersection of the A2 and M25 and the provide a unique locational advantage helping attract investment interest and drive strong growth in the area.

A positive investment climate is further assisted by an up-to-date Local Plan guiding development, a 5 year supply of housing land and a well-developed Infrastructure Plan. Funding mechanisms, CGI of Mill Pond Block F, Dartford. including a Community Infrastructure Levy, are in place to bring forward the infrastructure required centre. Dartford Town Centre Framework has the town centre’s leisure offer with proposals to support new development. been prepared with further consultation due in including a six screen cinema, 3,500m² (37674ft²) autumn 2017. The opportunity for around 5,000 of bars and restaurants and a new public square. The pace of development has continued to grow, new homes in and around the town centre will The development also proposes 140 new homes with Dartford experiencing its third successive significantly increase demand for retail and leisure and a 109 bed hotel. year of increased housing completions. There provision locally. Private investment on key sites is were 1,162 completions in 2016/17, the highest to be complemented by £12m of public funding Planning permission for an expansion of recorded figure and approximately two and a on transport and public realm improvements, Bluewater Regional Shopping Centre was half times the long running average for Dartford. providing a much enhanced and pedestrian- granted in June 2017 to provide an additional The high levels of demand and confidence in friendly area for shopping and leisure activities. 30,000m² (322,917ft²)of floorspace. It includes the area are evidenced by the rapid sale of new bars and restaurants enhancing the centre’s offer homes once on the market. Residential development is already underway, and helping to maintain its status as one of the notably at the Northern Gateway, where 766 UK’s premier shopping centres. Construction The last year saw progress in some of the homes have already been built, 470 are under is currently underway on an extension of the Borough’s key development sites including construction and a further 620 with permission existing cinema complex. The scheme will Northern Gateway just north of Dartford town or undergoing site preparation. To the south of provide restaurant facilities (Class A3) and cinema/ centre, The Bridge mixed-use development the town centre, at Lowfield St, construction family orientated floorspace (Class D1), adding adjacent to the Thames crossing, St Clements of approximately 700 new homes, on three to Bluewater’s existing leisure offer. Lakes housing adjacent to Bluewater and separate sites, will begin at the end of 2017. This further build out of the residential-led mixed-use is to include 1,500m² (16,146ft²) of retail and In April 2017, Government announced the development at Eastern Quarry. community floorspace and a micro-brewery and preferred route for a new Lower Thames café facing on to a public square. A development Crossing. The planned route will cross the river Whilst development continues apace across partner has been selected for the HCA/Council east of Tilbury and Gravesend, linking the M25 the urbanised northern part of the Borough, jointly owned former Co-op store site on Hythe near North Ockenden with the A2 near Shorne. there is a particular focus on Dartford town St. The development will significantly enhance It is programmed to be complete by 2027.

24 Kent Property Market Report 2017 It will relieve the Dartford Crossing and increase space at Northfleet East. These employment has been progress on the Garden City’s two major the resilience of the surrounding road network. sites will create the first phase of Ebbsfleet commercial development projects. In Ebbsfleet At the same time, Government announced £10m Garden City’s contribution to the new North Kent Central (the planned new city centre around funding for short-term measures to provide relief Enterprise Zone and help the growth of small and Ebbsfleet International station) the land owners at Junction 1a of the M25, the Dartford Crossing medium sized businesses. are working with the EDC and High Speed One to Approach Road. finalise a viable plan for a high quality, mixed-use The revised masterplan for the remainder of development including up to 3,500 new homes, In August 2017, Government announced the Eastern Quarry will be determined by the EDC’s a new commercial centre and a healthcare, preferred routes for the A2 Bean and Ebbsfleet Planning Committee and is expected before education, research and innovation quarter junction improvements. These routes will now be the end of the year. This former quarry area will (HEiQ) backed by leading universities, hospitals, taken forward to the design stage, with work on then be comprehensively redeveloped with KCC and the NHS. The HEiQ project reflects the site expected to start no later than March 2020. 4,600 new homes in two new villages, including commitment of the NHS to make Ebbsfleet Garden The improvements will help support planned new city parks, a new education campus and a City one of the country’s pilot healthy new towns. development, supporting jobs and housing dedicated bus route. Work on existing housing growth in North Kent. developments at Castle Hill, Ebbsfleet Green At the same time, Company and Springhead Park continue apace including Holdings (LRCH) are progressing their new master Working in partnership with Bexley Council and provision for the first two primary schools in the plan and application for a global theme park resort other Kent local authorities, Dartford Council is Garden City. to create a significant number of new jobs and lobbying government to extend Crossrail beyond business opportunities. The DCO (Development Abbey Wood, to run through Dartford, terminating In partnership with Kent County Council, land Consent Order) is expected to be before at Ebbsfleet/Northfleet. owners, developers and operators the EDC is Government by spring 2018. co-ordinating the upgrade to . This will For further information: create a new public transit service to ensure that Ebbsfleet Garden City, with fast rail connections www.dartford.gov.uk all the Garden City’s residents are within a few to the capital and to the continent and with its minutes’ walk of a bus stop, linking housing with continuing demand for high quality mixed tenure Ebbsfleet Garden City major leisure, health and employment centres as housing, looks set to deliver its full potential as the In partnership with the Garden City developers well as Ebbsfleet International station. In 2017 there country’s first garden city in over a hundred years. and landowners, the Ebbsfleet Development Corporation (EDC) exceeded its target of over 600 housing starts in 2016/17. In its second year of operation the EDC is forward funding investment in major infrastructure (utilities, highway improvements and new cycle paths and footways) and delivering a proactive planning service. Developers are responding positively and are achieving their building programmes. Seven housebuilders are on site and this number will rise CORPORATION DEVELOPMENT EBBSFLEET to ten over the course of 2017. Some 550 new homes are expected to be completed in 2017/18, rising to 1,000 in 2018/19, with a goal for the first phase of 5,100 homes by 2021.

The investment and recovery agreement between the EDC and UK Power Networks (backed by the regulator) to forward fund the provision of electricity capacity for the Garden City is believed to be the first of its kind in the UK. Similar model agreements are now being prepared for other utilities to give confidence to developers to programme.

Planning permission has recently been granted for the delivery of 530 homes and 23,000m² (247,570ft²) of employment space at Northfleet West and 21,500m² (231,424ft²) of employment Ebbsfleet Garden City Information Centre opening at Ebbsfleet International Station, June 2017.

Kent Property Market Report 2017 25 Kent County Council, Medway Council & Kent’s District Council commentary

Economic Development Launched in April 2017 the North Kent Enterprise Thames Clipper ran a four day free commuter Continued Zone has three sites within Gravesham as part of trial service from Gravesend Town Pier pontoon Ebbsfleet Garden City, Northfleet Embankments to Canary Wharf and the Embankment in East and West and Northfleet Rise. The Enterprise September. With journey times of 45 minutes to Zone presents businesses with Business Rate Canary Wharf it is hoped that a full service will be discounts for new occupiers of up to £55,000 implemented in the coming year. Following the per year for five years, for those that move by success of the Thames Estuary Festival in 2016 31 March 2022. LV21 a historic, 40metre steel-hulled lightship is now moored at the town’s St Andrews quayside Peninsula Plans for a new employment scheme were and has been transformed into a floating art space London Resort Company Holdings (LRCH), the given the go-ahead in May 2017 for Northfleet and performance facility. developer behind the plans to build a multi-billion Embankment East. The proposed development pound entertainment resort, announces that its could see up to 690 jobs created in 240,000ft² For further information: final round of public consultation on plans for of industrial space, business incubator units, [email protected] the London Resort will be taking place in early office and a small retail space. 2018 and that it will be submitting a Development The Kent Innovation Corridor Consent Order application. This latest round of Located near to the A2/A227 junction, Discovery Park in East Kent has enjoyed Enterprise events represents the fifth stage of an extensive Coldharbour Road southside continues to Zone status since 2012, and in November 2015 programme of community engagement carried attract interest with work under way on a 61 the Government announced the designation of out by LRCH, which has already seen over 8,000 room Travelodge to open in early 2018 and a new Enterprise Zone in Kent and Medway. people participate. The anticipated grand opening complementing a Toby Carvery restaurant. date is in 2023. An outline application was submitted for 5,203m² Between London and Europe, with excellent (56,000ft²) of enterprise space in 2016. connections to both, the North Kent Enterprise Humphrey Percy, CEO of LRCH, said: “This Zone is one of the south east region’s new business final round of consultation will be a crucial step The Gravesend Heritage Quarter planning hubs for innovation and entrepreneurial growth. towards completing our plans for the world permission for the Eastern Quarter of a £120m class entertainment resort. We have subjected mixed-use redevelopment with a new 50 bed The Enterprise Zone comprises of multiple our project to considerable rigour in recent hotel, 305 apartments, retail, leisure and office business sites, around Ebbsfleet, Medway and months, transformed it, and in turn are creating space is being progressed. Gravesend Borough Maidstone, that will offer specialisms in key an inspirational and deliverable scheme. We Market now complements the Heritage Quarter sectors such as medical and healthcare research, are encouraged that industry experts have fully development with the £1.8m refurbishment of the training and practice, advanced manufacturing, endorsed our decision to pursue a strategy of town’s historic Market Hall. Completed in 2016 it engineering and digital technologies. multiple Intellectual Property partners and two has been transformed into a thriving retail centre different entertainment areas.’’ for local businesses in particular, the creative and It further enhances the network of innovation and food sectors. Enterprise Hubs that make up the Kent Innovation “We are delighted with progress on partnership Corridor stretching from Dartford to Sandwich. agreements. We plan to build over 3,500 Outline permission (subject to s.106 agreement) hotel rooms, operated by our new partner, for 80 residential units and new employment This new Enterprise Zone came into effect in April Intercontinental Hotel Group; constructing space has been granted for the former Gravesend 2017 and presents businesses with business rate the majority of the Resort and new roads and hospital site known as the M Block. At Clifton discounts for new occupiers of up to £55,000 infrastructure with materials stored at and Slipways, Downriver Properties have secured per year for five years, for those that move by transported from Port of Tilbury, with whom we outline permission for 133 new riverside homes 31 March 2022. have recently signed an agreement. We are now in in a 13 storey apartment block. very detailed commercial negotiations regarding Ebbsfleet Garden City has three Enterprise partners, the concepts they are embracing and Work has commenced on further phases of Zone sites – Northfleet East, Northfleet West some of the incredible creative propositions.’’ Gravesend Transport Quarter a major scheme and Northfleet Rise – that will offer facilities for supported by £4.1m Local Growth Funding via a range of business types and sectors close to Gravesham the South East Local Economic Partnership Ebbsfleet International Station. The sites will each Investors and developers are capitalising on the to create a gateway/transport interchange to offer accommodation for businesses in medical opportunities presented by the area’s direct High integrate the railway station and town centre, local and healthcare, advanced manufacturing, digital Speed One services to London. With the town bus and Fastrack transport services. It will improve technologies and creative industries. centre just 22 minutes from Central London and access for cyclists and pedestrians, create new 17 minutes from Stratford, it is the closest Kent town public space and act as a catalyst for additional Kent Medical Campus provides an ideal to London in terms of rail journey time, comparable jobs. Works are planned to be completed in environment for health, science and education with Underground Zones Three and Four. Autumn 2017. businesses to be part of a centre of excellence

26 Kent Property Market Report 2017 The development of Rochester Airport continues to progress apace. Awarded Enterprise Zone status in 2015, business incentives began from April 2017. Businesses that locate there before March 2022 will be incentivised to a maximum of £55,000 in discounted business rates every year for five years. Medway Council is also exploring significant simplification of planning for CREDIT: MAIDSTONE BOROUGH COUNCIL BOROUGH MAIDSTONE CREDIT: businesses that locate to the site.

The Innovation Park, Medway was awarded £4.4m from the Local Growth Fund in 2016 for the redevelopment of airport infrastructure with a hard surfaced runway to replace grass. The other runway will then close releasing valuable commercial development land. Business focus will be on high growth, high value manufacturing/ engineering businesses, and technical and professional services companies requiring the most up to date facilities. A further application submitted to the Local Growth Fund to secure a further £3.7m of investment has been successful. Funding for Innovation Park, Medway will enable civils infrastructure to de-risk and make the site ‘development ready’. The Kent Innovation Corridor. Further successful funding bids have secured in medical science. The 30-acre landscaped site 1,300 new homes with 25% being affordable in excess of £7m from Round 3 of the Local has permission to develop 98,000m2 (1,000,000 housing. Countryside Properties will provide Growth Fund. The developments covered include ft2) of flexible and innovative space and, once a school, nursery, hotels, restaurants, gym, Chatham Placemaking (£4m) and Strood Civic fully developed, will provide up to 4,000 jobs. healthcare facilities, office space and a number site (£3.5m). The Strood Civic site will undertake of retail units on site. As one of Medway’s most flood barrier work for in excess of 500 homes. The Innovation Park, Medway offers high-value exciting regeneration hotspots it is anticipated final Funding for Rochester Airport will enable civils technology, engineering and manufacturing development value will exceed £400m. infrastructure to de-risk and make the site companies premises designed specifically ‘development ready’. for business growth. Future-proofed New-look housing is promised for the communications capacity (such as fibre- 32ha (79 acre) site, with bespoke styles of Benefiting from £4m of Local Growth Fund for optic broadband to the door) is just part of the accommodation, 15 house types and apartments, the initial phase, the council has commenced commercial offer. working closely with the council to ensure designs work on the Chatham place-making scheme. meet the needs of local people. The developers Overall, the North Kent Enterprise Zone will create were selected by competitive tendering and will around 281,000m² (3,025,000ft²) of high quality submit their first application by Summer 2017 commercial space across the three schemes and for commencement late 2017, and completion up to 9,900 jobs by 2026 particularly in medical/ around summer 2029. life-sciences, advanced manufacturing and engineering and digital technologies. A dedicated Medway has joined forces with Kent County website will be available in the autumn: Council to strengthen its inward investment www.northkententerprisezone.co.uk focus for the region. A three year contract with Locate in Kent worth £3m from August 2016 Medway will entice the best foreign direct investment At Rochester Riverside, Countryside Properties opportunities and companies from other parts and Hyde Housing have been selected to turn of the UK. With the North Kent Enterprise Zone CREDIT: COUNTRYSIDE PROPERTIES / CLAGUE ARCHITECTS CLAGUE / PROPERTIES COUNTRYSIDE CREDIT: Medway Council’s ambitious regeneration plans at Rochester Airport, Maidstone and Ebbsfleet, into reality. The developer is set to transform there are valuable business rates discounts to be the area over the next decade, building around seized by businesses. Horsted Park, Chatham.

