It was destination Leeds in late May as the UK property industry once again looked towards UKREiiF for inspiration.

With so many people now attending fringe events rather than the conference itself, Lambert Smith Hampton hosted a breakfast panel event in our Leeds city centre office on the Wednesday morning with some excellent speakers and guests attending. 

In conjunction with Ben Holden of Landed magazine (a supplement to Showhouse Magazine the UK property industry’s answer to Vogue) our first Landowner forum addressed the issues facing the UK residential development market including infrastructure, viability, landowner aspirations, government policy and affordable housing.

To address these challenges we curated an expert panel involved at the sharp-end of these issues:

• Conan Farningham – Development Director at Sanctuary Housing;
• Andrew Byrne – Group Property Development Director at Devonshire Group;
• George Warren – Head of Integrated Water Management at Anglian Water; and
• Stephen Hemming – LSH Senior Director and Head of Planning Consultancy for the Midlands

As you would expect for a land and development event, Ben directed the opening questions to LSH’s planning expert. Steve Hemming provided an overview of the updates in the latest iteration of the NPPF, and set the scene for the remaining period of this Labour Government and what we can expect from the market. It was clear that whilst the changes to the planning system have made material improvements to the possibility and probability of building new sites, there are still massive barriers to viability led most notably by spiralling build costs, which have been worsened by the conflict in the Middle East.

Having echoed these challenges we reminded the audience that building completions in London had, practically speaking, ground to a halt and other landowners were reluctant to explore deals where the land value is lower than their expectations.

It was at this point that Andrew Byrne came in to give the landowner perspective and he agreed that the current market conditions meant that he would be waiting and watching before committing. He explained that the Devonshire Group, which owns historic estates like Chatsworth House, has extensive landholdings and therefore is unlike a landowner with just one ‘lottery ticket’ that has to be cashed in. This gives them the ability to think extremely long term and focus on the legacy of their decisions rather than just short-term profit expectations.

One challenge that has severe long-term consequences is the provision and treatment of water. Underfunding and profit maximisation in the water industry have been well publicised recently, and it is evident that to fulfil the ambitions of building the homes this country needs, our approach to water must change. Recent reports suggest there are 30,000 units across the country, including 7,000 affordable homes, that cannot be delivered as there is a shortage of water availability and sewage treatment capacity.

George Warren of Anglian Water outlined some ways for the water sector and the development sector to work together more collaboratively. One key aspect of improving housing estate’s approach to water is the use of water smart technology, such as rainwater harvesting and water re-use pipe systems. Developers were glad to hear that the additional costs of implementing the equipment is often partly or wholly covered by developer incentives offered by the water companies to encourage best practice in water use.

Speaking of affordable Homes, no one is better placed than Sanctuary Housing (one of the country’s largest RP’s) to comment on the challenges in that area of development and Conan Farningham gave a comprehensive view from a housing association perspective describing the challenges of making developments stack up with the previously outlined obstacles. Despite this, Conan was optimistic at Sanctuary’s intention of building 1,000 new homes per year and continuing to explore new opportunities in their priority areas.

He inspired the audience and fellow panel members to believe in the power of partnership. It was acknowledged that everyone in the room wants there to be a better future and that we are all working towards that aim. Therefore, the most effective way of achieving that outcome is to seek collaboration, be open-minded and honest, and share widely across sectors. If this event was a small encapsulation of this approach, then we feel confident that we are taking steps towards success.

Encouragingly, the common thread was a clear appetite for collaboration, with cross-sector partnerships and smarter infrastructure solutions offering a credible route to unlock sites and rebuild momentum suggesting that, with the right alignment, progress is not only possible but already underway.

Our first Landed x LSH at UKREiiF was a great success, and provided interesting and creative solutions to the challenges facing our housing market.  Look out for our next event coming soon!