It seems to be the time of year when everybody is organising business breakfast meetings. I have been to a couple in the last few weeks, notably the Move Commercial meeting at the Tate last week and the GVA Grimley insight into the regional city centre office market this week.
The key matters under discussion seem to be:-
1 the effect of Capital of Culture here next year
2 what the City needs to do to get ready for next year
3 what the legacy of the year will be
4 the likely future market balance and rental growth in connection with the commercial property market in Liverpool
The optimism shown by John Lewis in connection with their proposed store operation in Liverpool One is impressive. The confidence they have in connection with the transformation of the whole retail offering based around this scheme and the regeneration of the city centre generally are extremely optimistic in connection with the attraction back to Liverpool of shoppers in particular but the overall likely effect the transformation of the city centre will have on the creation of a more attractive city centre offering for both those working and living in the city centre.
Looking at the future development completions there is bound to be continuing construction work with the a projection that a total of over 1.1m square feet will complete from mid 2007 to the end of 2010 with almost 45% of this space in refurbishments rather than new building space.
There does appear to be confidence that the new build and various relocations in Old Hall Street should not have a detrimental effect on the areas surrounding the town hall where there should continue to be commercial usage and indeed development along Dale Street .
Looking at the deals we are seeing continuing to be done and those in prospect there seems sufficient confidence to ensure that the key schemes available and the key schemes under construction will find occupiers. The need for attraction of further external investment however will be a key issue. Having had dealings with the Albert Dock particularly over the years the linkage that Liverpool One will give to the Albert Dock as well as the offering provided by the new stadium should provide better linkage than ever of these areas and add to the attraction of the city’s commercial, retail and leisure offering.
The current crisis of confidence in parts of the credit / banking industry aside the prospects for continuing growth still look positive.
Clive Bleasdale, Head of Property, Weightmans