Kent Property Market Report 2017 27 Kent County Council, Medway Council & Kent’s District Council commentary

Economic Development business with the remaining housing complete Swale Continued by 2017 and already sold off-plan. The Council’s A number of schemes have made the transition workspace development at Innovation Studios, from planning to construction during the last Strood has been completed using 6m and 12m year to support Swales’ commercial development (20ft and 40ft) shipping containers customised in particular. with cladding and planting and providing 15 new business units. Units range in size from 12m² The Spirit of Sittingbourne town centre (130ft²) for one to three people to 26m² (280ft²) regeneration is underway with the demolition of units for four to six people and have been very a former waste depot off Eurolink Way to enable This will focus on: popular with new creative businesses. construction of 2588m² (27,857 ft²) of retail units by April 2018 for Costa Coffee, Home Bargains • redevelopment of the Chatham Waterfront Civic The final phase of development on Chatham and Food Warehouse. Significant preparatory Space from the River Medway and Waterfront Maritime’s St Mary’s Island is underway. Called works (highways and utilities) will release the Pumping Station towards the Bus Station Azure, it will deliver 339 properties including 62 leisure quarter land, to allow work to begin within an extra care block for older residents, local in 2018 on a new eight screen Light Cinema • the Paddock and the north-western entrance to amenities and recreational space. A good range of and restaurants including Pizza Express and the Pentagon Shopping Centre development schemes in Chatham are underway Wildwoods. • the connections through to the High Street and including the final phase of Countryside Chatham Rail Station. Properties’ Horsted Park. Sittingbourne has also seen work commence on the latest phase of Eurolink, the largest business Of respondents to the council’s consultation, Medway is also benefitting from over £22m area in Kent. The 12ha (29.65 acres) of Eurolink 90% agreed the proposed scheme should deliver investment in highway improvements for East 5 has already attracted significant market its principal objectives of creating a place where accessibility in Strood (including the new station), interest, with initial occupiers starting work on new people will feel secure, can enjoy the civic space connectivity to the Medway City Estate and also premises, with further development anticipated and a more connected public realm. the A289 Four Elms Roundabout to the Medway in the immediate future. Construction is also Tunnel to ease congestion and increase capacity. underway on two speculative developments at Development at Gillingham Waterfront (Victory Eurolink – Precision 4 Business Park at 1,208m² Pier) continues with a new hotel open for (13,000ft²) and the Glenmore Business Park CREDIT: GUY HOLLOWAY ARCHITECTS HOLLOWAY GUY CREDIT:

CGI of Spirit of Sittingbourne proposal.

28 Kent Property Market Report 2017 providing 1,908m² (20,540ft²). Both add to the West Kent estimated 280 companies in over two million square feet already accommodated at the site. Maidstone The transformation of Maidstone Town Centre The last year has also seen the expansion of the continues. Several major steps form ambitious

retail and food offer at Neats Court on the Isle plans to regenerate the Maidstone East area ARCHITECTS CLAGUE CREDIT: of Sheppey, including units for Starbucks, Costa, following acquisition of the former Royal Mail site Burger King and Subway and a Marston’s public by Kent County Council and Maidstone Borough house. Construction is also now well advanced Council. Consultants have been appointed to for the new Aldi Regional Distribution Centre at produce and promote a mixed use scheme 61,547m² (662,488ft²) which, once opened, is incorporating residential, retail and commercial. expected to create 400 jobs. The site is located next to Maidstone East railway station and commuter car park owned Peel Ports Group have reached a significant by Network Rail and Cantium House, an office milestone in their Master Plan for the port building owned by the County Council. Together of . The 20.23ha (50 acre) former these sites form part of a strategic gateway into Thamesteel Ltd site, now known as Wellmarsh, the town totalling about 4.25ha (10.5 acres). has been cleared for a new logistic facility for the handling, distribution and storage of commodities Maidstone East Station will also be home to such as automotive, steel and forest products. the new Thameslink rail services which, from This will include a direct bridge link with the main December 2018, will provide half hourly services Veterans Accommodation, RBLI Centenary Village, port and an inward investment for the area of £50m from Maidstone East to London Bridge and direct Aylesford. with the expectation of 200 new jobs. Sheerness trains to Cambridge. This will be a significant Dockyard Preservation Trust was recently successful improvement to rail services and journey times Kent Medical Campus, near Junction 7 of the in a Round 1 application to The Heritage Lottery (around 52 minutes to London Bridge) and M20 and part of the North Kent Enterprise Zone, Fund for £500,000 of development funding will make Maidstone East more attractive to is establishing itself as a fully integrated centre of to restore the Dockyard Church. Successful commuters, residents and visitors, increasing excellence for health, science and education and completion of this first phase will unlock further footfall and station usage. Work to enhance the is already home to the Kent Institute of Medicine funding of £4.25m. Supported with match funding ticket office and station will start in 2018 thanks to & Surgery (KIMS hospital). In July the £1.5m Gidds from Swale Borough Council, the project includes grants of £2.5m from Network Rail and the South Pond Way was opened to link Newnham Court proposals for an enterprise centre which will bring East Local Enterprise Partnership. The adjacent and Way with the next phase of the campus including together, in one place, the support young people derelict former public house will be demolished the site of the £18m Cygnet Health Care facility, seek when developing and sustaining a business. and a new contemporary extension to the ticket where construction is already well under way. office built with improved disabled access. Gidds Pond Way will provide access to the eastern continues to generate interest from part of Kent Medical Campus, part of the overall both companies and developers who recognise This work complements public realm 92,903m² (1,000,000ft² ) development. One site the town’s quality of life as well as its strategic improvements planned from the station along on the new road is earmarked for a 75 bed care position. Planning permission has been granted Week Street and on to Gabriel’s Hill. This £4m home that recently received planning permission. for Dane Park, close to Junction 7 M2, with 196 scheme will see new paving, lighting, seating and The council is undertaking feasibility work to fund houses and a business park. Further permission landscaping, significantly raising the quality of the and develop an innovation centre to support has been granted for Perry Court (310 homes) and shopping environment. smaller innovative businesses in life sciences, Ham Road (330 homes). health care and medical service sectors from Capital and Regional plc, owners of The Mall the reinvestment of business rates from the In terms of future development, Bearing Fruits: Shopping Centre, in partnership with Maidstone Enterprise Zone. The Swale Borough Local Plan was adopted by Borough Council, have agreed a joint investment the council in July 2017, providing for 14,000 in the next phase of the Business Terrace, the A Class A1 retail food store on plot 9 at Eclipse new homes and 500,000m² (5,381,955ft²) of flexible office/desk/meeting space in King Street. Park, also adjacent to Junction 7 of the M20 commercial development across Swale to 2031. The success of the Business Terrace has seen was granted permission in May. It was recently The government has committed £100m to fund start-up businesses grow and employ more staff announced that this is intended to be a Marks improvements to Junction 5 M2 with a consultation but limited move-on space locally has impacted & Spencer superstore and one of just ten the on the preferred option during autumn 2017. upon expansion plans. However, five new offices company in planning across the UK. The 3,900m² Construction is expected to start in 2020. will be created by Capital and Regional Plc and are (41,979ft²) store has a 300 space carpark. already reserved with the company considering For more information: developing further office space within Maidstone For more information: www.swalemeansbusiness.co.uk House to meet demand. www.businessinmaidstone.co.uk

Kent Property Market Report 2017 29 Kent County Council, Medway Council & Kent’s District Council commentary

Economic Development Work has commenced on an 80 bedroom an ‘Issues and Options’ consultation in 2016, and Continued Premier Inn opposite Sevenoaks railway station, is now developing a draft development strategy to close to the recently opened Bradbourne multi- meet the needs of the borough for the period up deck car park. The council is continuing its own to 2031. This strategy will go out to consultation investment in commercial property assets in in late 2017 with a view to being submitted to the Sevenoaks town centre, having acquired offices in Planning Inspectorate in 2018. Pembroke Road and a retail unit in the High Street. During 2016/17, there has been progress on a Future developments will include Swanley, where number of key investments: Sevenoaks U+I Group have submitted a new application With strong foundations in place for future for mixed-use regeneration of the town centre. At Kings Hill, outline planning permission was economic growth, Sevenoaks has a thriving In addition, at Fort Halstead, the new owners granted in 2015 to develop a further phase of the business community. Offering a highly skilled are continuing to progress their proposals for site, creating 635 homes, a new primary school workforce, a culture of entrepreneurship together an employment led redevelopment of the site. and a park. Like the rest of Kings Hill, this new with excellent transport links and an enviable development will be of a high quality, having been rural setting it is one of the best places to live For more information: designed through the application of a ‘landscape and do business. www.sevenoaks.gov.uk/business first’ strategy and extensive local consultation. Economic Development and Property Team: Work started on site in spring 2017. The District Council is currently preparing a new [email protected] Local Plan and undertook an Issues and Options Peters Village is a 35ha (87 acre) site near consultation in August and September this year Tonbridge and Malling Wouldham with consent for a new settlement in advance of a formal consultation on the draft Having displayed strong resilience during the of 1,000 homes and a new bridge over the Local Plan early in 2018. The ‘Issues and Options’ economic downturn and steady growth in recent River Medway to access the development from reflect six strategic Local Plan objectives including; years, nearly 850 new homes were completed the A228. Once completed, the new village supporting a vibrant local economy, both urban in 2016/17. With economic regeneration as a key will comprise 11ha (27 acres) of public open and rural and also, supporting lively communities priority, the borough of Tonbridge and Malling space, a new primary school, local centre and with well performing town/village centres continues to see impressive levels of growth employment units. The site is now well advanced, which provide a range of services, facilities and taking place. with the road network and Peter’s Bridge now infrastructure. in place. The first two phases of residential Although development at a number of strategic development are heading towards completion. The council’s vision to support and develop the sites, such as Peter’s Village and Phase 3 of local economy has enabled an award winning Kings Hill, are progressing well and will provide a With the recent acquisition of East Malling and innovative property investment portfolio stream of new homes over the next 5-10 years, Research (EMR) by NIAB Group, NIAB EMR now which both supports the local economy and the Borough Council is pressing ahead with the has the expertise and stability with its commercial ensures financial sustainability for the council itself. allocation of new sites. The council carried out partners to capitalise on the opportunity of a high value globally leading industrial cluster. The proposed development of a bio-tech hub will increase and diversify the activity in food and drink, bio-tech and engineering. It will capture the commercial pull-through and high value jobs represented by these developments. This will consolidate EMR’s position as a global research and development centre for fruit production and consumption. With expertise across all crops, NIAB Group also provides companies with access to this expertise, customers and routes to market for a significant proportion of the global food supply chain.

Situated close to Junction 2a of the M26, Nepicar Park was completed by the Gallagher

CREDIT: TONBRIDGE & MALLING BOROUGH COUNCIL / DAVID HODGKINSON Group in summer 2016 and is now fully occupied. It is home to a number of new companies to the borough, many of them Tonbridge Riverside.riverside relocating from south London.

30 Kent Property Market Report 2017 CREDIT: GALLAGHER GROUP

Nepicar Park, Wrotham.

Kent Property Market Report 2017 31 Kent County Council, Medway Council & Kent’s District Council commentary

Economic Development Tunbridge Wells with the current Town Hall and Assembly Hall Continued The Borough Council has refreshed its Five Year Theatre site. If the final designs and proposals are Plan, setting out a vision to encourage investment signed off by the council, a planning application and sustainable growth. It highlights a number will be submitted. If the application proceeds and is of key projects that the Borough will work with approved, it is anticipated construction could begin partners to deliver. These include: in September 2019, with completion by 2022.

• creating a new Local Plan for the borough; The Council has been awarded funding to progress Phase 2 of the public realm improvements in Royal • creating new sports facilities; Proposals for the redevelopment of the former Tunbridge Wells town centre. This will improve Aylesford Newsprint site have now been submitted. • supporting the development of community the stretch of Mount Pleasant Road outside the The application outlines a mixed-use development centres; Town Hall providing a better environment for comprising 120,000m² (1,291,669ft²) of pedestrians, cyclists and buses. Exciting plans for • enhancing the public realm; commercial space and up to 450 homes. further private sector investment in the Borough • providing a new Cultural & Learning Hub in Royal are also continuing and include both residential Tonbridge continues to see considerable Tunbridge Wells; and commercial schemes: investment in 2016/17. The High Street renovation • exploring the delivery of a new theatre in Royal works and the Tonbridge Town Lock improvements Permission was granted in 2016 for a £70m Tunbridge Wells; scheme were both completed in 2016. Further extension to the shopping works have been undertaken to upgrade River Walk • exploring the delivery of new civic centre and centre. More than 13,006m² (140,000 ft²) of along the River Medway, to create a vibrant public office space in ; new retail, food and beverage space and a new space that supports a growing café culture. 2,787m² (30,000 ft²) cinema will be added to • providing additional off-street parking in Royal These works were completed in March 2017. the existing centre. A further application was Tunbridge Wells. submitted in May for a new entrance to the centre. Detailed design work is also being undertaken By 2024, the council wants Tunbridge Wells to on improvements to the area around Tonbridge Permission was also granted in January for the be recognised nationally for its vibrant cultural Station. This work is scheduled to be delivered demolition of the existing Union House in the provision. during 2018/19. Pantiles and development of the site by Dandara for residential accommodation and a community A review of the Local Plan is underway including a New commercial schemes include the newly activity space. Planning permission was granted in call for sites. An Issues & Options consultation was renovated Old Fire Station, which has been 2017 (subject to conditions and a legal agreement) held in May and a draft plan will be prepared by transformed into a pop-up venue on the ground for the change of use of Merevale House from mid-2018 for further consultation. The Borough floor and new office accommodation above, court and office to a 110 bedroom hotel. This will Transport Strategy is being reviewed in support of as well as the re-development of the B&Q site provide more affordable visitor accommodation the Local Plan. on Cannon Lane which has been subdivided to within the town centre. create four ‘edge of centre’ retail units. There are Work by the Borough Council and Kent County also a number of new independent businesses An application has been submitted by Altitude Council is progressing on the redevelopment of on the High Street offering a range of high quality Plc for street level shops, podium level cafes and the Adult Education Centre, Museum, Art Gallery, goods and services. restaurants, a ‘boutique’ style cinema, a medical Library and Tourist and Citizen information centres centre or offices and 108 apartments with dedicated into an exciting Cultural & Learning Hub. A Stage Further improving the local infrastructure, the parking and communal landscaped gardens. 2 submission to the Heritage Lottery Fund was work of the West Kent Partnership and the Kent made in August 2017 and a planning application and Medway Economic Partnership helped to An application has also been submitted by the will be submitted in the autumn. secure Local Growth Fund investment towards Nevill Estate to change the use of the Corn the dualling of the A21 between Tonbridge and Exchange in The Pantiles to serviced office space. The proposed civic development will provide Pembury and increased capacity for the Leigh The plans will offer nearly 800m² (8,611ft²) of office accommodation and civic space for the Flood Storage Area (LFSA). The A21 works are space for 17 suites of offices and a central break council and much needed commercial office complete and will significantly reduce congestion. out area for meetings. floor space (1,858m²/20,000ft²) that can be let The LFSA works are scheduled to commence to businesses in the town centre. The proposals in 2022 and will help to protect homes and The dualling of the A21 between Tonbridge and are currently at Royal Institute of British Architects businesses in Tonbridge as well as free up sites to Pembury (and the North Farm Key Employment Stage 3 (developed design). When Stage 3 is help meet local growth needs. Area) is now complete. completed, Full Council will again meet to make key decisions about design, cost, how the For more information: For more information: development will be funded and how to proceed [email protected] [email protected]

