The Signs are Good for 2015
The transition from one year to another presents us with the opportunity to take stock, take a look over our shoulder and then rise onto our tiptoes to catch a glimpse of what’s over the hill.
In terms of both the property market and our own business, both landscapes are currently proving easy on the eye. However, as Michael Fish will testify following the storm of ‘87, forecasts can be wrong. We’re not resting on our laurels; our teams are continuing to work as diligently as ever to ensure we remain at the forefront of helpdesks who are in fact ‘helpful’.
Operating purely in the property and asset management sector, we keep a constant eye on market trends and the views of industry experts. With that in mind, what better way to start this assessment than by giving a brief summary of the market.
2014 was a good year for UK commercial property. The economic recovery coupled with low levels of development has meant that the balance between demand and supply has swung in the favour of landlords indicating that the rental market will see accelerated growth in 2015. London has seen vacancy rates drop to pre-crisis levels with the regions following suit at a predictably lower pace. Manchester in particular stands out in terms of growth in the office sector.
From our perspective there also seems to have been a rise in the number of industrial units and parks changing hands. According to industry experts, the rise in this stock has been largely attributed to the move to online shopping resulting in increased delivery requirements as well as the rise in traditional occupiers, such as builder’s merchants.
So, what does that mean for us? The rise in tenanted property indicates that we will – potentially – have more tenants to handle within our existing client base. It also means that any property management firms without a helpdesk facility will be fighting more fires on a day-to-day basis – with many slowly coming to realise the power of working with an outsourced helpdesk provider. We have already seen the result of this in the market and are speaking to a number of companies of varying sizes who can see the storm coming and are scouring the market for options. We’re delighted to say that early discussions have gone well on all fronts and we’re anticipating a very busy 2015.
As a company, we have also had to make provisions for the anticipated market growth. This has come in a variety of forms, which include: bolstering our Out of Hours presence to ensure it keeps pace with our impressive In Hours performance – currently boasting an average pick up time of 3.6 seconds over the past 6 months. We have also reviewed contractor performance and rates to ensure we remain very competitive in the market – our average attendance to a fabric repair emergency in 2014 has been 48 minutes nationally. This is all being achieved whilst proving to be 40% better value than average labour rates in Central London according to contractual independent benchmarking.
At Propertyserve we feel we are prepared to stride into 2015 with our house in good order and a lot to say to the market. 2014 saw significant growth in terms of turnover, client base and our own team. The day Propertyserve opened its doors to the world in 2004, the employees were 75% family (there were four of us!), we now employ over 25 members of staff but the family feel remains as strong as ever. No one is made to work late. No one is made to cover shifts. No one is asked to make cakes. All these things just happen due to having a team who take responsibility, adopt the culture that’s been developed from day one and ultimately want to succeed and help shape their own career paths and futures.
Ian Robertson, Director, Propertyserve UK