2010 kent property market

2010 Kent Property MarketTHE ANNUAL GUIDE TO INVESTMENT & DEVELOPMENT IN KENT

1 Welcome

3 Property market

4 Economy

6 Business park performance

8 Office performance

10 Industrial and distribution performance

12 Retail performance

14 Feature on Kent Design

17 Legal update

18 Rural performance

20 Leisure and tourism performance

21 Residential performance

22 Inward investment

24 Regeneration

29 Green infrastructure and offshore wind power

30 Strategic developments

33 Contact details

34 Acknowledgements

Contents

KENT PROPERTY MARKET 2010

St James the Great Primary School, West Malling

1

WelcomeWelcome to the nineteenth edition of the Kent PropertyMarket Report, produced by Kent County Council’sregeneration and economy division, Cluttons LLP andLocate in Kent, with support from Cripps Harries Hall LLPand Smiths Gore, and endorsed by RICS.

The report reviews activity and major property dealsthroughout 2009-10, showing that despite the economicoutlook, the Kent commercial property sector is continuingto perform comparatively well against the UK and southeast. The report also looks in detail at the rural, retail,tourism and housing sectors.

The economy section reports that although there is shallowand uncertain growth forecast for the UK in 2010-11, Kentis in a favourable position compared to some other parts ofthe country due to its diversity and lack of dependence ona single sector. The area is also starting to reap the benefitsof the new high speed trains and despite the downturn,development plans are well advanced and proceeding,and include some of the most significant investmentopportunities in the south east.

The regeneration section features current and planneddevelopments across Kent and Medway, focusingparticularly on the growth areas of Thames Gateway Kentand Ashford and also regeneration projects in Canterburyand the coastal towns.

This year’s report also highlights the importance of gooddesign in all types of development that meets clients’ andgovernment’s expectations, especially during a challengingeconomic environment.

The strategic developments pages feature all keycommercial sites and developments throughout Kent, aswell as providing useful contact details and location map.

The full report can also be accessed via an interactivewebsite www.kentpropertymarket.com.

If you would like further information on any of thedevelopments or projects featured please do not hesitateto contact us. For contact details please see page 33.

Cluttons LLP is an independent, professional firm ofchartered surveyors delivering a wide range of commercialand residential property services including professionaland valuation advice, property management, agency anddevelopment advice, rating, and project and buildingconsultancy.

Kent County Council’s regeneration and economy divisionis responsible for working with the public, private andvoluntary sectors to support Kent’s economy, bring forwardsustainable communities and encourage new business.

Locate in Kent provides a comprehensive, confidentialand free business relocation and advisory service for allcompanies looking to relocate to or expand in Kent andMedway.

We hope you find the report useful and informative.

Kevin Lynes - Cabinet Member for Regenerationand Economic Development, Kent County Council

Alison Owen - Partner, Cluttons LLP

Paul Wookey - Chief Executive, Locate in Kent Ltd

High Speed domestic train

2


Beaufort is a beachfront development of luxury apartments,consisting of two contemporary buildings, just 30m from

Sandgate Castle. (Architect: Lee Evans Partnership)

Beaufort Apartments, Sandgate

3

UK property marketThe stabilisation of the UK commercial property market hascontinued over the last year; the IPD index shows that UKtotal returns remained in positive territory through the secondhalf of 2009 and into 2010 across all property sectors.

In the first half of 2010 investment levels were up year-on-yearwith around £16.4billion of commercial property transactionstaking place to the end of July. However, levels remain wellbelow the heady days of 2007 as the availability of debtfinance for commercial property remains much lower.

Over the last year the focus for most lenders has beenon getting existing loans in order rather than investingin new business, with many actively seeking to reduce theirexposure to commercial property. Although lending acrossthe year increased marginally from 2009, there are as yetfew signs of a significant recovery.

Looking forward, capital values are expected to increaseby 6% by the end of 2010, before weakening in 2011 witha small rise of 2%, followed by some improvement in 2012.Rental values are expected to fall in 2010 by -2%, returningto positive growth in 2012 after a year of static values. Allproperty total return is predicted to be 8% in 2011, whilstover the longer term, the period 2010 to 2014 is expectedto show total returns of 10.3% per annum.

Kent property marketTen years of positive rental value growth for Kent offices cameto an end in 2009, with rental values showing a fall of -4.8%.Despite the sharp decline, Kent has continued to outperformboth the UK and south east averages, where office rentalvalues in 2009 fell by -13.7% and -7.7% respectively.

In 2009, Kent office yields rose by just 15bp*, remarkablylower than the rise of 244bp recorded in 2008. Nationaltrends demonstrated that after a lengthening of yields inthe first half of 2009, the latter half of the year saw someyield compression. In the south east region, yields rose by10bp to 9.4%, whereas the UK average yield shortened by30bp to 8.0%.

Industrial rental values in Kent suffered for the secondconsecutive year in 2009 with values declining by -2.6%,although not as dramatic as the UK average whichdiminished by -4.5%. In spite of the reduction in rents,industrial yields in Kent shortened 37bp to 8.8% during2009. This reduction compares with a fall of 10bp forboth the UK and the south east.

High street retail rental values took a dramatic turn in 2009as retailers suffered from consumer retrenchment; in Kentalone rental values fell by -5.2%. High street retail yieldsshortened, with yield compression of 49bp to 7.3% seen inthe latter months of 2009. The UK and south east showedsimilar trends, with yields shortening by 40bp to 7.1% and60bp to 7.0% respectively.

Throughout the year there has been a significant decline inretail warehouse rental values with Kent values down -7.3%in 2009, following a fall of -0.5% in 2008. Values nationallyfell more softly by -6.0% in 2009, following a fall of -0.4%and across the south east values fell similarly by -5.9% in2009 and -0.5% in 2008. In terms of yields, retail warehouseshortened across the UK, south east and Kent to 7.1%.

*basis points (bp)

Property Market

%p.

a.

2005

2006

2007

2011

2012

2010

2008

2009

All property Retail Office Industrial

-15

-20

-25

-10

-5

0

5

10

15

20

25

Source: Cluttons LLP

Forecast

%C

hang

ea

year

Equities Gilts Property


Dec

2000

Dec

2001

Dec

2002

Dec

2003

Dec

2004

Dec

2005

Dec

2006

Dec

2007

Dec

2008

Dec

2009

0

2

4

6

8

10

UK property total returns

Investment yields

4

Global economic outlookIn most economies, the past year has seen an end to thedeepest recession in recent decades. After sharp falls inoutput in 2008 and 2009, Britain, Europe and the UnitedStates have returned to growth in 2010. Meanwhile, theemerging markets of Asia continue to expand rapidly.

However, there are still dangers ahead. Concerns overlevels of sovereign debt in several European countries havehighlighted the risks of government borrowing, with austeritymeasures being implemented across the continent.As stimulus packages come to an end and governments’focus on retrenchment, the risk of falling demand impactinggrowth is real.

The outlook for the UKBritain is growing again. The quarter on quarter growth rate inthe three months to June 2010 was the fastest in nine years,and average forecasts project growth of 1.5% in 2010, risingto 1.9% in 2011. This outlook is rather better than that of theeurozone, reflecting improvements in Britain’s competitiveposition following the depreciation of sterling in 2008/09.Interest rates are unchanged at 0.5% since 2009 and are likelyto remain low.

Government policy in 2010 will focus particularly on thestabilisation and reduction of the UK’s budget deficit,historically high at 10.5% of GDP. The government hasannounced significant spending cuts, with a rise in VAT to 20%kicking in from January 2011. While reducing future costs of

borrowing and market pressure, these measures may limitdemand in the short to medium term.

The election of the new government in May also marked achange in regional economic policy, with the abolition of regionaldevelopment agencies. This is likely to lead to increasingcompetition for public investment between different parts of thecountry and a sharper emphasis on job and business creation,and Kent is currently preparing for this change.

The outlook for KentKent generally tracks the performance of the nationaleconomy. GDP growth forecasts for the county are thereforelikely to reflect how the UK fares in 2010/11, with theeconomy returning to growth.

However, the county is in a favourable position comparedwith some other parts of the country. Unemployment remainsbelow the national average and has stabilised over the pastyear following sharp rises during the recession. Kent’seconomy is likely to benefit from its diversity and lack ofdependence on any single sector. It will also be assisted byits proximity to London, given the likelihood of faster growthin the capital than in other parts of the country.

In addition, Kent is starting to reap the benefits of major recentinfrastructure investment. High Speed domestic rail servicesbetween Ashford, North Kent, East Kent and London beganin December 2009, dramatically reducing journey times andincreasing the county’s long-term attractiveness as a businesslocation. Despite the recent downturn, development plansfor Kent’s regeneration and growth areas in the ThamesGateway, Ashford and the coastal and principal towns areadvancing, including some of the most significant investmentopportunities in the south east.

All figures include Medway, apart from those marked * which are for the KCC area only.Source: Compiled by Research and Intelligence, Kent County Council, April 2010

NB. Growth projections are taken from the Economist Poll of Forecasters, October averages and Economist Intelligence Unit estimates

Economy


Indicator Kent South East GB/UK Source Date

Gross value added (GVA) per head (£) £16,102 £21,248 £20,430 2007

Gross disposable household income per head (£)* £15,587 £16,792 £14,889 2008

Gross median full-time weekly earnings (£)* £520 £536 £491 2009

No qualifications (%) - working age* 11.7% 8.9% 12.4% 2008

NVQ 1 (%) - working age* 16.8% 14.5% 13.7% 2008

NVQ 2 (%) - working age* 16.9% 16.1% 16.0% 2008

NVQ 3 (%) - working age* 18.4% 17.3% 15.9% 2008

NVQ 4 or above (%) - working age* 25.6% 31.5% 29.0% 2008

Employee change 1998-2008 (%) 12.6% 9.7% 9.5% 2008

% Employees in the knowledge economy 14.0% 20.6% 18.7% 2008

Annual average unemployment rate (%) 3.2% 2.9% 4.0% 2009

New businesses as a % of stock 11.1% 10.9% 11.7% 2008

Business survival rates after 3 years (%) 63.3% 67.4% 64.6% 2008

Competitiveness indicators

5

The Quays consist of two landmark towersand a five storey wharf, with leisure and retailfacilities, set in the heart of Chatham Maritime.

The Quays, Chatham

Across the south east headline rents have shown little growthover the past year but the region has fared relatively wellcompared with the rest of the UK, where the IPD index hasshown the value of prime business parks fell by 4.1% overthe last 12 months. Within Kent, headline rents suggest slightimprovement, but as tenants negotiate for favourable termsthe underlying rental values have fallen around 5%.

Around 45% of transactions involved new space on businessparks. At Kings Hill, Liberty Property Trust UK achieved a100% tenant retention throughout 2009 into 2010. New take-up on the park equated to 13.3% of total new take-up for thesouth east. As a result, Kings Hill occupancy at the start of2010 was 97% and is on target to end 2010 at around thesame level.