32 Kent Property Market Report 2017 East Kent Commercial Quarter is to create several thousand jobs, over 54,000m² (590,000ft²) of office space Ashford and 150 homes. Delivering economic growth on an unprecedented scale – the skyline of Ashford is changing. Nearby, on the corner of Elwick Road is the new Ashford College Campus. Opening its doors to International House, opposite Ashford its first intake of students in September 2017, it International Station was acquired by the council provides first-rate education facilities and courses in 2014 as part of its plans for the Commercial that equip students with the skills needed in Quarter – an important business hub for the south Ashford for the future. east. This location can maximise the opportunities of being just 38 minutes from London St. Pancras From the College along Elwick Road, construction CREDIT: ASHFORD COLLEGE, PART OF THE HADLOW GROUP HADLOW THE OF PART COLLEGE, ASHFORD CREDIT: and direct connections to Europe’s major cities work has begun to deliver the multi-million-pound via Eurostar. The International House acquisition plans to give Ashford’s night-time economy a illustrated the council’s commercial approach and fresh approach. The council is funding a new is already delivering an 11% return on investment. six-screen town centre cinema, to be operated by Cineworld’s Picturehouse boutique brand, on its The recently completed Ashford College. Walking through the new £1.3m public realm own 2.6ha (6.42acre) brownfield site. The flagship space around International House, you will see the Elwick Place scheme also includes an hotel and On Victoria Way, Curious Drinks Ltd, the beer progress of Phase 1 of the Commercial Quarter, eight restaurants and Travelodge is confirmed and cider subsidiary of ’s Chapel Down constructed by Quinn Estates and George Wilson as anchor tenant. The two-phase development Winery, will soon begin construction work on Holdings. The 7,432m² (80,000ft²) office block represents a £75m investment by UK developer its state-of-the-art brewery and visitor attraction. on Station Road will encourage investment Stanhope PLC. Phase two will see the construction This will enable it to grow its domestic and opportunities. The council’s aspiration for the of around 200 apartments on the site. international distribution and contribute to the borough’s strong tourism offer.

Europe’s leading owner, developer and manager of designer outlets, McArthurGlen, has secured permission to add up to 50 new stores including six restaurants and cafes to the Ashford Designer Outlet, an uplift of around 9290m² (100,000ft²). Offering more of the best premium and designer

CREDIT: GALLAGHER PROPERTIES LTD PROPERTIES GALLAGHER CREDIT: fashion and creating hundreds of jobs, it will complement the retail offer in Ashford’s thriving town-centre, where vacancy rates are at an historic low and below the national average.

The driver for this unprecedented level of economic investment, £668m across the borough of which £520m is in the town-centre – is the council’s hands-on approach. The bold AshfordFOR inward investment campaign has raised interest in the area and helped attract investors from across Kent and beyond. The commercial and retail development complements significant housing development across Ashford.

Planning permission for 660 homes and new amenities across two sites in Ashford has been approved, bringing over 200 jobs to the area and in the process creating a new community on Victoria Way. Crest Nicholson’s Finberry development, a new community on the south- eastern edge of Ashford, continues to be Aerial view of Carlton Business Park, Ashford. recognised as a quality development.

Kent Property Market Report 2017 33 Kent County Council, Medway Council & Kent’s District Council commentary

Economic Development there remains a waiting list for businesses wishing Canterbury Continued to rent units. The council held initial discussions Economic aspirations remain firmly on track with with the Gallagher Group about the possibility Canterbury City Council’s formal adoption of its of purchasing the Carlton Road site upon new Local Plan in July 2017. The plan will see 16,000 completion. Now with planning consent, the site homes, 100,000m2 (1,076,391ft²) of employment is to be constructed on the old Rimmel works, space and commercial property as well as new derelict for almost ten years. Each unit would roads and infrastructure over the next 15 years. range in size from 70m² (750ft²) up to 325m² The council plans to deliver these developments via (3,500ft²) and is likely to support the creation of a mixture of allocated strategic sites, windfall sites The complex s.106 Agreement has been signed up to 100 jobs. and urban regeneration and renewal programmes. for the 5,750 home development at Chilmington Green, which will come forward over the next Provision of a new motorway junction, Junction Large-scale development projects are progressing 20 years. Reserved matters applications for 10a of the M20 is progressing, with hearings in on various sites. Thanington Park to the west of around 1,000 homes are expected to be public complete and the examining authority the City has been granted outline permission. registered shortly. preparing a report to the Secretary of State for This comprises 750 homes, an office park, new Transport. If approved, the long-awaited junction primary school and sports facilities and will The acquisition of Carlton Road industrial estate will be a catalyst for economic and commercial support the delivery of a new off slip road for the has taken step forward. The Council have agreed to development in the town. Ashford’s international A2 at Wincheap to help relieve traffic congestion. look to acquire a new 28-unit light-industrial estate status is now secure with a signalling solution in Also, Mountfield Park to the south of the City will on Carlton Road, Cobbs Wood. The council’s asset place and full funding for Ashford International be the largest expansion of Canterbury to date. A acquisition strategy aims to secure a corporate station to receive the next generation Eurostar trains. hybrid outline application has permission which property portfolio that will contribute significantly includes plans for 4,000 homes, 70,000m2 to the council’s income and in 2016-17, generated It is clear that momentum is building in Ashford (753,473ft²) of employment space, two primary significant returns on investment. and Kent’s largest borough continues to create a schools, extensive areas of woodland and open positive image as it looks to the future. space and a community hub providing health Ellingham Industrial Estate’s success has led to the services, shops and facilities. Furthermore, a council now considering Carlton Road. Ellingham For more information: first phase of new homes has detailed planning is over-subscribed and has been expanded but www.ashfordfor.com permission and will be underway in 2018. CREDIT: GEORGE WILSON DEVELOPMENTS WILSON GEORGE CREDIT:

CGI of The Savoy, Whitstable.

34 Kent Property Market Report 2017 CREDIT: ALEC ESPOSITO, APEX DRONE PHOTOGRAPHY DRONE APEX ESPOSITO, ALEC CREDIT:

‘Illuminated’, St James Development, Dover.

The council, working with its development and St Augustine business parks in Whitstable Dover partner Linkcity, is seeking to regenerate the receiving renewed interest. However, supply of With multi-million pound investments in town Kingsmead area of Canterbury. The ‘Canterbury available employment space remains limited. The centre and waterfront regeneration, new Riverside’ scheme will deliver a new leisure current major commercial development is Altira commercial, retail and leisure space and the destination comprising multi-screen cinema, Park at . This site is available for B1 and biggest house building programme in a generation, cultural square, restaurants and other commercial B8 uses in a prominent position adjacent to the it’s time to take a new look at Dover District. opportunities. This will be complemented by A299 Thanet Way and with good connections to new family homes, apartments and purpose-built both local and national road networks. Legal & General’s £53m St James Development student accommodation. in the heart of Dover town-centre includes Currently Altira Park hosts ICOM, Jaytee 14,586m² (157,000ft²) of leisure and retail space The council has published proposals for a new Biosciences and new companies such as to open in early 2018. It will include a six screen 380 space multi-storey car park to replace the Sunstone IP Systems and Howdens, which have Cineworld, five restaurants, 108 bed Travelodge, often full 129 space Station Road West Car Park. taken advantage of newly built light industrial and along with a host of retailers including M&S and The plan also includes eight small shop units office floor space of up to 3,300m² (35,521ft²). Next. and offices along with a new walk way and tree Only three units remain available in this first planting. The council will submit a planning phase. A second phase for Altira Park is planned There are also exciting plans for Dover waterfront application in the autumn with an eight-month to incorporate design and build opportunities for and opportunities to invest in residential, hotel, construction period commencing in 2018. new industrial/warehouse space from 930m² to leisure, and retail against the stunning backdrop 13,930m2 (10,010ft² to 149,941ft²). of the Port of Dover, the White Cliffs and Dover The University of Kent has recently completed Castle. its £35m Sibson Building to accommodate Prospect Retail Park, Whitstable is a joint venture two of its most successful departments – Kent between Kimberley Developments Plc of Dover is just 21 miles from Calais and key to the Business School and the School of Mathematics, London and George Wilson Developments Ltd. UK’s future trading relationship with Europe. Statistics and Actuarial Science. The 7,900m² The retail stores Marks And Spencer’s, Aldi The Port of Dover handles 17% of the UK’s trade (85,035ft²) building includes three lecture theatres, and Home Bargains are now operational. An in goods. Dover Western Docks Revival is now a dedicated MBA/postgraduate and IT suite, application for a Pets at Home and Halfords underway with construction of a £120m cargo academic and research workspaces and a café/ has been made and if approved would be terminal and logistics facility due to open in 2018. restaurant. The University has also produced a constructed by the end of the second quarter of Dover is also the UK’s second busiest cruise port Concept Masterplan with ideas to develop its 2018. In 2017 Wilson Group undertook two new and hosts many of the world’s top cruise lines. Canterbury campus over the next 30-50 years. As residential projects with one completed and the a major employer contributing £780m a year to other under construction. One, a new house in Combine this with excellent links to central London the local economy, its continued aspirations for its Alexandra Road, Whitstable and the other a three – just an hour from Dover by high-speed train – and campus will result in increased capital investment storey block of five, two bedroom luxury flats, nowhere is better connected for doing business. over the next decades. with a retail unit on the ground floor is due for completion December 2017. Doing business in Dover District makes financial Along the Herne Bay/Whitstable coastal corridor, sense too, with low business costs as well as demand for industrial space has remained strong For more information: incentives for new and growing businesses with the John and Joseph Wilson, Estuary View www.canterbury.gov.uk/business/ and Enterprise Zone status at Discovery Park,

Kent Property Market Report 2017 35 Kent County Council, Medway Council & Kent’s District Council commentary

Economic Development plant will produce enough power for the entire 6,000m² (64,583ft²) of commercial research and Continued Discovery Park site as well as 50,000 homes. development and a business incubation hub with serviced accommodation for micro-businesses Complementing Discovery Park will be the and start-ups. As part of this ongoing success, £40m Betteshanger Sustainable Parks project, a Dover District Council gave the go ahead to a UK first for investment in green and sustainable business incubation hub in July 2017. technologies. It provides a unique commercial, educational and visitor environment in which Dover District saw a 15-year high in net additions to demonstrate new technologies to address to the housing stock in 2015-16 with 726 new Sandwich. The park is one of Europe’s leading the global challenges of renewable energy, homes. This included 648 new build homes as science and technology business parks with sustainable land management, food security and Dover District Council’s strategy to improve the 139,354m² (1.5m ft²) of world-class research and ecology. The Hadlow Group, which includes range of quality housing starts to deliver with work development facilities, premium office space Hadlow College and Produced in Kent, will underway on many of the sites identified and bespoke warehousing. Home to over 150 draw on the heritage of the 121ha (300 acre) in strategic housing allocations. The Local Plan companies it employs 2,400 people. site of the former Betteshanger Colliery with is now being reviewed to continue to plan for phase one including an £8m visitor centre, future growth. Alongside existing pilot plant manufacturing for incorporating the Kent Mining Museum, Green scale-up and batch activity, Discovery Park is Energy Centre, conferencing and events facilities. Housing developments are planned for Deal and developing 6,503m² (70,000ft²) of new high- The visitor centre is scheduled to open in 2018. Walmer, at Discovery Park in Sandwich as well as tech manufacturing space for tenants, including Companies in food security, environmental the Waterfront and former Connaught Barracks Instro-Precision, OFP Timber Frame Homes and technology, life sciences (including agri-tech) sites in Dover. Work is underway on the first phase Flute Office. Construction is also underway on and green technology will be targeted for a of the Whitfield Urban Expansion, including a new a £160m combined heat and power biomass new, low carbon business park. Built to BREEAM access road on the A256. Work also progresses plant, the first of its kind at a UK science park. The excellent and zero carbon standard it will include on the Aylesham Garden Village project, with the CREDIT: GT3 ARCHITECTS / SHEPWAY DISTRICT COUNCIL

Master plan of proposed new leisure centre and housing, Princes Parade, Hythe.

36 Kent Property Market Report 2017 first 200 homes complete and permission granted for phase 1B, consisting of 572 homes. A new £26m leisure centre has been proposed for Whitfield and a Lidl store is under construction, opening in 2017.

Working with partners Kent County Council, the R&A (ruling body for golf), Royal St George’s and others, the council is also preparing to welcome the Open Golf Championship back to Sandwich in 2020. CREDIT: GT3 ARCHITECTS / SHEPWAY DISTRICT COUNCIL Dover district offers a great lifestyle choice, combining countryside, rural hamlets and villages with the world-famous coastline dominated by the White Cliffs of Dover. The towns of Dover, Deal, and Sandwich, and the surrounding areas have an exceptional range of places to go and things to see, a wealth of history and a fantastic future ahead.

