butes. What is important is that we work with the landowner if they bring a suitable site to us; our conviction is that we should all share in the opportunities, as that is the best way to become the sort of partner that people want to work with. We agree up-front the rewards for each party, which vary depending on investment to date and future risk and we stick by those agreements.” Ward says the important element of any scheme is its


potential to be dominant in its catchment: “We will either invest in assets with an end value of £40m to £60m, which are liquid in nature or alternatively those of £60m plus with potential to be regionally dominant destinations. The target opportunities must be in locations where we believe, or the local authority demonstrates, there is a strong case to achieve the necessary planning accreditations. “From a development and a competition for capital


perspective, we have to be flexible and be in a position to bring forward product that can be kept within our portfolio balance or sold to fit other property owners’ investment criteria,” says Ward, citing Crawley as another example. Land Securities is delivering a 75,000 sq ft superstore for Morrisons and a 110-bed hotel for Travelodge together with four restaurants, for a total of 120,000 sq ft. Work is expected to start in September 2012 and completion 14 months later.


Time for leisure Land Securities and Sainsbury’s also unveiled plans in October last year to take forward a big regeneration scheme in Selly Oak to transform a brownfield site in southwest Birmingham into a mixed-use development anchored by a 100,000 sq ft Sainsbury’s store. Two 150-room, mid-range hotels are also planned, both of which would be close to the University of Birmingham and the Queen Elizabeth Hospital, plus 400 student rooms and 100,000 sq ft of offices on the site. Ward points to the need to continue innovating and the


the edge Garratt Lane, Wandsworth


introduction of higher levels of leisure is one example of how the landscape of these schemes is changing dramatically. This is demonstrated at Thanet where there is not only an extensive retail offer including Debenhams, M&S, Topshop, Boots, Next, New Look, TK Maxx and River Island, but leisure operators including a Vue multiplex cinema, a 20,000 sq ft casino and a Travelodge hotel, plus dining options including Nando’s and Ask. “Bringing a partner with you in a scheme provides a number


of advantages,” says Ward. “The first advantage is the up-front capital and the reduced risk from having a strong covenant from the partner retailer. In terms of planning consents, bringing in a strong retailer helps from the perspective of presenting the employment benefit for the local area and also it is vital to undertake proper stakeholder consultation. That doesn’t mean paying lip service to the process but doing it properly and in good time. It really makes a difference.” With the continuing pressures on the high street, Ward


foresees a bright future for edge-of-town and out-of-town locations providing the right offer is brought to the table. “We’ve only scratched the surface on leisure as an opportu- nity, increasing dwell time will give these schemes a sense of place,” he says. “I can only see the sector getting stronger.” l


autumn 2012 29


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