As supply continues to decline on the main business parksin Kent we would expect rental values to hold firm. Thiscompares favourably to M25 and M4 locations wherevacancy remains high and landlords are expected to offertenants concessions to stay.

Activity at Crossways, Dartford has been steady. Towardsthe end of 2009, Kuehne & Nagel took a 10 year lease on1,579m2 (17,000ft2) at Lakeview East at £215.38m2 (£20ft2),while Balfour Beatty secured 1,133m2 (12,200ft2) atCrossways Point at £247.57m2 (£23ft2). Waterside Court hasattracted lettings of units 2, 5 and 9 at £242.20m2 (£22.50ft2).

As banks have continued to restrict lending criteria forwould-be-purchasers, Frogmore Estates has respondedby introducing a ‘freezehold’ scheme at their SchoonerPark and Waterside Court developments. The initiativeallows occupiers to lease premises first and buy later ata predetermined price, as recently completed by GunningTransmission and Distribution Services on unit 5.

Gillingham Business Park has welcomed new lettings in theyear, with STI Line Packaging taking 2,398m2 (25,811ft2) atPhase 19, and a sale of the same unit is currently progressing.

The likelihood of speculative development in the immediateterm is slim, but plans are being put in place. At Kings Hill,detailed planning consent has been granted for the OfficeCampus which will provide 6,968m2 (75,000ft2) over sixoffice buildings available on a leasehold and freehold basis.Development will commence once the scheme is 50%pre-let or demand increases sufficiently to warrant constructionon a speculative basis. Adjacent to this site, Rolex completedits new headquarters building earlier this year.

With Northdown and Herald now 100% occupied at EurekaPark, Ashford, Quadrant Estates is hoping to commence thetender process later in the year with a view to completing

Northdown II by July 2011. The scheme will provide twobuildings offering units of 158m2 (1,700ft2) to 1,394m2

(15,000 ft2). All but one of the units at Eureka Place are let.

At White Cliffs Business Park, Dover, Muse Developmentshas submitted an application for a turnkey development,while Hulssems Holdings has already received permissionto build three new industrial units totalling 15,280m2

(164,474ft2).

Prime yields for business parks in the south east haverisen to 6.25%, driven for the most part by a lack ofavailability of large quality lots. More recently investorsare concentrating on prime stock and sentiment appearsto be softening as caution comes into play. Deals to notein the county include the sale of Imperial Tobacco PensionTrustees’ 26 Kings Hill Avenue to Aviva Investors for£6.25million, representing a yield of 8.45%.

Business Park Performance

6


£/m

2

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Par

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Arl

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2008-092007-08 2009-102006-07

0

50

100


150

200

300

350

250

Eure

kaP

ark,

Ash

ford

Business park rents

Lakeview East & West, Crossways, Dartford

Courtesy of Frogmore Estates

7

Lettings

Location Landlord Tenant Size ft2 Rent (pa) Lease Term Agent

Herald, Eureka Park, Ashford Quadrant Estates Smiths Medical International 11,550 £225,23515 years with tenantsbreak in 2020

Martine Waghorn,Knight Frank, Bidwells

10 Kings Hill Avenue, Kings Hill Kings Hill Unit Trust Tieto UK Ltd 4,596 Confidential 9 yearsAltus Edwin Hill, HanoverGreen, Knight Frank

11 Tower View, Kings Hill Kings Hill Unit Trust Skye-IT Ltd 2,594 Confidential 10 yearsAltus Edwin Hill, HanoverGreen, Knight Frank

Suite 2 Inca House, Eureka Park Merritts Properties E&C NHS PCT 2,359 £30,000 12 years Taylor Riley

Unit 5 Schooner Park,Crossways Business Park, Dartford

Frogmore Estates LtdGunning Transmission andDistribution Services

1,094 £12,63510 years (with optionto purchase)

Altus Edwin Hill,CB Richard Ellis

Sales

Location Vendor Purchaser Size ft2 Tenant Price Income Yield Agent

Lakeview East, CrosswaysBusiness Park, Dartford

Frogmore Developments Limited Clerical Medical 17,085Kuehne & NagelLimited

£4.03million £341,700 7.93Egan Lawson LLP,Tudor Toone

Collingwood House,Crossways Business Park, Dartford

Private client Private individual 8,048 vacant £1.6million n/a n/a Caxtons

13-14 Swan Business Park, Dartford Downtown London Ltd Confidential 3,000 vacant £400,000 n/a n/a Glenny LLP

Courtesy of Frogmore EstatesCourtesy of Liberty Property Trust UK Courtesy of Quadrant Estates

Schooner Park, Crossways, DartfordOffice Campus, Kings Hill Northdown II, Eureka Park, Ashford

Office Performance

8


In the wake of the recession, occupier demand hascontinued to fall away, with take up in the south east asa whole down nearly 50%. That said, although availabilityincreased significantly during the first half of 2009, it fellduring the first half of 2010.

As few occupiers have had the capacity to expand, thereremains an absence of requirements for accommodation over465m2 (5,000ft2), but with limited large floor plates, or evenmodern space available, rents in Kent have remained firm.However, the market continues to be dictated by short term,flexible agreements.

Those occupiers of good covenant strength able to committo longer lease terms have been well placed in negotiations.In Sevenoaks, Bel UK has taken 929m2 (10,000ft2) at BT’sheadquarters building on a 10 year lease at a rent around£215m2 (£20ft2). Partly vacated by BT in 2008, the spacewas initially available at £269m2 (£25ft2).

Demand for leasehold rural offices remains reasonablybuoyant. At Bradbourne Stables, East Malling, numerouslettings have been achieved throughout the year withheadline rents achieving £172m2 (£16ft2).

As occupier demand dwindles, property owners have had toreconsider their strategies for vacant buildings. In Chatham,the 7,711m² (83,000ft2) Mountbatten House has struggled tofind new tenants since Lloyds TSB vacated in 2008. Mapeleyhas appointed Thamesis Estates to oversee letting a third ofthe building to a hotel chain whilst the remainder is refurbished.

Town centre office development remains stagnant, limitingthe supply of new, modern space. A number of towns aredominated by second hand stock. At Eclipse Park,Maidstone, construction of phase 2 remains inactive pendinginterested occupiers looking to pre-let space. Developmenton the site looks set to continue however, with Gallagheracquiring planning permission for a 150-bed businesshotel earlier this year.

In Canterbury, the local office market is set for a boostwith the city council’s decision to grant Palace EstatesDevelopments Ltd planning permission for up to 5,000m²(53,820ft2) of high-quality office space at the formerWyevale Garden Centre site, Upper Harbledown.

At Cheriton Parc, Folkestone, Paraholdings Limited hascommenced work on a single office building of 1,129m²(12,150ft2), which will be part owner-occupied, part let and

in Sittingbourne, Conqueror Court, Watermark, has witnesseda flurry of lettings.

In Dover, one of the UK’s most energy efficient offices has beendeveloped at Beechwood Business Park, Port Zone. Thebuilding, claimed to be 80% more efficient than conventionaldesigns, has been developed by Van Developments for WCRProperty to Passivhaus standards. Features include triple glazedwindows and an external wall insulation system whichdramatically reduces running costs and lowers carbonfootprints. Interest has been received from several occupierslooking for a flagship building with green credentials.

In spite of office investment transactions remaining limited,sentiment has improved and yields are beginning to stabilise;UK-wide yields fell 1% between quarter three 2009 and thebeginning of 2010. Across the south east, average primeyields improved from 7.25% in quarter three 2009, to 6.25%through the first two quarters of 2010. In Kent, thereis evidence of an appetite for well-let properties, althoughthere is limited stock coming to the market. In TunbridgeWells, Longford House, a 2,109m² (22,701ft²) four storeybuilding sold in June 2010 at a net initial yield of 9.9%. InMaidstone, Press Print House sold at auction for £312,000,equating to a yield of 7.21%.

New hotel planned for Eclipse Park, Maidstone Beechwood Business Park, Dover Springfield Square, Maidstone

9%

Yiel

d

Kent UK South East


Dec

1996

Dec

1997

Dec

1998

Dec

1999

Dec

2000

Dec

2001

Dec

2002

Dec

2003

Dec

2004

Dec

2005

Dec

2006

Dec

2007

Dec

2008

Dec

2009

5

6

7

8

9

10

11

12

Office average yields%

Cha

nge

aye

ar

Dec

1996

Dec

1997

Dec

1998

Dec

1999

Dec

2000

Dec

2001

Dec

2002

Dec

2003

Dec

2004

Dec

2005

Dec

2006

Dec

2007

Dec

2008

Dec

2009

Kent UK South East


-15

-10

-5

0

5

10

15

£/m

2

Ash

ford

Can

terb

ury

Dar

tfor

d

Dov

er

Folk

esto

ne

Gra

vese

nd

Mai

dsto

ne

Med

way

Seve

noak

s

Sitt

ingb

ourn

e

Tonb

ridg

e

T.W

ells

Than

et

2008-092007-082006-07

0

50

100

150

200

250

300


2009-10

Office rental growthOffice rents

Sales


Lyndean House, Maidstone Knightley Properties Ltd Private individual 12,131Various,part vacant

£600,000£31,000 receivable(£84,000 ERV)

– Clive Emson, Cluttons LLP

Units 1 and 2 Conqueror Court, Watermark,Sittingbourne

Highcross Selt 8,507 n/a £1.4m n/a n/aBNP Paribas Real Estate,Harrisons, Watson Day

Brewery House, Westerham Antler Property Private company 3,700 n/a £750,000 n/a n/a Karrison

Lettings


1 Hermitage Court, Maidstone Gallagher Group MCCH 12,250 £251,125 15 years Altus Edwin Hill, Sibley Pares

1 & 2 Tolherst Court, Maidstone Teresa Ltd Aldermore Bank Plc 4,057 £85,197 6 years Martine Waghorn

7 Conqueror Court, Watermark, Sittingbourne Highcross Balfour Beatty 3,052 £31,710 10 years BNP Paribas Real Estate, Harrisons, Watson Day

Oxford House, Mount Ephraim Road, Tunbridge Wells Sion Holdings Ward Mackenzie 1,495 £22,425 5 years (break at third) Durlings

Industrial and Distribution Performance

10


Lettings


The Teardrop Centre, Swanley SEGRO Ideal Waste Paper 67,513 £472,590 15 yearsAltus Edwin Hill,CB Richard Ellis

Unit 4 Larkfield Mill, Aylesford O Twelve Estates All Saints Retail 44,880 £224,400 10 yearsAltus Edwin Hill,Strutt & Parker

Units 3 and 4, BrunswickIndustrial Estate, Ashford

B-Serv Menzies Distribution 12,775 £86,250 15 years Bidwells, Taylor Riley

3 Haslemere Industrial Estate, Parkwood Milton (BVI) Ltd Atlantis Enterprises Ltd 8,127 £52,825 10 yearsAltus Edwin Hill,Martine Waghorn,

Unit 6, Nimbus Enterprise Park,Maidstone

Valad Property Group andBenchmark

Balreed Digital Limited 7,062 £56,496 10 yearsCore Commercial,Altus Edwin Hill

The latest CBI surveys report that the manufacturing sectorremains on the path to recovery with improving overseas ordersand UK exports. Employment has also stabilised. Despitethis, the sector remains under pressure due to increases inoutput prices, with unit costs up 26% over the last quarter.