For more information: Master plan of proposed new leisure centre and housing, Princes Parade, Hythe. www.investindover.co.uk Work is also forging ahead at Shepway District Council purchased the Biggins Shepway and Seafront with the reinforcement of flood Wood site, adjacent to Folkestone’s Shearway The district has seen some exciting initiatives forge defences and beach nourishment now complete, Business Park on the M20 in December 2016. ahead over the last year and there is a real sense together with major public realm enhancements. This exciting scheme will bring forward 77 new that this is a place where things are happening. This has been supported through a £5m Local homes and over 5,000m² (53,820ft²) of high The excellent connectivity to London now only Growth Fund contribution towards the exceptional quality employment space over the next few 52 minutes via High Speed One, combined with costs of essential infrastructure on the site. Main years. The councils’ recent Employment Land proximity to continental Europe and international development on site will commence in 2018. Review and agents report a high level of un-met markets through the Channel Tunnel at demand for modern business space from local Folkestone, are starting to pay dividends within the The Harbour Arm, at the eastern end of the and relocating businesses wishing to expand in local economy. seafront site, has continued to flourish and Shepway. This ambitious scheme will support its success will be further stimulated by the economic growth in the district, as well as The Government announced last November that restoration of the former Customs House, potentially provide the council with long term Shepway District Council has been successful in railway station platforms and the harbour viaduct. rental income. receiving Government support to develop the new This will create a high quality pedestrian route garden settlement Otterpool Park. This presents a which will provide a direct link between the Development of residential sites also continues unique opportunity to boost the local economy, harbour development and the town centre. apace. New homes are available on Taylor create new job opportunities and provide up to It was completed in time for the 2017 Folkestone Wimpey’s Shorncliffe Garrison site and also 12,000 new homes for future generations. The Triennial, the flagship project of the Creative at Pentland Homes Hawkinge West site with focus will be on high quality and innovative design, Foundation, the independent arts charity Terlingham Gardens and Terlingham Rise now set within high quality public realm and accessible dedicated to the regeneration of Folkestone being marketed. These schemes will provide a green space for all to enjoy. Central London will through support for the creative sector. range of high quality 2 bedroom apartments and be accessible directly via High Speed One from 2, 3 and 4 bedroom houses at competitive prices. an enhanced Westenhanger railway station, and In a further sign of commitment to the close proximity of the Channel Tunnel will make regeneration of Folkestone, the Roger De Haan This offer is all adding to Shepway’s attributes Otterpool Park a highly desirable business location. Charitable Trust is funding the construction as a highly desirable business location that offers Significant progress has been made since the of a £12m multi-storey urban sports centre in a high quality of life in an attractive coastal and announcement. A framework masterplan is due Folkestone’s old town area, due to open in 2018. rural setting. for completion in autumn 2017 and a planning Thought to be the first of its kind in the world, application submitted in 2018. These are being this will offer the opportunity for local residents For more information: progressed in tandem with planning policy with and visitors to engage in a unique range of sports, www.folkestone.works the hope that approval is secured in 2019 and including skateboarding, boxing, climbing and construction can commence on site in 2020. bouldering.

Kent Property Market Report 2017 37 Kent County Council, Medway Council & Kent’s District Council commentary

Economic Development to Europe and London. Since the opening of The Dickensian town of Broadstairs, steeped in Continued shopping centre Margate high stories, continues to draw crowds with its famous street has undergone gradual transformation, ‘retro’ ice cream parlours and attractive cottages particularly the buzzing and culturally diverse adding to its unique and timeless seaside charm. Northdown Road. The town’s packed annual calendar of events, including Broadstairs Folk Week and Food Festival, Opportunities for commercial development keep the town on any visitor’s itinerary. continue to be offered at Manston Business Park. Building of light industrial units is currently Thanet’s strong appeal as a film location continues, Thanet underway for freehold sale. There is keen demand with local settings for fashion shoots and pop Thanet’s popularity continues to grow at a for this workspace on this site, with 101 new units videos to full-length feature films. Sir Michael Caine tremendous rate with house price rises of 36% totalling 9,572m² (103,032ft²) developed and was in Margate filming for the new movie, Night (HM Land Registry) over the last five years. sold since August 2014. East Kent Opportunities at Hatton Garden, while Sky Atlantic shot thez last Anecdotal evidence suggests some of this is is a partnership between Kent County Council series of the Tunnel. Shawn Mendes and Emeli driven by a London market of house buyers, and Council. It has developed Sande both used Botany Bay, one of Thanet’s most with people relocating and working closer to considerable commercial space and land available distinctive beaches, as the backdrop for their music home. Others are entrepreneurs setting up local is ideal for existing businesses that wish to expand videos, whilst filming has just concluded for new businesses in Margate, and Broadstairs. their current operations. Nick Hornby adaptation, Juliet Naked, featuring Margate Old Town and Ramsgate Harbour and Ethan Hawke, Chris O’Dowd and Rose Byrne. marina, in particular, have been transformed over A thriving creative scene is benefiting the tourism this period. Thanet’s long known appeal is being and leisure sector which is another integral With a requirement for a substantial percentage rediscovered – it goes far beyond the bygone part of Thanet’s growing economy. Trips to of the BBC and Channel 4 programming perception of the traditional British seaside popular and award-winning seaside resorts of budgets to be spent outside London, Thanet’s holiday resort. It is now much broader, attracting Margate, Broadstairs and Ramsgate rose 16% visual appeal, proximity, affordability and creative individuals and businesses looking to achieve the in 2015 despite visitors to England registering a flair make it an excellent choice for the creative all-important work/life balance whilst remaining a 5% drop. Along with the 19 miles of spectacular agencies’ principal broadcasters contract with for great place to holiday. Those relocating to Thanet coastline that attracted 3.9m trips to the area in programme making. There is an opportunity to realise that they can benefit from a superior 2015 there is also Thanet’s Cultural Revolution. attract a small cluster of such creative production coastal location within easy reach and travel time Margate’s cultural resurgence has helped companies to Thanet and this is a realistic to London, supported by excellent High Speed regenerate the Old Town, comprising an array ambition for the area. One train service. of independent shops, galleries and varied eateries and the renowned Turner Contemporary For logistics companies and multi-nationals the Regeneration continues apace – Margate’s gallery, welcoming its two millionth visitor – far Port of Ramsgate is the second closest UK port to Dreamland has received significant private sector outstripping predictions. This has all generated mainland Europe. A dedicated £30m tunnel and investment, and officially re-opened in May 2017 national and international attention for the approach road bypasses the town and provides to make the venue a major attraction. Following popular seaside resort with the Turner Prize unimpeded access for customers and freight. Thanet District Council’s decision in 2003 to 2019 also to be awarded in Margate. The demand for road goods vehicles crossing secure the vacant Dreamland site, a new era is the English Channel is expected to increase from upon one of Britain’s oldest surviving amusement Thanet is attracting new investment in the form 3.17m in 2015 to 4.6m by 2035. The excellent road parks. As well as being a theme park attraction, of boutique hotels, guest houses, restaurants, links and short sea crossing times mean Ramsgate Dreamland is also a major music venue and cafés and outdoor leisure attractions alongside is ideally located to meet this rising demand for hosted the Gorillaz ‘Demon Dayz’ Festival in new and relocating businesses. Ro-Ro freight traffic and provides much needed June. More class acts to cater for all tastes are resilience for the cross channel freight network. to follow. The Royal Harbour in Ramsgate is a popular tourist destination for visitors from across the In order to drive growth Thanet District Council UK and abroad. The only Royal Harbour in Britain recognises the importance of regeneration and is a busy boating destination containing 700 the benefits to all those who live, work and learn leisure berths, with four gold anchors awarded in the district. Inward investment enquiries are by the Royal Yachting Association. It caters for growing significantly with the council’s business visiting boats, those based there year-round support complementing that of Locate in Kent. and is home to the largest fishing fleet in Kent. London based enquiries are particularly notable Recently recognised as one of only ten national both to relocate or for expansion. Some potential Heritage Action Zone’s (HAZ) by Historic investors are returning to Thanet after growing England promoting Ramsgate’s rich historic up here and see the benefits from our proximity environment.

38 Kent Property Market Report 2017 Housing • Marginal Viability Funding – for single and lower In line with this commitment and as signalled tier local authorities: To typically provide the in the SOAHP 2016 to 2021 Prospectus, the Market context final piece of infrastructure funding to unlock HCA has re-opened bidding for funding to Kent continues to send out a strong message to housing on one or more sites. This would allow develop additional affordable housing through developers that the county is open for business as the infrastructure to be started soon after the a continuous market engagement process. an attractive place to deliver new homes. There is award of funding and for the homes to follow The available funding includes both the £1.3b evidence of firm activity in local housing markets at an accelerated pace. (Up to £10m per bid but which was not allocated at the initial bid round right across the county with both east and west exceptional schemes could be more.) and a share, to be determined, of the £1.4b Kent attracting attention – Dartford and Thanet announced at the 2016 Autumn Statement, for • Forward Funding – for the uppermost tier local in particular. new affordable homes outside London. authorities: For a small number of strategic and high-impact infrastructure projects, Government There were 4,208 property transactions in Kent Kent and Medway Housing Strategy will typically (but not exclusively) be asked to (KCC area) during 2017 Quarter 1, similar to the The most recent edition of the Kent and Medway put in the first tranche of funding, which then same quarter last year. There were 761 property Housing, a document that set out the challenges gives the market confidence to provide further transactions in the Medway Unitary area. Based facing the housing sector at a county level, has investment and make more land available for on a four-quarter moving average there have now expired. In 2015, the Kent Housing Group development and future homes. (Up to £250m been 18,991 sales in the four quarters ending 2017 (KHG) commissioned a review of the evidence per bid.) Quarter 1 although transactions appear to be base that supported the strategy, ensuring that a slowing following the recent changes to Stamp new version of the strategy would identify new The HIF programme is aimed at funding Duty and Buy to Let regulations. key challenges and recommendations and remain physical infrastructure such as roads, bridges, appropriate and achievable. Since the review water/waste, electricity, schools, healthcare However, Kent remains good value for home there has been a significant period of reform facilities, site remediation, land assembly, green buyers, with the average house price in Kent 6% and uncertainty and it was not felt appropriate to infrastructure, heritage protection, cycling and up on last year but 14.8% lower than the average progress with the review and production of a new walking infrastructure, digital communications for the South East. The average house price at a strategy document. infrastructure and district heat networks. Railway County level masks a significant range in prices stations, ports and nuclear power stations are not across Kent, with an average of £469,202 in However, following the General Election in eligible. Sevenoaks to £236,993 in Thanet. The average June 2017 and a renewed ambition to have this price in the Medway Unitary area was £249,422. document developed and agreed outcomes to In addition to HIF, the HCA is still committed to be achieved, KHG are commencing work on the existing programmes: Homes and Communities Agency (HCA) review from July. The new strategy will be themed The HCA 2016-2017 Affordable Housing and will have an implementation and monitoring In April 2016, the Homes and Communities Programme for Kent and Medway delivered 589 plan to ensure objectives are met and key leads to Agency (HCA) opened bidding to the Shared Affordable Rent starts and 534 completions and drive forward the recommendations in an agreed Ownership and Affordable Homes Programme 513 Affordable Home Ownership starts and 402 time frame. 2016 to 2021 (SOAHP 2016 to 2021) through completions. publication of a prospectus. Initial allocations of The new Kent and Medway Housing capital grant for new affordable housing schemes Nick Walkley, the new Chief Executive, HCA, Strategy is likely to provide the priorities and were announced on 5 January 2017. As planned was appointed in March 2017. The HCA was recommendations about housing delivery and these did not allocate all of the available budget, re-launched as Homes England in September wider economic and social impacts over a with £1.3b remaining available. 2017 following a major re-structure which took minimum two-year period to 2019/20, following place in 2016. The ambition is to be a much its completion and launch. As with previous Following the Chancellor’s Autumn Statement in more active organisation that creates a better editions of the strategy it will be led by the KHG 2016, the government reaffirmed its continued housing market by intervening locally to get but will be developed in partnership and will seek commitment to extending home ownership, homes built now and investing in increasing endorsement from all key stakeholders in Kent including through the SOAHP 2016 to 2021, longer-term supply. and Medway. announcing: On 7 July 2017, Sajid Javid, the Secretary of Kent Viability Protocol • an additional £1.4b to deliver a further 40,000 State for Communities and Local Government, This countywide Viability Protocol can be used affordable homes (some of this budget will be announced the £2.3b Housing Infrastructure to unlock barriers and speed up delivery. The allocated by the Greater London Authority (GLA) Fund (HIF) targeted at unlocking new private protocol is considered a nationally important for homes in London, rather than through the house building in the areas where housing initiative, as it is the product of collaborative SOAHP 2016 to 2021) need is greatest. The fund is a competitive grant working between public/private sectors to lower programme for local authorities. There are two • the availability of grant for Affordable Rent the perceived barriers to delivery. The protocol funding strands: schemes. exemplifies the growth in joint working on shared

Kent Property Market Report 2017 39 Kent County Council, Medway Council & Kent’s District Council commentary

Economic Development Continued

priorities by Kent Housing Group, Kent Planning Officers Group, Kent Developers Group and the Homes and Communities Agency. The protocol is not statutory but voluntary and aims to avoid a costly and adversarial approach and is an effective tool to speed up resolution of viability disputes. ECCLESTON PAUL / CORPORATION DEVELOPMENT EBBSFLEET CREDIT: It has already been used to bring forward schemes that would otherwise not have been delivered, providing much needed affordable housing.

Kent Planning Protocol Kent’s Planning Officers Group and Kent Housing Group along with Kent Developers Group have been working on a Countywide Planning Protocol to share best practice and assist with the delivery of the County’s/District’s housing, employment and growth aspirations.

Alongside the Viability Protocol this is a nationally Springhead Park, Countryside Properties, Ebbsfleet Garden City. important initiative with collaborative working between public/private sectors to ensure visibility ownership. It aims to be an effective tool to assist community value is to encourage investment in and openness in the working relationship. with the communication and understanding owner occupied homes and improving living and The protocol is intended to champion further of constraints to the delivery of sustainable housing for the whole community. joint working on shared priorities by the local development. authorities and the Kent Developers Group. The scheme is a collaboration between Thanet The protocol has now been agreed by all districts District Council and Kent County Council working The Planning Protocol was welcomed by then and at county level and is being rolled out jointly with local consultants and contractors. Five Housing and Planning Minister, Gavin Barwell, by Kent’s Planning Officers Group and Kent homes in multiple occupation were acquired by who said: “Planning reform is essential to Housing Group along with Kent Developers the County Council removing some 150 bed- delivering the new homes this country needs Group. Kent has worked with and sits. Three were presented in significant disrepair, in places people want to live.It is fantastic to see Essex to enable them to produce their own requiring extensive remediation before conversion local planning bodies working together in such initiatives. into family homes. an innovative way to improve and strengthen the planning process.” The protocol has already been used to enable One property was demolished to provide five discussions between the districts and developers new family homes and this was recognised as the The planning protocol seeks to make the process to address the growth agenda, whilst maintaining Best Small Residential Development in the 2016 more efficient enabling greater collaboration quality and community and delivering through Kent Design and Development Awards. The last in the pre-application and planning application open dialogue. Private and public sectors are also property is undergoing refurbishment to create a stages through better communication and working together to address the skills needed to home suitable for multi-generational living and a consistency. maintain an effective planning system. model for energy efficiency.

