Building Briefs – April 9th

• Korean asset management business buys Edinburgh office space for £55m

Robbie Moir from 9 West secured funding from Hyundai Asset Management Co. Ltd to purchase prime office space at Gyle Square, South Gyle Crescent in Edinburgh.

London-based Greenridge Investment Management sold the 148,796 square feet property to Hyundai Asset Management less than three years after acquiring it from Highland Properties, which had developed the offices on the site of the former BAE Systems factory.

The deal was concluded on behalf of Hyundai Asset Management by property agents Ereira Mendoza.

• Larbert care home receives generous donation from Barratt

A care home in Larbert, Falkirk, has become the second recipient of Barratt Homes’ Community Fund, receiving a generous donation of £1,000 that the care home is putting toward a new minibus to service the facility and its users.

The nursing and complex care home received the donation this week at its office in Larbert where employees care for over 45 people, or those with complex needs.

The facility provides 24 complex care beds, and 33 elderly and frail patient beds. Additionally the facility has a range of amenities such as a bistro, training facility, and hairdresser.

Barratt Homes recently launched its ‘Community Fund’ that aims to give back a monthly donation to charities and organisations in the areas in which it is building.

Employees in Barratt Developments West Scotland office select a charity to donate money to each month. Other charities to benefit from the fund, which launched in January 2019, include Chris’ House in Wishaw.

The Barratt Homes Community Fund will donate £1,000 each month to a charity or organisation in the west of Scotland, which improves the quality of life for those living in the area.

Last year £1.2 million was donated across the Barratt Homes and David Wilson Homes in the UK.

• New roof approved for Dundee church

Planners have approved a proposal for a new roof for a Dundee church.

The Seventh Day Adventist Church on Rennell Road sought planning permission to replace its existing flat roof with a mono pitched roof.

The north east area of the building, where the proposed new roof will be placed, is one metre lower than the adjacent roof of the building.

The proposal seeks to create a pitched roof with the height of the ridge to be 1.3 metres higher than the existing flat roof.

The new roof will be finished to match the rest of the building in dark grey Cambrian slate and white render, with new aluminium drainage proposed in dark grey as well.

The proposal was given full approval with no conditions attached to the consent.

• Minister officially opens Hawick business units

Four business units at Hawick’s Galalaw Business Park have been officially opened today by the Scottish Government’s minister for business, fair work and skills, Jamie Hepburn.

The units, already home to three businesses, were developed by Scottish Borders Council following the Scottish Government’s announcement of a £3.625 million funding package for Hawick from the local economic development capital grant fund in September 2016.

That followed the development of the Hawick Action Plan by a partnership including the council, the Scottish Government, Scottish Enterprise and local businesspeople.

Designed by the council’s in-house architects section, the single industrial building at Galalaw is divided into four units but is flexible, enabling businesses to expand into the adjacent units if required, and if the space is available. Local contractor Rodger Builders of Earlston undertook the main works.

The four units have provided business development and expansion opportunities, with an interior and flooring contractor, a plumbing and heating business and an energy efficient window, door and conservatory company in place so far.

In addition to the business units, the £3.625m funding is also being used to create a business incubator centre on the site of a derelict town centre property and improvements have already been made to business facilities at the town’s Tower Mill. In conjunction with the funding, the council agreed to undertake feasibility studies on other premises in Hawick to inform future investment opportunities.

• Derelict Dundee garage could become Malaysian restaurant

A derelict garage on a prominent Dundee thoroughfare could be transformed into a Malaysian restaurant.

The tyre fitting garage on Broughty Ferry Road, between Lunan Terrace and the Stannergate roundabout, has been out of use for about 20 years and has fallen into a significant state of disrepair.

Restaurateur Michael Chan – who also owns Dock Street eatery Rama Thai – has now put forward fresh plans to build on the land.

An unconventional design for the building shows a sloping roofline inspired by traditional Malay houses.

Planners say they don’t want the building – which artists’ impressions suggest will be named Penang Dragon – to look like a restaurant.

Council planners have until May 26 to make a decision on Mr Chan’s application.

• Another active year for Scottish hotels despite continued Brexit uncertainty

Trading levels remain strong in the Scottish hotel market, according to a new report published by accountancy and business advisory firm BDO.

BDO’s Hotel Britain report, which analyses the performance of UK hotels, reveals the sector experienced another year of positive results in 2018 despite the uncertainty around Brexit, a decrease in visitor numbers to the UK and slower economic growth.

Room yield growth in Scotland dropped by -6.3% compared to Wales (0.7%), England (0.5%) and Northern Ireland (-6.4%).  This is due to the increase in supply affecting occupancy rates as some 1,689 rooms opened across Edinburgh and Glasgow in 2018.  The pipeline looks set to continue at similar levels in 2019.

Edinburgh has the highest occupancy rate of any Scottish city at 83.1%, which was the third highest occupancy rate outside of London benefiting from continued strong leisure and corporate demand.  However, this was a drop on last year of -2.5% when Edinburgh achieved the highest occupancy of all UK cities, including London, as well as principal European capitals.  The occupancy rate for Glasgow also decreased slightly by -0.5% to 82.8%. 

Aberdeen saw occupancy rates rise by 6% to 67.2% reversing a four-year downward trend as oil prices recovered. However, in CAGR terms, it is still the poorest performing destination at -6.6%.

UK-wide, overseas visitor numbers decreased for the first time in eight years following a record-breaking year in 2017. However, passenger numbers at Edinburgh airport were up by 6.7%, the highest increase amongst the principal regional airports across the UK whilst Glasgow airport saw a reduction of -2.0%. 

However, visitor numbers are expected to rise next year with VisitBritain predicting that an additional 1 million people with visit the UK in 2019. BDO says this will be a welcome boost against a backdrop of political uncertainty.

• Social housing providers to access new fund to support active travel

A new fund to encourage more people to walk and cycle for everyday journeys is now available for registered social landlords in Scotland.

The Scottish Federation of Housing Associations (SFHA) is working in partnership with Cycling Scotland, Living Streets Scotland and Sustrans Scotland to provide £950,000 in funding from the Scottish Government.

The new Social Housing Fund for Improved Walking and Cycling Facilities is available to housing associations and tenement residential properties across Scotland to encourage and support active travel within communities. It will prioritise areas of high deprivation in order to encourage walking and cycling for more sustainable everyday journeys.

Social housing providers can apply for grants of up to £25,000 for a range of infrastructure proposals including cycle parking shelters, street furniture such as seating, litter bins, bollards and planters as well as improvements to access points and lighting.

• New fund to invest in green communities

Projects promoting green living through active travel, habitat restoration, and community growing will benefit from £264,000 of development funding.

The Central Scotland Green Network (CSGN) funding was announced by rural affairs and natural environment minister Mairi Gougeon, as she visited one of the 11 successful recipients.

Gorebridge Community Development Trust has been awarded £13,571 to develop a community garden that will include an outdoor play area and therapeutic space to promote physical and mental well-being.

The full list of CSGN development fund recipients 2019/20 can be found on the CSGN website.