Occupier demand across the county diminished throughout2009/2010 with pressure on values. There is evidence ofprime headline rents holding, (Frogmore’s Schooner Park onCrossways Business Park achieved £123.77m2 (£11.50ft2)),but with occupiers being offered favourable incentives, actualrents across the county have fallen. That said, the limitedsupply of larger size or new buildings has led to a slowerfall in rental values compared to the rest of the UK.

In spite of poor uptake of space, warehousing demandremains, especially from distribution and waste and recyclingoperators, with trends showing occupiers reverting back tocore distribution locations within the M25. At The Interchange,Swanley, O Twelve Estates secured Dreams Bed Superstoreson a 10 year lease for 4,494m2 (48,373ft2) at £70m2 (£6.50ft2),and Ideal Waste Paper took 6,272m2 (67,511ft2) at TheTeardrop Centre, Swanley.

Plans to build larger prime space continue to come forward,however. Following their success at G-Park, Sittingbourne,Gazeley has gained planning consent for a 25,548m2

(275,000ft2) high bay building at junction 2 of the M2at Strood.

After an encouraging summer, smaller manufacturing andproduction companies expect a slow down to the end of2010. Demand for smaller unit schemes therefore remainsweak, especially where a number of speculativedevelopments were carried out, and capital values inparticular have been reduced. At Equilibrium, Parkwood,phase 1 of the development has recently completed withone letting already achieved. Phase 2 is on hold due toprevailing economic conditions.

With site preparation almost complete, formal marketingof phase 1 Neats Court, Isle of Sheppey has commenced.Plots are available from 0.40ha to 8.09ha (1ac to 20ac)with planning permission for B1, B2 and B8 uses.

At Orbital Park, Ashford, new development continues withSupercups Vending Ltd building a bespoke 696.75m2 (7,500ft2)

headquarters building. Salmon Harvester owns the lastsignificant parcel of land available for development on the park.

To the east of the county, developer China Gateway Internationalhas revealed schemes for 66,889m2 (720,000ft2) of space at its42.9ha (106ac) site at Manston. China Gateway achieved consentfor a 139,353m2 (1.5mft2) development in 2008 but due to lack offunding has altered the scheme, to build six globalisation centreswhich will house small and medium sized enterprises.

In Maidstone, following a public enquiry, AXA Real EstateInvestment Manager’s plans for Kent International Gatewayrail freight scheme have been dropped.

In spite of challenging occupier markets, industrial investmenthas been relatively active with an improvement in yields forbetter stock. In the county, this is led by the lack of supply withprime yields in the region of 7-7.25%, while older stock is still8.5% plus. Earlier this year, O Twelve sold The Interchange fora consideration of £24.4million representing a net initial yield of6.8%, a fall of £1.4million on its initial purchase in 2007, whileHaslemere Industrial Estate, Maidstone, recently sold for around6.4% having previously sold in December 2008 at 8.9%.

11%

Yiel

d

Kent UK South East


Dec

1996

Dec

1997

Dec

1998

Dec

1999

Dec

2000

Dec

2001

Dec

2002

Dec

2003

Dec

2004

Dec

2005

Dec

2006

Dec

2007

Dec

2008

Dec

2009

5

6

7

8

9

10

11

12

Industrial average yields

%C

hang

ea

year

Kent UK South East


Dec

1996

Dec

1997

Dec

1998

Dec

1999

Dec

2000

Dec

2001

Dec

2002

Dec

2003

Dec

2004

Dec

2005

Dec

2006

Dec

2007

Dec

2008

Dec

2009

-6

-4

-2

0

2

4

6

8

10

£/m

2

Ash

ford

Can

terb

ury

Dar

tfor

d

Dov

er

Folk

esto

ne

Gra

vese

nd

Mai

dsto

ne

Med

way

Seve

noak

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Sitt

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ourn

e

Tonb

ridg

e

T.W

ells

Than

et

0

20

40

60

80

100


2008-092007-082006-07 2009-10

Industrial rental growthIndustrial rents

Sales


Spectrum West, 20/20Industrial Estate, Maidstone

Private clientKnight FrankIM LLP

101,516 Various £8.4m £633,755 7.55 Jones Lang LaSalle

Connections Industrial Estate,Vestry Road, Sevenoaks

Private pension fundLegal & General PropertyPartners Limited

82,740 Various £8.7m n/a 7.30 King Sturge

Haslemere Trading Estate, Parkwood Milton Group Invista REIM 62,370 Various £4.3m £279,000 6.42 Strutt and Parker

Premises at ShearwayBusiness Park, Folkestone

Private client Private client 18,000Church & DwightUK Ltd

£950,000 £87,500 9.21Clive Emson, SmithWoolley & Perry

18/22 John Wilson Business Park,Whitstable

Alburn QStraint 4,900 Vacant £395,000 n/a n/a BTF

Retail Performance

12


Lettings


86-88 Week Street, Maidstone Ambassador Holdings Limited Tesco Stores Ltd 5,300 £50,00020 years (5 yearly reviews,tenant break at year 10)

Jackson Criss,Morgan Williams

143 High Street, Sevenoaks Birchtree Properties Ltd Valentinas 2,230 £50,000 10 years Durlings

58 Calverley Road, Tunbridge Wells Taurus Holdings Card Factory 1,784 £65,000 10 yearsBrian Cradick & Company,Picton Jones & Co

16 High Street, Canterbury Private client Money Shop 1,350£62,800net rent

10 yearsBrian Cradick & Company,Reid Rose Gregory

8 Eureka Place, Ashford Quadrant Estates Unique Seafood Ltd 930 £20,46020 years(tenant break at 10)

Martine Waghorn

The CBI surveys suggested a modest improvement in retailsales volume during the first quarter of 2010, with a suddendrop during May and June. The FIFA World Cup appearsto have contributed towards better sales performance duringJuly into August, but given the forthcoming austerity measures,recovery in consumer spending is expected to be restrained.

In all but three locations, Kent towns have witnessed a fallin high street rental values. With the public sector pay freeze,cuts, and the VAT rise due in January, rental growth prospectsare limited.

That said, the vacancy rate within Kent remains below the15% national average. Former Woolworths stores within sixtowns have found new occupiers. Supermarkets continue tobe fairly active, with Tesco leasing a unit on Week Street,Maidstone, and a 371m2 (4,000ft2) store in Folkestone for20 years at £57,500pa. However, Asda has withdrawn plansfor a new store within the Dover Town Investment Zone. Thecouncil is continuing negotiations with Bond City Limited with aview to submitting alternative proposals in November 2010.

Bluewater reported six months of consecutive salesgrowth, and secured new retailers including Uniqlo, AllSaints, HedKandi and Kraft’s first Cadbury Cocoa House.Rents remain higher than at other regional shoppingcentres, with the exception of Brent Cross.

John Lewis is set to open a John Lewis at home shop atKingstanding Business Park, Tunbridge Wells, investing£9million in the 4,545m2 (50,000ft2) store.

Planning permission has been secured on the formercinema site in Tunbridge Wells comprising 9,940m2

(107,000ft2) of retail plus hotel, with bids from prospectivepurchasers submitted in August 2010.

The retail warehouse market has improved with continuingdemand in Maidstone, Canterbury and Tunbridge Wellswhere rents have reached £301.39m2 (£28ft2). Developmentcontinues at Fountains Park, Tunbridge Wells, with phase 2nearing completion. The Link, Westwood Cross, whichopened in early 2009, has attracted Smyths Toys andHobbycraft, although seven units remain vacant.

Westwood Retail Park was redeveloped in early 2009, andis now fully let. Rents achieved range between £258.35m2

to £269.10m2 (£24ft2 to £25ft2).

Investor activity has improved since late 2009, but it isconcentrated on prime property. Overall yields for high streetunits have hardened, with some small lots performing betterthan expected, particularly at auction. The gap betweenyields for prime and secondary stock has continued towiden. IPD suggests prime yields across the south eastof 5.5% in July 2010 compared with 6.5% in July 2009.Secondary stock yields remain between 7.5% and 8.5%.

The strong investor appetite for retail parks and shoppingcentres during the end of 2009 into 2010 is softening,especially for secondary schemes. Aviva Investors pulledout of purchasing Fremlin Walk, Maidstone in June, whichwould have represented a yield of around 6.5%. However,two months earlier Ignis UK Property Fund bought the7,246m2 (78,000ft2) Bligh’s Meadow, Sevenoaks at areported £27.9million, a yield of 5.93%.

13%

Yiel

d

Kent UK South East


Dec

1996

Dec

1997

Dec

1998

Dec

1999

Dec

2000

Dec

2001

Dec

2002

Dec

2003

Dec

2004

Dec

2005

Dec

2006

Dec

2007

Dec

2008

Dec

2009

4

5

6

7

8

9

10

High street retail average yields

Kent UK South East


Dec

1996

Dec

1997

Dec

1998

Dec

1999

Dec

2000

Dec

2001

Dec

2002

Dec

2003

Dec

2004

Dec

2005

Dec

2006

Dec

2007

Dec

2008

Dec

2009

%C

hang

ea

year

-6

-8

-4

-2

0

2

4

6

8

£/m

2

Ash

ford

Can

terb

ury

Dar

tfor

d

Dov

er

Folk

esto

ne

Gra

vese

nd

Mai

dsto

ne

Med

way

Seve

noak

s

Sitt

ingb

ourn

e

Tonb

ridg

e

T.W

ells

Than

et

0

500

1000

1500

2000

2500


2008-092007-082006-07 2009-10

High street retail rental growthRetail rents

Sales


Bridge Street, Dover Private investorColliers Capital UKLimited

50,700 Morrisons £17.3m £912,604 5.29Edgerley Simpson HoweLLP, Stockford Staunton

20/21 High Street and 13 Best Lane,Canterbury

Canada Life Group CBRE Investors 10,118French Connection,Oxfam, WH Smith

£3.6m £263,750 7.34Hoddell StotesburyMorgan

104 Foord Road, Folkestone Private client Private investor 4,367 Tesco Stores Limited £1m £60,000 5.82 Allsop

12-14 St George’s Street, Canterbury LaSalle Management Private individual 4,133 Next, Phones 4U £2.8m£215,560Net rent

7.7Hartnell Taylor Cook LLP,Lewis & Partners

24 Week Street, Maidstone PrivateHart StreetProperties Ltd

2,653 TUI UK Retail Ltd £935,000 £76,600 8.19 Cushman Wakefield

13 High Street, Deal Private individualGeorge RileyEstates Limited

1,582 Specsavers £630,000 £43,460 6.9 Harmer Ray Hoffband

9 High Street, Whitstable Private individual Private individual 1,431 Costa Ltd £615,000 £39,000 6.34 Allsop

14


Singleton Environment Centre, Ashford Restored Crypt, Darnley Mausoleum 2010 North Kent Police Station, Gravesend

Kent DesignThe challenge of good design –a partnership approachGood design is an important component in creating highquality places, homes and neighbourhoods. Key to achievingthis is the understanding of context, local distinctiveness,identity and character of an existing place - as well as theconstraints and opportunities offered. The value of gooddesign and the positive links with crime, health and wellbeing, reducing environmental impacts, community cohesionand economic drivers for growth is now well recognised.