The protocol will also assist in the development Live Margate Kent County Council and sharing of best practice. It is intended Live Margate is a long-term programme creating The County Council continues to remain active in to provide clarity on the delivery of housing, quality family homes. The aim is to make the local property market, realising some £17.8m employment and growth aspirations whilst Clintonville West and Margate Central the place of assets from the estate in 2016/17 principally ensuring proper consultation, quality design and where more people aspire to live. The wider for new housing and employment generation.

40 Kent Property Market Report 2017 The receipts are then re-invested in our capital cost management specialists and can provide by offering secured short-term interest free loans development programme. access to Kent’s framework of contractors and with repayments recycled for new loans. partners. We have completed £110m in building projects Building on its reputation and can do approach, in the last year and secured £4.1m funding for Kent Excellent Homes For All the award winning NUE is firmly established new pre-school places and £3.2m to expand Kent Excellent Homes For All is a housing led as the UK’s longest running empty property one of Kent’s most iconic destinations, the Turner £100m Private Finance Initiative that has provided initiative. NUE is committed to tackling empty Contemporary Gallery in Margate. 238 homes across seven locations throughout properties, with dedicated resources, planning Kent. It is a partnership between Kent County and monitoring outcomes, adjusting models to We are working with organisations and Council, five local authorities, Dalmore Capital, reflect current market conditions and above all, stakeholders to deliver a further 37 school Galliford Try and West Kent Housing Association. continuity. schemes that include four brand new primary schools, 27 primary school expansions and six Most of the homes (218) are within five extra- The number of long-term vacant dwellings in Kent secondary school expansions to support pupil care schemes providing independent living, increased by 503 properties last year. This is the place provision. Our work means that the County with care on site for people over the age of 55. second consecutive increase following six years Council has met its aim for the last four years that As well as spacious apartments, residents also of reductions. Long-term means those dwellings no child will miss a day of education due to lack benefit from communal facilities including a that have been unoccupied and substantially of spaces, whilst making sure they have a great restaurant, bar, gym/dance studio, hairdresser, unfurnished for over six months. setting in which to learn when they get to school laundry, activities and computer suite and a small and, in the case of special needs, a place closer to shop providing essentials. Schemes were built in Latest Council Tax records show there are a total home. Our capital programmes support the local Ashford, Dartford, Thanet, Dover and Tunbridge of 16,009 vacant dwellings in Kent (KCC area) and economy by delivering best value through use Wells. These schemes are a positive contribution a further 2,763 vacant dwellings in the Medway of our procurement frameworks and using local towards meeting the growing demand of Kent’s Unitary area. Within this total were 5,816 long- supply chains where possible. ageing population identified in Kent County term vacant dwellings in Kent and Medway (4,999 Council’s Accommodation Strategy for Adult in Kent and 817 in the Medway Council area). Long Kent County Council Estates are also providing Social Care. term vacant properties represent 0.76% of the resources to lead on the estates element of the Kent housing stock which is below the national NHS’ Sustainability and Transformation plan for The aim is to promote and support average of 0.84%. Kent and Medway. This includes work on asset independence, whilst residents know help is utilisation under the One Public Estate principles. at hand as they age and their needs change. Since its inception, NUE has awarded £18.2m The aim is that closer working between public The communal facilities are open to the wider in loans and levering in £23.7m from the public/ sector partners will lead to opportunities for community to use and aim to reduce social private sectors, which have supported 798 units employment and housing on land released isolation, by creating vibrant hubs in local across Kent. Average renovation cost to return a through effective co-location. Receipts are communities. unit to occupation is £52,000 with the average recycled to invest in modernisation of the County Council investment being £22,700. remaining estate. In addition, two supported schemes were also Over £10.4m (65%) of funding advanced has provided offering accommodation with small already been repaid and recycled. Gen² communal facilities for people with long term This is a County Council owned property mental health needs in Thanet (with care and consultancy focused on public sector clients support provided) and for homeless people in in London and the south east. Our detailed Ashford. Support to assist people into training and NUE CREDIT: knowledge of local authority sector property and employment is a feature of both these schemes. our scale means we can offer publicly funded organisations peace of mind for their property No Use Empty (NUE) needs. Gen² already manages 1,800 properties The pioneering NUE initiative reached a milestone for Kent County Council with a combined value by bringing the cumulative total, since its launch, of £1.87b and are delivering their £250m capital to over 5,000 long-term empty homes brought programme and are also working with Swale and back into use following a strong start to the year Dartford Borough Councils. with 581 in the first quarter of 2017.

Gen² project manage capital programmes, Delivered by Kent County Council in partnership run property operations including facilities with all 12 District Councils. NUE provides an management and advise on estates and exemplar model to tackle the issue of long-term investment portfolios. They have a team of empty homes through a range of interventions, experienced surveyors, project managers and including providing financial assistance to owners Solini Court, Dover Road, Folkestone.

Kent Property Market Report 2017 41 Kent County Council, Medway Council & Kent’s District Council commentary

Economic Development of the original programme. It is the first of its kind Business Rates being generated in the region of Continued in the UK with Kent’s Thanet District Council £160,000. becoming the first to provide loans for home owners to renovate and occupy formerly long- No Use Empty has been widely praised and has term empty properties. won two national awards for Partnership Working. The Welsh Government has also based their In addition to our core activity of returning scheme on the Kent initiative. traditional empty residential properties back into use, NUE has tackled larger redundant empty NUE provided a loan of £400,000 (including NUE has also unlocked further investment from commercial buildings and sites (offices, pubs, £150,000 from Shepway NUE Plus) to finance the increased support from district councils. churches and warehouses), creating more than the refurbishment of Solini Court. The building Shepway were the first to allocate an additional 534 new units of accommodation, with 58 units dates from around 1900 and previous uses £675,000 for NUE to provide ‘top-up’ loans being affordable housing. include warehousing and, more recently, as a of £15,000 per unit in order to unlock larger funeral directors but it had remained empty for developments. A total of £40,000 per unit is NUE is helping to increase Council Tax receipts the last two years. Now fully restored the property available under the Shepway NUE Plus Loan for local authorities throughout Kent as well as provides 11 units of affordable accommodation including the £25,000 provided by KCC. attracting New Homes Bonus (NHB). The initiative comprising of six one-bedroom units, two two- has also created or safeguarded over 730 jobs, bedroom units and three three-bedroom units. Economic decline, recession and some of the and provided homes to more than 1,750 local lowest property values in the south east have led people.A total of 29 mixed residential/commercial For more information: to a historical lack of investment in some areas of projects have also been made possible thanks www.nue.org.uk Shepway. Over the last decade, the area’s ongoing to NUE intervention and this has resulted in new cultural regeneration and ability to attract high profile investors and funding, has led to increased interest from small and medium sized property developers wanting to refurbish empty buildings and turn them into homes. However, in many cases, severe dilapidation and an inability to access funding on the open market for renovation costs, left buildings empty. NUE and Shepway NUE Plus Loan are designed to help developers to bridge the gap between pre/post refurbishment values by providing a loan which takes account of works costs, which banks and other lenders will not do.

Without this joined-up approach these properties would have remained empty. Shepway NUE Plus won the award of Innovation of the Year 2017 at the national Empty Homes Conference held CREDIT: NO USE EMPTY/ KENT COUNTY COUNCIL/CANTERBURY CITY COUNCIL in Birmingham organised by the Empty Homes Network.

Following the success of the ‘top-up’ loans, Dover and Tunbridge Wells have also pledged a combined total of £400,000 from 2017-18, with Shepway allocating a further £400,000. This will be used to support the £3.8m investment that has been allocated for the return of long-term empty housing stock to use.

In 2017 owner-occupier loans were introduced as an alternative to the traditional loan model. The owner-occupier loans scheme, the latest evolution of NUE, is a ground-breaking extension Bun Penny public house re-development, Herne Bay.

42 Kent Property Market Report 2017 Transport Infrastructure • Leigh Flood Storage Area and East Peckham (subject to the completion of the Ashford Spurs project). It seeks to improve the international rail • A2 Off-slip at Wincheap, Canterbury Local Growth Fund – update on new services between Kent and Nord-Pas-de-Calais. infrastructure for Kent The £4.8m for Ashford International Rail In 2014, the government announced planned • Thanet Parkway Station – Kent County Council Connectivity (Ashford Spurs) project is additional investment of at least £12b nationally to promote is seeking to deliver Thanet Parkway and its to the £5m received under LGF Round Two. growth in local economies through a series of associated car park by 2020 to significantly ‘Growth Deals’ to operate over six years from improve rail access from London to local Through the agreement with Essex County 2015/16. Known as Local Growth Funding (LGF), communities and developments at Discovery Council (as the Accountable Body for SELEP), Kent it would finance infrastructure and skills schemes, Park, Stone Hill Park and Manston business parks County Council is responsible for the programme that in turn, would unlock housing growth and and from within Kent. management of all Local Growth Fund projects encourage job creation. in Kent. There are, however, specific projects for • Kent Route Study – Kent County Council has which third party organisations are responsible for responded to the consultation on the five yearly In Round One in 2014 and Round Two in 2015, delivery. Kent Route Study undertaken by Network the government allocated £482m from the Local Rail. It sets out a range of options for funders Growth Fund to capital projects across the South In total, through the three rounds, £124m Local for infrastructure enhancements required on East Local Enterprise Partnership (SELEP) area. Growth Fund has been allocated towards the Kent’s rail network between 2019 and 2024. delivery of 26 highways and transportation This study also recognised the significant In March 2016, the Secretary of State for projects in Kent. An additional £24m has been increase in demand at Ebbsfleet, given the plans Communities and Local Government announced allocated through the Local Growth Fund to for Ebbsfleet Garden City and London Resort the release of a third round of Local Growth deliver 6 non-transport schemes in Kent, which Company Holdings proposed development. Funding (LGF3), worth £1.8b across England. together have the potential to unlock up to The Government stipulated that the LGF3 • South Eastern New Franchise – Kent County £420m of match funding. funding would be allocated to Local Enterprise Council has responded to the Department for Partnerships (LEPs) through a competitive bidding Transport’s consultation on the new franchise for Rail network improvements in Kent process. Kent and Medway, which will now commence Projects in progress in the county to support in December 2018. KCC has included a wide economic growth through improvements to the A prioritised list of schemes with accompanying ranging list of proposed service enhancements rail service are: outline business cases was prepared and agreed that the County Council expects to be included through the Kent and Medway Economic in the franchise specification. This submission • Phase 1 of the Journey Time Improvement Partnership in 2016 and then approved at the also included responses from the Kent & (JTI) scheme – this scheme to improve the South East LEP Strategic Board so that a final Medway Economic Partnership (KMEP) to reflect journey time between Ashford and Canterbury submission could be sent to Government in the interests of all the county’s key stakeholders. West, is now completed. Following testing later July 2016. in 2017, the journey time benefits from this • Thameslink – two new services will commence phase are expected to be delivered in the May in 2018 serving Kent and Medway. One will The Growth Deal Round Three was announced 2018 timetable. Design work is now underway replace the existing Southeastern service as part of the Chancellors Autumn statement last for phase 2 between Canterbury West and between Rainham/Gillingham and London. year and on 2nd February 2017 it was announced Ramsgate, with benefits due by May 2020. The other will be an additional route linking that SELEP would receive a further £102m of This scheme will support economic growth Maidstone East, (for Kings Hill), government funding to help create jobs, support in Thanet, and is linked to the development of Borough Green & Wrotham, Otford and Swanley businesses and create new growth opportunities. the new station, Thanet Parkway, also due for with London Bridge and other City stations, then For Kent, this included £27m to deliver the completion in 2020. north to Cambridge. following schemes: • Ebbsfleet Garden City – discussions are • The Ashford Spurs Project – this is now moving • Dartford Town Centre Transformation beginning between Network Rail, Kent County towards completion, with the delivery of the Council and stakeholders on an enhanced rail • Ashford International Rail Connectivity (Ashford upgraded signalling system on the ‘Spurs’ which service to be included in the DfT’s specification Spurs) link Ashford International Station with High Speed for the new franchise. This would serve the One due in Spring 2018. The Local Growth Fund • Fort Halstead, near Sevenoaks planned Ebbsfleet Garden City. Infrastructure is in has been the primary source of funding through place with Ebbsfleet International station on High • A2500 Lower Road Improvement, Isle of the south-east LEP, with the final business case Speed One, but this will require an enhanced Sheppey accepted by their board in May 2017. This project service to meet demand if the Garden City plans will ensure the continuation of international rail • Kent&Medway Engineering and Design Growth are to be realised. services at Ashford. The business case for the and Enterprise Hub, Canterbury Christ Church Transmanche Metro project is now complete University

Kent Property Market Report 2017 43 Kent County Council, Medway Council & Kent’s District Council commentary

Economic Development Gravesham aims to support the planned level made following the public exhibition and Continued of development. It is managed by Kent County feedback about Fastrack Improvements. Council through a partnership with Dartford These included additional provision of new and Gravesham Borough Councils, Department signals at Steele Avenue which provides a bus for Transport, Homes & Communities Agency gate and priority signals for buses. Tenders (HCA), Highways England and the Ebbsfleet were issued in June with a contractor due to be Development Corporation. appointed at the end of October 2017. Subject to this, preparatory works are planned into 2018 Jackson Civil Engineering were awarded the and main construction works planned to start • Crossrail Extension – with Crossrail One due to contract for the Rathmore Road scheme in in March 2018. The scheme is expected to open to Abbey Wood in December 2018, local Gravesend and construction began in 2016. Phase take 12-14 months to complete. authorities are jointly considering, with Transport 1 is now complete and included the realignment for London and the Greater London Authority, of Rathmore Road through the old car park, the Again in Dartford, feasibility work has been the options for a possible future extension strengthening of the Network Rail Tunnel beneath completed on potential improvements for the of Crossrail to Ebbsfleet and Northfleet. This Railway Place and the demolition of the Lodge town centre and both the County and Borough concept is at a very early stage of development, and 13 Darnley Road. Phase 2 works are also now Councils are working on a detailed business but if there were eventual agreement for a complete and included the granite paving to the case for funding from SELEP. This is intended to future extension, Crossrail could play a key role station forecourt in Rathmore Road, rebuilding support improved connectivity through the town, in delivering the additional rail capacity required of end wall to 15 Darnley Road and realigning pedestrian and cycle access, junction and public for Ebbsfleet Garden City and the proposed of the footways in Clive Road. Phase 3 works in realm improvements. The aim is to reduce the development by London Resort Company Clive Road and Barrack Row, commenced in July need to travel by attracting residents and workers Holdings. and the whole programme is on schedule to be into the town centre to use facilities there rather completed in 2017. than more distant shopping centres, as well as Kent Thameside Strategic Transport supporting housing delivery in the town centre Programme Detailed design and layout was finalised in May and surrounding area. A phased package of A £161m programme of major transport for the London Road/St Clements Way junction works, key to the regeneration of the town centre infrastructure improvements across Dartford and in Dartford and incorporated design changes are intended. It has been agreed that Dartford CREDIT: EBBSFLEET DEVELOPMENT CORPORATION DEVELOPMENT EBBSFLEET CREDIT:

Northfleet site approved for 598 homes and a new school.

