2011 THE STORY SO FAR

FHP News

So, we have reached the mid-point of the year, a year in which we were supposed to build on the recovery of 2010, a year of growth and prosperity, a year in which we would see more activity both on a freehold and leasehold basis…and so how is it shaping up?  Well, without wanting to sound like a broken record there’s some good and some not so good.

Well as far as FHP Property Consultants are concerned, we have just completed our most productive and successful year as at our financial year end in May, we have created seven new jobs over the last 18 months and once again been named East Midlands Property Advisors of the Year 2011 for the fourth time in six years.  So if we are to be used as a yardstick for the state of the commercial property markets in the East Midlands, then people
should feel cautiously optimistic about the future – we certainly are.

As a firm we have been involved with the disposal of more than 2 million square feet of industrial space, 175,000ft² of office space, welcomed a staggering thirty five new tenants at Westfield Derby and let a further six retail units with three more currently under offer in Derby’s Cathedral Quarter.

However, we do need to keep our feet on the ground and be realistic.  We are not expert economic forecasters (unfortunately), however there is a lot of negativity coming from people who are, and as they say “there is no smoke without fire”.  We are far from being out of the woods and it will probably be quite some time before we are.

Beneath some of our headline deals such as the 920,000ft² letting to Marks & Spencer in Castle Donington, and all
of the lettings to the ‘high street’ retailers in Westfield Derby, lurks a market which is still particularly challenging.  Certainly the lack of funding available for smaller businesses remains a key issue and continues to impact upon demand and activity at the lower end of the market.  However, you do also sense that there is some hesitation from occupiers, uncertain as to what to do moving forward.

In our view, it is highly unlikely that better terms, whether to purchase or lease premises, can be secured than those that are currently available in the market.  There remain excellent opportunities for businesses to solve their property requirements and we would be more than happy to assist any company that is unsure as to how to take their property strategy forward.