In a challenging economic environment, it is important thatthe barriers to good design are understood, and a holisticapproach applied to achieving good design in order tocontinue to influence and deliver genuinely sustainable andmixed communities - without diluting quality.

This has been recognised by the new government which hasrecently made housing design a priority and called upon UKarchitects to ensure they create good design and delivermore benefits to the local community.

Principles of good designDesign principles of successful streets, spaces,villages, towns and cities consist of the followingcharacteristics:

• Character - a place with its own identity;

• Continuity and enclosure - a place where publicand private spaces are clearly distinguished;

• Quality public realm - a place with attractive andsuccessful outdoor areas;

• Ease of movement - a place that is easy to getto and move through;

• Legibility - a place that has a clear image and iseasy to understand;

• Adaptability - a place that can change easily;

• Diversity - a place with variety and choice.

The Kent Design Initiative (KDI), led by Kent CountyCouncil (KCC), is an informal partnership which bringstogether all the key sectors of the developmentindustry -

• Local authorities (who also part-fund the KDI);

• Investors;

• The construction industry;

• Architects, planners and other designprofessionals;

• Environmental bodies;

• Commission for Architecture & the BuiltEnvironment and the Kent Architecture Centre;

• Universities and amenity groups.

– to encourage and work together towards deliveringgood design and high quality, sustainable communitiesfor Kent’s residents.

15

El Ray is a new two bedroom house on Dungeness Beachincorporating a 19th century railway carriage that formedthe original house and now accommodates the kitchen.(Architect: Simon Conder Associates).

El Ray, Dungeness

16


Kent Design GuideThe Kent Design Guide was adopted as supplementaryguidance by most of Kent’s Local Planning Authorities.It also has an extensive suite of documents and technicalappendices, ranging from biodiversity to sustainableconstruction, to provide guidance and advice on achievinghigh standards of design, sustainability and place-making.It is a key starting point when creating local planning briefs,urban design documents and related supplementaryplanning guidance.

What has the Kent Design Initiative done so far?• The Kent Design team is working closely with Kent

councils to ensure that new policy and/or advice aimedat promoting good design is endorsed as supplementaryplanning guidance and continues to be reflected in localplanning policy and decision-making.

• The initiative continues to update and revise existingtechnical appendices in conjunction with the productionof new appendices on key themes for the Kent DesignGuide to comply with new legislation and guidance fromcentral government.

• Through the promotions and marketing strategy it israising awareness and widening its design network.

• The highly successful 2010 Kent Design awardsceremony, presented this year by Lady Bruce-Lockhart,continues to celebrate best practice and exemplarprojects in Kent.

• Evening seminars, three each year organised by theKent Design Initiative Forum.

• Developing a knowledge base and integrated trainingprogramme to ensure that skills within Kent keep pacewith changing legislation and advice on design standards.Themes include: inclusive design and place-making,parking standards, adapting to climate change, applicationof the Code for Sustainable Homes (CfSH), residentialspace standards, designing out crime (secured by Design),the Building for Life standards (BfL) and Lifetime Homes.

For further information, please contact:Katherine Putnam,Kent Design Manager,Regeneration & Economy Division,Kent County Council Tel: 01622 696958.

www.kent.gov.uk/community_and_living/regeneration_and_economy/kent_design_initiative.aspx

Crossway, Staplehurst

The rise of localismThe planning system has been the subject of attentionby incoming governments for many years. The coalitiongovernment is no different.

The Secretary of State abolished Regional Spatial Strategiesin July 2010. This removed the regional level of planningin an instant - which has caused particular concern in theresidential sector. The top down regional housing supplyrequirements have been abolished meaning local planningauthorities are now free to set their own housing supplyrequirements. This has placed far greater control at the locallevel but with it comes increased responsibility to determinethe amount of development to be built. The government has

stated that housing numbers should not be imposed oncommunities from on high. This is at the heart of thegovernment’s localism agenda.

Other changes to the planning system have includedthe removal of back gardens from the definition ofbrownfield land and removal of the density objectiveof 30 dwellings per hectare.

The decentralisation and localism bill, timetabled forlate autumn 2010, will provide further changes to theplanning system.

Localism is likely to prove popular with the electorate atleast initially. Fears however remain that, despite financial

incentives to encourage local authorities to grant planningpermissions for development, localism may reduce theamount of development approved. Also, without regionalplanning, how is necessary regional infrastructure to beplanned for? Will the new Local Enterprise Partnershipsbe able to deliver the regional overview?

What is clear is that the new localism agenda is here to stay.As ever, the versatile property industry will no doubt adapt tothe new planning system and create new ways of working.Only those that embrace the system are likely to succeed.Developers will need to build far closer relationships withboth local residents and councillors. The art of persuadingcommunities of the benefits of development will be crucial.

Legal Update

17

Phoenix School, Kennington, Ashford

The strength of rural property as an asset class has beendemonstrated by its performance over the last three yearscompared with commercial and residential properties,equities and gilts. Rural property performs well duringrecessions as it has different drivers to other property assets.

In the twelve months to December 2009, the IPD RuralProperty Investment Index, showed a considerable lift inperformance with total returns up from the ten year lowof 1.7% per annum (albeit ahead of other asset clauses)reported last year, to 8.2% in 2009.

This improvement was driven by capital growth which pulledback from a negative figure in 2008 to 6.3% per annum in 2009.

Strong capital growth and steady income returns saw thesouth east as a whole return 14% per annum in 2009, upfrom the low of 2.7% per annum reported last year.

Once again the Rural Property Investment Index continuedto outperform the IPD Commercial Property Index, althoughit did not reach the IPD Residential Index. Over the 3, 5 and10 year periods, rural property investment has consistentlyoutperformed these indexes as well as UK equities and gilts.

Farmland valuesThe farmland market in Kent and the south east reacheda milestone high as average bare land prices for large scaleholdings exceeded *1£5,000 per acre during the secondquarter of 2010. Research shows that prices rose by 6%between April and June 2010 and are on average up by7.5% since the same period in 2009.

The reason for the increase is simply supply and demand.During the second quarter of 2010 there were a total of3,035ha (7,500acre) for sale compared with 3,642ha(9,000acre) in 2009 – a 17% fall.

Demand remains strong from farmers wishing to increase thesize of their holdings and non-farming purchasers looking forlong term tax efficient investment opportunities. Within thecounty it is not uncommon to have up to ten bidders for anyone farm.

Whilst bare land values have risen by 7.5%, the valueof equipped farms (holdings with houses and buildings),has only seen a modest 2% increase which continues todemonstrate the fragility of the residential and commercialproperty markets which often account for a large proportionof the value in equipped farms.

Activity in KentThere remains a good level of demand for small parcels ofgrazing land, especially land which borders existing housingand provides amenity benefits and protection from futuredevelopment. A number of lots has sold by private treaty thisyear within mid Kent and east Kent, and values achieved haveconsistently fallen within a range of *2£25,000 - £30,000 peracre for small parcels of up to 2ha (5acre). In the west of thecounty values often exceed these levels, clearly demonstratingthe measures that private house owners will go to in order tosecure their privacy and protect against possible development,as well as adding value to their own properties.

Sales during the year have not been limited to paddocks andamenity land and there are a number of existing farmers whohave had an opportunity to increase their holdings. The saleof 20 acres of grade 1 agricultural land outside Canterbury inspring 2010 achieved in excess of *3£7,500 per acre and waspurchased by a large scale fruit farmer, whilst the sale of GroveMill Farm by the Leeds Castle Estate attracted much interestin the early part of 2010. In addition to the Georgian farmhouseand outbuildings in need of renovation, Grove Mill Farm, whichwas guided at £1.1million, included some 61ha (152acre) ofpasture and woodland surrounding the village of Hollingbourne.

Rural Performance

18


%

2009

3 years 5 years 10 years

Rural property Commercial property Residential property Shares

5

0

-5

-10

10

15

20

25

30

35

Source: IPD Rural Property Investment Index

Rural property compared to other asset classes

*1 £12,355 per ha (£5,000 per acre)*2 £61,776 – £74,132 per ha (£25,000 – £30,000 per acre)*3 £18,533 per ha (£7,500 per acre)

Lakeview Stables, St Clere Estate, Kemsing

Whilst there have been a reasonable number of vacantpossession land sales, there have been very few investmentsales which illustrates the continued appreciation of ruralproperty as a sound investment i.e. they continue to beheld. In the east of the county the Coldred Estate was soldtowards the end of 2009. There was keen interest in securingthe 154ha (380acre) held under two Agricultural Holdings Acttenancies which produced in excess of £23,000 per annum.

Diversification and renewable energyFor many farms diversification remains the key to success,especially in the case of small-scale holdings. The conversionof redundant farm buildings to residential accommodation,holiday lets or commercial use has continued and in somecases landowners have benefited from reduced costs as aresult of the fall in demand for construction services. Whilstfunding remains a difficulty for many commercial investors,lenders continue to take a positive view in the case offarmers and landowners due to the ‘low risk’ (high assetvalue) nature of the farming business. Demand for ruraloffice space, such as Lakeview Stables on the St ClereEstate, Kemsing remains reasonably strong, althoughincentives are required to secure good quality tenants.

Interest in renewable energy, such as wind, solar andbiomass, has increased significantly and it is anticipated thatthis is a major area for future growth across rural property.The EU commitment to renewable energy reaching 15% oftotal energy production by 2020 and the Climate ChangeAct requiring a 34% reduction in greenhouse gas emissionsby the same date (and 80% by 2050) has led to considerableinterest in renewable energy schemes. The set rates forfeed-in tariffs over 20 to 25 year periods makes this formof diversification a sound investment.

19The Old Grain Store, Sevenoaks Squerryes Estate, Westerham

Hothfield, AshfordRural Kent

Leisure and Tourism Performance

20


Tourism is one of Kent’s major industries worth £2.5billionto the local economy. The industry supports 50,669 jobsequating to just under 7% of employment in the county.