44 Kent Property Market Report 2017 Borough Council will lead on procurement, Stages 1 and 2 of Operation Stack (M20 Junctions Commercial design and construction phases and working 8 to 11 coast-bound) is in place. The preferred site, Eurokent, New Haine Road Ramsgate closely with Kent County Council on these west of Stanford was announced by the Secretary East Kent Opportunities LLP successfully secured improvements. of State in 2016, however the decision is the planning consent at appeal in 2014 for a mixed- subject of a Judicial Review which is scheduled use development. EKO disposed of the residential Lower Thames Crossing for December this year. In addition, Kent County component of the scheme to the Homes and In April the Secretary of State for Transport Council are exploring options for a network of Communities Agency and is now promoting announced the preferred route for the new Lower overnight lorry parks and is also working with the the sale of the remainder of the majority of its Thames Crossing to form a new strategic route Department for Transport, District Councils and landholdings at New Haine Road, in accordance from the Channel ports to the Midlands and on stronger enforcement action for with the re-aligned Master Plan for employment North. It will be a bored tunnel under the River illegal lorry parking to address the problem of land, mixed business use offices and workshops. Thames east of Tilbury and Gravesend to connect inappropriate lorry parking across Kent. The development will create both a major to the A2 via the Western Southern Link, which residential community and significant opportunity avoids Shorne and with a new dedicated junction Local Transport Plan 4 for job creation in a sustainable location. between the Singlewell and Brewers Road Local Transport Plan 4: Delivering Growth Without junctions. Gridlock 2016 – 2031 was adopted by Kent Manston Business Park County Council in July. This plan aims to deliver Manston Business Park has progressed The announcement of the preferred route transport priorities for Kent which will contribute significantly with further marketing of the site followed a comprehensive review of options and to a safe and efficient transport system. through Savills Sevenoaks office. Previous extensive analysis of more than 47,000 responses developments and realisation of the pent up to Highways England’s public consultation in demand for suitable new space, has enabled 2016. This new crossing will add more than 70% East Kent Opportunties Manston Business Park to continue to provide to road capacity between Essex/Kent, unlock excellent value-for-money. This is meeting and investment and create thousands of new jobs. Residential encouraging interest in taking up land for both The preferred route was carefully selected to Eurokent, New Haine Road, Ramsgate owner occupation and speculative development. minimise community and environmental impacts East Kent Opportunities LLP is a Joint venture as far as possible, whilst providing the transport company between KCC and Thanet District Manyweather Properties Ltd have secured and economic benefits of a modern, alternative Council and was set up in 2007 to deliver jobs and further consents over the past twelve months, crossing. It will help address existing congestion, housing in Thanet. In March 2017 it successfully acquiring significant land interest from EKO LLP. deliver significant economic growth and provide sold 8.9ha (22 acres) of serviced residential land Manyweathers Properties Ltd completed and resilience on the Strategic Road Network. at New Haine Road, south of Westwood Cross, sold/leased The Oaks Business Park, off Invicta to the Homes and Communities Agency (HCA). Way in June 2017. The company have now The 70mph, 13-mile route and crossing will be The HCA simultaneously acquired a further secured further consent for the next project at built to the highest safety standards incorporating 4.45ha (11 acres) of adjoining residential zoned Manston Business Park to be called The Maples the most up-to-date engineering and information land, as part of the delivery of 350 homes and Business Park. This is under construction and technology. The scheme will now be taken local community space within the mixed-use is expected to be substantially complete and through the Development Consent Order development. occupied by spring 2018, with a greater mix of (DCO) planning process for Nationally Significant offices and workshops to The Oaks. A number of Infrastructure Projects (NSIPs) and, if funding is Laleham Gap School local firms are signed up to relocate to Manston secured, be open by 2027. The freehold of the new school site was Business Park, being seen as a gateway position. transferred in March 2017 to the county council. It is becoming ever more popular with local firms A21 Tonbridge to Pembury Dualling The former school site at Cliftonville was needing fast road connections to the rest of Kent. This £70m scheme started on site in spring 2015 simultaneously sold to Orbit Homes for 70 new and opened this summer. Highways England family dwellings. The scheme has been designed EKO LLP has a number of other ongoing schemes delivered the scheme on behalf of the Secretary by BDB Design LLP and will introduce a high at Manston Business Park with end user occupiers, of State. quality of housing design for the area. subject to the planning process.

Operation Stack and Overnight Lorry Parking This project resulted from a collaboration The accumulative job creation opportunities for In the Autumn Statement 2015, the government between East Kent Opportunities LLP and Thanet are extensive. announced the allocation of £250m for a solution Kent County Council and a unique land swap to Operation Stack and to prevent the level of arrangement. This innovative solution enabled disruption Kent experienced in summer 2015. the development of the new Laleham Gap Highways England is leading on the delivery of a Special Education Needs school working with lorry area near M20 Junction 11 for 3,600 HGV’s. the Education Funding Agency and Wates This caters for the numbers of vehicles when Construction as main contractor.

Kent Property Market Report 2017 45 Kent County Council, Medway Council & Kent’s District Council commentary

Economic Development The GIF 2017 Update is well underway and the Future proofing of infrastructure is also needed Continued overall message emerging is that the forecast to ensure that the most is being made of the annual population and planned housing infrastructure investment to support future growth. growth is to increase at an even greater rate Funding for infrastructure is becoming ever tighter, than originally estimated in the 2015 GIF up in a post-Brexit Britain where the impacts of policy to 2031. With an increased housing need, changes now could have quite far-reaching inevitably there comes a heightened pressure implications on growth patterns across the UK. on infrastructure requirements. When cross- The GIF 2017 Update now also takes a longer time border infrastructure is taken into consideration horizon to 2050, to work to ensure that Kent and Kent and Medway Growth and such as a new Lower Thames Crossing and Medway are in a strong position to anticipate and Infrastructure Framework Crossrail to Ebbsfleet (E2E), the gap is getting plan for sustainable growth. Its scenario based even bigger and the infrastructure funding approach has already initiated work with the Place shaping needs to be at the heart of growth challenge remains a major barrier to long term Department for Transport’s highway innovations and fundamentally, we want to be building high growth. team around future transport systems. quality and sustainable communities that ensure access to jobs and services, provide a good quality of life and create places that residents are proud to live in. Providing the necessary infrastructure for the growth planned across the County is an essential part of that. The Kent and Medway Growth and Infrastructure Framework CREDIT: MEDWAY COUNCIL (GIF) identifies the real infrastructure challenges in planning for new homes and jobs; essentially asking the question, ‘at what price, growth?’

The GIF was first launched in 2015, produced by Kent County Council (KCC) in collaboration with Medway Council, the twelve district authorities and health and utility sectors. It was a first of its kind in providing a clear picture of planned housing, economic growth and the infrastructure needed to support this growth up to 2031. It revealed a significant gap in the investment required to deliver the necessary infrastructure – a staggering £2bn.

In identifying the County wide infrastructure challenges, the GIF also provides a way of monitoring success in delivery. Since the 2015 GIF was published, KCC has been exploring a range of ways to source a range of infrastructure, from road and rail to education and community services. We now have commitment from Government to deliver the new Lower Thames Crossing and emerging private sector interest in its financing. We have also seen the introduction of the River Medway Flood Partnership in January 2017; a governance mechanism that works to ensure that a collaborative approach is taken to reduce the risk of flooding. Sittingbourne Waste Transfer Station has been redeveloped and school expansions have enabled KCC to meet its target of maintaining at least a 5% surplus of school places to be achieved overall. Innovation Studios, Strood.

46 Kent Property Market Report 2017 Ensuring that the right infrastructure supports Looking forward, the GIF is being actively used Emerging key figures growth is essential for creating sustainable in initiatives with the Housing & Finance Institute communities. The evidence provided through the and to engage with the National Infrastructure New homes (2011 – 31) 178,600 24.0% GIF clearly demonstrates that there is a significant Commission to demonstrate the challenges and Population (2011 – 31) 396,300 22.9% challenge in funding the infrastructure needed opportunities for growth in Kent and Medway. Total Infrastructure Requirement associated with the growth already planned for Longer term, we are also looking to provide an (including LTC and Crossrail) £14.3bn the County. If not addressed, the funding gap online interactive site that will bring together the Total Funding £11.1bn will impede this growth and will severely limit the data that underpins the GIF – this will provide ability to accommodate any further growth in the access to relevant data and information to a range Infrastructure Funding Gap £3.2bn form of any additional pressures coming from of stakeholders. London or from emerging Government policy.

Kent Property Market Report 2017 47 Kent County Council, Medway Council & Kent’s District Council commentary

Green Infrastructure £4.4m Whilst the grant programme is set to close in the spring of 2019 there is still £4.4m left to award.

The LoCase Programme Our second work package has helped a number LoCASE collaboration events and co-ordinated Low Carbon Kent are well into delivery of our of firms in the Low Carbon and Environmental support for the biomass and wood fuel sector Low Carbon Across the South East (LoCASE) Goods and Services (LCEGS) sector develop and is aiming to see Kent sources chiefly service the programme, with over £1.6m of European launch their products. One such company is biomass facility at Discovery Park, Sandwich as Regional Development Fund grant investment in a Maidstone’s Green Gate Access Systems whose well as get the very best out of our woodland in range of projects for over 230 SME’s in the region. solar-powered mobile site barrier SOSEC has the South East. Grants range from £1000 to £10,000 depending enjoyed instant success. It is already in operation on project size and impact. on a number of construction, tourism and leisure Whilst the grant programme is set to close in the sites locally and in markets as far away as Australia. spring of 2019 there is still £4.4m left to award. There are two funding packages on offer. The There is now the opportunity for all suppliers of first has covered standard lighting, heating and The design and construction sectors have already ‘green’ goods or services in the region to make insulation retrofit works to scores of commercial been well catered for with support for integrating the most of this flexible ERDF funding on offer buildings, but can also help embed sustainability Building Information Modelling, design software to them and their SME customers within Kent, projects (such as sedum roofing) and renewable and other process modernisation or streamlining Essex and East Sussex and receive support for infrastructure into building plans. The funding projects as well as opportunities to integrate innovation and smarter working. has also proved useful to those looking to reclaimed or upcycled materials into builds. Waste adopt flexible travel and remote access options management and circular economy opportunities to reduce business mileage and associated are being explored through Enviromate, a emissions by using on site Personal Digital Folkestone based company, and their website Asistsants (such as Blackberry), terminal server and which enables sale/purchase of left over building video conferencing. materials. CREDIT: CIII AND BWSC CREDIT: CHRIS GT EPE

CGI of Biomass Facility, Discovery Park, Sandwich. SOSEC.

48 Kent Property Market Report 2017 CREDIT: DISCOVERY PARK

Discovery Park, Sandwich.

Kent Property Market Report 2017 49 Contributory sponsors’ article

Contributors

Government policy continues to influence the demand for architectural design in many sectors, notably housing, health and education. The recent policy changes to Grammar School provision has already led to a number of projects coming forward for our team, including Barton Court, CREDIT: CLAGUE ARCHITECTS CLAGUE CREDIT: Canterbury. Government proposals to change the formula for calculating Objective Assessed Need An architect’s view could significantly increase the number of houses required to be agreed by local authorities, many of What’s the outlook for the property sector in which are already wrestling with high numbers and Kent and Medway? Andrew Clague, Senior strong local opposition to any more from voters. Partner of Clague Architects, the award- winning architecture, master planning and If Kent and Medway is to retain its character, design practice, considers the issue. quality design and architectural innovation needs to be embraced and be a prerequisite Despite the uncertainty over the impact of Brexit, for schemes coming forward. the sector remains relatively buoyant. Architecture, as an early stage of the construction process With new housing comes the need for CGI of Ashford Commercial Quarter, Quinn Estates. continues to be a ‘bell weather’ of the health of employment space. Unfortunately commercial the sector. development does appear to be lagging behind, despite the best efforts of developers, such as work Demand for housing remains strong, and our for our client Quinn Estates in the Commercial master planning team has successfully brought Quarter at Ashford’s International Centre. forward a number of large schemes across Kent and Medway for major house builders, with all Infrastructure investment will continue to be but one approved or going through the planning crucial for the development community as it process. can unlock difficult and stalled sites. We must hope the Government will recognise this and Affordable housing must remain an important give the green light to Junction 10a on the M20 part of the residential mix. Our work for the Royal and crucially in the design of the Lower Thames British Legion Industries saw a £4m development Crossing. Without these, and many other smaller of 24 flats, for military veterans, recently opened road schemes, there’s the risk that Kent and by the Secretary of State Sir Michael Fallon, and Medway will underperform and fail to deliver for is an excellent case in point. This is Phase 1 of the our communities and economy as a whole. Centenary Village in Aylesford. The county has great home grown talent with With major residential schemes often comes the the skills to make Kent the place we all want it demand for education, health, sports facilities, and to be. That requires investors, developers, heritage schemes, many funded through CIL and planners and excellent designers to work closely s.106 agreements. These are Clague’s specialist with our communities. There is so much going sectors. Our remit is always to deliver design to on that the need to work together and quickly a high standard satisfying the demands for place has never been greater. making. There is strong demand for quality design in all these sectors, especially new schools. Andrew Clague Senior Partner, Clague Architects

