MIPIM integral to growth in the Midlands
With only a week to go until the world’s largest property and real estate conference, the team at Gleeds are busy preparing to make this year’s MIPIM conference the most successful one yet. So what role does MIPIM play for continued growth and success for the Midlands Engine?
MIPIM is designed to facilitate discussion and networking between investors, local authorities and property professionals. With approximately 23,000 people descending on Cannes over four days, no other event in the world offers such unprecedented access to the most influential leaders in the property and real estate sector. Our role during this week is to showcase what the Midlands has to offer for investors - and we have a lot to shout about.
The government is looking to invest between 1% and 1.2% of GDP in infrastructure projects each year between 2020 and 2050. High Speed 2 will undoubtedly have a significant impact on the regional economy, allowing passengers to travel from Birmingham to London in 37 mins – a shorter commute than for those who live in parts of the South East and pay significantly more in house prices. This will help fuel growth in the commercial sector, and for the first time in recent history, we’re seeing stronger long-term opportunities in the Midlands commercial market in comparison to London, driven by companies tired of paying the premium the nation’s capital demands.
The private rental sector – known in the industry as PRS - is growing at a pace across the Midlands, with more opportunities for foreign investment than almost any other region. The Royal Institution of Chartered Surveyors recent Construction Market Survey indicates that the strongest quarterly rise in workload was reported in the private rental housing market. Listen to the news any night of the week and you will inevitably hear that the demand for housing far outweighs supply, and we’re seeing projects like The Lansdowne development and Legge Lane take shape as a result, looking to fill the void that public housing cannot resource.
But if you’re looking for a sector that utilises innovative investment solutions, the higher education market provides a shining example. Private/public partnership funding models have become increasingly popular, and are responsible for the creation of many university research and development facilities and improved student accommodation. The funding allows universities to build state-of-the-art facilities, with investors receiving high yielding returns. The recently completed GlaxoSmithKline (GSK) Carbon Neutral Laboratory for Sustainable Chemistry at the University of Nottingham epitomises this. Funded largely by GSK, the building serves as a hub for sustainable scientific advances and collaborations within the pharmaceuticals industry.
As the quality of these higher education increases and diversifies, universities become a catalyst for wider regional regeneration. Past are the days that universities were solely assessed on their academic reputation. Investment into infrastructure, accommodation and leisure projects are all part of the student experience these days. Not only will these improvements attract students to Midland universities, but they will help keep them in the local area once they’ve completed their education.