Visit Kent’s Business Barometer demonstrates how resilientthe tourism industry has been during these difficult economictimes with attractions showing a 7% increase in visitors. Thecombination of more British people holidaying at home andthe strength of the Euro encouraging more overseas visitors,has meant that 2009 was a good year and figures for 2010are looking very positive.

Attractions and venuesIn July 2010, the £14million transformation of the Smitheries,at the Historic Dockyard in Chatham, opened into a nationalmuseum and international touring exhibition venue. It is ajoint venture between Chatham Historic Dockyard Trust, theNational Maritime Museum and the Imperial War Museumand will exhibit national maritime treasures.

At Dover Castle, English Heritage, a key partner in theDepartment of Culture, Media and Sports £7.75millionSeachange Programme, completed the refurbishmentand interpretation of the Great Tower in 2009 and in 2010started work on the Secret Wartime Tunnels.

In Canterbury, the new Marlowe Theatre, designed by KeithWilliams Architects, is due to open in September 2011.St Gregory's Music Centre at Canterbury Christ ChurchUniversity is underway creating a purpose-built music centreby 2012. Work has also begun to transform the 19th centuryBeaney Institute museum and library service.

Maidstone regeneration projects include a £2million Lotterygrant to develop the east wing of the town’s museum whichwill enable new displays to be housed.

In Gravesham, a £10million restoration of the historic Reptondesigned landscape of Cobham Park is complete andbecame part of National Trust properties in May 2010.Also in Kent Thameside, a £60million events and exhibitionsvenue is under construction at Bluewater.

TransportSince May 2010, Flybe, one of Europe’s biggest regionalairlines, has been operating a daily passenger flight toEdinburgh from Kent International Airport, Manston, andalso offers flights to Manchester six days a week sinceSeptember 2010.

Ferry Operator P&O has ordered two new ships for its Doverto Calais route. The Spirit of Britain and the Spirit of Francewill be the largest ships ever to operate on the route and willboth enter service in 2011.

LD Lines and Transeuropa Ferries launched a collaborativeroute from Ramsgate to Ostend in March 2010.

Southeastern Railways’ high speed domestic rail service toKent launched in December 2009. There has been significantinvestment in stations including £2.4million refurbishmentof Ashford International station and improvements at DoverPriory station.

AccommodationKent has seen a wide range of accommodation developedin the county over the past year despite challenging timesfor hotel developers. Locate in Kent in partnership with VisitKent and Tourism South East completed a new prospectusof hotel sites in the county - seewww.locateinkent.com/hotel_sites for further details andbelow for details of actual hotel development. The samepartners have commissioned a hotel study to providefurther information for developers.

Location Owner/developer Description investment Estimated cost Timing

Ashford Kingswood Educational Activity Centre Residential activity centre Includes £1m high-adrenaline activity park 2010

Margate Premier Inn Additional 32 bedrooms - 2010

Gillingham Geminex Hotel and Leisure Management 120-bedroom hotel £7m 2011

Sandwich Princes Golf Course Dormitory accommodation for Open Golf - 2011

Margate Margate Town Centre Regeneration Company / Dreamland Trust Dreamland Heritage Amusement Park £12.3m 2012

Selected investment in leisure and tourism schemes 2009/10:

There have been no dramatic changes in residential marketperformance since the last review in 2009. The market isstill largely controlled by restrictions on lending, affectingboth house buyers and developers alike. Capital valueshave generally stabilised, with the number of mortgageapprovals being fairly consistent. The quashing of HIPshas increased the number of vendors testing the market,although the market generally remains relatively fragile,caused in part by public sector spending cuts anduncertainty about unemployment levels.

First time buyers are still not prominent in the market dueto the deposit sums required, although stamp duty reliefon properties up to £250,000 has helped. New builddwellings are often acquired with the assistance ofdeveloper led schemes.

Some buy-to-let investors have returned to the residentialmarket, particularly where capital values are relatively lowand therefore smaller deposits are required. Gross yieldsgenerally fell between 4-6%. Rental values have held upacross the county, but capital values are still wide ranging.

High speed domestic rail services through Kent to LondonSt Pancras has aided the general desirability of the area,but with little effect on house values, as yet. The sales ratesaround Ebbsfleet for new build properties is generally slowerthan originally anticipated, at least for the time being.

Developers are still very much in the hands of their bankersbut are generally more financially stable. The events of 2008

mean there is an emphasis towards buying low risk siteswhere a sufficient margin remains for profit between thecost of development and potential revenue. However,some developers are still taking a longer term view onregeneration sites, demonstrated by the sale ofSittingbourne Mill to Essential Land. National developersare comfortable with schemes of 20 – 50 houses andsmaller developers, 5 – 15 dwellings, but apartmentschemes in Kent are out of favour. Development funding isgenerally 50 – 60% of development costs which means thatmost developers require substantial cash equity. This hasled to more joint venture schemes, with landowners takingdeferred payments. A number of Section 106 Agreementsand affordable housing quotas are being contested bydevelopers, due to reduced viability.

The Homes and Communities Agency has helped bringforward a number of sites; however, in the latest round ofpublic sector cuts, a number of regeneration schemes failedto attract Kick-Start funding.

Even housing associations (RSLs) are suffering through lackof finance and are far choosier about taking on consentedaffordable housing schemes as part of larger developments,particularly where the affordable element is mainlyapartments. Without an anchor RSL, developers are unlikelyto commence schemes.

Developers and house buyers alike are cautious about theimmediate future and house value inflation is unlikely toappear for many months, if not years.

21

Residential Performance

LocationAverage PriceRange £/psf 2009

Sevenoaks £300 - £450

Tunbridge Wells £265 - £355

Tonbridge and Malling £250 - £340

Canterbury £220 - £290

Dartford £215 - £285

Whitstable £205 - £320

Maidstone £200 - £265

Gravesham £185 - £275

Medway £155 - £300

Ashford £150 - £230

Swale £150 - £225

Ramsgate £150 - £220

Sheerness £150 - £200

Dover £150 - £190

Average price range by location


Kentish Gardens, Tunbridge Wells

Locate in Kent, Kent and Medway’s investment promotionagency, maintains a client database that holds details of theproperty requirements of companies looking to relocate toor expand in Kent. It also maintains a web-based commercialproperty database that provides a good indication of Kentand Medway’s commercial property supply.

Property demandBetween April 2009 and March 2010, 294 new projectswere logged by Locate in Kent, of which 188 had propertyor land requirements (compared with 165 in 2008-9, anincrease of 14%). 94 were for industrial property, 89 for officeaccommodation and four for land. At the end of June 2010,there were 303 active projects. Of these, 259 had a potentialrequirement for property or land (compared to 186 in June2009) of up to a total of 322,256m2 (3.5mft2) (compared to255,118m2 (2.7mft2) in 2009).

By the end of the financial year, a total of 82 companieshad been assisted successfully to invest in Kent, of which73 required new or additional property. The total area ofproperty occupied was 149,828m2 (1.6mft2) (comparedto 138,765m2 (1.5mft2) in 2009), which was an averagetake-up of 1,850m2 (19,913ft2), representing a decreasein the average property uptake per project since 2009.

During the first quarter of 2010-2011, a further 12,180m2

(131,104ft2) was occupied by 13 companies (eight officeand five industrial) with industrial property space occupiedmarginally dominating at 56%.

The total number of industrial projects seeking property inKent and Medway was 125 (compared to 92 in 2009), whichmade 254 area enquiries (compared to 184 in 2009). 32%of enquiries for industrial properties were in Thames Gateway

Kent and 26% in Channel Corridor, with 23% in WestKent and 19% in East Kent.

Demand for industrial property increased to 437,983m2

(4.7mft2) in 2010 to compared to 286,729m2 (3.1mft2)in 2009, an increase of 53%. In both 2009 and 2010,the most popular industrial property size was 93-464m2

(1,001-5,000ft2), which accounted for 26% and 34%of totals respectively in each year.

With a total of 110 office projects to June 2010, totalpotential demand for office space reached 81,011m2

(872,004ft2) (up by 43% on 2009). Companies made173 area enquiries for property, with the highest demand(40%) in Thames Gateway Kent, with Channel Corridor25%, West Kent 23% and East Kent 12%.

Inward Investment

22


Office Industrial

0

50

100

150

200

250

300

East

Ken

t

Tham

esG

atew

ay

Wes

tKen

t

Cha

nnel

Cor

rido

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imum

tota

lpro

pert

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quir

emen

ts(0

00s)

m2

(21)

(48)

(70)

(82)

(39)

(58)

(43)

(66)

Figures in brackets = no. of active projects at June 2010(NB. Some projects are considering propertyin more than one area of Kent.)

%of

tota

loff

ice/

indu

stri

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man

d

Minimum property size requirement m2 (ft2)

Office Industrial

0-93

(0-1

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)

94-4

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00)

465-

929

(5,0

01-1

0,00

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930-

1,85

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)

1,85

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(20,

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50,0

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4,64

5-9,

289

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100,

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9,29

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(54)

(21)

(43)(42)

(4) (4) (4)

(19)

(14)(16)

(1)

(8)

(0)

(5)

Figures in brackets = no. ofactive projects at June 2010

0

5

15

25

35

45

55

Bus

ines

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Aut

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Con

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Tota

l(m

in)r

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rem

ent(

000’

s)m

20

20

40

60

80

100

IndustrialOffice

Figures in brackets = no. of office and industrial active projects at June 2010

(5)

(8) (2)

(25)

(1)

(22)

(5)

(10)

(26) (5)(14) (15)

(8) (12)

(45)

(25)(13)

Total office and industrial propertydemand by sub-region, June 2010

Property demand by size range, June 2010 Property demand by sector, June 2010

As in 2009, smaller office properties continued to be themost sought after - 88% of office demand was for propertiesof under 464m2 (5,000ft2). The average minimum sizerequirement was 431m2 (4,639ft2) in 2010 compared to396m2 (4,263ft2) in 2009.

Locate in Kent deals with a variety of companies fromdifferent industry sectors. At the end of June 2009, industrialdemand was dominated by manufacturing, whichrepresented 21% of the demand (24,786m2 (266,794ft²)),followed by engineering (16,722m2 (179,994ft²)), transportand logistics (23,133m2 (249,001ft²)) and construction andproperty (17,420m2 (187,507ft²)). At the end of June 2010,the situation differed, with retail and wholesale representing18% of the industrial demand (35,870m2 (386,101ft²)),followed by construction and property (28,660m² (308,493ft²)),food and agriculture (24,125m² (259,679ft²)) and engineering(16,490m2 (177,496ft²)).

Among office projects, significant sectors included financialservices, life sciences, retail and wholesale and tourismand leisure. The average size of financial services propertydemand was highest (average of 831m² (8,944ft²)),followed by 559m² (6,017ft²) for the construction andproperty sector.