50 Kent Property Market Report 2017 Limited and Richborough Estates Partnership The Secretary of State has been increasingly LLP v Cheshire East Borough Council [2017] interested in planning applications and appeals UKSC 37 has sought to remove the technical where neighbourhood plans are adopted or are distinctions with the Supreme Court simplifying in the course of adoption, calling in planning the process by stating that over technical applications, or recovering jurisdiction over arguments, as to whether a policy is a housing planning appeals. In many cases this has led to supply policy caught by paragraph 49 of the considerable delays in planning decisions, all of NPPF or not, is not the critical question. The key which needs to be factored into the planning Timing is the key to planning strategy is whether a five year housing land supply can strategy. By way of example, considerable delays be established or not. If it cannot, then the awaiting a Secretary of State call in or appeal Like any great cricket shot, where timing is the paragraph 14 tilted balance applies. decision may mean that in the meantime the key, so it is with planning strategy to secure housing land supply situation alters greatly with planning permission for development. The development plan and its requirements the possibility of local planning authorities, become ever more complex. Over recent previously unable to demonstrate a five year Despite numerous attempts by successive years neighbourhood plans have been added housing land supply, suddenly being able to do Secretaries of State to both simplify and speed up to the mix. When first introduced many felt so. This may be due to developments coming the planning process they seem, unfortunately, neighbourhood plans would be subservient to forward or the evolution of local plans meaning to have achieved the complete opposite. The local plans but this is not necessarily the case. that the presumption in favour of sustainable planning process is now the most complex it By way of example, case law has established development, pursuant to paragraph 14, is no has ever been and this, combined with stretched that neighbourhood plans can come forward longer open as a tool for developers. planning resources at local planning authorities, in advance of emerging local plans. As more has meant time periods to secure planning local planning authorities finally bring forward The key to good planning strategy is to be one permission have lengthened. local plans and communities bring forward step ahead and to be fully aware of the timings of neighbourhood plans the key, more than ever the development plan evolution and other sites Our planning system is plan led. This means that before, for a developer is to establish a strategy coming forward. Even then developers need to planning applications are to be determined in to ensure the most favourable development plan be aware of the odd googley being bowled such accordance with the development plan unless environment for a site at the time a decision on as the Written Ministerial Statement (WMS). This material considerations indicate otherwise: whether to grant planning permission is made. was published, without warning, and provides section 38(6) Planning and Compulsory that where a neighbourhood plan has been Purchase Act 2004. There is also paragraph 14 It could be argued that communities, bar adopted the presumption in favour of sustainable National Planning Policy Framework (NPPF) and some exceptions, increasingly use promotion development in relation to that plan only applies if the tilted balance where, if the development of neighbourhood plans as a tool to limit less than three years (rather than five) housing land plan is out of date, the presumption in favour development in their areas. Developers need supply can be shown. At the time of writing the of sustainable development arises. This has to be alive to this and to work alongside and WMS was still subject to a judicial review challenge particular relevance for housing development with communities to secure the allocation in the High Court. where development plan policies are regarded as of their sites within neighbourhood plans. out of date if a local planning authority is unable This will greatly increase the chances of securing Jason Towell to establish a five year housing land supply. This planning permission. If a site is not allocated Head of Planning, Cripps led to a flurry of litigation with local authorities within the neighbourhood plan then it is and developers arguing over how to establish increasingly difficult to secure planning This article provides general guidance only. It should not be relied on in place of specific objectively assessed housing need and what permission unless it can be shown that the legal advice. the correct housing land supply is, together neighbourhood plan is out of date. The adoption with the debate as to what are housing supply of neighbourhood plans follows a process that policies governed by paragraph 49 of the NPPF. is, at best, described as “light touch” and the The recent judgement by the Supreme Court in courts have shown a reluctance to interfere Suffolk Coastal District Council v Hopkins Homes in the neighbourhood planning process.

Kent Property Market Report 2017 51 Contributory sponsors’ article CREDIT: MUSE / TP BENNETT

CGI of Muse development on the Co-op site, Dartford Town Centre.

52 Kent Property Market Report 2017 Plan Core Strategy, Tonbridge and Malling, is the Council is continuing to work up its proposals also progressing a new Plan. Having completed for a new Garden Town comprising up to 12,000 the Issues and Options stage, a pre-Submission homes and the High Speed One railway station at consultation is scheduled for early 2018. Dover Westenhanger. District Council is in a similar position, albeit at an earlier stage of the Plan-making process and With respect to transport infrastructure, North with a marginal five-year housing land supply to Kent breathed a collective sigh of relief earlier defend. this year when the government ruled out the Planning update Thames Estuary airport proposal and backed a Progress on the new Gravesham and Thanet third runway at Heathrow instead. Nevertheless, Despite political uncertainty earlier this year Local Plans continue at a slower pace; with communities in the Gravesham area have reacted DHA is still experiencing strong demand for Gravesham Borough Council indicating that angrily to the news that Highways England commercial, housing and public sector led consultation on their Issues and Options Plan will proposes to implement the Option C route for development opportunities in south east commence in October 2017 and Thanet District the new Lower Thames Crossing, which will pass England. Council completing their own Issues and Options close to the villages of Shorne and Chalk. consultation back in March of this year. Significant progress has been made by Kent’s The delayed A21 Tonbridge to Pembury dualling Local Planning Authorities over the past 12 Of those authorities that cannot currently scheme was completed this year, while the months to progress up-to-date Local Plans that demonstrate a five-year housing land supply, independent Examination of the Development meet their identified housing and employment Ashford Borough Council is currently consulting Consent Order for M20 Junction 10A at Ashford needs. Nevertheless, there remain several areas on “Main Changes” to its Submission Draft Local concluded in June, with the Secretary of State’s of the county that cannot demonstrate a five- Plan, with the Examination in Public expected decision on the project anticipated around the year housing land supply and which are therefore to commence during 2018. Medway Council end of the year. vulnerable to speculative planning applications. is following close behind, having conducted its Development Options consultation in January of Finally, the Ebbsfleet Development Corporation Canterbury City Council and Swale Borough this year. has recently announced a significant financial Council have recently adopted their respective contribution to the upgrading of the A2 Bean Local Plans after they were found sound by the The Tunbridge Wells Local Plan is at an earlier and Ebbsfleet junctions, which will support the Planning Inspectorate. The Swale Local Plan will stage of preparation; the Borough Council delivery of the 15,000 home Garden City. The nevertheless be subject to an early review and the having concluded its initial Issues and Options Corporation is also working closely with Kent council has already instigated a fresh Call for Sites consultation in June. Tunbridge Wells is heavily County Council and Dartford and Gravesham to meet this requirement. constrained in terms of Green Belt, Areas of Borough Councils to make the case for extending Outstanding Natural Beauty and flood risk and Crossrail to Gravesend via Dartford and Ebbsfleet. Maidstone Borough Council’s Local Plan has also the council may therefore struggle to identify been found sound following the inclusion of a sufficient sites to meet its Objectively Assessed Alex Hicken number of Main Modifications recommended by Housing Need. Another constrained District, Managing Director, DHA Planning Group the Inspector and the Plan will be recommended Sevenoaks, is currently undertaking its Local Plan to Full Council for adoption. Issues and Options consultation, which proposes to focus new development on previously Dartford Borough Council adopted its developed land within the major urban centres of Development Policies Local Plan earlier this year. Sevenoaks, Swanley and Edenbridge. It is, however, already preparing a new Local Plan complying with the requirements of the Finally, in Shepway, the District Council is National Planning Policy Framework, with initial conducting a partial review of its 2013 Core consultation anticipated in the coming months. Strategy, with the Preferred Options consultation Another Borough with a long-standing Local stage anticipated early in 2018. At the same time,

Kent Property Market Report 2017 53 Contributory sponsors’ article

Contributors Continued

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54 Kent Property Market Report 2017 CREDIT: STEVE HICKEY CREDIT:

Peters Bridge, Peters Village near Wouldham.

Kent Property Market Report 2017 55 Contributory sponsors’ article

Contributors Continued

The good news for the sector is that both the Kreston Reeves has a long history of providing major political parties have property, in particular advice in the property and construction sector, housebuilding, high on their agenda, aiming to both commercial and residential. Our clients fulfil the ‘British Dream’ of home ownership. span property investors, builders, developers, property managers and fund managers as well Property taxes as professionals that service the sector. Our The last couple of Budgets have seen some approach is to ensure that we work alongside significant announcements affecting property our clients from the outset to avoid any potential Uncertainty is the watchword investors and developers. From April this year, a pitfalls. new tax allowance was introduced where the Another year on and uncertainty is still the first £1,000 of income from property is tax free. We help our clients maintain their profitability watchword for most businesses and investors. The allowance is aimed at providing limited and competitiveness and secure the most assistance to those with low property income, appropriate funding for property transactions The property and construction market continually from lettings such as parking spaces and Airbnb. and construction work. We focus on minimising serves as a barometer for wider business the impact of VAT, Stamp Duty Land Tax and confidence, and whilst there has been a slow- The increases in stamp duty land tax rates on other taxes and assist in the financial appraisal down in property prices the sector remains commercial property in March last year, together of projects, as well as the management of cash strong, particularly in Kent where demand with the surcharges applying to residential property flow and budgeting. Our offices, located across outstrips supply. investors, briefly distorted the property transaction London, Kent and Sussex have dedicated property market but does not appear to have resulted in specialists in each of our 10 locations, offering a Borrowing remains a key feature of the sector, any significant slow down in property prices. complete range of professional services to the whether for construction or investment, buying Investors seem to have accepted the additional property sector. your own home or the knock on impact on rental cost of owning property, but there is certainly rates for tenants. a heightened interest in opportunities that are Jennifer Williamson available to mitigate stamp duty land tax. Partner, Property and Construction Cheap mortgages continue to increase the pool of buyers, but the Governor of the Bank Buy-to-let landlords have a challenging period of England, Mark Carney, has already hinted at ahead of them with the changes to tax relief on interest rate rises, possibly as early as November. mortgage interest being phased in from April this Expectation is that any rate rises will be slow to year. Individuals will see their property profits and avoid significant disruption in the market, but income tax bills increase over the coming years. businesses and investors will need to look forward and plan for a period of incremental increases. This, combined with the expected interest rate rise, has led many property investors to consider And then there is Brexit. Property businesses, their property portfolio and the opportunities particularly in the construction sector, rely on to pay down some of their debt, diversify their EU workers, and there have already been early investments away from property investment, signs that this pool of labour is choosing to go or restructure their portfolio via incorporation. elsewhere. The last of these is becoming an increasingly Expectations were that inward investment into the popular route but is not right for all and can be South East would reduce significantly after the EU very expensive for some investors. Certainly, there referendum, and whilst there was a slow down is caution that the Government could look to in demand leading up to the vote, indications legislate against various routes to incorporation suggested that UK and overseas buyers remain in the upcoming Budget. active in the region.

56 Kent Property Market Report 2017 consists of a wide range of businesses in tourism, During 2017 we supported our members in Kent forestry, leisure, health and environment as well with personal development and networking as agriculture and horticulture. All are important through a programme of events. Two very and need continued support and the same successful trips to Ebbsfleet Garden City gave focus from central and devolved government as local RICS professionals an opportunity to see cities. As the UK prepares to move outside the the scale and pace of the project and discuss EU, the vital contribution of the rural economy to opportunities and challenges the development the UK’s future economic success must not be corporation have faced. There was also a Update from Royal Institution overlooked. hugely successful panel event looking at the of Chartered Surveyors impact of the new Lower Thames Crossing on RICS also highlighted the urgent and growing Kent’s infrastructure, with one panellist from For the third year in a row the UK has headed to need for property standards to create a stable Kent County Council. It also included a visit to the polls. This June it was for the snap General and thriving market. In a global property market Dungeness power station and a social media Election, held in the still foggy aftermath of investors have an increasing need to compare masterclass to assist those professionals wishing the EU referendum. The election came just investments like for like. Standards can create to develop their business online and with a ten weeks after the triggering of Article 50 and a universal language for investors, developers, younger audience. while attempting to give a steady steer to the government and the community. We have taken exit process. With no clear strategy outlined the lead in addressing the need for International We also saw an array of winners at the RICS by either of the two major political parties Standards. A suite of standards, developed Awards South East 2017 from Kent. These beyond the Conservative catch cry of ‘Brexit globally with various stakeholders and supporting included commercial category winners The means Brexit’ and no overall majority for the organisations, are being adopted into our Yarrow, a training hotel in Broadstairs as well as Conservatives, in reality it created greater Professional Statements and Red Book. Variations highly commended projects; Pump House No.5, uncertainty. between markets caused by inconsistent Chatham and Finberry Village, Ashford. measurement standards can be as high as 24%; Ahead of the General Election, RICS released this is why RICS is incorporating International The Kent Property Market Report is a great tool our election manifesto. It included five priorities Property Measurement Standards (IPMS) for to bring together wide-ranging successes across for Brexit negotiations and recommendations Residential, Commercial and Retail into our the county and to give clear updates on recent around infrastructure, housing and regional Professional Statements. and proposed developments and supporting growth. While Brexit dominates the media, RICS infrastructure. This provides direction and vision reinforced the need to stay focussed on domestic The export value of construction in 2016 was for the region to attract additional investment and issues especially in the infrastructure and housing £1.6b, which makes International Construction the RICS is again happy to support it. sectors which are vital to protecting the property Measurement Standards (ICMS) vital as we market which contributes 5.4% to the UK’s move to attract global investment. ICMS provide Lynn Robinson GDP. Our EU exit priorities covered minimising knowledge of what is and is not included England & Wales Regional Director uncertainty, securing infrastructure investment, in the construction cost of a project. This is access to skilled labour, ‘passporting’ professional fundamental to understanding how it compares services and the rural proofing of national policies. with other projects within and outside the UK market. This, in turn, allows governments, With 16.5% of England’s GVA coming from investors, contractors and other stakeholders predominately rural areas, RICS also released to accurately assess and benchmark value seven UK Rural Priorities for Exiting the EU in early for money, project construction costs and 2017, with three additional recommendations report national and international statistics on aimed solely at England’s rural needs. Agricultural construction output. IPMS and ICMS are industry subsidies and financial support constitutes leading standards and all those involved should some of the largest spending in the UK from look to adopt them to provide more certainty to funds received from the EU. The rural economy the industry globally.