Property supplyAt the end of June 2010, a total of 1,513 properties wereregistered on Locate in Kent’s property database, comparedto 1,341 at the end of June 2009. 49% of these wereindustrial properties, compared with 48% in 2009.

The greatest number of properties overall were availablein Channel Corridor (32%), followed by Thames GatewayKent and West Kent (28% and 24% respectively).

Channel Corridor offered 33% of all office property and32% of industrial properties available in Kent. ThamesGateway Kent had 32% of industrial and 24% of officeproperties. West Kent had 28% of office properties and 20%of industrial properties. East Kent had 17% of industrialproperties and 15% of office properties available.

At the end of June 2010, 90% of the office propertiesavailable were at the smaller end of the range - less than464m2 (5,000ft2), which is similar to June 2009.

For industrial properties, the most commonly available sizeswere also at the lower end of the size scale, with propertiesunder 464m2 (5,000ft2) accounting for 69% of all availableindustrial properties.

Major developmentsSignificant office developments in 2009-10 includedEducation Travel Group, which took over the 17,186m²(185,000ft²) former Kent Police Training School in Ashfordand converted it into their latest education centre, creating115 new jobs. Freedom Group (EDF) expanded into 1,393m²(15,000ft²) in Sevenoaks, creating 130 jobs, while MCCHrelocated to Maidstone occupying 1,138m² (12,250ft²),creating 100 jobs, and Balfour Beatty Utility Solutions,relocated to Crossways in Dartford, occupying 1,133m²(12,200ft²).

Major industrial developments during 2009-10 included theIdeal Waste Paper Company which relocated to the 6,272m²(67,000ft²) Teardrop Centre in Swanley creating 100 newjobs, AEI Compounds, which moved to Sandwich IndustrialEstate, taking 8,361m² (90,000ft²), Blaze Maintenance Ltd,which expanded into 5,574m² (60,000ft²) in Thanet,Prometheus Trade Print Ltd, which relocated in Tonbridgetaking 2,387m² (25,695ft²), creating 37 jobs, and AtixLtd, which took 1,858m² (20,000ft²) in Sittingbourne.

23

Num

ber

ofpr

oper

ties

avai

labl

e

Total Office - 774 Properties

Total Industrial - 739 Properties

0

50

100

150

200

250

Figures in brackets = number of properties loggedon Locate in Kent’s property database at June 2010

300

East

Ken

t

Tham

esG

atew

ay

Wes

tKen

t

Cha

nnel

Cor

rido

r

(116)(123)

(189)

(238)

(214)

(144)

(255)(233)

%of

offic

e/in

dust

rial

prop

ertie

s

Office - 774 properties Industrial - 739 properties

0

10

20

30

40

50

60

0-93

(0-1

,000

)

94-4

64(1

,001

-5,0

00)

465-

929

(5,0

01-1

0,00

0)

930-

1,85

8(1

0,00

1-20

,000

)

1,85

9-4,

644

(20,

001-

50,0

00)

4,64

5+(5

0,00

1+)

Figures in brackets = number ofproperties logged on Locate inKent’s property database at June 2010

Size of property m2 (ft2)

(367)

(127)

(334)

(384)

(49)

(124)

(14)

(53)

(7)

(37)

(3) (14)

Property supply by area, June 2010 Property supply by size bracket, June 2010

Thames Gateway KentThe Thames Gateway is Europe’s largest regeneration projectcovering 40 miles of the Thames Estuary from LondonDocklands to Southend in Essex and Sheerness in Kent.

Kent ThamesideKent Thameside, one of the fastest growing areas in theUK, encompasses Dartford, Gravesham and Ebbsfleet Valley.With a commitment to provide 25,000 new homes and50,000 new jobs over the next 20 years, Kent Thamesidehas a wide range of new homes and outstanding commuterlinks to London and beyond provided by Fastrack, HighSpeed rail and Eurostar.

Housing developments throughout Kent Thameside continueto blend with, and add to, existing communities. The mostrecent phase of Crest Nicholson’s Ingress Park, comprising417 new homes, was approved in June 2010. Other newhousing developments include Countryside Properties andLand Securities' joint ventures at Springhead Park close toEbbsfleet International Station, and Waterstone Park inGreenhithe – which was awarded CABE’s Building for LifeSilver Standard. The last phase at Waterstone Park has justbeen launched.

Progress by ProLogis continues at The Bridge, Dartford.The £10million learning and community campus (see frontcover) was officially opened in March 2010 and the primaryschool welcomed its first pupils for the start of the 2009autumn term. SusCon, who provide comprehensive, moderngreen building training and education is currently constructinga new academy on the site.

The £75million regeneration scheme to replace 208 life-expired houses with 426 new homes at Gravesend’sChristian Fields continues, led by Countryside Propertiesand Moat with phase two on-site in early 2010.

Work on the new £60million Bluewater Events Venue beganin spring 2010. The 5,200m² (56,000ft²) events and exhibitionvenue will be centred around a plaza accessible from theThames Walk through the existing Water Circus. It will include4,000m² (43,000ft²) of catering/restaurant space, and anumber of new stores, and aims to open late 2011.

Cyclopark, an activity centre with first class cycling, runningand extreme sports facilities is being developed in Gravesendas one of the leading multi-sport centres in the south ofEngland. Land assembly is nearly complete with fundingsecured for a workable scheme.

MedwayMedway’s 20 year regeneration programme has experiencedboth challenge and success over the past year, but is still ontrack to deliver 25,000 new jobs, 16,000 new homes and acity of 280,000 people by 2026.

In February 2010, Medway Park, created on the site ofthe former Black Lion Leisure Centre in Gillingham, wascompleted ahead of schedule. It then hosted the ModernPentathlon World Cup, the first global sporting event to behosted in Medway. It has also been approved as a 2012training camp for 13 Olympic and eight Paralympic events.

In March 2010, Cllr Rodney Chambers, leader of MedwayCouncil, announced the bid for city status in 2012 at theMaking of Medway Conference.

In 2010 Medway’s start-up facilities for high-tech businesseswere greatly enhanced, when tenants moved into the 2,787m²(30,000ft²) Innovation Centre Medway, which opened in early2009. Another innovation centre opened at the HistoricDockyard.

In central Chatham, the Sir John Hawkins flyover wasdemolished in June 2009 and has been replaced with

Regeneration

24


Courtesy of Alice Brockway, Medway Council

Innovation Centre Medway, Chatham

Kent Science Park, Sittingbourne

Bluewater Events Venue, Greenhithe

Waterfront Way – a smart new ground-level route for buses,taxis and cyclists. The final stage of the Waterfront Wayscheme – the reinstatement of the High Street – is due tocomplete in late 2010. A new £5million bus station is underconstruction as well as a £3million investment in a newGillingham railway station.

Rochester Riverside has planning permission for 2,000 newhomes. Work has been delayed due to the economic situationbut in November 2009, Crest Nicholson signed an agreementto build the first phase of new homes in partnership withThe Hyde Group and a planning application has nowbeen submitted.

Another key site in Medway is Temple Waterfront owned byLafarge Cement, Medway Council and Morgan and Company.Outline permission was granted in 2009 for up to 620 homesand up to 12,300m² (132,348ft²) of mixed-use employmentand retail floor space, creating up to 250 jobs. The schemewould result in £100 million of private sector investment.

SwaleSwale has been a major focus for public sector ledregeneration, with principal activity focused aroundSittingbourne and at Queenborough/Rushendenon the Isle of Sheppey.

The area is being prioritised by both Medway Council and KentCounty Council as a key element of the Medway Superhubproposal to the offshore wind manufacturing industry.

Significant infrastructure projects are set to have a positiveimpact on the property market in Swale. Two major roadprojects have started and will complete in 2011. TheSittingbourne Northern Relief Road will relieve congestionin central Sittingbourne, open up development sites northof the town and improve access to Eurolink Business Park.The Rushenden Link Road will provide access toQueenborough/Rushenden, and its employment sites,from the A249.

The master plan for Queenborough/Rushenden envisages2,000 new houses, social, leisure and community facilities,a school, a new marina and 180,000m² (1.9mft²) of additionalemployment space. The two commercial development plotsare available and are generating interest.

In Sittingbourne, the town centre master plan has beencompleted. This includes extended retail provision, improvedleisure facilities and up to 3,000 new housing units north ofthe railway line. Central to this plan is a new railway bridgeto link communities to the north of Sittingbourne with thecentre of town.

A public sector led project is reclaiming land running alongMilton Creek as a green space with play areas, landscapingand walking and cycling routes to the Swale estuary.

Kent Science Park, to the south of Sittingbourne, providesworkspace for a range of SMEs, with a focus on scienceand bio-technology. Planning permission is in place for a4ha (9ac) expansion and a new sustainable, grass roofedentrance building.

Remediation work has taken place on a seven acre sitearound Faversham’s former iron foundry. It is being developedinto a mixed use site with 6,503m² (70,000ft²) of commercialspace and 70 homes. It is being developed by Quinn Estatesin a joint venture Redrow.

The Port of Sheerness is one of the UK’s major importersof cars, timber and fruit. Current owners, Peel Ports,are developing long term plans to reclaim land for anambitious major regeneration scheme with new housing,marina, leisure and employment sites.

25

The Quays, Chatham Maritime The Smitheries, Chatham Maritime Planned marina at Queenborough & Rushenden, Sheppey

Courtesy of Ed Walsh, KDS Associates

26


AshfordAshford’s location and connectivity are key drivers behindits ambitious £2.5billion Growth Area development strategy.This includes the creation of 28,000 new jobs, the buildingof 31,000 new homes and the development of 185,800m²(2mft²) of commercial space to enhance its alreadycompetitive provision.

The new High Speed domestic rail service has beenoperating since summer 2009, and about 50% of all journeysmade to London from Ashford are made using the service.The service provides significantly reduced journey times withcentral London just 37 minutes away and Eurostar alsoprovide services to Paris, Brussels and Lille.

Work has started on two new major infrastructure projects –improvements to M20 Junction 9 and Drovers roundaboutand the new Victoria Way – both completing in 2011. The firststages of the SMARTLINK bus system will commence on sitein late 2011. The £200million housing regeneration programmeand the roll-out of fibre-optic broadband are also progressing.

Building on the success of the County Square extensionand the shared space projects, town centre redevelopmentis planned. Stanhope has been secured as the key partnerfor Elwick Place, a significant town centre site that willprovide retail, leisure and commercial opportunities. A newcommercial quarter adjacent to the railway station will becapable of providing 55,000m² (592,000ft²) of high qualitycommercial space. The first part of this project will startduring 2010 with the creation of a redesigned squarefronting the station as a much improved welcome to the town.

Maidstone and West KentMaidstoneMaidstone Borough Council has obtained Growth Pointstatus for the town enhancing the role of the borough inhousing provision. Examination of a major urban extensionon the eastern side of the town continues as part ofpreparation of the Local Development Framework.