Kent Property Market Report 2017 57 ESSEX

44 LONDON 52 49

42 51

50 48 47

KENT

43

46 45

EAST SUSSEX

FRANCE Usage codes for strategic developments: Strategic A1 Shops & retail; B1 Offices, light industry; Developments B2 General industrial; B8 Warehouses, distribution; C1 Hotels; D1 Education, crèches; D2 Leisure; R Residential; Sui Generis Petrol Key commercial sites and developments with planning station, car showroom permission throughout Kent and Medway. ESSEX Map no.Scheme Location Usage Contact Website 1 The Bridge Dartford B1, B8 CBRE, 020 7182 2634 / JLL, 020 7493 4933 / thebridgedartford.co.uk Prologis 2 ProLogis Park, Littlebrook CBRE, 020 7182 2000 / Colliers International, prologislittlebrook.co.uk 44 Dartford B2, B8 020 7344 6730 / Prologis LONDON 52 3 Crossways Point, Crossways Dartford B1 Altus Group, 01322 285588 / BNP Paribas crosswayspoint.co.uk 49 Real Estate, 0207 338 4000 4 Capacity Dartford Dartford B2, B8 Exton Estates, 020 7499 8020 / Savills, capacitydartford.com 020 7499 8644 / Dowley Turner Real Estate, 020 3328 9080 42 5 Ebbsfleet A1, B1, D2, R CBRE, 020 7182 2016 / Land Securities, ebbsfleetvalley.co.uk 51 0207 024 5460 / Savills, 08444 700599 6 Northfleet Embankment Northfleet Mixed uses Ebbsfleet Development Corporation, — 0303 444 8831 7 Chatham Centre and Waterfront Chatham A5, B1, C1, C3 Medway Council, 01634 333333 medway.gov.uk/business 50 8 Rochester Airport Rochester B1, B2, B8 Medway Council, 01634 333333 medway.gov.uk/rochesterairport 48 47 9 Chatham Maritime Chatham A1-A4, B1, C1, C3, D2 Chatham Maritime Trust, 01634 891888 cmtrust.co.uk 10 Chatham Waters Chatham A1-A5, B1-B2, C1, Peel Ports, 01795 596596 chathamwaters.co.uk D1-D2, Sui Generis 11 Lodge Hill, Chattenden Chatham A1-A5, B1-B2, Medway Council, 01634 333333 — C1-C3, D1 12 London Medway Rochester B1, B2, B8 Goodman UK Logistics, 0121 506 8100 / londonmedwaycp.com KENT Commercial Park CBRE, 020 7182 2000 / Colliers International, 020 7344 6730 / Caxtons, 01474 567666 43 13 London Thamesport Rochester B1, B2, B8 Hutchison Ports, 01634 271511 londonthamesport.co.uk 14 Sittingbourne Town Centre Sittingbourne Mixed use Swale Borough Council, U+I Group Plc, spiritofsittingbourne.com Quinn Estates and Essential Land 01227 831212 46 45 15 Port of Sheerness Isle of Sheppey B1, B2, B8 Peel Ports, 01795 596596 peelports.com 16 Queenborough/Rushenden Isle of Sheppey B1, B2, B8, Ancillary Savills, 01732 879050 / — & Neats Court Watson Day, 01634 668000 17 G Park Sittingbourne Sittingbourne B1, B8 CBRE, 020 7182 2000 / GVA, 020 7895 1515 / gpark-sittingbourne.com Savills, 020 7499 8644 18 Eurolink East Five Sittingbourne B1, B2, B8 Harrisons Chartered Surveyors, 01634 265900 / — JLL, 0207 493 4933 19 Kent Science Park Sittingbourne B1 Kent Science Park, 01795 411500 kentsciencepark.co.uk EAST SUSSEX 20 Dane Park Faversham Mixed use Vinson Trust www.danepark.com 21 Aylesford Newsprint Aylesford Mixed use Lambert Smith Hampton, 020 7198 2000 www.formeraylesfordnewsprint.co.uk 22 Kings Hill West Malling A1, B1, D2, R Liberty Property Trust UK, 01732 223426 / kings-hill.com Altus Group, 01322 285588 / , FRANCE 020 7629 8171 / Hanover Green, 020 3130 6400 23 Eclipse Business Park Maidstone A1, B1, C1 Gallagher Group, 01622 716543 / eclipsepark.co.uk Sibley Pares, 01622 673086 24 Kent Medical Campus Maidstone A1, B1, C2, D1 DHA Planning, 01622 776226 / kentmedicalcampus.co.uk JLL, 020 7399 5033

Kent Property Market Report 2017 59 Strategic Developments, Contacts and Acknowledgements

Strategic developments continued

Map no.Scheme Location Usage Contact Website 25 Eureka Business Park Ashford B1 Martine Waghorn, 01622 672233 / , eurekapark.co.uk 01223 841841 / Knight Frank 020 76298171 26 Waterbrook Park Ashford B1, B2, B8, GSE Waterbrook Ltd, 01233 501301 / — Sui Generis Sibley Pares, 01622 673086 / Knight Frank, 020 7861 1550 27 Commercial Quarter Ashford B1a Quinn Estates, 01227 831212 / George Wilson quinn-estates.com Developments, 01227 263077 / Sibley Pares, georgewilsonholdings.com 01622 673086 / Altus Group, 01322 285588, Ashford Borough Council, 01233 331111 28 Stour Park Ashford B1c, B2, B8 CBRE, 020 7182 2000 — 29 Orbital Park Ashford B1, B2, B8 Trade Strutt & Parker, 020 7629 7282 / orbitalpark.co.uk Altus Group, 01322 285588 30 Canterbury Business Park / Canterbury Quinn Estates, 01227 831212 canterburybusinesspark.co.uk Highland Court 31 Altira Business Park Herne Bay B1, B2, B8 Sinclair Clark, 020 7494 9399 / altirapark.com Core Commercial, 01892 834483 / Terrace Hill Urban & Civic, 020 7509 5555 32 Manston Business Park Ramsgate B1, B2, B8 East Kent Opportunities, 01622 221380 / — Savills, 01732 789716 33 EuroKent Business Park Ramsgate A1, B1, B2, B8, D2 Rosefarm Estates plc, 01243 785151 / — East Kent Opportunities, 01622 221380 34 Stone Hill Park Ramsgate Mixed use Stone Hill Park Ltd stonehillpark.co.uk 35 Discovery Park Sandwich B1, B2, B8 Discovery Park Ltd, 01304 614060 discovery-park.co.uk 36 Betteshanger Business Park Deal B1 Hadlow College 01304 619227 betteshanger-park.co.uk 37 White Cliffs Business Park Dover B1, B2, B8 Dover Council, 01304 872420 / — Harvey Spackfield, 020 7629 7663 38 Link Park Hythe B1, B2, B8 Core Commercial, 01892 834483 linkpark.co.uk 39 Terlingham Hawkinge Mixed Use Pentland Homes, 01303 864 590 pentlandhomes.co.uk 40 Folkestone Harbour Folkestone Mixed Use Folkestone Harbour Company, 01303 254597 folkestoneseafront.com 41 Martello Lakes Hythe Mixed Use Barratt Homes, 0844 8549936 barratthomes.co.uk 42 Herne Bay Sports Hub Herne Bay Mixed Use Quinn Estates quinn-estates.com 43 Port of Dover Dover Mixed Use Dover Harbour Board, 01304 240400 doverport.co.uk/dwdr 44 Littlebrook Power Station Dartford B8 Bericote Properties, 020 7409 1544 / tritaxbigbox.co.uk Tritax Group, 020 7290 1611 45 Biggins Wood Folkestone Mixed Use Shepway Council, 01303 853000 — 46 Otterpool Park Folkestone Mixed Use Shepway Council, 01303 853000 folkestone.works 47 Mountfield Park Canterbury Mixed Use Corinthian Land mountfieldpark.co.uk 48 Cockering Farm, Thanington Thannington Mixed Use, B1 Quinn Estates, 01227 831212 quinn-estates.com 49 Panorama Crossways Dartford B1c, B2, B8 Altus Group, 01322 285588, chancerygate.com Knight Frank, 020 7861 1550 50 Fort Halstead Sevenoaks Mixed use Armstrong (Kent) LLP — 51 Joseph Wilson Industrial Estate Whitstable B1 George Wilson Developments, 01227 263077 georgewilsonholdings.com 52 Swanscombe Pennisula Swanscombe Mixed Use London Resort Company Holdings, londonresort.info 0800 0086765

60 Kent Property Market Report 2017 Contributors: Handelsbanken Contact With over 200 branches in the UK offering a full Clague Architects banking service, Handelsbanken is well placed to Clague is an award winning practice of architects, deliver long term relationships on a local level. master planners, urban designers, interior designers and historic building consultants Trevor Adams, Branch Manager working from design-led studios in London; Handelsbanken Canterbury and Harpenden in Hertfordshire. Corinthian House The firm celebrated 80 years of practice in 2014, Galleon Boulevard Written and complied by: and an amazing track record in its specialist Crossways Business Park sectors. Our extensive experience, gained Dartford, Kent DA2 6QE Kent County Council from designing an extremely wide variety of Tel: 01322 285 265 / 07528 657 996 For further advice, assistance and information on projects of differing type, scale and complexity Email: [email protected] development opportunities, contact: throughout the UK, has allowed us to develop www.handelsbanken.co.uk/dartford invaluable knowledge that feeds into all aspects Branch Managers Contact Information: Nigel Smith, Head of Development Investment of our work. ‘All of our work demonstrates flair Ashford David Kiernan 01233 665380 Kent County Council, Invicta House, and imagination, and providing a high level of Bromley Chris Pye 020 8464 9015 Maidstone, Kent ME14 1XX customer service is important for us.’ Tel: +44 03000 412438 Canterbury Andy Davies 01227 787717 Email: [email protected] Andrew Clague, Senior Partner Chatham Gavin Coleman 01634 890934 www.kent.gov.uk Clague Architects Dartford Trevor Adams 01322 285265 62 Burgate, Canterbury, Kent, CT1 2BH Maidstone Jeremy Brett 01622 669799 Caxtons Tel: 01227 762060 Fax: 01227 762149 Sevenoaks Nick Brooker 01732 452972 Caxtons, chartered surveyors, established in www.clague.co.uk Tunbridge Wells Nick Green 01892 547707 1990, is one of the largest independent property practices in the South East offering a full range Cripps Kreston Reeves of agency, management, professional and Cripps is a top 100 UK law firm with a nationally Kreston Reeves is a leading accountancy and surveying services across all property sectors. recognised real estate team. Acting for some of financial services firm located across London and the country’s major property owners, developers the South East of England. We provide a full range Neil Chatterton, Managing Director and investors, our specialist teams handle every of accountancy, business advisory and financial aspect of the real estate life cycle. services that help our UK and international clients Head Office: 26 Hollingworth Court, achieve their personal and business goals, with James Pilcher House, Turkey Mill, Mike Scott, Head of Real Estate peace of mind. 49/50 Windmill Street, Ashford Road, Cripps Gravesend, Maidstone, Wallside House, Michael Cook, Partner and Head of Property Kent DA12 1BG Kent ME14 5PP 12 Mount Ephraim Road, and Construction Tel: 01474 537733 Tel: 01622 234886 Tunbridge Wells, Kent TN1 1EG Kreston Reeves, Fax: 01474 537039 Tel: +44 (0)1892 506 101 37 Margaret’s Street, Email: [email protected] Email: [email protected] Canterbury, Kent CT1 2TU Web: www.caxtons.com www.cripps.co.uk Tel: +44 (0)330 124 1399 Twitter: @crippslaw Email: [email protected] Locate in Kent Ltd www.krestonreeves.com As the single point of contact for all companies DHA Planning looking to expand or relocate in Kent DHA is a creative team of professional Town Royal Institution of Chartered and Medway, Locate in Kent provides a Planners, Urban Designers, Highway and Surveyors comprehensive, confidential and free business Environmental Consultants. We provide a The leading professional body on all aspects of relocation and expansion advisory service. comprehensive and integrated service to a wide real estate, property, construction and associated client base including government, local authority environmental issues. Paul Wookey, Chief Executive and private sector businesses. First Floor, International House, Lynn Robinson, RICS Regional Director, Dover Place, Ashford, Kent TN23 1HU David Hicken, Managing Director DHA Planning South of England Tel: +44 (0)1732 520 700 Eclipse House, Eclipse Park, RICS, Email: [email protected] Maidstone, Kent ME14 3EN Parliament Square, London SW1P 3AD www.locateinkent.com Tel: 01622 776226 Tel: +44 (0)7817 957 699 www.dha-group.co.uk www.rics.org Email: [email protected] Email: [email protected]

Kent Property Market Report 2017 61 Strategic Developments, Contacts and Acknowledgements

Opposite: Clover House refurbishment, Whitstable. Acknowledgements CREDIT: GEORGE WILSON HOLDINGS

The compilers of this report Guy Hollaway Architects Kent District Councils: No part of this report should be are grateful for the assistance, Harrisons Chartered Surveyors Ashford, Canterbury, Dartford, published, reproduced or referred information and data provided Hanover Green Dover, Gravesham, Maidstone, to without prior permission of by the following organisations Hindwoods Sevenoaks, Shepway, Swale, Caxtons, Kent County Council in London and Kent: Kent Science Park Thanet, Tonbridge & Malling and Locate in Kent. Knight Frank and Tunbridge Wells Altus Group Liberty Property Trust UK Ltd Printed on 350gsm and 200gsm Medway Council Atrium Surveyors Linays Claro Silk FSC Mix Credit certified Bidwells Maxwell Brown We also thank Clague Architects, paper from responsible sources. Bracketts Martine Waghorn Cripps, DHA Planning, Kreston Broadlands Chartered Surveyors McMeeking Chartered Surveyors Reeves, Handelsbanken, RICS and Property Consultants Michael Parkes and Savills for their support and BTF Pearson Gore contributions to this year’s report. CBRE Pillory Barn Clarke Crittenden Quinn Estates This report has been carefully Printed by Gemini Print Southern Ltd Clive Emson Robert Ingram prepared. However it is intended gemini-print.co.uk Colliers CRE Rosefarm Estates Plc for general guidance only and Core Commercial Salisbury and Co. neither Caxtons, Kent County Designed by Greenwood Design Cradick Retail Savills Council, Locate in Kent nor Clague greenwooddesign.co.uk Discovery Park Sibley Pares Architects Cripps, DHA Planning, DTRE Smith Woolley Handelsbanken, Kreston Reeves, Copyright ©Kent County Council 2017. Durlings Stafford Perkins RICS or Savills, or can guarantee that Ebbsfleet Development Corporation Taylor Riley there are no errors or omissions. Fell Reynolds Trinity IM The information, forecasts and Gallagher Group Turkey Mill Investments Ltd opinions set out herein should not George Wilson Holdings Ltd Valad and Benchmark Estates be relied on to replace professional Glenny LLP Visit Kent Ltd advice on specific matters. Golding Homes Watson Day Goodman WCR Property Ltd CREDIT: BPTW PARTNERSHIP BPTW PARTNERSHIP CREDIT:

CGI of Rochester Riverside.

62 Kent Property Market Report 2017

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