Kent County Council and Maidstone Borough Council areworking together to bring forward land on Upper StoneStreet, including the Wrens Cross site, as a catalyst forchange. This will include high quality mixed use developmentwithin the wider regeneration of the High Street Ward area,south of Maidstone town centre.

A public realm improvement project for Maidstone HighStreet is being progressed; a detailed design is underwaywith a start on site in 2010 and completion in 2011.

West KentTunbridge Wells and nearby Tonbridge are important servicecentres and transport hubs in west Kent. Tunbridge WellsBorough Council has entered into a development partnershipwith John Laing/Gladedale and an agreement to masterplanand regenerate a number of key town centre sites inTunbridge Wells, Southborough, Paddock Wood andCranbrook.The former cinema site in the town centre(Mount Pleasant) has planning permission for a mixeduse redevelopment for a hotel, offices, shops, financialand professional services and restaurants.

Landmark M20 footbridge, Ashford

Planned changes to Ashford International station forecourt

27

East KentCanterburyCanterbury Christ Church University has opened its new£30million Augustine House, Rhodaus Town in Canterbury,a modern and attractive facility replacing the Clarkson Houseoffice building. With floorspace of 12,000m² (129,187ft²), itprovides a state-of-the-art library, student services andlearning resource centre.

In November 2009, the £7.3million Canterbury InnovationCentre opened on the University of Kent campus. It has2,500m² (26,909ft²) of modern, affordable office, studioand workshop space and supports new innovative, scientificand technology firms as well as helping to retain graduatesin the area.

Kent County Cricket Club has made significant progress inthe £8.2million redevelopment of its St Lawrence Ground,where plans include a 130 bed hotel, conference facilities,health and fitness centre, retail units and refurbished stands,hospitality boxes and floodlights. Bellway Plc is the housingpartner for the project and the scheme benefited from a£4million loan from Canterbury City Council.

Work continues on the £25.5million New Marlowe Theatreand Beaney Institute museum and library.

The theatre will have a new main auditorium with 1,200 seatsand a second performance space offering opportunities forcommunity use. The Beaney Institute will provide improvedfacilities bringing together the museum, art gallery and library.

Herne BayIn central Herne Bay, the regeneration plans for the town aregathering pace. In the last year Coplan Estates Limited andDenne Construction Limited were selected by CanterburyCity Council as preferred development partners for the£50million mixed use redevelopment of a key council ownedsite within the heart of Herne Bay.

Current proposals seek to deliver a comprehensive and highquality redevelopment to include additional community,residential, retail, health and office uses. Herne Bay CentralDevelopment is part of a wider set of ideas being pursued inthe Herne Bay Area Action Plan, which has recently been fullysupported by an independent planning inspector in his inquiryreport. A 'central development area' has been identified tobring a quality shopping offer and improved facilities to thetown. The aim is to submit a planning application for theHerne Bay Central Development by the end of 2010.

In September 2010, it was announced that the Herne Bay Piersports pavilion has been officially condemned by the council’sexecutive. The building will be removed and the pier platformwill be resurfaced until further development is agreed.

Maidstone Museum’s proposed new East Wing

Augustine House, Rhodaus Town, Canterbury

Canterbury Innovation Centre

Canterbury Office Campus, Canterbury

ThanetMargate's regeneration programme continues withthe completion of the David Chipperfield designed TurnerContemporary building by the end of 2010 and the openingof the gallery in early 2011. Funding is in place for the firstphase of the leisure development on the Dreamland site.This will involve the refurbishment of the Grade 2* listedcinema and creation of a heritage amusement parkscheduled to open by early 2012. A planning applicationis also expected for the adjacent Arlington site later in2010 in line with the planning brief for the site.

Agents have been engaged for the formal marketing of theManston Business Park site. Cummins Power Generation,Cohline (UK) Ltd and Invicta Produce already operate fromthe park. The site, adjacent to Manston Airport, is beingbrought forward by East Kent Opportunities (EKO) LLP, thejoint venture vehicle established by Kent County Council andThanet District Council along with the Eurokent site locatedbetween the Westwood Cross shopping centre and theMarlowe Academy.

FolkestoneThe Creative Foundation continues to expand its involvementin Tontine Street and the Old Town area. In order to supportregeneration further, there are plans to attract greaternumbers of visitors to spend more time exploring the artsand cultural opportunities on offer.

The Creative Foundation has engaged the architect Sir TerryFarrell in the masterplanning of the harbour and seafront area.The proposals are for a mix of high quality uses, includingleisure and retail with a residential component of up to1,000 dwellings. Public consultation for this development isunderway although the proposals are still at an early stage.

DoverFollowing adoption of its Local Development Framework(LDF), Dover District Council, and Dover Pride RegenerationPartnership are bringing forward the development of thestrategic allocations at Dover Waterfront, Mid Town,Whitfield and Connaught Barracks.

Mixed use development plans at Dover’s Wellington Docks,overseen by Dover Harbour Board and Dover District Council,are linked to the Harbour Board’s proposals for expansionat Western Docks with a Harbour Revision Order submittedto government. Dover Waterfront proposal has opportunitiesfor regional level mixed use retail, restaurants, housing anda cable car connecting to the castle. Wellington Docksproposals show a completed Sea Sports Centre, part fundedby the government’s Sea Change Programme as well as arange of Esplanade projects.

The St James Street development in the heart of Doveroffers exciting development opportunities and the councilis currently exploring options to take forward this site. Theplanning application for the former Buckland Mill site byGillcrest Homes has been approved, with works startingin 2011.

Dover’s new rail connection to London St. Pancras is just67 minutes. An integrated transport and bus rapid transitsystem is in development, to take passengers from therefurbished station to all new developments as they comeon line.

Phillip Jeans, a major landowner at Whitfield, appointedBarton Willmore to prepare a Supplementary PlanningDocument (SPD) for the area (approx. 6,750 homes).Public consultation began on 4 October 2010 for 8 weeks.Phase 1 and 1A applications are to be submitted anddetermined once the SPD has been adopted.

The Homes and Communities Agency has instructed Arupto prepare an SPD for Connaught Barracks submitting inlate 2010. The site includes Fort Burgoyne, a listed historicmonument, but has potential for 500 homes.

Priory Land is investigating its first major redevelopment atWestern Heights above Dover with 10ha (25ac) and viewsacross the Channel and a further site of 11ha (275ac), GreatFarthingloe Farm, in an area of outstanding natural beauty.It is understood their interest has been stimulated by HighSpeed rail services to London.

28


Sea Sports Centre, Dover

Dover Esplanade

Deal Pier

Offshore wind power in KentThanet and WhitstableThe Thanet Offshore Wind Farm has 100 turbines located12km off Foreness Point on the north east Kent coast. Itwill supply enough electricity each year (300MW) for around240,000 homes - there are around 700,000 homes in Kent.The landfall for the power cabling is at Richborough withan upgraded substation of the National Grid. Offshoreconstruction started in March 2009 and was officiallyopened on 23 September 2010.

Swedish utility company Vattenfall also owns the KentishFlats windfarm at Whitstable. The Port of Ramsgate, usedas a base during construction, has benefitted from dredgingworks to improve the draft clearance for specialist vessels.The port is also the new operations and maintenance centrefor the wind farm creating new long term employmentopportunities.

London ArrayOnce complete, London Array will be the largest wind farmsite in the world, involving a development of 275 turbines20km off the north Kent coast. Phase 1, comprising 175turbines with a capacity of 630MW, will generate electricityto meet the annual needs of 485,000 homes. It will becompleted in 2012. Onshore construction activity isprogressing with a new substation at Cleve Hill, Graveney –the landfall for the power generated. Offshore works havenow started with actual construction commencing in thespring of 2011.

Like Thanet Offshore, the London Array project will be usingthe Port of Ramsgate for construction management anda future operations and maintenance centre. The latter willinvolve a new £3million building and is likely to generateup to 90 long term jobs.

Parklands programmeA high quality environment is important to investors, residentsand those considering relocating to Kent, with strong evidenceto suggest that green infrastructure underpins the success ofeconomic sectors and is not just a way of supporting wildlifeand the environment. The approach to green infrastructure inKent has attracted investment from the government throughthe Parklands Programme.

The Thames Gateway Parklands Programme is a strategicinitiative championed by Communities and Local Government(CLG) to create more attractive places in which people wantto live, work and visit that can in turn support developerconfidence.

There are five Parklands projects in Kent and Medway –Milton Creek near Sittingbourne, Great Lines in Gillingham,Great Expectations in Gravesham, Cyclopark in Gravesend,and Dartford Greenheart. They are supported with£10.5million funding from Homes & Communities Agencyand the CLG matched with partner funding.

Green Infrastructure

29

World’s largest wind farm, Thanet (Credit Vattenfall)

Ingress Park, Greenhithe

Cyclopark X1, Gravesend


Boulogne

Calais

Dunkirk

Ostend

Zeebrugge

ZeebruggeDunkirkVlissingen

International Deep Sea Routes

5

4

3

2 3

2a

45 6

7

8

6

10

9

5

7

2

3

2

1

4

1111a 12 13

SEVENOAKS

TONBRIDGE

MotorwayStrategic Developments

Programme/completed DFT improvements to major roads

DFT improvements to motorways

Dual Carriageway

Main Road

High Speed 1

Domestic Rail Routes

Ferry/Freight Routes

Airport

Ports

Business Park

Mixed Use

Regeneration

Industrial

Green Energy Park

Science Park

ESSEX

EAST SUSSEX

LONDON

FRANCE

MAIDSTONE

ASHFORD

FOLKESTONE

KENT

AshfordInternational Station

Rochester

EbbsfleetInternational Station

Biggin Hill

Kent International Airport

DOVER

DEAL

RAMSGATE

Ramsgate New Port

Thamesport

Sheerness

Thames Europort

Dover

MARGATE

HERNE BAY

WHITSTABLE

CHANNEL TUNNEL

CANTERBURY

SITTINGBOURNE

SHEERNESS

FAVERSHAM

GRAVESEND

DARTFORD

MEDWAY

TUNBRIDGEWELLS

LondonAshfordAirport

A259

A259

A207

0

A28A28

A274

A20

A20

A278

A226

A228

A2

A26

A2016

A228

A28

A2

A257

A290

A299

A29

1

A255

A252

A251

M20

M20M26

M20

M25

M25

M2

21

20

288 9

27

2619

15

31 35

33

32

3438

37

5

6

22

11

10

13

12

14

32

4

1

2324

36 7

17

1618

25

29

30

0 5

50 10 Miles

10 Kms

25

5

6

4

1

1

St. PancrasInternational Station

Calais

30

Map No. Scheme Location Usage Contact

1 Eureka Business Park Ashford B1Knight Frank, 020 7861 1159 / Bidwells, 01223 841842 /Martine Waghorn, 01622 672233 / Quadrant Estates, 020 7968 1888

2 Orbital Park - Axiom Ashford B1, B2, B8, Sui Generis Strutt & Parker, 020 7318 5054 / Altus Edwin Hill, 01322 285 588

3 Waterbrook Park Ashford B1, B2, B8, Sui Generis GSE Waterbrook Ltd, 01233 501301

4 Elwick Road Ashford A1, B1, D2 SEEDA, 01634 899900

5 Altira Business Park Canterbury (Herne Bay) B1, B2, B8Kitewood Commercial, 01732 886962 / Core Commercial, 01892 834483 /Caxtons, 01474 567666

6 Canterbury Business Park Canterbury B1, B2, B8 Martine Waghorn, 01622 672233

7 Chatham Maritime Chatham A1, B1, C1, D1, D2, R SEEDA, 01634 899900

8 Chatham Centre and Waterfront Chatham A1, B1, C1, R Medway Renaissance, 01634 337143

9 Lodge Hill, Chattenden Chatham A1, R Land Securities plc, 020 7413 9000

10 White Cliffs Business Park Dover B1, B2, B8 Hardmans & Co, 01304 373922

11 Betteshanger Business Park Dover B1, D2 SEEDA, 01634 899900

12 Whitstable Road Faversham B1, B2, B8 George Wilson Holdings, 01227 263077

13 Hawkinge West Folkestone B1, B8 Smith-Woolley & Perry, 01303 226622 / Quinn Estates, 01227 831212

14 Link Enterprise Park Hythe B1, B2, B8Valad & Benchmark Estates, 01622 669888 / Core Commercial, 01892 834483 /Caxtons, 01474 567666

15 Queenborough/Rushenden & Neats Court Isle of Sheppey B1, B8, C1, Sui Generis SEEDA, 01634 899900

16a Crossways Point, Crossways Kent Thameside B1 Watson Day, 01634 831118 / Savills, 020 7499 8644

16b Schooner Park, Crossways Kent Thameside B8 CB Richard Ellis, 020 7182 2000 / Altus Edwin Hill, 01322 285588

16c Lakeview East & West, Crossways Kent Thameside B1 Knight Frank, 020 7629 8171 / CB Richard Ellis, 020 7281 2000

16d Waterside, Crossways Kent Thameside B1 Knight Frank, 020 7629 8171 / Altus Edwin Hill, 01322 285588 / CB Richard Ellis, 020 7281 2000

17 Ebbsfleet Valley Kent Thameside A1, B1, D2, R Land Securities plc, 020 7413 9000

18 The Bridge Kent Thameside B8 Jones Lang LaSalle, 020 3147 1110 / CB Richard Ellis, 020 7182 2492

19 ProLogis Park, Littlebrook Kent Thameside B2, B8 CB Richard Ellis, 020 7182 2000 / Colliers CRE, 020 7935 4499

Strategic Developments Useage codes for strategic sites:

Map No. Scheme Location Usage Contact

20 Eclipse Business Park (Phases II & III) Maidstone B1Knight Frank, 020 7861 1144 / Sibley Pares, 01622 673086 /Gallagher Group, 01622 716543

21 Kings Hill Maidstone A1, B1, C1, D2, RLiberty Property Trust UK, 01732 223426 / Altus Edwin Hill, 01322 285588 /Knight Frank, 020 7629 8171 / Hanover Green, 020 3130 6400

22 EuroKent Business Park Ramsgate A1, B1, B8, D2 Rosefarm Estates plc, 01243 785151 / East Kent Opportunities, 01622 221380

23a Manston Business Park Ramsgate B1, B2, B8 East Kent Opportunities, 01622 221380 / Savills, 01732 789750

23b Manston Business Park Ramsgate B1, B2, B8 China Gateway International Plc, 01843 822444

24 Broadstairs Business Park Broadstairs B1 Paul Cant & Partners, 01753 647616

25 Former Richborough Power Station Sandwich - BFL Management Ltd, 020 7835 1867

26 Isle of Grain Rochester B1, B2, B8DTZ , 020 3296 3000 / Michael Parkes, 01634 294994 /National Grid Property Ltd, 01926 654720

27 Kingsnorth Commercial Park Rochester B1, B2, B8CB Richard Ellis, 020 7182 2565 / Colliers International, 020 7344 6610 /Goodman, 0121 5068100 / Piers Pollard Chartered Surveyors, 01728 861989

28 Rochester Riverside Rochester B1, C1, R Medway Council, 01634 338171

29 Temple Park, Strood Strood B1, B2, B8 GVA Grimley, 020 7895 1515 / Watson Day 01634 668000

30 G Park Strood Strood B1, B2, B8Altus Edwin Hill, 01322 285588 / GVA Grimley, 020 7911 2112 /Lambert Smith Hampton, 020 7663 8287

31 Watermark Kent Sittingbourne B1BNP Paribas, 020 7338 4000 / Harrisons Surveyors, 01634 265900 /Watson Day, 01634 831118

32 Eurolink Business Park (Phase 4 & 5) Sittingbourne B1, B2, B8 Harrisons Chartered Surveyors, 01634 265900

33 G Park Sittingbourne Sittingbourne B1, B8 CB Richard Ellis, 020 7182 2490 / GVA Grimley, 020 7895 1515 / Savills, 020 7499 8644

34 Kent Science Park Sittingbourne B1Kent Science Park, 01795 411500 / Jones Lang LaSalle, 01795 411500 /Sinclair Clark, 020 7494 9399

35 Kemsley Park Sittingbourne B1, B2, B8GVA Grimley, 0870 9008990 / Watson Day, 01634 831118 /Harrisons Surveyors, 01634 265900

36 Strood and Temple Waterfront Strood A1, B1, R Medway Renaissance, 01634 337158

37 Estuary View Whitstable B1, C2 George Wilson Holdings, 01227 263077

38 The Foundry Business Park Faversham B1, B2, B8 Quinn Estates, 01227 831212

A1 Shops & retail B1 Offices, light industry B2 General industrial B8Warehouses, distribution C1 Hotels D1 Education, crèches D2 Leisure R Residential Sui Generis Petrol station, car showroom

33


33

Written and compiled by:

Kent County CouncilFor further advice, assistance and information ondevelopment opportunities, contact:

Nigel Smith, Head of Development InvestmentKent County Council, Invicta House,Maidstone, Kent ME14 1XXTel: 01622 221866 Fax: 01622 691418Email: [email protected]

CluttonsFounded in 1765, Cluttons LLP is a leading firm of charteredsurveyors providing an extensive range of property relatedservices with a presence in the UK, Europe, Middle East,Asia Pacific and South Africa. The local office in Kent providesthe full compliment of service lines.

Alison Owen – Partner26-28 Albion Place, Maidstone,Kent ME14 5DZTel: 01622 756000 Fax: 01622 695536Email: [email protected]

Portman House, 2 Portman Street,London W1H 6DUTel: 020 7408 1010 Fax: 020 7629 3263

Locate in KentAs the single point of contact for all companies lookingto expand or relocate in Kent and Medway, Locate in Kentprovides a comprehensive, confidential and free businessrelocation and expansion advisory service.

Paul Wookey, Chief Executive35 Kings Hill Avenue, Kings Hill,West Malling, Kent ME19 4AXTel: 01732 520700 Fax: 01732 520701Email: [email protected]

Additional contributions:

Cripps Harries Hall LLPAs a leading law firm based in Kent, our simpleand effective strategy is to concentrate our resourcesin a single centre of excellence.

Michael Stevens, Senior PartnerWallside House, 12 Mount Ephraim Road,Tunbridge Wells, Kent TN1 1EGTel: 01892 515121 Fax: 01892 544878Email: [email protected]

Smiths GoreAs the UK’s leading form of land agents and ruralsurveyors, rural estate management has formed thecore of our business for over 160 years.

Michael Wooldridge, Partner23 Kings Hill Avenue, Kings Hill,West Malling, Kent, ME19 4UATel: 01732 879050 Fax: 01732 879051www.smithsgore.co.uk

Endorsed by:

The Royal Institution of Chartered SurveyorsThe leading professional body on all aspects ofreal estate, property, construction and associatedenvironmental issues.

Jeremy Percy, Chairman, RICS South East Regional BoardGleeds95 New Cavendish StreetLondon, W1W 6XFT: 020 7631 7000Email: [email protected]

Contact Details

See Overleaf for Strategic Developments


34

Atrium Surveyors

Altus Edwin Hill

Bidwells

Brian Cradick & Co

Broadlands Chartered Surveyors

and Property Consultants

BTF

Canterbury Christ Church University

Caxtons

CB Richard Ellis

Churston Heard

Clive Emson

Colliers CRE

Core Commercial

Cripps Harries Hall LLP

CTM Architects LLP

DTZ

Durlings

Frogmore Property Company Ltd

George Wilson Holdings Ltd

Glenny LLP

GVA Grimley

Harrisons Chartered Surveyors

Ibbett Mosely

Karrisons

Kent Science Park

Knight Frank

Lambert & Foster

Land Securities

Liberty Property Trust UK Ltd

Martine Waghorn

Quinn Estates

Ramac Holdings Ltd

Rosefarm Estates Plc

Savills

Sibley Pares

Smith-Woolley & Perry

South East England Development

Agency (SEEDA)

Strutt and Parker

Taylor Riley

The Gallagher Group

Watson Day

WCR Property Ltd

Valad and Benchmark Estates

Visit Kent

Kent District Councils:

Ashford, Canterbury, Dartford, Dover,

Gravesham, Maidstone, Sevenoaks,

Shepway, Swale, Thanet, Tonbridge

& Malling and Tunbridge Wells

Medway Council

Ashford’s Future

Dover Pride

Kent Thameside Delivery Board

Medway Renaissance

Swale Forward

AcknowledgementsThe compilers of this report are grateful for the assistance, informationand data provided by the following organisations in London and Kent:

Ashford shared space

Courtesy of Giacomo Marchesi (Winner of Ashford Best Placedin Britain photography competition – 18 and over)

35

Sapphire House, Manston courtesy of Summit Aviation

This report has been carefully prepared. However it is intended for general guidance only and neither Cluttons, Kent County Council, Locate in Kent nor RICS canguarantee that there are no errors or omissions. The information, forecasts and opinions set out herein should not be relied upon to replace professional advice onspecific matters. No part of this report should be published, reproduced or referred to without prior permission of Cluttons, Kent County Council and Locate in Kent.

Front and back cover shows: Learning and Community Campus, The Bridge, DartfordArchitect: Hazel McCormack Young LLP Contractor: Mansell Constructions Services Limited Photographer: Sarah J Duncan

Cover printed on: Era silk 350gsm (50% virgin fibre from FSC–certified forests and 50% recycled waste)Inner pages printed on: Era silk 200gsm (50% virgin fibre from FSC–certified forests and 50% recycled waste)

Designed and produced by Glendale Creative Solutions (01322 868688) www.glendale.uk.net

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Learning & Community Campus, The Bridge, Dartford

2010 kent property market

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